From the Front Lines: Architects & Engineers

How did you get started at your agency?

I joined JJ Wade & Associates after a 20-year relationship with another agency. I was brought in to help perpetuate and grow a unique opportunity.

Why architects & engineers?

This agency had a unique relationship with another agency that provided professional liability only to A&E firms. We complemented their offering by handling the package lines. Since then, we have hired some very qualified producers to provide all lines to A&E firms across the region. A&E firms are very good at design and consultation, but they know very little about insurance—like most professional business owners. They have a lot on their plate and really want someone to wear the risk management hat for them. They are great long-term clients.

Biggest A&E challenges?

The number of markets that want to write the business. There are too many markets that get in and then get out. When losses occur, they are generally very large losses, and they can affect an agency’s loss ratio with carriers that count those lines in the profit-sharing formula. Many carriers are now leveraging all lines to win new business.

Advice for other A&E agents?

It’s important to understand the nuances of the professional liability forms and to make sure your client has a very proactive approach to loss mitigation. Be a resource for your client, not an insurance vendor. Take an active role in helping your client help themselves.

Future of A&E?

Currently, construction is doing very well and is forecasted to remain strong for several years. Remember that A&E business is economy-sensitive. When things slow down, a large book of A&E business will be affected to some degree.

Favorite A&E success story?

We had a prospect who had been insured with a local agent for many, many years. The agent fell asleep at the wheel, and we were able to form a very consultative relationship. That grew into a very personal relationship. Those are the greatest clients to work with.