Posts Tagged ‘relationship’

Composition of a young businessman sitting on top of a modern conference building. The businessman is larger than the building.

Title Underwriters: Why Bigger Isn’t Always Better

Ever have a client who was sure their transaction had to be written on a large underwriter? Hey, I get it. Clients are sometimes drawn to the big title insurers, assuming that there are benefits to partnering with a large organization. They may feel a smaller underwriter won’t be able to meet their needs, and the deal is just too large or important to leave anything to chance.

As an independent title agent, you know the importance of selecting a trustworthy, reliable, and responsive partner to provide title insurance for your clients. In this blog, we’ll dive into the features that matter most when selecting an underwriter, debunk some common myths, and show why bigger isn’t necessarily better when selecting a title insurer. First, let’s consider some of the reasons a client might ask you to ensure a transaction with one of the big guys to see if that request aligns with their interests or if they are simply following a common myth.

If I go with a big underwriter, won’t I get better coverage?

There’s a common misconception that the product of the title insurer – the title policy and endorsements – often varies meaningfully in the terms and coverage between underwriters. It’s just not so.

The truth is that generally the product is the same regardless of who underwrites the policy. In states where the forms are promulgated by law, the insurance regulator determines for the entire industry what language is acceptable, and what terms and conditions will be incorporated into their contracts. In states where the forms are not promulgated, most insurers use either the American Land Title Association forms, or the California Land Title Association forms, with little variation.

Basically, the policy will be the same or similar regardless of the underwriter.

If I go with a big underwriter, won’t I get a better rate?

At first glance, this seems like a very reasonable question. In some industries, larger companies have a natural pricing advantage. But in title insurance, it’s hard for an underwriter, no matter how large, to distinguish itself on rates. In states where the rates are promulgated, the insurance regulator decides what to charge and all insurers must follow the regulator’s set rates. Even in those states where regulators do not mandate rates, there may be a ratings bureau that files rates on behalf of its member insurers – which means that most, if not all insurers, will be offering the same rates. And, in those states where insurers file their own rates, they are typically competitive and therefore very similar.

So, the rates will be the same or similar, regardless of the underwriter.

If I have a claim, won’t a big underwriter be in a better position to pay?

Again, this question seems reasonable. Title claims can run into the millions of dollars on commercial properties, so a client might think a big underwriter naturally has more resources to pay claims compared to a smaller underwriter. However, two broad factors level the playing field when it comes to paying claims: state regulation and reinsurance.  

State regulators take great pains to protect the public by ensuring that title underwriters of all sizes have the resources to pay claims. Statutorily required reserves must be set aside to pay claims. Regulators carefully monitor the financial soundness of the insurers authorized to do business in their states, and title insurers submit both annual and quarterly financial statements. Title insurers have annual independent CPA audits and are subject to financial examination by the regulator, typically at least once every five years. This means that no matter the size of the insurer, there is a financial threshold that each insurer must meet to ensure its financial stability and continued operation. Moreover, many states have single risk limit formulas that cap the amount a title insurer may insure for a particular transaction risk without having to provide reinsurance.

When reinsurance is provided, there are essentially two insurers – the primary title insurer, and the reinsurer who stands behind the reinsured policy amount. So, while it’s true that a large title insurer may retain a larger dollar amount by itself as a single risk, a smaller title insurer utilizing reinsurance for that single risk is giving the insured two layers of financial security at no additional expense to the insured. A title insurer should be happy to provide you with information regarding its reinsurance, and as a customer or agent, you are entitled to ask for it.

At Alliant National, we reinsure high liability transactions up to $20 million with the Lloyd’s of London markets, and that’s one of the reasons we can confidently say: No title insurance underwriter can offer you better protection for your title risk than Alliant National.

So, if the policy and the price are similar, and the capability to pay claims is sound, what are the real differences between those big underwriters and a smaller underwriter like Alliant National? Moreover, what are the reasons a client might want to select Alliant National over a larger underwriter?

We Don’t Compete Against You For Customers

Alliant National does not compete against you for the customers in your market. Our sole focus is to support the independent title agent. Alliant National will never take a transaction or a customer from you. We strive to help you build better relationships with your customers, and to help you succeed.

Fast And Innovative Answers To Underwriting Questions

Underwriting delays put deals at risk. That’s bad for you and your clients. Sometimes big underwriters back-burner underwriting requests to service their company-owned title offices, and they sometimes provide “canned” or “by-the-book” responses when an underwriting challenge arises. Alliant National does not compete with its independent agents, so it’s able to put all of its underwriting resources to work for independent title agents and their clients. As a smaller underwriter, Alliant National also has the flexibility to find innovative solutions for you and your clients when underwriting challenges arise.

