SPECIALTY LINES MARKETS

MARKETS FOR SOCIAL SERVICE
AGENCIES ARE PLENTIFUL

Major emphasis placed on professional services rendered

By Wallace L. Clapp, Jr., CPCU

The following companies or agencies have been identified as markets for social services agencies insurance programs. This list was compiled through a solicitation of markets that showed interest in this category and other categories representing social service facilities, such as substance abuse centers, rehabilitation facilities, home health care agencies, mental health clinics and others.

The American Agency, Inc., 7800 College Blvd., Ste. 203, P.O. Box 12070, Overland Park, KS 66282-2070; (913) 661-0123; (800) 642-1872; fax (913) 451-3183 (Howard Handler, president). This managing general agency writes social service agencies in two markets: (1) For rehabilitation agencies, home health care, mental health clinics and public health departments (D&O), the market is Shand Morahan & Co. Professional liability and nonprofit D&O insurance is provided for limits up to $2 million/$6 million; (2) St. Paul Medical Services provides professional liability and general liability, property and umbrellas for maximum limits of $1 million/$2 million. Risk classes are social workers, health care providers, adult care homes and medical registries. Both forms are written on a claims-made basis. The agency serves all agents and brokers located in the continental U.S. except for D.C.

Huntington T. Block Insurance, 1120 20th St., N. W., 6th Flr., Washington, DC 20036-3406; (800) 432-7465; fax (202) 857-0143 (Joe Dunn, assistant vice president). This specialty office administers a directors and officers liability insurance program for social and human service agencies. This program is endorsed by United Way of America. Limits available are from $1 million to $5 million. Coverage is accessible to agents and brokers in all 50 states. The program is underwritten by Federal Insurance Co. (Chubb Group).

Bohrer, Croxdale & McAdoo, Inc., P.O. Box 2760, Springfield, MO 65801-2760; (417) 869-2550; (800) 779-2550; fax (417) 869-5102 (Yvonne Bohrer). This specialty lines insurance manager writes property, general liability, professional liability and auto for various types of social service agencies. Limits for general, professional liability and auto are available up to $1 million. Property insurance is not limited. The agency serves agents in AR, KS and MO primarily, with some business in IL (not Chicago). Underwriters are various A-rated insurers.

Bristol Management Group, Ltd., 366 Veterans Mem. Hwy., Commack, NY 11725; (516) 543-5010; fax (516) 543-5138 (Janet Wesche, executive vice president). This specialty broker offers professional and general liability for most types of social service agencies in all states except DE. Limits available are up to $1 million. Coverage is written with an A-XI-rated insurer and Lloyd's facilities. Business is accepted through wholesale brokers only. Underwriters may be reached at P.O. Box 605, Closter, NJ 07624; (201) 750-8700; fax (201) 750-8711.

Burns & Wilcox, Ltd., 30833 Northwestern Hwy., Ste. 220, Farmington Hills, MI 48334; (248) 932-9000; fax (248) 932-9046 (G. Stephen Allen, CPCU, senior vice president). This managing general agency writes property, general liability, professional liability and excess for social service agencies in all states except NY and AK. Limits available are: property, up to $10 million; general liability, $1 million; professional liability, $5 million; and umbrellas, $10 million. Various companies underwrite this coverage.

Carnegie Insurance Service Corp., 17700 Broadway, Cleveland, OH 44146; (440) 439-5555; (800) 362-2411; fax (440) 439-5551 (Mark Salsgiver, vice president). This managing general agent writes various classes of social service agencies including family and marriage counselors, alcohol and drug rehabilitation centers, community service agencies, battered persons shelters, mentally challenged persons facilities, mental health rehab. providers, adult care homes, home health care agencies and half-way homes. Professional and general liability limits are available up to $5 million. Facilities are extended to agents in FL, IL, IN, and OH. Underwriting carriers are Western Indemnity and various other markets.

