MANITOBA INSURANCE VOLUME 19 NUMBER 1, MARCH 2011 2011 IBAM Annual General Meeting, Conference & Trade Show April 18-20 • The Fairmont, Winnipeg Special Report: Rebranding PM 40065075 2nd Annual IBAM Recruitment Evening Great relationships are built on more than just corporate knick-knacks. We are committed to building strong broker relationships that are mutually benefi cial… because in the end, a strong working relationship beats a free coffee mug. Ask your Red River Mutual Broker Relations Consultant about our suite of broker benefi ts, including our Co-op Advertising Program, RRSP Programs and Succession & Financing options. redrivermutual.com Coast to Coast, we’ve got you covered GroupOne is a national wholesale intermediary that provides underwriting solutions and niche products to our network of brokers across Canada in need of placing standard, non-standard and hard to place commercial property and liability risks. WE ARE Leaders in Standard and Specialty Underwriting WE ARE Hospitality Specialists WE ARE Committed to our Brokers WE ARE Committed to Excellence WE ARE GroupOne www.GroupOneU.com 3601 Highway 7 East, Suite 905 STANDARD & NON-STANDARD COVERAGES Markham, Ontario L3R 0M3 SPECIAL LIABILITY COVERAGES Tel: 905-305-0852 Toll-Free: 1-888-489-2234 HOST HOSPITALITY COVERAGES ERRORS & OMMISIONS COVERAGES Fax: 905-305-9884 Toll-Free: 1-877-302-7822 BUILDERS RISK Email: [email protected] Group One Ad Outside Pub.indd 1 2/25/11 4:34 PM Contents Volume 19 Number 1, March 2011 Features 2010/2011 Board of Directors Executive Committee President Pamela Gilroy-Rajotte Chair / Past President Special Recruitment Event 13 Scott Andrew President-Elect Peter Tessier Vice-President Curtis Wyatt 2011 IBAM Conference, Chief Executive Offi cer David Schioler AGM and Trade Show... Greg Barrows Tara Chammartin Keith Jordan Lori King John McDonald T.J. McRedmond Darren Peters Russell Wasnie 19 Annual General Meeting, 2011 IBAM Conference & Trade Show April 18-20 • The Fairmont, Winnipeg Coast to Coast, IBAM 2010/2011 Committee Chairs IBAC we’ve got Wade Garriock/Scott Andrew/Pamela Gilroy-Rajotte Special Report: MPI/DVL/IBAM General Liaison you covered Russell Wasnie MPI/IBAM SRE Committee REBRANDING 45 Dale Rempel GroupOne is a national wholesale intermediary that Communications/BIP Committee ➨ What’s in a name? 46 provides underwriting solutions and niche products to Pamela Gilroy-Rajotte our network of brokers across Canada in need of placing Conference ➨ Rebrand your company standard, non-standard and hard to place commercial Peter Tessier property and liability risks. Nominating to boost your bottom line 50 Scott Andrew Professional Development ➨ YOU and your company 54 WE ARE Leaders in Standard and Specialty Underwriting Tara Chammartin Young Broker Committee WE ARE Hospitality Specialists Dwight Heppner WE ARE Committed to our Brokers The MANITOBA INSURANCE BROKER is published four WE ARE Committed to Excellence times per year by Craig Kelman & Associates Ltd. on behalf of the Insurance Brokers Association of Manitoba, 205-530 Departments WE ARE GroupOne Kenaston Blvd. Winnipeg, MB R3N 1Z4, (204) 488-1857, email: [email protected] All rights reserved. Contents may not be reproduced 6 CEO’s Remarks 40 In the Community without express consent of the publisher. ©2011 8 Viewpoint 42 Broker Profi le 10 Raising our Profi le 60 Business Corner 34 YBN Report 65 Industry News 38 Specialty Insurance 68 Reach our Advertisers Editorial and Advertising Offices: 3rd Floor, 2020 Portage Ave. • Winnipeg, MB R3J 0K4 www.GroupOneU.com Tel: (204) 985-9780 • Fax: (204) 985-9795 E-mail: [email protected] 3601 Highway 7 East, Suite 905 Executive Editor ................... David Schioler STANDARD & NON-STANDARD COVERAGES Markham, Ontario L3R 0M3 Managing Editor ................... Terry Ross SPECIAL LIABILITY COVERAGES Design / Layout ................... Tracy Toutant Tel: 905-305-0852 Toll-Free: 1-888-489-2234 Advertising Manager............. Kris Fillion HOST HOSPITALITY COVERAGES Advertising Coordinator ........ Lauren Campbell ERRORS & OMMISIONS COVERAGES Fax: 905-305-9884 Toll-Free: 1-877-302-7822 BUILDERS RISK Email: [email protected] Publication Mails Agreement #40065075 Return undeliverable Canadian addresses to: [email protected] Group One Ad Outside Pub.indd 1 2/25/11 4:34 PM Joint Message from President & CEO Working with MPI: Pamela Gilroy-Rajotte, David Schioler, IBAM President IBAM CEO urrently, the IBAM Board of a) Assurance from MPI to brokers So, it is clear to us that we need not Directors on your behalf is and eventual payment to only to elaborate on these issues C working with the MPI executive brokers with respect to the and developments so that you all and management teams in attempts to delay on the commencement of understand precisely where we are, ensure that the essential terms of the 2008 compensation accord (i.e., but that we also need your input 2008 Accord on Broker Compensation