Young Talent Pushing Forward
Many insurance professionals say they “fell into” the industry. Our Power Broker® winners and finalists under age 40 are no different, crediting their introduction to the business largely to family members who got them an “in.” Their experiences entering and working their way up through the ranks demonstrate both the strengths and weaknesses of the industry, and paint a picture of what the future may hold.
2014 Under-40 rankings sponsored by:
Denton Christner, 36, a Power Broker® in the Gaming and Hospitality category, started working as a file clerk in his father’s Allstate agency as a high school student. He stayed with Allstate through college and eventually became an agent at the age of 21.
After agency consolidation left him and other brokers with smaller books looking for other options, he took a tip from another family member and went the independent route, joining BayRisk Insurance Brokers at 24.
Eleven years later, Christner is vice president and has helped BayRisk build its biggest new business source: a program for food truck insurance. Taking advantage of social media and online marketing, he has used the Internet as a primary sales driver, bringing InsureMyFoodTruck.com to the top of search engine results lists.
“Trying to sell commercial insurance to business owners who are oftentimes 10, 20 or 30 years my senior was very difficult. That was a big obstacle as a young agent, trying to prove my professionalism.”
— Denton Christner, vice president, Bay Risk Insurance Brokers
“It was an amazing experience; totally life-changing,” Christner said. “I pretty much ate, slept and breathed food trucks for 18 months getting it launched.”
Lindsay Roos, 30, and a Power Broker® in the Pharmaceutical category, secured an internship with Marsh as a college junior with the help of a family member. In fact, internships and early training programs are a common thread among our young success stories.
“I interned in our Morristown, N.J., office for two years,” said Roos, a vice president and excess casualty placement broker at Bowring Marsh. “It was my first real work experience, and I really liked the work and the company. Most importantly, I really liked the people.” Marsh hired Roos into a graduate training program that gave her a well-rounded and formalized immersion in the industry alongside her peers.
Kate Simons, a 28-year-old Power Broker® finalist in the Retail category, took a summer internship with Aon as a college student “without really knowing what it was at first.” But the program drew her in, opening up the world of learning opportunities that the insurance industry has to offer.
“In this job, the thing I like is that you ultimately get to learn about all the industries your clients are in, whether it’s retail, real estate, manufacturing, food, and the list goes on and on,” she said.
Like Roos, Simons participated in an early career development program at the company. The 18-month training helped her home in on what aspects of insurance most appealed to her and exposed her to key mentors, leading her to her current position as senior broker.
“I also felt that the industry had a really good focus on developing young talent and investing in the future,” Simons said.
Indeed, internships and intensive training programs continue to be key tools in bringing new grads into the fold.
Big brokers like Aon, Marsh and Beecher Carlson reach out to colleges to find prospective talent and introduce them to the industry. If all goes according to plan, those interns become full-time hires.
A year or two of initial training for new employees gets their feet wet in every aspect of the business. Those onboarding programs help young brokers find what niche appeals to them, and in what function they can excel.
For many, that process helps young professionals move on from simply “falling into” insurance to really embracing it as a rewarding and exciting career.
As evidence of these programs’ successes, notice that this year’s “Under 40” class of winners and finalists includes 60 brokers, as opposed to last year’s 40. More young brokers are thriving in the business.
“The best experience comes from clinging onto some good people who are willing to teach you.”
— Lindsay Roos, vice president, Bowring Marsh
Yet, for an industry that invests considerable time and resources in developing new talent, the concern remains that not enough young people realize the benefits of working in insurance. In spite of a wealth of opportunity, the influx of new grads remains troublingly low.
“There are not enough young people getting into insurance, unfortunately,” Christner said. “It takes a lot of convincing and hand-holding and mentorship to get new producers settled into their career.”
Roos echoed that thought, noting that most college students aren’t necessarily looking for a professional career in insurance, but end up there via a tangential skill or interest.
