Happy Wednesday! In this week's Big I Buzz: Five ways to prepare for the end of the hard market, plus tips for overcoming hesitancy in life insurance sales.

5 Ways to Prepare for the End of the Hard Market

For quite some time, the hard market has made it challenging for agents to secure affordable coverage for their clients—when coverage was even available. Now, there are signs that conditions are improving. With the market shifting, insurance agencies should focus on positioning themselves for long-term success. The steps taken today will play a key role in how well they navigate the soft market cycle that lies ahead. Read more here.

Overcoming ‘I Need to Think About It’ in Life Insurance Sales

Few things frustrate salespeople more than hearing, “I need to think about it.” For many life insurance agents—especially those who are new or part-time—this is one of the toughest objections to overcome. In some ways, it can feel even worse than a flat-out “I’m not interested” because at least then, you know where you stand. A successful sales call should build momentum, much like a snowball rolling down a mountain—starting small, gaining speed, and becoming unstoppable. But if that snowball isn’t packed tightly from the start, it’s more likely to crumble along the way. Learn how you can set yourself up for success from the very beginning of your sales presentation. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: Workers’ comp sees an increase in advanced medical practitioners. Plus, the pet insurance market continues to grow.

Comp Sees Increase in Advanced Medical Practitioners Treating Workers

The workers' compensation industry has seen a growing reliance on nurse practitioners and physician assistants for initial medical visits, largely due to physician shortages. According to a Workers Compensation Research Institute report, physician-led first visits dropped from 81% in 2013 to 60% in 2022, while visits with physician assistants and nurse practitioners nearly doubled. Despite provider shortages, the report found minimal impact on claim costs, disability duration, or types of care provided. The use of advanced practitioners varies by state, with higher reliance in Indiana, Nevada, New Mexico, and North Carolina. Rural areas also saw an increase, with nurse practitioners handling 26% of first visits in 2022. Read more here.

Growth of Pet Insurance Continues as Market Could Reach $4.5B

The pet insurance industry has experienced significant growth, with premiums reaching over $3.4 billion in the first three quarters of 2024 and projections suggesting a total of $4.5 billion for the year. This surge is attributed to rising veterinary costs and an increase in pet ownership; for instance, U.S. households owned 87.9 million dogs and 73.8 million cats in 2024. Notably, pet insurance now accounts for about 10% of the inland marine insurance market. However, the sector faces challenges due to escalating veterinary expenses, leading some insurers to adjust their policies. The market remains concentrated, with the top 10 insurers holding 90% of the market share. Read more here.

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Madison, Wis. — Jan. 16, 2025 — Rural Mutual Insurance Company and Badger Mutual Insurance Company, with a combined 227 years of providing farm, commercial, and personal policies, have finalized their affiliation agreement based on regulatory approval from the Wisconsin Office of the Commissioner of Insurance (OCI) as of January 1, 2025.

The two insurance companies announced their intent to affiliate in October 2024.  Rural Mutual and Badger Mutual each bring unique attributes and value to the affiliation, including their industry knowledge, exceptional customer service, and deep community involvement. A shared vision and culture will ensure collaboration while both Rural Mutual and Badger Mutual retain their distinct brand identities. Leaders of both organizations say that there is a shared commitment to working together to achieve long-term growth and stability for employees, agents, and policyholders.

“Our two organizations have been meeting daily to finalize the details to bring together our two reputable brands for mutual growth,” said Dan Merk, Rural Mutual Executive Vice President and CEO. “We are excited about what the future holds as we begin this new affiliation.”

Rural Mutual adds its financial strength and AM Best A+ rating, seasoned staff, local agents, and operational excellence to the relationship. Badger Mutual contributes an experienced management team and independent agents with an expanded sales footprint in six states outside of Wisconsin. The current ratings of each organization will remain under review until AM Best completes its evaluation of the new relationship post transaction.

“After much anticipation, we are thrilled to officially join forces with Rural Mutual,” said Dan Nigro, CEO of Badger Mutual. “The synergy between both organizations has been outstanding, and I have great confidence in our mutual success as we embrace this amazing opportunity.”

