Summer 2004

Ken Lauber is Vice President of Field Operations at Texas Mutual Insurance Company.

Ken's Corner
Use Groups to Impress Clients

Every agent knows that the best way to impress clients is to help them save money. One great way to save clients’ money is to put their accounts into open purchasing groups.

Purchasing group members receive a premium discount, which is based on the group’s total written premium. For example, if a group generates $500,000 in annual premium, all policyholders in the group will receive the premium discount applied to the $500,000 premium level, regardless of their individual premium sizes.

They are also eligible for possible group dividends in addition to potential general dividends.

In an open group, any agent can send us a client’s account. The writing agent receives the standard commission, and the client gets the group discount. In short, it’s a win-win proposition.

Texas Mutual Insurance Company is the state’s leading underwriter of group purchase programs. Your Texas Mutual^® purchasing group clients also benefit from our expert claim and loss prevention services. We assign each group a loss prevention expert in the group’s common operations, and we work with the group to develop a safety plan for all the group’s members. Our loss prevention consultants often serve as guest speakers for the group’s association meetings.

We underwrite open purchasing groups in over a dozen different industries, including: general and specialty contractors, volunteer emergency services, new auto and truck dealerships, butane/propane gas operators and dealers, artisan contractors, light manufacturing, retail and wholesale, social services, subcontractors, green industry businesses (e.g., nursery and landscaping), oil and gas, restaurants, the produce industry, and private schools.

As always, we are dedicated to helping you get the right coverage at the right price for your clients. Your regional marketing representative or purchasing group coordinator can answer your questions, provide a purchasing group application, advise you on placing clients into groups, or help you set up a new group.

Click here for more information, or call us at (800) 859-5995.

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Texas Mutual^® is a registered service mark of Texas Mutual Insurance Company.