That’s how a career in insurance brokering developed for Blythe O’Brien Hogan, a director in the Global Fine Arts Practice at Aon. O’Brien Hogan majored in art history as an undergraduate, then pursued a master’s degree in art business at Sotheby’s Institute of Art in London. That got her interested in art protection, both for personal collections as well as in transit or on display in a gallery or museum. She eventually wrote her master’s thesis on the development of insurance and risk management for fine art.
“From there I segued into the very dynamic, but a little bit niche, risk management insurance industry for fine art collections,” she said.
Aon’s Global Fine Arts Practice, launched in 2005, allowed O’Brien Hogan, a Power Broker® in the Fine Arts category, to work more closely with all players in the art industry, from handlers, shippers, storage facilities, and conservators to appraisers and tax attorneys.
Despite being given opportunities and responsibilities early in their careers, many young brokers have had to overcome ageism in order to move ahead.
“Trying to sell commercial insurance to business owners who are oftentimes 10, 20 or 30 years my senior was very difficult,” Christner said. “That was a big obstacle as a young agent, trying to prove my professionalism.”
“It is challenging at times to get people to look past your age,” Simons said. “Being younger and still successful; sometimes, people tend to look for a little gray hair.”
Ultimately, though, a sound working knowledge of clients’ industries wins out, gaining their trust and building a positive reputation.
Seth Cohen, 30, and an Entertainment Power Broker®, worked around the challenges of youth and inexperience by focusing on educational opportunities and industry training.
“I realized I could really accelerate my experience beyond my years,” said Cohen, an entertainment area vice president with Arthur J. Gallagher. “I got my ARM and CPCU as quickly as I could. I took a UCLA filmmaking and production course that was very intensive. I continue to attend media law conferences. Staying on top of current affairs helps to stay ahead of your inexperience.”
A little persistence never hurt either.
“Hard work and perseverance, being creative and asking questions has been the way to work through all that,” Simons said.
Younger brokers also have the advantage of greater familiarity with changing technologies, which shape industry best practices in a number of ways. Social media and online marketing are becoming increasingly common and important ways to reach clients, as Christner proved with the success of his food truck program. Sophisticated data analysis and modeling are now equally invaluable items in the broker’s toolbox.
“The younger generation probably embraces it more and adapts better,” Simons said. “They have more innovative thoughts as far as asking, ‘What else can I do with this technology and data to look at things a different way?’ ”
Tips for Success
So what can entry-level brokers learn from our Under 40 winners and finalists? First and foremost: Pounce on every new venture.
“I would say take advantage of every single opportunity, meaning every chance to be involved with other professionals [in the industry],” O’Brien Hogan said.
Simons echoed that advice. “Jump on every opportunity, and there are many in the industry, but you have to make the most of them,” she said. “Work hard. Be confident.”
And that uncle, sister or cousin with experience in the field? Tap into their knowledge base, and pick mentors’ brains as often as possible.
“The best experience comes from clinging onto some good people who are willing to teach you,” Roos said.
Finally, the best brokers — no matter what their age — always have an in-depth knowledge of their customers’ industries. Specializing in areas of interest helps develop expertise that clients covet.
“Knowing the industry is key,” O’Brien Hogan said. “From all different angles — not just insurance, but all the little components that go into risk management.”
While challenges remain for the industry’s stability and growth potential, the growing number of Under 40 Power Broker® winners and finalists offers hope that the industry will remain dynamic for the future.
Listing of Power Broker Winners and Finalists Under 40:
Power Broker Rising Stars
Judging the talent employed by commercial insurance brokers leads us to one conclusion; optimism is the order of the day.
As we discovered this year, not only are the ranks of high-achieving younger brokers as strong as ever, they are increasing in number.
We’ve renamed our Power Broker® “Under 40” category to “Rising Stars” to better celebrate this wave of talent and to focus on an important point. Yes, this is a younger group of professionals, all of them under 40, but it’s more on point to think of them as the future leaders of this profession.
As Power Broker® winners and finalists, this set of Rising Stars demonstrated a superior level of creativity in finding solutions for their clients, unflagging customer service and a devotion to learning more about their industry.
