Just a shame what incompetence can cause. I still shake my head about the events leading to Kemper’s failure. Unfortunately, I think there are more Kempers out there that have been hanging on by a thread.
God Bless America!
I can believe it. I worked there for 11 years. The causes were many, some recent and some going back to the split of kemper corp from kemper insurance in 1968. It was a great name staffed by great people but provided with dubious leadership. A real shame!!!
well believe it, because the course should not be any shock to anyone who follow’s the insurance industry. Preditor’s prying on greed and distrution for the very purpose that was stimulated by the likes of all of you people who don’t speak up and condemn these acts. follow the leader and you become the victim too. Suppose you all wake up and do the right thing instead of supporting the weapons of mass destuction you willingly arronganty support by your continued support of blind methodology. The swift boat is now in your habor’s and land……..what will it take?
The failure can ultimately be attributed to one name, Bill Smith. He tried to create a new AIG, but didn’t understand that Kemper was a mutual, and had a different customer base than AIG.
Given that the company retains a positive net worth, it would be interesting to know how effectively claims are being processed and handled. For example, it would be refreshing and reassuring to know that meritorious claims could be settled when there is agreement between plaintiff and defendant. I would hate to think that the settlement process is standing still because of analysis paralysis.
WMDs? Swift boats? No spell check? I don’t know what any of that has to do with anything other than a great happy hour last Friday. Kemper like others before and since have simply suffered from unbelievably poor management. We in the industry have been unable to price our product without regard to short term windfall profits and down go the Giants.
If Kemper had been a stock company instead of a mutual Dave Mathis, Bill Smith and the Board of Directors might not be in such good shape. As a former Vice President and Manager of a large Branch operation I could see the problems developing and discussed them with my peers. Unfortunetly. most of my peers, who had been successful people with Kemper for years were replaced in order to change the “culture”. If you “questioned” you were not a “team player”. I loved the company and my job and it was through my loyalty that I disagreed with some of the actions and direction taken. Does it make sense to give Bill Smith a multi-million dollar severance then lay off several thousand people while there is concern the pension and medical for retirees is in jeopardy? I have heard that “asbestoes” caused the problem. Sorry, I don’t buy that scenerio as many other companies had much higher exposure than Kemper. In my opinion, it was terrible management decisions that destroyed the culture and then they gambled with the surplus to satisfy their own greed.
Fred C. Wilkinson
Why is it that there are so many stories in this industry like Fred’s. I too have left a major player for all the same reasons. Today I had lunch with someone who is planning their exit strategy. There are many more hoping to do the same. Besides destroying immense amounts of capital, now all that is left is to destroy the greatest assets the industry has, human capital.
I agree with Fred 100%.
In fact, I have sworn never to see Chicago or the old home office again. However, if they ever get Mathis and Smith in handcuffs for their actions, I will make a trip up there to see that.
Maybe some of the sadness and tears would be lightened.
Yes Mike, would’nt it be nice to see these scheme-magnifiers delivered the same expierece!! Oh, My!! Who’d go that far? A delivery system to match the crimes they commit AND carry out. Now, wouldn’t that be nice to see instead of some major players’ getting all that attention. Perhaps, a Big Fat jail cell with sectional dividers of corporations and their subsidiaries, past & present. Kinda like an industry resource directory notice posted would be good. So, just in case that the industries connection with them are not felt left out. Choices? Significants losses (to the people void of true commitment to their cause/effects) but, NOT to the expansioners who controlled at the expense of elite selective member advancement. Exhume and destroy their habits that give rise to evils commited against someone like myself & son who have been the recepients. Food stamps, medi-cal provisions and a horrific covert housing arrangement by the fraudsters like’s of State Farm insurance company, Cal-Comp insurance compay, Healthnet, State of California worker’s Compensation-employees, County of Santa Clara billing/debt collection contractors, (employee/employer) payroll deduction-collaborators. Knowing information, maniputating/destorying and then do a re-route on that infomation Oh, My!! how right is that?, knowing something is going in the wrong direction and doing the same or nothing about it, is? (2) different choices? Hardly. They don’t trust each other to do the right thing, so it’s a wonder that us who get/got screwed.
As a former Kemper employee (16 years) I can say that the ‘Bill and Dave’ show was the laughing stock of Kemper field employees throughout the United States. I never ceased to be amazed at how everyone from the mailroom clerk to the regional manager would freely discuss how the company was being run into the ground…years before the ship went down. I’m so sick of corporate monsters devoid of anything but the chase for power and money (all ethics be damned) that escape any financial hits while literally thousands of others have their livelihoods and retirements turned into ash heaps. Bill Smith was literally hated throughout the entire organization…how can a company survive with that kind of work environment…of course Kemper didn’t. It is time for all American workers to insist the entire structure of the American corporation be changed so that this type of American tragedy stops being played out again and again and again. People like Bill Smith should be forced to live on food stamps in Section 8 housing.