Less Friction

At larger underwriters, the agency and underwriting units can often be at odds with each other. There can also be communications breakdowns between corporate, regional, and state-based teams. At Alliant National, however, the absence of a multi-tier management structure gives our agency, underwriting and other teams the ability to work together closely and seamlessly. Everyone pulls in the same direction to deliver the best outcomes for our agents and their clients.

Real Service When Claims Emerge

We already discussed why the big underwriters generally are not “better” when it comes to the ability to pay claims. However, some big underwriters fall short when it comes to the claims process by making it seem like their goal is to pay no claims at all. At Alliant National, we have flipped the script when it comes to claims. We recognize that the claims department is where our title insurance product goes to work. We strive for timely and clear communication with insureds and agents, seeking first to understand the situation from all points of view. It’s a unique and collaborative approach to claims that agents and insureds value.

The Courage To Care When it comes to choosing an underwriter, it’s important to consider what really matters: finding a partner who prioritizes your needs and the needs of your clients. Unfortunately, larger underwriters may lack the flexibility and personal touch that independent agents and their clients require. Don’t get me wrong, there are a lot of great people working at large underwriters, but size can lead to conflicts, friction, and a lack of flexibility. At Alliant National, we pride ourselves on being able to deliver customized solutions that meet the goals of the real people behind each transaction. Whether it’s a multi-million-dollar commercial deal or a starter home for a young family, partnering with Alliant National means choosing a team that truly cares about you and your clients.

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What Content Management System (CMS) Does Your Organization Need?

Your CMS is what supports your business’s digital front door. Be sure it’s the right one!

Last month, we shared a post on selecting the right customer relationship management (CRM) solution for your business. At the time, we highlighted the fundamental importance of such platforms, in that it’s difficult to make sales without first having access to the clean, organized and insightful customer data that CRMs provide.

All of this remains true; a good CRM can help make or break a business. Yet if there is one solution even more important, it would be your content management system (CMS). While CRMs can help you sell better and optimize your processes, without a great CMS you may not need processes as you likely won’t have customers to sell to. CMSs let users create, manage and modify content on a website even if they don’t possess specialized technical knowledge like coding. And since we live in a digital-first world, without a website it is extraordinarily difficult to find, attract and establish an audience for your products or services.

Here’s how to select the right CMS for your business needs and ensure that you’ll always have an easy way to manage your content.

CMS Platforms 101

What do we mean when we say that CMS platforms allow you to create and modify content without advanced knowledge of computer programming? Well, without a CMS, you would need to write a static HTML file and upload it to your server if you wanted to present your audience with a fresh piece of content. A CMS does all this heavy lifting for you. With an interface roughly comparable to Microsoft Word, these platforms make it a breeze to compose, format and optimize your content with elements like links, videos, polls or photos.

In addition, CMS platforms assist users with designing the look and feel of their site. They also often support functionality like eCommerce, blogging, forums, portfolios, social networks and more. The amount and variety of features vary across platforms and price points, but increasingly, most leading CMS brands, such as JoomlaTM, DrupalTM, WordPress.orgTM, SquarespaceTM and WixTM, can accommodate a wide variety of different use cases.

What Type of CMS Do You Need?

Whenever investing in a new piece of software, you should always start by addressing who your stakeholders are. If your agency has a marketing professional on staff, for instance, they will likely need to be involved in the decision. The same goes for IT and, of course, sales. Gather their input before moving forward with a vendor and be sure that they are a part of the conversation during the implementation process.

It is also crucial to think through your priorities and the priorities of your stakeholders. Consider what CMS features are organizational needs or, in other words, your “must-haves,” and what are your organizational wants or “nice to haves.” Write these down to help guide your conversations with vendors. If you’re finding it difficult to think through the features you do or do not need, never fear. There are plenty of articles online that can help get you up to speed on the features offered by many top platforms.

Next, you must grapple with the logistical question of how your CMS will be hosted, choosing between either cloud or on-premise; each have their pros and cons. Of course, these days when it comes to new software solutions, many people extol the values of a cloud-native approach, and it’s not difficult to understand why. From lowering IT workloads to reducing costs, the cloud clearly holds some major advantages. However, you must carefully consider the merits of each option to decide what will work best for your organization.  

