2017 NAPSLO E&S School

June 1 - 2, 2017

Language of the Business

Tony Chimera

Endurance

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The Purpose of This Session

• Emphasize the importance of language in everyday communication as part of professionalism.

• Identify and discuss terms with special meaning in the surplus lines industry.

• Complete an exercise to reinforce the meaning of some terms commonly used in our industry.

• Reinforce the need to understand the meaning of the various acronyms, and Do’s and Don’ts in language.

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Video interlude

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Communication Fails…

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Fail…

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Fail…

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Language

• Terms we use everyday and we think we know the meaning the other person intends.

• It’s not what the sender intends, it’s what the receiver interprets.

• What are some of the consequences if we ‘misunderstand’ what the other person is conveying?

• How do we clarify what the other person is saying?

• The higher the level of conflict, the more costly misunderstandings may be.

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More acronyms

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Surplus Lines Terms

• Admitted / Non-Admitted

• Standard / Non-Standard

• Wholesale Broker / MGA / MGU

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Surplus Lines Terms

• Lloyd’s / London Market

• Markets / ‘Blocked’ Market

• Program / Binding Authority / Brokerage

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Surplus Lines Terms

• Cat / Non-Cat

• Primary / Excess

• Layering of Coverage

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Surplus Lines Terms

• Broker / Producer / Retailer

• Quote / Binder / Order

• Double-Brokered

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Acronyms

• ac·ro·nym [ak-ruh-nim] noun

• a word formed from the initial letters or groups of letters of words in a set phrase or series of words and pronounced as a separate word.

• a set of initials representing a name, organization, or the like, with each letter pronounced separately; an initialism.

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Lightning Round Quiz 1

BI

PD

CGL

BOP

D&O

E&O

AIG

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Key to Lightning Round 1

BI – Bodily Injury

PD – Property Damage

CGL –Commercial General Liability

BOP – Business Owners Policy

D&O – Directors & Officers

E&O – Errors & Omissions

AIG - __________

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Lightning Round Quiz 2

PL

B&M

IM

CA

PPA

WC

CPCU

ASLI

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Key to Lightning Round 2

PL – Personal Lines

B&M – Boiler & Machinery

IM – Inland Marine

CA – Commercial Auto

PPA – Private Passenger Auto

WC – Workers Compensation

CPCU – Chartered Property & Casualty Underwriter

ASLI – Associate in Surplus Lines Insurance

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Avoid Idioms, Slang, & Jargon

• Any words or phrases which may not be understood by readers outside your immediate area should be replaced with common terms.

– The food bank was tickled pink with the large donation.

– The food bank was happy with the large donation.

– The leader is one whacked out dude.

– The leader is unconventional.

– Can you take this Can. Lit. curriculum to the D.H., please?

– Can you take this Canadian Literature curriculum to the Department Head, please?

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Recap

• It’s not what the sender intends, it’s what the receiver interprets.

• The higher the level of conflict, the more costly misunderstandings may be.

• If you don’t know, ask someone!

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Resources

• http://www.irmi.com/online/insurance-glossary/acronyms/acronyms-a.aspx

• https://usinsuranceagents.com/insurance-acronyms