Just four years ago, the number of brokers honored by this designation hovered around 40. Last, year, there were 54 Power Broker® winners and finalists recognized in the Under 40 category.
Over the next few pages, you will see the names and affiliations of 77 brokers we recognize as Rising Stars. Since the launch of this category in 2009, more than 250 brokers under 40 received the designation.
The average age of the Rising Stars designees is 36. They represent a powerful wave of talent that is bolstering a profession, which like many other professions will be challenged to replace talent as the baby boomers retire.
For this group of Rising Stars, a career in commercial insurance brokerage is a compelling challenge that results in rich rewards.
“I really enjoy telling ‘the story’ on behalf of my client to the insurance carrier, to pique their interest in an account,” — Ashley De Paola, assistant vice president, Alliant
We first came to know Lockton’s Christopher Keith when he broke into the Power Broker® ranks as a winner in the Workers’ Compensation category in February 2013.
In those days, Keith worked for the Philadelphia-based Graham Co. Keith, 39, said it’s the “entrepreneurial” nature of the business that he finds so rewarding.
“I like the fact that I am managing my own profit and loss statement,” said Keith, who this year achieved Power Broker® status in the Aviation category.
At Lockton’s annual President’s Dinner, he was recognized as the “prototype” Lockton producer.
“I’m very proud of that,” he said.
Alliant’s Ashley De Paola, 33, a 2016 Power Broker® in the Real Estate category, said it’s the quick-paced, evolving atmosphere of commercial insurance brokerage that excites her.
“I really enjoy telling ‘the story’ on behalf of my client to the insurance carrier, to pique their interest in an account,” De Paola said.
Earlier in her career, a client expressed his concern over her age and experience. Her review of his insurance program changed his mind.
“It was very rewarding when he later asked me to work on his business,” she said.
Beecher Carlson’s Joe Roberta, a 2016 Power Broker® winner in the Private Equity category, has several reasons he likes working in this industry. Top of the list is that this is a very “social industry.”
“I truly enjoy working with people that I’ve been fortunate enough to build long-term relationships with,” he said.
Justin Wiley, 32, Power Broker® winner in the Public Sector category, works for Arthur J. Gallagher & Co., which prides itself on its mentoring efforts.
The company sent Wiley to Orlando, Fla., to work with veteran Rich Terlecki, himself a multiple Power Broker® winner.
“My goal was to learn and gather from him as much intellectual capital as possible,” Wiley said.
Clearly, Terlecki taught him well.
The 2016 Power Broker® Rising Stars
Handling Heavy Equipment Risk with Expertise
What happens to a construction project when a crane gets damaged?
Everything comes to a halt. Cranes are critical tools on the job site, and such heavy equipment is not quickly or easily replaceable. If one goes out of commission, it imperils the project’s timeline and potentially its budget.
Crane values can range from less than $1 million to more than $10 million. Insuring them is challenging not just because of their value, but because of the risks associated with transporting them to the job site.
“Cranes travel on a flatbed truck, and anything can happen on the road, so the exposure is very broad. This complicates coverage for cranes and other pieces of heavy equipment,” said Rich Clarke, Assistant Vice President, Marine Heavy Equipment, Lexington Insurance, a member of AIG.
On the jobsite, operator error is the most common cause of a loss. While employee training is the best way to minimize the risk, all the training in the world can’t prevent every accident.
“Simple mistakes like forgetting to put the outrigger down or setting the load capacity incorrectly can lead to a lot of damage,” Clarke said.
Crane losses can easily top $1 million in physical damage alone, not including the costs of lost business income.
“Many insurers are not comfortable covering a single piece of equipment valued over $1 million,” Clarke said.
A large and complex risk requires a sophisticated claims approach. Lexington Insurance, backed by the resources and capabilities of AIG, has the underwriting and claims expertise to handle such large claims.
“Cranes travel on a flatbed truck, and anything can happen on the road, so the exposure is very broad. This complicates coverage for cranes and other pieces of heavy equipment. Simple mistakes like forgetting to put the outrigger down or setting the load capacity incorrectly can lead to a lot of damage.”
