What 25 Years in Insurance Has Taught Me!

Today is my 25^th anniversary in this, the insurance business. I still very much enjoy the business (I don’t say I love it any more). During my tenure in the business I have learned many, many things about people and life in general. Had I not worked in insurance, I don’t think I would have learned a lot of what I have about people (I feel sorry for those who have never worked in insurance).

Below is a list of things I have learned over my career. Feel free to add your own perspective in the comments – I might just learn something from you.

• Crazy people don’t know they are crazy. Stupid people don’t know they are stupid. And crazy stupid people are really messed up (they are usually the “know-it-alls” in the office).
• No insurance carrier is guaranteed to survive – regardless of its prestige or rating.
• Insurance people who understand insurance no longer run the insurance business; lawyers and accountants do – and sometimes actuaries.
• Only good lawyers realize they don’t know everything about the law – and nothing about insurance.
• Someone who truly understands insurance can explain its concepts in simple language. The person with no idea how it works masks their ignorance with $10 words and legalese.
• There is ALWAYS more than one possible answer to a coverage question. One is just more correct than the others based on the particular situation.
• Only “newbies” know everything about insurance.
• The graveyard is full of irreplaceable people (producers, underwriters, consultants, etc.)
• Regardless of how much I (you) know (or think I (you) know) about insurance, there is always MUCH more to learn.
• When you stop learning, you stop improving.
• If it’s not in the manual, it ain’t gonna get written.
• Ignorance and apathy are rampant in the insurance business. Ignorance can be fixed; apathy is fatal.
• Without insurance, our country does not and cannot enjoy the standard of living we do.
• If you are not fascinated by and passionate about insurance, do something else (please).
• Training and mentoring are lacking in the modern day insurance industry.
• One good storm can wipe out years of profits.
• Insurance is a business, not a charity.
• Insurance is not a commodity, necessary evil or “racket.” It’s necessary and highly individual.
• Fifty states, hundreds of courts, thousands of differing opinions and interpretations. You can be right in some states and wrong in others.
• States pay closer attention to their regulatory duties than does the Federal government.
• The last truly great generation of insurance professionals has retired or will soon.
• Clients rarely prize technical expertise – until it’s too late.
• It really doesn’t matter what the statistical chances are that something is going to happen, if it happens to my client it’s 100%.
• It’s perfectly acceptable to say, “I don’t know.” As long as you follow it up with, “But I’ll find out and get right back to you.”
• It’s NEVER ok to guess at the answer to a coverage question.
• In E&O cases, the one with the best documentation of irrefutable facts usually wins.
• No client has had a ticket or accident in the last three to five years. Well, until the MVR is pulled.
• Any insured who searches you out probably has problems you really don’t want to deal with.
• Truly good risks/clients must be hunted down.
• Don’t give quotes over the phone.
• Thoroughly qualified prospects are best. I don’t need practice filling out applications.
• The best client to have is one who has experienced a loss. They don’t ever want to go through one again and will do what’s necessary to avoid it (and they understand how insurance helps).
• Learn how to fire a client; and be willing to do it.
• Insurance isn’t rocket science.
• You can never spend too much time with a client.
• Retention is the key to agency growth.
• Insurance is a foreign language to most people.
• When asked a coverage question, read the policy and its endorsements BEFORE answering.
• No one knows what “primary and noncontributory” is but everyone wants it.
• If “stupidity” were an acceptable exclusion, few losses would ever be paid.
• The one task you put off finishing will turn out to be the most important regardless of how petty it initially appeared.
• Insurance is the one industry that requires you to know something about every other industry if you are to be successful.
• Education and professional development are expensive, but the lack of it is even more costly.
• Always be suspicious of individuals who become an instant success.
• Those who listen more than they talk will take better care of their clients.
• You are a professional not based on someone else’s standards but based on your knowledge and willingness to learn.
• Execution is key – talk is just talk.
• Claims and underwriting need to spend more time together.
• Top line for vanity, bottom line for sanity.
• Be patient, be honest and be willing to accept criticism.
• Agents and underwriters don’t use the same dictionary.
• The promises of a paperless society haven’t panned out.
• Just when you learn “it,” “it” changes.
• Always sell coverage, not price.
• The “market” is nuts.
• The past is not always a good marker of what is to come.
• Never, ever do professional work for free. Your time is too valuable.
• The person that cheats to get the business is your best reference to get the business back.
• No matter what the circumstance, only about 1 in 100 insureds admit they’re at fault for a loss.
• Plaintiff attorneys HATE seeing the inside of a courtroom. In fact, most of them have never seen one.
• Basketball coaches can’t teach their players to be tall and managers can’t teach time management or common sense.
• Either you are ethical or you aren’t. No class will turn and unethical person around.
• I should have gone to graduate school.
• Never burn a bridge; there’s no telling when you’ll end up reporting to that person.
• Laugh at the business and yourself. Otherwise, you’ll burn out quickly.
• Sometimes “Little Bear” roars because he knows “Big Bear” will protect him.
• When in doubt, read the form.
• When you are absolutely certain; read the form.
• When there is no way that coverage does not apply; read the form.
• Even still, some company adjuster will deny coverage without having read the form.