Kemper, well I spent many years there, and I am still amazed
that Bill and Dave show, will or did walk away with
millions of dollars and those of us that
worked hard for Kemper, get kicked in the
face. Bill Smith is not worth a red dime.
I agree that he should be on food stamps
and section 8.
I agree with Fred & Dana on what caused the end and on watching the “cuffing”. I was only employed by Kemper for 3 and a half years (so I didn’t even get to vest). Unfortunately I am writing this at noon—I haven’t found a new job yet! This industry is not going well.
Check out the 8-9-04 article on the Kemper web site under Kemper News and you will see that the best part is – guess who is the chairman of the board of directors at what is left of Kemper – Dave Mathis. I don’t know how the Ill. department can allow that.
For those who are not aware, Kenning Assoc no longer exists. (Kenning was “managing” the run-off). By “mutual agreement”, effective 8/9/04, Mike Cotou resigned as Acting Pres, CEO & CFO. A coincidence I am sure that less than a week later the financial report was published that approx 86% of the surplus was gone.
That is why Dave Mathis is still Chairman of the Board. No on else left to do the job. Besides, it doesn’t really matter anymore. The company is breathing it’s very last breaths & should be going down for the count sooner than later. They recently sent out letters to the folks on [permanent] LTD, offering them “a settlement” of such a small % of their expected LTD payments, that it is beyond belief. The letters use the scare tactic that if they don’t take the money now, there is no guarantee that the payments will continue in the future, based on the path the company is traveling down presently. One person is being offered 5 cents on the dollar of their projected total claim.
Grand theft and them some. Ever wondered why State Farm too? changed from home owner’s garantee fund to “other”. Not to confuse you with the “garantee to **** you fund. The percentage of that is what in California? Kemper aut to know that answere.
Just a shame what incompetence can cause. I still shake my head about the events leading to Kemper’s failure. Unfortunately, I think there are more Kempers out there that have been hanging on by a thread.
God Bless America!
I can believe it. I worked there for 11 years. The causes were many, some recent and some going back to the split of kemper corp from kemper insurance in 1968. It was a great name staffed by great people but provided with dubious leadership. A real shame!!!
well believe it, because the course should not be any shock to anyone who follow’s the insurance industry. Preditor’s prying on greed and distrution for the very purpose that was stimulated by the likes of all of you people who don’t speak up and condemn these acts. follow the leader and you become the victim too. Suppose you all wake up and do the right thing instead of supporting the weapons of mass destuction you willingly arronganty support by your continued support of blind methodology. The swift boat is now in your habor’s and land……..what will it take?
I agree. I worked there during two stints. When the personal lines division hired Dale Hammond the bottom dropped out of it!
The guy was and is brain damaged
As an agent, I did not realize Kemper was still alive. Are they planning to rise from the ashes, or what? Who is buying their policies?
Kemper is in runoff and will not be rising. All profitable business was sold off to either Argonaut or Old Republic, I believe.
Kemper has not sold anything to Old Republic or Argonaut – actually Kemper bought out some of Old Republic. Argonaut is still up & running.
The failure can ultimately be attributed to one name, Bill Smith. He tried to create a new AIG, but didn’t understand that Kemper was a mutual, and had a different customer base than AIG.
I read that it was Enron that killed Kemper (as a result of bond losses).
Kemper didn’t sell the business, only renewal rights. They sold as follows:
National Accounts – Argonaut
Middle market and small biz – St Paul
Most specialty lines, Smith’s attempt to make another AIG, were simply runoff, as they were not very profitable.
Unfortunately, many good working people put on the street, while Messrs. Smith and Mathis are still very comfortable.
Given that the company retains a positive net worth, it would be interesting to know how effectively claims are being processed and handled. For example, it would be refreshing and reassuring to know that meritorious claims could be settled when there is agreement between plaintiff and defendant. I would hate to think that the settlement process is standing still because of analysis paralysis.
WMDs? Swift boats? No spell check? I don’t know what any of that has to do with anything other than a great happy hour last Friday. Kemper like others before and since have simply suffered from unbelievably poor management. We in the industry have been unable to price our product without regard to short term windfall profits and down go the Giants.
If Kemper had been a stock company instead of a mutual Dave Mathis, Bill Smith and the Board of Directors might not be in such good shape. As a former Vice President and Manager of a large Branch operation I could see the problems developing and discussed them with my peers. Unfortunetly. most of my peers, who had been successful people with Kemper for years were replaced in order to change the “culture”. If you “questioned” you were not a “team player”. I loved the company and my job and it was through my loyalty that I disagreed with some of the actions and direction taken. Does it make sense to give Bill Smith a multi-million dollar severance then lay off several thousand people while there is concern the pension and medical for retirees is in jeopardy? I have heard that “asbestoes” caused the problem. Sorry, I don’t buy that scenerio as many other companies had much higher exposure than Kemper. In my opinion, it was terrible management decisions that destroyed the culture and then they gambled with the surplus to satisfy their own greed.
