NEW BUSINESS MODELS INTRODUCE
CHALLENGES & OPPORTUNITIES
By: Kristy Wilson
I hope 2019 was a profitable year in the books for your
businesses. It always feels like a fresh new canvas during
the first few months after the start of a new year. What are
some things you want to do in your agencies this year?
Looking to hire someone new? Maybe this is the year you
want to start planning for that perpetuation arrangement?
Do you have a new company contract that you would like
reviewed? While you are thinking about your visions for the
year 2020, be sure to keep KAIA in mind as a resource. We
can help with all those things and more!
Remember when some feared the world was going to come
to an end on Jan. 1, 2000? Companies were creating
endorsements so they could exclude any Y2K losses. It
seems like yesterday, and here we are 20 years later.
Companies continue to put out new endorsements to
deal with the latest issues that are causing angst in the
industry. The new ISO auto policy form actually has a flying
car exclusion built in the policy.
Crazy!
We have a couple different things going on out there:
Sharing economy // People are sharing their vehicles,
their homes, and many other items. I’m sure many of us
have used Uber or Lyft to go to your Airbnb for the night.
Companies are handling this exposure in various ways.
Sometimes people are sharing these items for just a short
term.
Gig economy // I used to just think of a gig only as it
related to the music industry. The band would go play a
gig at the local honky-tonk. This has changed to mean
much more. Our workforce is operating on gigs. People are
doing all kinds of gigs that are providing services to people
18
that they use to do using more of a traditional approach. I
think someone could stay in their house and never have to
leave because there are so many things that you can have
delivered, brought to your home, and done for you. Think of
all the different types of services that are being brought to
your doorstep now. You have groceries being delivered to
you. Meals in a box can be delivered right to you at home,
then there is your clothing that is being personalized to
what you like and left at your doorstep.
These are some very new and out of the box situations
that society is practicing. We, as agents, need to keep
these types of exposure in mind when we are talking to
insureds. I have not dug into the solutions for some of
these exposures, but I’m guessing they aren’t always easy
to solve. I feel that there is a lot of potentials if carriers
get on board with ways to accommodate these types of
exposures. Based on the information I have seen, this
isn’t something that is going away, and the percentage of
people participating in this type of economy is high now.
It will be interesting to look back in another 20 years, and
these types of exposures will probably seem very normal.
Everyone needs to remember on this roller coaster of life to
keep a little humor in there!
KAIA Board of Directors
president, Kristy Wilson,
CIC, CISR, joined Kellerman
Insurance in 1992 and focuses
in Commercial and Life insurance
policies. Outside of the office
she enjoys spending time with
her husband, Rob, and their
two daughters: Kaylee and
Samantha.