Insurance Journal Forums

Has anyone gotten appointed with Tower recently?

It seems like they have really competitive rates for home insurance.

Tower=good company, really great HO rates at the moment...BUT.....

Right now their major source of production in California is coming from the Allstate captive agency force, denied the ability to offer anything but renters and condo under the Allstate paper.

Keep this in mind...you've got a relatively new company offering very competitive rates with a desparate and somewhat less than mindful agency sales force, putting stuff on the books that your own captive won't take...well, you do the math from an adverse selection standpoint. Take some educated guesses about where the loss ratio might be in another year or two. I mean, if risks submitted from the captive Allstate agency system were so profitable, wouldn't you think that Allstate would be happy to take it?

I could very well be wrong, but I'm guessing that Tower hasn't quite begun to see what kinds of losses will present themselves when your rates are great, but the field underwriting might not be up to par.

But in the meantime, make your own decision about a new company without a whole lot of California experience positioning itself to buy new business.

Your mileage may vary.

The Allstate agents go through one agent in CA....They have no binding authority. Most of the business in CA is through reliable wholesalers that know their State. Tower is a great little company and their products, which are mainly commercial packages are very nice.

We utilize Trinity E&S in Palm Springs to access this great company!!!!

Anderson & Murison http://www.andersonmurison.com 800 234 6977 x220 (commercial) x 260 personal lines has binding authority with Tower for commercial and personal lines in California.The online system allows registered producers to get on line quotes for HO from Tower and 3 other admitted "A" rated carriers. Go to the website to sign up, it's easy to use.
e-mail commercial@andersonmurison.com or personallines@andersonmurison.com

Jim McCarthy
for Anderson & Murison, Inc.