Central Insurex Agency, 800 S. Washington St., Van Wert, OH 45891; (419) 238-4101; (800) 736-7131; fax (800) 736-7026 (Kurt Muntzinger, CPCU). This managing general agent writes social service agencies including adult daycare, home health care agencies, half-way houses, alcohol or drug centers, battered persons shelters, handicapped mental-physical homes, social worker professional liability, family and marriage counselors, outpatient aftercare and support programs (AA, AL-NON, etc.), outpatient counseling or guidance centers, crisis centers (rape, domestic violence), and homeless centers. Limits available are $1 million general and professional liability and excess liability, up to $10 million. Agents and brokers in IL, IN and OH are serviced. Underwriters include Essex Insurance Co., Scottsdale Insurance Co. and Evanston Insurance Co.

Charity First, One Market St., Ste. 200, P.O. Box 193944, San Francisco, CA 94119-3944; (415) 536-8560; (800) 352-2761; fax (415) 536-8561; Web site: charityfirst.com (Mike Komar, marketing director). This underwriting manager and program administrator writes property, general and professional liability, auto, umbrellas, crime, boiler, D&O, workers compensation, and accident insurance for social service agencies that are nonprofit organizations. Limits available are: property, unlimited; auto, up to $1 million; general and professional liability, up to $1 million/$3 million; sexual abuse limits, to $1 million per claim; directors and officers, up to $5 million; and umbrellas, up to $20 million per risk. Coverage is accessible to any licensed agent or broker in all states except HI and PR. The firm has regional offices in White Plains, NY; Houston, TX and Kansas City, MO. The primary carrier for the program is Travelers Property Casualty. Other carriers used are St. Paul, Executive Risk, AIG, HIH America and Gulf Insurance.

Colony Management Services, P.O. Box 85122, Richmond, VA 23285-5122; (804) 327-1700; (800) 577-6614; fax (804) 327-1792 (Mike Kehoe). This company writes all types of social service risks. They write property, general and professional liability, sexual/physical abuse, excess and umbrellas and non-owned auto. Facilities are available in all continental U. S. states except CT, DE, MA, ME, MN, NH, NJ, NM, RI and VT. Policies are accessible exclusively through appointed wholesale agents.

Community Provider Insurance, Inc., P.O. Box 187, Johnston, IA 50131; (515) 276-4940; fax (515) 276-4939 (Scott White or John Tillman). This underwriting manager and program administrator provides property, general and professional liability, auto, workers compensation and excess/umbrellas for community-based agencies for mentally retarded and developmentally disabled persons. Limits available are: property, unlimited; general and professional liability, up to $3 million/$3 million; auto, up to $3 million CSL; workers compensation and employers liability, to $1 million for E.L.; and excess/umbrella limits, as required. The program is accessible to agents and brokers in all states. The underwriting carrier is Cigna Property and Casualty.

Continental/Marmorstein & Malone, P.O. Box 586, Paramus, NJ 07652; e-mail: mrozzell@ca-group.com; Web site: http://www.ca-group.com (Mary Ellen Rozzell, vice president). This managing general agent and surplus lines broker writes the following types of social service agencies: home health care, mental health clinics, outpatient clinics, social service organizations for abused spouses, alcohol/drug rehabs, counseling, adult daycare, half-way houses, religious retreats. The firm also writes professional liability for clergy, psychologists, social workers and therapists that may be connected with such agencies. All coverages are written with the exception of primary auto. Carriers are Mt. Vernon, Western World, Nautilus and Monticello.

Gateway Underwriters Agency, Inc., 755 S. New Ballas Rd., Ste. 130, St. Louis, MO 63141-8713; (314) 567-4200; (800) 325-7652; fax (314) 567-4552 (Carl H. Bartlotti, CPCU, president). This managing general agent writes property, general and professional liability, auto, umbrellas and D&O for social service agencies. Types of agencies written include residential care, adult daycare, home health care, homeless shelters, Meals on Wheels, food banks, counseling, crisis centers and hot lines, abused spouses shelters, sheltered workshops, alcohol and drug treatment facilities, half-way houses, hospice care and social workers. Molestation/abuse liability is available as part of the liability package. Limits available are: general and professional liability, $1 million/$3 million; molestation/abuse liability, up to $1 million each claim; employee benefits liability, $1 million/$1 million; property, up to $5 million; umbrella, up to $10 million. The carrier for this program is U.S. Liability Insurance Co. The MGA also offers coverage through other insurers. The firm concentrates on serving agents in AR, IL, IA, KS, MO and NE.

