The Hardening Insurance Market – Three Things to Get You Through The Storm

Premium Increase

Because insurance carriers are experiencing higher than expected losses, a hardening insurance market is rearing its ugly head. A hardening market means increased premiums and tighter underwriting requirements for many lines of coverage, including; commercial property, E&O, D&O, Auto and EPL. The 2017 hurricane season and the 2018 California wildfires resulted in a combined insured loss of more than 212 billion dollars and are major contributors in this turn.

One area being hit particularly hard is the adoption & foster care sector. Due to increased litigation, settlements and judgments, some carriers are now reluctant to offer broad coverage with high limits. Some carriers are even exiting these markets all together, making it much harder for some brokers to have access to carriers that are willing to write these risks, let alone even to provide a quote.

In a hardening market, there are three things that can help you ride out the storm:

  1. Specialty Broker:Having a broker that specializes in your line of business and knows your unique risks and exposures is imperative in positively representing your best interest to the insurance carriers. Their specialty allows them stronger relationships with underwriters, greater negotiating power to lower premiums and access to more carriers than that of a generalist broker.  Remember, an insurance broker (vs. an agent) works for YOU, not the insurance carrier.
  1. Risk Management:A clean loss history is always more favorable than a poor loss history. A poor loss history tells the carrier that you are a bad risk.  This can result in even higher premiums or worse yet a non-renewal notice. By designing and implementing a strong risk management plan, your broker can paint a positive picture to the insurance carrier and show that you are proactive in helping to eliminate or reduce your risk.
  1. Don’t Hop Around:Believe it or not, jumping from carrier to carrier every year looking for the lowest price can cost you more in the long run. Carriers have been known not to quote simply for the fact that the insured is not loyal to any one carrier. Showing stability and loyalty (even if you have a loss and premiums increase) is a positive indicator in the eyes of the carrier.

Even in this hardening market, Hawley & Associates continues to exclusively serve the nonprofit and social service community.  Our specialty allows us broad access specialty markets & programs, including programs for hard-to-place risks, such as adoption & foster care.  Let our mission empower your mission!

Honoring All Who Served

Veterans Day.jpgVeteran’s Day was November 11th, so I am a little late in writing this post.  But, we didn’t want the day to go by without honoring all the men and women who have served in the United States Armed Forces. We are forever grateful for your service and sacrifice.

Nonprofits—Third Largest Workforce in U.S.

Group of people holding the NON PROFIT written speech bubble

Nonprofits play a vital role in the social and economic well-being of the United States.  According to an April 2018 report by Johns Hopkins Center for Civil Society Studies, titled “Nonprofits: America’s Third Largest Workforce“, there are 11.9 million nonprofit jobs in the U.S., making the nonprofit sector the third largest employer in the country. Only two other industries -retail trade (15.7 million) and manufacturing (12.3 million) account for a larger workforce.

While nonprofit workers are employed in a wide variety of fields, 54.3% of nonprofit workers are employed in the health field- encompassing hospitals, clinics and home health services, followed by education (15.6 percent), social assistance (12.1 percent), other services (6.7 percent), arts and recreation (2.5 percent), and professional services (2.2 percent).

Employment is just one factor in determining the importance of the nonprofit to the U.S. economy. Tracking and charting economic trends is imperative in assisting the nonprofit sector with increasing challenges – on both a local and federal level.  Their ability to respond to these challenges has been greatly restricted by a lack of information and data in their sector and how it relates to other industries.

The John Hopkins Nonprofit Economic Data Project (NED), in collaboration with other local and federal agencies is collecting and providing vital data related to and for the nonprofit sector.


H&A Caring FundHawley & Associates LLC, in partnership with the NCFA (National Council for Adoption) and Tangram Insurance Services have come together to form the H&A Caring Fund.  The Caring Fund is our small way of giving back and helping to make a difference in the non-profit world in which we work.
Over 25 organizations submitted grant applications this year and we enjoyed learning about these organizations and the wonderful work that they do.   We only wish we could fund everyone!
It was a difficult decision, but the two recipients of the 2013 H&A Caring Fund Grant and the award of $5000.00 each are:
(Gladney Center for Adoption is sharing this award with the following 5 organizations):
American World Adoption
European Adoption Consultants
Children of all Nations
Lifeline Adoptions
While the fund is brand new this year, it is our hope to keep it alive and growing for years to come…
*This grant was open to all 2013 NCFA Conference attendees.