broker commissions delayed and feedback in terms of where are effectively maintained and from NOV2010 to MARCH 2011). to go from here. In light of this, hopefully in some areas and ways b) Broker distribution of other we are scheduling two alternative enhanced. In some aspects, it appears products such as taxi, luxury & afternoons of meetings in Winnipeg that the terms of the Accord are PSV plates? in May 2011. It is likely that we working properly and effectively. In c) Improvements to Extended will host a meeting or two in rural other areas, such as distribution of income Coverage (AOL – Manitoba as well. We are hopeful the Enhanced Identity Cards and Autopac On-Line) that every one of you will be able broker compensation related to same d) Expiry / Renewal Date to appear to make one afternoon or another. have failed miserably. Furthermore in system window with an We absolutely need and want your and with an even more dramatic improved customer data base involvement. We will advise of the effect, it appears that a drop in annual and the ability to run reports meeting dates in the near future. We premiums received by MPI – somewhat e) Municipality fleet vehicle do expect to give you updates at our due to success with its auto theft and licensing expiry: school buses April 19, 2011 AGM, but we will not other initiatives - will negatively affect – rotating yearly for brokers in have the necessary time to devote broker compensation from basic auto area – how will this work under to and properly address these issues % commissions paid to brokers. So, we a 5-year renewal? during the AGM. Furthermore and are working with MPI in attempts to f) On picking up new car / perhaps more importantly, we hope keep aggregate broker compensation arranging renewal - can there and expect to have much more at appropriate levels. Thus far, we have be customer ability to select meaningful information to provide been successful to a point – but we the broker by transacting via in May as opposed to mid-April, as need to do more. We are also working electronic service such as email we have just recently commenced with MPI to secure enhancements for & faxing etc? with MPI extremely focused efforts our members in these areas. g) Short Term Policies – monthly on these matters. pay at broker – can we eliminate 1. IBAM is working with the MPI late payment & late payment Thank you for your patience and executive and management teams penalties? How can brokers be support. As you know, your Board of in attempts to ensure that the fairly compensated? Directors is made up of brokers who following ‘laundry list’ of items will h) Improved technology including understand your concerns – and who be introduced or amended in order back-up systems share your interests and passions. to enhance broker compensation i) Operating Standards We are and will be working extremely and service delivery. (Our early j) Standards board hard to get things done on your indications in this regard are that k) Short term policy commission behalf. we will be effective in achieving l) Auto Broker course – success with respect to these improvements – potential items.) merger with Fundamentals 6 | MARCH 2011 | Manitoba Insurance Broker Click Here to return to Table of Contents Viewpoint Seeking a solid foundation for BMS Fraser Lyle, President, Insurance Brokers Association of Canada he proliferation of new electronic gadgetry and software in our industry is long-term system fi t and effi cacy must extremely evident and the variety of choices makes purchasing decisions diffi cult. have long-term value for brokers. A solid T We face similar challenges in updating and upgrading our own broker’s foundational approach is needed, which management systems (BMS) keeping in mind the associated costs of doing so. The brings me to the subject of this column. The technology committee at IBAC and its quiet progress can be forgotten when compared to the higher profi le Broker Identity Program (BIP) and politi- cal action activities. Although the com- mittee members change every year, our champions, Brenda Rose and Sheldon Wasylenko, continue on as stewards in moving technology ahead to achieving real time data exchange between brokers’ management systems and insurers’ pro- prietary software. The agenda for our January Board of Directors meeting included a white paper on IBAC’s defi nition of real time data exchange. Briefl y, it means there should be no intermediate ‘translating’ of the data as it is sent between a broker’s BMS and an insurer’s system. This is the foundation that I referred to earlier and is based on the strict use of ACORD CSIO standards. Early tests using ACORD CSIO XML standards and protocols between BMS vendors and insurers have been very encouraging. Midterm change endorse- ment requests were used in the testing because these changes are the most common of all broker transactions, are often the most complicated, and often are revenue neutral.