About Rural Mutual Insurance Company

Rural Mutual Insurance Company has been protecting Wisconsin for 90 years and is the state’s No. 1 writer of farm insurance and No. 4 writer of commercial insurance. As an AM Best A+ Superior company, Rural Mutual provides a full line of insurance products exclusively to farms, families, and businesses in Wisconsin. The company is headquartered in Madison, Wisconsin with over 150 local agents across the state.

About Badger Mutual Insurance Company

Badger Mutual Insurance Company has been providing a range of property and casualty insurance products since 1887. The company is headquartered in Milwaukee, Wisconsin, and is represented by over 320 local agencies across seven states: Wisconsin, Illinois, Minnesota, Iowa, Michigan, Arizona, and Nevada.

Happy Wednesday! In this week's Big I Buzz, we announce our InsurCon2025 keynote speaker!

IIAW Announces Billy Beane, Inspiration for 'MONEYBALL,' as 2025 Keynote Speaker

The IIAW is excited to announce that Billy Beane, the visionary leader behind the revolutionary "Moneyball" philosophy, will be the keynote speaker at InsurCon2025!

Beane’s innovative, data-driven approach to management and leadership changed the course of baseball—and has inspired industries across the board, from healthcare to finance. As General Manager of the Oakland Athletics, Beane used analytics to identify undervalued assets and build a competitive team, leading to seven AL Western Division titles and 10 playoff appearances with one of the lowest payrolls in Major League Baseball.

His journey, which inspired the bestselling book and Oscar-nominated film, Moneyball, made Beane an icon in business management. Today, he continues to shape the future of sports as Senior Adviser to Oakland Athletics owner John Fisher.

Beane will bring his unique insights and signature wit to the stage for a moderated conversation with Milwaukee Brewers radio broadcast announcer Lane Grindle.

We can’t wait to hear from this Forbes “100 Greatest Living Business Minds” and four-time MLB “Executive of the Year” winner. Don’t miss the opportunity to hear from one of the most influential minds in sports and business at InsurCon2025, May 7-8 at American Family Field. Register today!

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.

Happy Wednesday! In this week's Big I Buzz: The Big "I" and ACT provide a memo and sample policy on AI. Plus, the 2024 Insurance Fraud Hall of Shame.

Big ‘I’ and ACT Provide Memo, Sample Policy on AI

The promise of artificial intelligence (AI) is compelling. Agencies have access to newly available automated products or services that could make them more efficient, effective and profitable. However, there are important legal issues related to AI that Big “I" members should consider.

For example, like any other third-party vendor that handles data, AI raises potential data privacy and security risks that may—or may not—be addressed in the vendor's contractual terms. Agencies should also guard against risks relating to the accuracy of AI outputs, as well as intellectual property infringement and ownership issues.

Agencies should also watch out for new contractual restrictions imposed by carriers around AI usage, as well as regulatory compliance issues. Colorado recently became one of the first states to enact a comprehensive law regulating the use of AI in “high risk" systems that make “consequential decisions" in certain sectors, including insurance.

While the Colorado AI Act does not go into effect until February 2026, agents should consider proactively addressing AI usage with their staff. The Big “I" Office of General Counsel and ACT have published a memo on the legal issues relating to AI usage and a sample acceptable-use policy that members can customize for their business. The sample can be found at the end of the memo on legal risks, which is available on the Big “I" Legal Advocacy webpage.

The 2024 Insurance Fraud Hall of Shame

Insurance fraud comes in all shapes and sizes, and some cases are truly head-scratching. PropertyCasualty360’s 2024 Insurance Fraud Hall of Shame highlights some of the wildest schemes from the past year. View the list here.

Happy Holidays from the IIAW

Our office will be closed December 24, 25, 31 and January 1 for the holidays. This will be the final edition of the Big I Buzz of 2024. We'll return with fresh updates on January 8! In the meantime, stay connected with us on Facebook and LinkedIn. We'll see you in the New Year!

For more news, check out the Action News section of our weekly e-newsletter, Big I Buzz. If you aren’t subscribed, click here to add your email to our emailing list.