Great American Insurance Co., 49 E. Fourth St., Ste. 400, Cincinnati, OH 45202-3803; (513) 287-8201; (800) 722-3260; fax (513) 287-8201/8202 (John W. Sullivan, CPCU, senior vice president, specialty operations human services). This insurer has written a program for nonprofit organizations since the mid-1970s. Social service agencies are eligible risks in this program. Coverages available include: property; general liability; professional liability for social workers/counselors, health care services, and pastoral professional liability; auto; umbrella/excess; workers compensation; and accident medical. Limits available are: general and professional liability, $1 million/$3 million; auto, $1 million; property, up to $30 million; umbrella/excess, up to $25 million; and accident medical, $50,000. The program is open to contracted agents and brokers in every state except TX.

Insurance Innovators Inc., 130 S. Easton Rd., P.O. Box 969, Glenside, PA 19038; (215) 885-7300; (800) 523-6422; fax (215) 886-2482 (Tom Murphy). This managing general agent offers programs for the following types of social service agencies: counseling (individual and group), referral services, adult daycare, in-home assistance including hospice care, sheltered workshops, adult developmentally disabled daycare facilities, hot lines, alternative living, respite care, and homeless shelters. Limits offered are: general and professional liability, $1 million/$3 million; molestation/abuse liability, up to $1 million each claim; employee benefits liability, $1 million/$1 million; umbrellas, up to $10 million; property, up to $5 million. This program is available to agents and brokers in DE, MD, NJ and PA.

Jimcor Agencies/Jimcor Associates Corp., P.O.Box 890, Westwood, NJ 07675; (201) 666-8600; fax (201) 666-5792; Web site: www.jimcor.com (Frank Mastowski, president). This managing general agent writes most forms of social service agencies including family and marriage counseling; alcohol and drug rehabilitation; community service agencies; residential care facilities, including retardation centers; battered persons shelters; mental health clinics and providers; adult daycare; home health care; judge advocates and social workers. Coverages provided include property, general and professional liability, sexual abuse, and expanded D&O including employment-related practices liability. Limits available on property to $50 million; liability/umbrella limits go to $25 million. Risks are considered in the continental U.S.

National Insurance Professionals Corp., 1040 N.E. Hostmark St., Ste. 200, Poulsbo, WA 98370-8720; (360) 697-3611; (800) 275-6472; fax (360) 697-3688; Web site: http://www.nipc.com (Barry Clipsham or Kathy Schufreider). This program manager writes social service agencies for property, general and professional liability, auto, employee non-owned auto liability, excess/umbrella liability, D&O, volunteer and client accident insurance. Limits available are: general liability, professional liability and employee non-owned auto, up to $3 million/$3 million; excess liability/umbrellas, up to $10 million; D&O liability, $5 million/$5 million. The firm serves agents and brokers in all states. Underwriting companies include United National Group, CBIC/Calvert/Associated International, Executive Risk (D&O), and Empire Fire & Marine (auto).

J. J. Negley Associates, 388 Pompton Ave., Cedar Grove, NJ 07009; (973) 239-9107; fax (973) 239-6241 (Lori Ortiz, vice president marketing). This program administrator and underwriting manager writes many types of social service agencies. Its programs are endorsed by the National Community Mental Healthcare Council, the Mental Health Corporations of America and the National Association for the Advancement of Psychoanalysis. The firm manages a risk retention group which is entirely owned by nonprofit providers of behavioral health care. This company is accessible and commissionable to brokers. Types of risks considered by the program are: alcohol/drug rehab centers, association for retarded citizens, battered persons shelters, counseling services, court restitution programs, Easter Seal centers, employee assistance programs, family services, group homes, homes for the elderly, home health care, homeless shelters, hospices, hot lines, referral services, mental health centers, methadone programs, pregnancy crisis centers, respite care centers, sheltered workshops, special schools, and visiting nurses. Coverages written are general and professional liability and real and personal property. Limits for professional and general liability and directors and officers are up to $5 million. Sexual misconduct coverage is available under the general liability form. The D&O coverage includes entities, employees and volunteers as insureds and wrongful termination, discrimination and sexual harassment are covered.

