DO you want in this pool

[etimer]

Yes I can get on a rant but lately my luck of coming into contact with "rant-able" causes has been high.

My current rant was brought about because my neighbor was one of those contractors on a personal policy. I suggested the business auto and the premium is almost what the personal auto was with St Farm, plus he has higher limits, etc. I just don't want my neighbor to think I was pulling his leg. I had my leg pulled today...see below.

Today while canvasing a local deli (8 months in business) I talked to the owner. After the usual hello who are you etc., a synopsis of the conversation went like this:

me: When does your policy renew?
Them: That doesn't matter I'll just move the existing policy to another restaurant ..I own five different ones.
Me: Who is your insurance company?
Them - not saying name but they did tell me
Me: I'll need to see your policy to review any gaps
Them: oh we can't do that because the policy is a corporate in a different State
Me: Do you know any of your insurance amounts
Them: yes, I know we have 2 million liability plus a 4 million umbrella and it costs too much.
Them: I do want to talk with you ASAP because we have a $10,000 claim filed in December and still not paid.
Me: oh?!?!?!
Them: yes back in December the power went off for three hours and our claim of $10,000 should be covered under our " his words...black-out" insurance.
Me: How much is your annual premium
Them: $500
Me: Good bye have a good day.

[

quote]It was a ST Farm agency. When I offered my astonishment that the insurance company would do the "son delivering pizza" the guy was clueless as to why I would be astonished.

I even went a bit farther with him. So I said, I have a friend that is a carpenter type and he has his work truck on his personal policy. I said I think they charge a bit more and rate it with something like a "U" symbol. His answer, "I've never heard of such a thing or charging a higher premium to use his truck for business.

That is the kind of stuff that floats out there in far too many direct writer agencies. I think they should have their own E&O pool.

Let it go already.... St farm doesn't train their agents in commercial - any more than the other direct writers. There are a few good ones so we shouldn't paint them all as morones or crooks. Also their guidlines are really misleading - they can write tow trucks in commercial auto - just not on hook coverage. To us this is an E&O exposure - they don't have E&O policies.

The ones I worry about are the independent agents that are writing taxi cabs on a personal lines policy with a carrier I do business with - yeah I called the underwriter to tell them what they were on when the insured gave me his dec.

It's not the E&O premium that worries me but the carrier becoming insolvant due to this type of unknown activity. It costs me more money to have to move a book of business than my E&O premium.

[Your Farmers Agent]

That was a funny post. That is how it goes sometimes in this business. You just got to move.

[etimer]

Funny but true!

So here is the final update on the contractor using his truck on a PAP. Last night he called and said he is going with Nationwide. I asked about the truck? He said the Nationwide quote has his truck, personal auto and house on the same quote. What can I say?

For over 20 years I've known a guy that owns a Nationwide agency (not Nationwide - Allied). I called him and he said, Nationwide doesn't allow that business truck on the PAP anymore. So I told my neighbor you must disclose the use of that vehicle to the Nationwide agent.

Will he.......I wonder?

It's a bit discomforting to consider that this is the neighbor that installed $5,000 of new windows in my house. Did I shop his quote? No I didn't. He was a neighbor and would have gotten the work even if he wasn't the lowest bid.

This rant is over and out.

That was a funny post. That is how it goes sometimes in this business. You just got to move.