Safeco Launches Product To Serve High-Risk Drivers.

Safeco is filling a hole in its product offerings with the addition of a new nonstandard auto product, insurQuest.

Safeco's independent agents needed a nonstandard program to offer customers who fit that risk profile, said insurQuest Vice President Chuck Hansen. The nonstandard product rounds out Safeco's product line of preferred and ultra-preferred auto insurance and homeowners coverage while increasing agencies' profits and retention.

"By offering insurQuest, Safeco is once again demonstrating its commitment to independent agents by expanding their reach into new markets," Hansen said. "Agents with clients who have high-performance cars, some traffic tickets or accidents, or an addition of a high-risk driver to the household can still offer coverage--retaining valuable customers."

Safeco chose Texas to introduce the insurQuest product because it's one of the top four auto markets in the United States, Hansen said.

Hansen said insurQuest would be priced competitively with other high-risk companies on a region-by-region basis. "We created three competitive programs with different commission rates to give agents the ability to provide a competitive product for their customers. The increased sales for the agency will increase their revenues," he said.

Agents will receive commissions on sales and on fees generated. "To make up for higher costs involved with underwriting high-risk clients, insurQuest will charge them some service and application fees, and agents will get a share of those fees," Hansen said.

InsurQuest is scheduled to roll out to as many as 13 other states by the end of this year, and the remaining states Safeco does business in during the next two years.