Fred C. Wilkinson
Why is it that there are so many stories in this industry like Fred’s. I too have left a major player for all the same reasons. Today I had lunch with someone who is planning their exit strategy. There are many more hoping to do the same. Besides destroying immense amounts of capital, now all that is left is to destroy the greatest assets the industry has, human capital.
I agree with Fred 100%.
In fact, I have sworn never to see Chicago or the old home office again. However, if they ever get Mathis and Smith in handcuffs for their actions, I will make a trip up there to see that.
Maybe some of the sadness and tears would be lightened.
HI dana! Well said!
Yes Mike, would’nt it be nice to see these scheme-magnifiers delivered the same expierece!! Oh, My!! Who’d go that far? A delivery system to match the crimes they commit AND carry out. Now, wouldn’t that be nice to see instead of some major players’ getting all that attention. Perhaps, a Big Fat jail cell with sectional dividers of corporations and their subsidiaries, past & present. Kinda like an industry resource directory notice posted would be good. So, just in case that the industries connection with them are not felt left out. Choices? Significants losses (to the people void of true commitment to their cause/effects) but, NOT to the expansioners who controlled at the expense of elite selective member advancement. Exhume and destroy their habits that give rise to evils commited against someone like myself & son who have been the recepients. Food stamps, medi-cal provisions and a horrific covert housing arrangement by the fraudsters like’s of State Farm insurance company, Cal-Comp insurance compay, Healthnet, State of California worker’s Compensation-employees, County of Santa Clara billing/debt collection contractors, (employee/employer) payroll deduction-collaborators. Knowing information, maniputating/destorying and then do a re-route on that infomation Oh, My!! how right is that?, knowing something is going in the wrong direction and doing the same or nothing about it, is? (2) different choices? Hardly. They don’t trust each other to do the right thing, so it’s a wonder that us who get/got screwed.
As a former Kemper employee (16 years) I can say that the ‘Bill and Dave’ show was the laughing stock of Kemper field employees throughout the United States. I never ceased to be amazed at how everyone from the mailroom clerk to the regional manager would freely discuss how the company was being run into the ground…years before the ship went down. I’m so sick of corporate monsters devoid of anything but the chase for power and money (all ethics be damned) that escape any financial hits while literally thousands of others have their livelihoods and retirements turned into ash heaps. Bill Smith was literally hated throughout the entire organization…how can a company survive with that kind of work environment…of course Kemper didn’t. It is time for all American workers to insist the entire structure of the American corporation be changed so that this type of American tragedy stops being played out again and again and again. People like Bill Smith should be forced to live on food stamps in Section 8 housing.
Kemper, well I spent many years there, and I am still amazed
that Bill and Dave show, will or did walk away with
millions of dollars and those of us that
worked hard for Kemper, get kicked in the
face. Bill Smith is not worth a red dime.
I agree that he should be on food stamps
and section 8.
First, Hello to Matt and those I know.
I agree with Fred & Dana on what caused the end and on watching the “cuffing”. I was only employed by Kemper for 3 and a half years (so I didn’t even get to vest). Unfortunately I am writing this at noon—I haven’t found a new job yet! This industry is not going well.
Hi reneee! I’m working in florida with patrick whitford….My email is mfreiman@craig-is.com
Check out the 8-9-04 article on the Kemper web site under Kemper News and you will see that the best part is – guess who is the chairman of the board of directors at what is left of Kemper – Dave Mathis. I don’t know how the Ill. department can allow that.
For those who are not aware, Kenning Assoc no longer exists. (Kenning was “managing” the run-off). By “mutual agreement”, effective 8/9/04, Mike Cotou resigned as Acting Pres, CEO & CFO. A coincidence I am sure that less than a week later the financial report was published that approx 86% of the surplus was gone.
That is why Dave Mathis is still Chairman of the Board. No on else left to do the job. Besides, it doesn’t really matter anymore. The company is breathing it’s very last breaths & should be going down for the count sooner than later. They recently sent out letters to the folks on [permanent] LTD, offering them “a settlement” of such a small % of their expected LTD payments, that it is beyond belief. The letters use the scare tactic that if they don’t take the money now, there is no guarantee that the payments will continue in the future, based on the path the company is traveling down presently. One person is being offered 5 cents on the dollar of their projected total claim.
My UI benefits run out next month.
Ain’t life grand?
Grand theft and them some. Ever wondered why State Farm too? changed from home owner’s garantee fund to “other”. Not to confuse you with the “garantee to **** you fund. The percentage of that is what in California? Kemper aut to know that answere.
I can’t believe this is happing, what went wrong?