North Island Facilities, Ltd., 30 Park Ave., Manhasset, NY 11030; (516) 365-7440; fax (516) 365-7392; e-mail: nifmail@aol.com (Dan Mogelnicki). This managing general agent writes the following coverages for social service agencies: property, general and professional liability including sexual abuse, crime, inland marine, auto, umbrellas and D&O liability. Limits available are: property, unlimited; general liability/ professional liability, $1 million/$3 million; auto, $1 million; umbrella, unlimited. The firm accepts business from producers in every state. Insurers used are National Union/New Hampshire and Royal.

Pennock Insurance, Inc., 435 Devon Park Dr., Ste. 500, Wayne, PA 19087; (610) 975-0444; (800) 662-5182; fax (610) 975-0522 (Vic Giordano, president). This managing general agent offers a nonprofit social service package program for social service agencies including individual and group counseling, adult daycare, in-home assistance including hospice care, sheltered workshops, adult developmentally disabled daycare facilities, hot lines, alternative living, respite care, and homeless shelters. The coverage may be written as a package or monoline. Commercial general liability, professional liability and molestation/abuse liability are offered on an occurrence form. Optional employee benefits liability and extended general liability coverages are available. Property coverage is written on a special form with replacement cost coverage. Limits available are: general and professional liability, $1 million/$3 million; molestation/abuse liability, up to $1 million each claim; employee benefits liability, $1 million/$1 million; umbrellas, up to $10 million; and property, up to $5 million. Coverage is written by an A++ carrier.

Philadelphia Insurance Cos., One Bala Pz., Ste. 100, Bala Cynwyd, PA 19004; (800) 759-4961, ext. 7840; fax (610) 617-7940; Web site: www.phlyins.com (Sean S. Sweeney, CPCU). This insurer writes all types of social service agencies for property, general liability, umbrella, auto, inland marine, social workers professional liability and medical malpractice insurance coverages. Each coverage may be purchased with separate limits of up to $15 million. Business is accepted from licensed agents and brokers in all states. Underwriting companies are Philadelphia Insurance Cos. and Philadelphia Indemnity Insurance Cos.

Reliance Specialty Insurance Co., Three Parkway, Philadelphia, PA 19102; (215) 636-8652; (888) 735-7732; fax (215) 636-8644; Web site: www.relianceinsurance.com (Fran Sarmiento, CPCU, operations director). This insurer offers a wide range of products to fill the needs of many different types of social service agencies, including group homes for the developmentally disabled, adult daycare centers, community action centers, counseling centers, missions/shelters, assisted living facilities and the Association of Retarded Citizens. Limits are available for: general and professional liability, $1 million/$3 million; abuse, $1 million each claim; property, inland marine, crime, auto and umbrellas (up to $25 million). The company writes in all states through the Reliance agency force.

Roush Insurance Services, Inc., P.O.Box 1060, Noblesville, IN 46061; (317) 776-6880; (800) 752-8402; fax (317) 776-6891 (Gail C. Pierce). This specialty broker offers the following coverages for social service agencies: property, general and professional liability, sexual/physical molestation, auto and umbrellas. Limits written are: general/professional liability, $1 million/$2 million; sexual/physical molestation, $100,000/$300,000; auto, $1,500,000; property, unlimited; umbrellas, up to $20 million. The agency serves agents and brokers in IL and IN. Underwriting companies include Acceptance Indemnity, American Equity, Nautilus and Scottsdale.