— Rich Clarke, Assistant Vice President, Marine Heavy Equipment, Lexington Insurance
Flexibility in Underwriting and Claims
Treating insureds as partners in the policy-building and claims process helps to fine-tune coverage to fit the risk and gets all parties on the same page.
Internally, a close relationship between underwriting and claims teams facilitates that partnership and results in a smoother claims process for both insurer and insured.
“Our underwriters and claims examiners work together with the broker and insured to gain a better understanding of their risk and their coverage expectations before we even issue a policy,” said Michelle Sipple, Senior Vice President, Property, Lexington Insurance. “This helps us tailor our policies or claims handling to suit their needs.”
“The shared goals and commonality between underwriting and claims help us provide the most for our clients,” Clarke said.
Establishing familiarity and trust between client, claims, and underwriting helps to ensure that policy wording is clear and reflects the expectations of all parties — and that insureds know who to contact in the event of a loss.
Lexington’s claims and underwriting experts who specialize in heavy equipment will meet with a client before they buy coverage, during a claim, or any time in between. It is important for both claims and underwriting to have face time with insured so that everyone is working toward the same goals.
When there is a loss, designated adjusters stay in contact throughout the life of a claim.
Maintaining consistent communication not only meets a high standard of customer service, but also ensures speed and efficiency when a claim arises.
“We try to educate our clients from the get-go about what we will need from them after a loss, so we can initiate the claim and get the ball rolling right away,” Clarke said. “They are much more comfortable knowing who is helping them when they are trying to recover from a loss, and when it comes to heavy equipment, there’s no time to spare.”
“Our underwriters and claims examiners work together with the broker and insured to gain a better understanding of their risk and their coverage expectations before we even issue a policy. This helps us tailor our policies or claims handling to suit their needs.”
— Michelle Sipple, Senior Vice President, Property, Lexington Insurance
Leveraging Industry Expertise
When a claim occurs, independent adjusters and engineers arrive on the scene as quickly as possible to conduct physical inspections of damaged cranes, bringing years of experience and many industry relationships with them.
Lexington has three claims examiners specializing in cranes and heavy equipment. To accommodate time differences among clients’ sites, Lexington’s inland marine operations work out of two central locations on the East and West Coasts – Atlanta, Georgia and Portland, Oregon.
No matter the time zone, examiners can arrive on site quickly.
“Our clients know they need us out there immediately. They know our expertise,” Clarke said. “Our examiners are known as leaders in the industry.”
When a barge crane sustained damage while dismantling an old bridge in the San Francisco Bay that had been cracked by an earthquake, for example, “I got the call at 6 a.m. and we had experts on site by 12 p.m.,” Clarke said.
In addition to educating insureds about the claims process and maintaining open lines of communication, Lexington further facilitates the process through AIG’s IntelliRisk® services – a suite of online tools to help policyholders understand their losses and track their claim’s progress.
“Brokers and clients can log in and see status of their claim and find information on their losses and reserves,” Sipple said.
In some situations, Lexington can also come to the rescue for clients in the form of advance payments. If a crane gets damaged, an examiner can conduct a quick inspection and provide a rough estimate of what the total value of the claim might be.
Lexington can then issue 50 percent of that estimate to the insured immediately to help them get moving on repairs or find a replacement. This helps to mitigate business interruption losses, as it normally takes a few weeks to determine the full and final value of the claim and disburse payment.
Again, the skill of the examiners in projecting accurate loss costs makes this possible.
“This is done on a case-by-case basis,” Clarke said. “There’s no guarantee, but if the circumstances are right, we will always try to get that advance payment out to our insureds to ease their financial burden.”
For project managers stymied by an out-of-service crane, these services help to bring halted work back up to speed.
For more information about Lexington’s inland marine services, interested brokers should visit http://www.lexingtoninsurance.com/home.
This article was produced by the R&I Brand Studio, a unit of the advertising department of Risk & Insurance, in collaboration with Lexington Insurance. The editorial staff of Risk & Insurance had no role in its preparation.