Commissioner Change in TX

Kitzman is out as Commission after 21 months

After the long Memorial Day weekend, the Texas Department of Insurance and Gov. Rick Perry wasted no time before putting the confirmation of Eleanor Kitzman as Insurance Commissioner to a vote.

Kitzman was appointed by Gov. Perry in 2011 and remembered by many Senators for having far more interest for the companies and not for the consumers.  Her presumed bias becomes more evident with some of the events that took place during her tenure.

–          Kitzman removed a rule that would require insurers to give fair warning about any out-of-pocket costs that would be incurred for out of network expenses.  Insurance Journal

–          Kitzman declined to put any restriction on premium hikes in 2012.  This led to some of the most profitable years from companies such as Allstate, Farmers and more specifically State Farm who implemented a 20% rate increase in 2012. Dallas News

  • Kitzman and the TDI put off multiple requests for premium and loss figures.  The statistics that are usually released in April were not available until this past Memorial Day Weekend, just before her confirmation hearing.
  • The following are the Loss Ratios for the largest home insurers in Texas. Dallas News
    • State Farm – 47.5%
    • Allstate – 50.8%
    • Farmers – 66.3%
    • USAA – 54.4%
    • Liberty Mutual – 58.3%

–          Kitzman has been criticized for spending over $1.5 Million of tax dollars on consultant fees with a New York based firm. Insurance Journal

After Kitzman failed to be confirmed by the senate after 21 months of service, Gov. Perry appointed Julia J. Rathegber as the Insurance Commissioner of Texas.  Rathgeber was the deputy chief of staff in the office of Lt. Gov. David Dewhurst.  Rathgeber studied at the University of Texas at Austin and earned both her bachelors and law degree.  Rathgeber is involved in other various associations such as the State Bar of Texas and the Seton Fund Development Board. Texas State DirectoryRick Perry

Rathgeber will serve as Commissioner until 2015, when she will face the same confirmation process that Kitzman failed to conquer.  Rathgeber has a clean slate with potential for major impact.  How she handles the steady increase in property rates, the impeding hurricane season and how her office harnesses the economic boom in the state will seal her fate in 2015.

Thank you for reading the blog of AUI, Inc. MGA & Surplus Lines Broker.image

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Favorite Mobile Apps for Agents

In a tech savvy atmosphere, it is important to have information at the palm of your hands.  In the insurance industry, it can be a difference of mere minutes that determine if you have a market blocked by a competitor or not.

Below, we have included some Mobile Apps that we feel can increase submission time and increase the chances of binding coverage.

ACORD ONE – Allows users to complete various Agency Company Organization for Research and Development forms with digital entry on your mobile device.  This is a free application for all CapDat Acord users. Available on Apple & Android tables & Phones.

Expensify – This is for those on-the-road producers or those who may expense various purchases for business. The app can read receipt images, track your driven mileage & sync bank account & credit cards.  The app is free at the Apple Store & GooglePlay.

SignNow – Digital signatures may become more and more popular as more companies & brokers do not print tangible policies.  This is a rather simple application for signatures, but expect growth with this application as technology permits more secure authentications.

For more information about mobile applications that may be useful for you as an agent, visit http://bit.ly/13vlFSL.

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AAMGA To Change Name & Qualifications

An email from AAMGA Executive Director, Bernd G. Heinze, Esq. highlights the organization’s intentions to change it’s name and qualifications for entry.  The American Association of Managing General Agents will now be recognized as the American Association of Wholesale Insurance Professionals.

This move is an effort to include the entire population of wholesale insurers.  It is believed that this change will further connect companies and professionals throughout the industry.

The AAMGA conference takes place in New Orleans from May 19th to 22nd.

Please visit www.aamga.org for additional information.AAMGA Logo