Safeco Insurance/program administrator, Black/White & Associates, 1999 Harrison St., Ste. 1230, Oakland, CA 946121; (510) 465-5773; (800) 966-6568; fax (800) 427-4881 (Linda Bartolome, vice president). The Safeco nonprofit social service agency program was initiated in 1979. The program administrator, Black/White Associates, has been offering the program since its inception. The program includes various agencies as eligible for coverage including Headstart programs, schools and group homes teaching vocational and/or living skills to the disabled, food banks and Meals on Wheels for shut-ins, homeless shelters and crisis intervention and counseling services. Coverages included in the program are general and professional liability, auto, property, crime, inland marine, electronic data processing and workers compensation. Professional liability is available for the organization as well as volunteers. Sexual misconduct coverage also is available. The program has recently been expanded from 16 to 40 states including: AL, AK, AZ, AR, CA, CO, CT, DE, GA, ID, IL, IN, IA, KS, KY, MD, MI, MN, MS, MO, MT, NE, NV, NM, NC, ND, OH, OK, OR, PA, SC, SD, TN, TX, UT, VA, WA, WV, WI and WY.

Sedgwick of PA, Inc., P.O. Box 1675, Harrisburg, PA 17105;
(717) 720-4543; (800) 255-7112;
fax (717) 234-1400; e-mail: J_Arndt@sedgus.com (Jay Arndt). This program administrator offers a human service insurance program for all types of social service agencies including residential. Coverages written are general liability, professional liability and D&O. Occurrence or claims-made forms available, including prior acts coverage for D&O at no additional charge and physical and sexual abuse sublimit under the general liability form. Limits are available up to $1 million/$3 million. The agency serves agents in all states. The underwriting carrier is Lexington Insurance Co.

Shand Morahan & Co., Shand Morahan Pz., Evanston, IL 60201; (847) 866-2800; fax (847) 866-0796 or 866-0778 (Letha Heaton, vice president marketing). Shand Morahan writes social service agencies for the following classes: counseling, home health care agencies, mental health facilities, outpatient clinics, pastoral counselors, public health departments, rehabilitation facilities, social workers, substance abuse centers and visiting nurses. Limits are available for general liability and professional liability from $1 million to $5 million. There is a $2,500 minimum premium. The firm services agents and brokers in all states. Shand Morahan is underwriting manager for Evanston Insurance Co.

U.S. Liability Insurance Cos., 1030 Continental Dr., P.O. Box 1551, King of Prussia, PA 19406-0951; (610) 688-2535; (800) 523-5545; fax (610) 688-4391 (John G. Donahue Jr., marketing director). This insurer writes a nonprofit social service package program specializing in individual and group counseling, referral services, adult daycare, in-home assistance including hospice care, sheltered workshops, adult developmentally disabled daycare facilities, hot lines, alternative living, respite care and homeless shelters. Coverages written in the package include property, general and professional liability and molestation/abuse liability; optional employee benefits liability and extended general liability. Limits are: general and professional liability, $1 million/$3 million; molestation/abuse liability, up to $1 million each claim; employee benefits liability, $1 million/$1 million; umbrellas, up to $10 million; and property, up to $5 million. The program is available in all states. Coverage is written with Mt. Vernon Fire, U.S. Liability or U.S. Underwriters Insurance Co.

J.M. Wilson Corp., 8036 Moorsbridge Rd., Portage, MI 49024; (800) 666-5692; fax (616) 327-4131 (Karen Stites and Marilyn Schmidt). This managing general agent offers social service agencies insurance including family and marriage counseling, alcohol and drug rehab centers, community service agencies, retarded persons facilities, battered persons shelters, mental health rehab providers, adult care homes, home health care agencies, public health departments and social workers professional liability. Almost any limit can be written for property and general/professional liability. The agency serves agents and brokers in IL, IN, MI, OH and WI. Underwriting companies are: Mt. Vernon Fire, Chicago Insurance Co., Nautilus, Essex, Monticello, Western Indemnity and Capitol Indemnity. *

©COPYRIGHT: The Rough Notes Magazine, 1997