A conversation ...
Conversations with fellow agents and brokers are always interesting. And here are a few:
BROKER: Boy, oh boy, GEICO and 21st CENTURY are writing a ton of auto.
JKD: From what I can see, it looks like GEICO is closing in on NJM's second place slot. Right now Allstate is the number one writer in our Garden State.
BROKER: Well, at least NJM has it's base in West Trenton, and Allstate has agents throughout our state.
JKD: Now you're starting to sound like me.
BROKER: Our so-called auto insurance reform has moved about $1 Billion out of New Jersey and into other states. That can't be good for our statewide economy.
JKD: All we received in return are a few claims offices.
BROKER: I thought it was the job of Commissioners to stimulate our economy, keep jobs and money in New Jersey.
JKD: Well, GEICO wrote over $750 million of New Jersey premiums, and we are seeing other out-of-state insurers also taking premium monies away. Many of those monies now pay for jobs in other states.
BROKER: My car insurers are down about 15% in overall premiums in the last few years.
JKD: Only 15%? I've seen other car insurers drop 30%. Your insurers should consider themselves lucky.
AUTO AGENT: One of my insurers has decided to use their own territories for car insurance.
JKD: Some companies have opted to file their own Territorial Rate Maps with the New Jersey Department of Banking & Insurance. So nowadays territories may be different from company to company.
AUTO AGENT: Yeah Johnny, but they filed for over a hundred ... and that's just for New Jersey.
JKD: Sounds like most towns will have their own territory with that particular carrier. And of course, thank goodness for computers!
AUTO AGENT: Well at least the law now states I do not have to rate up three different scenarios anymore.
JKD: Correct! That law has been deleted.
AUTO AGENT: But I still do that as a service to new applicants anyway. It's a good service and helps me protect my E&O.
JKD: That's pretty much the same thing I said to our Governor's Office upon the proposal of that law & also upon the deletion. However, I never thought it should be mandatory!
ANOTHER AGENT: Everyone is going crazy to write auto insurance. And the TV and radio ads are nuts.
JKD: Unfortunately, our business has gone from a profession to a dog-and-pony show.
ANOTHER AGENT: It's like tax services. Everyone is doing income taxes, even furniture stores have ads in their windows. Pretty soon, they'll also be selling car insurance.
JKD: You may have just given some insurers a new idea.
ANOTHER AGENT: I hate that TV ad that says we only cover you if you are hit by a "ficus tree"! That insurer's ad is demeaning and unprofessional. What are they thinking?
JKD: You are making an assumption that they were actually thinking.