ForeWord

WC Exposure; Digital Future; New Faces in High Places

Liberty Mutual appears to be slowing down its workers’ compensation business as it announced the sale of Summit Holding and related companies to American Financial Group Inc. Liberty Mutual, according to SNL, had already been ceding market share in 2013, with Travelers Cos. Inc. writing more direct premiums in each of the first three quarters of the year. Last May, David Long, president and CEO, stated that Liberty Mutual’s workers’ comp exposure had declined roughly 30% year over year in the first quarter. It was not able to achieve needed pricing, he said, and he called the business “clearly the most underperforming line in commercial lines,” according to a transcript of a conference call as cited by SNL. The Summit deal gives the acquirer, American Financial Group, a substantial lift in the national standing. Liberty Mutual and American Financial Group expect to close the transaction by the end of the second quarter. Steve Nigro of TAG Financial reminds us that there have been several other WC deals and more on the way: AmTrust Financial Services Inc. closed a deal for Sequoia Insurance Co. in April and announced a deal January 6 for the renewal rights to Tower Group International Ltd.’s commercial lines business (see article this issue)…. As technology works the insurance workplace, requiring independent agents and brokers to manage their business and customer relationships in fresh, challenging ways, our friends at Applied are launching a new, interactive webinar series, The Digital Future of Insurance, featuring agents, brokers, carriers, analysts and others sharing their perspectives and practical advice on trends reshaping insurance. Some of the topics the series will cover include: creating a better customer experience on and offline; maximizing the value of data with business intelligence (BI) technology; strengthening data security to reduce cyber risk; demographic shifts affecting hiring and retention in agencies and brokerages; and organic growth strategies to perpetuate business. Worth the time, for sure… We wish Kelly Norris new head of PIA tri state and Eric Madoff, new head of the NYSIF, all the best in their new roles. These are evidently talented professionals who can only better the insurance scene for all of its protagonists. Enjoy.

“Guest” View

Here we present a view of a new “guest” joining the Insurance Advocate’s community. We are pleased to announce the birth of Sophia Grace to Gina Marie Balog and her partner, Felix Sartario. This lovely little angel has become a source of brightness in our offices and for our well known General Manager and Creative Director.

We are very proud of Gina’s professional accomplishments and simply delighted over her “blessed event”.