After that, take a good, hard look at your internal capabilities – that is, the technical competency of you and your staff. This is a pertinent question to explore, as the amount of digital acumen required to fully leverage a CMS depends completely on the brand you select.

There is no need to worry too much on this point. Many of the leading CMS brands have reached their current market position due to their incredible usability. But there are still major differences between systems, and the last thing you want is to invest in a new solution that is difficult or impossible for your staff to use.

CMS: A Pathway to Sales and Business Success

CMS platforms have been around for decades now, and it’s quite likely that you have already had some experience operating one. Still, you may never have gone through the process of implementing such an important system. Thinking through the questions outlined here can be a helpful exercise. It can ensure that you and your agency create a dynamic digital experience for your customers, which, of course, is a sure-fire way to start bettering your sales.

An older couple sitting on a couch at home both looking at a tablet and waving.

The Challenges and Opportunities of Pandemic-era Connection

In the COVID era, the only certainty is that nothing is certain.

Forming and maintaining authentic connections, for instance, has taken on new meaning. As we pass the one-year mark of the pandemic, I want to reflect for a moment on how things have changed and grapple with what staying connected has meant during an unforgettable 12 months.

One of the most vivid ways the pandemic has complicated our connections is through the disruptions it introduced to home life. Schedules had to adapt to accommodate online schooling. More adults also now work at home. Even when these potential distractions are overcome, there is still Zoom to contend with, which presents its own challenges regarding connection and collaboration.

“Zoom fatigue” is a real thing. It is far more difficult to develop an emotional connection with fellow meeting participants through a computer screen. It can be incredibly challenging to simply stay in the moment and not get distracted by what is going on in the virtual environment.

The disconnection of working remotely has even, at times, been a source of stress, which is why it has been important for companies to prioritize self-care and the emotional and mental well-being of their employees. One of the many things that I appreciate about Alliant National is that, from the first day of my employment, I have felt as if they cared about me as a person – not just as a professional.

A silver lining of the pandemic, however, is its universality, which I suppose, in a way, is its own form of connection: a connection built around shared experience. Whether it be the lack of communication or struggling with technical difficulties, we have all been required to adapt to a new way of working. I mean, at this point, who isn’t familiar with the pain of a disruption in video or sound on a communication platform?

The new world created by the pandemic has also had an impact on the nature of connection as it exists in my job. In sales, more than anything else you are selling trust. Pushing a product during a time when many people are under immense strain can feel a little callous. But helping your clients adapt to a virtual world builds trust and helps them protect their business. I have also found that making yourself available outside of traditional working hours and through a wider array of communication platforms (such as social media) can be enormously beneficial for these relationships. In the COVID era, we need to be collaborating and not merely pitching our clients.

COVID has had other positive impacts on connection, particularly when it comes to technology and family life. Older generations have been pushed to embrace technological solutions to stay in contact with their personal and professional networks. Our family interactions have become less scheduled, with real, genuine moments of spontaneity now being possible with children and spouses. I feel that this dynamic with our loved ones has become somewhat of a rarity. For all the destruction the virus has caused, reconnecting with friends and family in a deeper and more protracted way has been a true blessing of the past year.

Nearly everyone had to get creative to connect with clients, extended families and to fill time. Many turned to home renovation and improvements. DIY is at an all-time high, and people want to change their interior space to make it more conducive to family rooms that really function for families. They have added home offices or updated kitchens that are really being cooked in now.

Personal hobbies have skyrocket. Cooking classes, exercise forums, online knitting groups, even virtual interior design classes have sprung up to take the place of in-person site visits. The innovation of the pandemic is truly inspiring. While we still crave the personal interaction of experiences, the option of a virtual experience opens up opportunities for all of life’s challenges outside of a pandemic.

Flash forward to today, and we are now potentially at a turning point in the story of the virus. I am looking forward to a return to the office, as I feel it is healthy and necessary to communicate in a live environment as opposed to solely a virtual one. Spending this year largely separate from my colleagues has confirmed what I already suspected: as a salesperson, I need the type of face-to-face interactions that a computer simply cannot replicate.

Still, it is important to recognize that some things have probably changed for good. Full-blown office environments are likely going to be a thing of the past. Companies have invested heavily in equipping their employees with solutions to facilitate remote work. They have also realized that their work-forces are capable of being productive while off site. Whatever the future holds, there is no doubt that the coronavirus has taught us many lessons about the nature of connection – both personal and professional, good and bad. We should carry these lessons with us long after the pandemic ends.

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