New Insurance Company Owned and Controlled By PIA to Offer E&O Coverage Exclusively to PIA Members
WASHINGTON, Sept. 7, 2011 /PRNewswire-USNewswire/ -- The National Association of Professional Insurance Agents (PIA National) has announced the formation of the PIA Professional Liability Insurance Company (PIAPRO), a Risk Retention Group (RRG) formed to offer errors and omissions (E&O) coverage exclusively to PIA members.
PIAPRO received its Montana Certificate of Authority for Captive Insurance on Friday, August 5, 2011 from the Department of Insurance of Montana. The rate and form filings for the PIAPRO program are finalized in 35 states, with remaining states in differing phases of approval. PIAPRO began marketing operations through PIA affiliates on August 15, 2011 in a first tier of states.
PIAPRO is a PIA agent-owned, PIA agent-controlled independent company formed by PIA Services, Inc., a wholly-owned for-profit subsidiary of the National Association of Professional Insurance Agents. PIAPRO is partnering with Argo Group to offer an admitted program available exclusively to PIA members backed by Argonaut Midwest Insurance Company and Argonaut Insurance Company, rated "A" by A.M. Best & Co. The program administrator is ALPS Corporation.
"This announcement marks the culmination of two years of concerted effort on the part of volunteer leaders of PIA," said PIA Services, Inc. President Larry Willis. "As owners of independent insurance agencies, PIA members are entrepreneurs. That's why it is particularly fitting that we have taken an entrepreneurial approach in creating our own insurance company that is owned by PIA members."
PIAPRO was created by PIA, the agents association that has been providing agents E&O coverage for 80 years, since its inception in 1931.
"With the creation of PIAPRO, PIA members took a bold step to control their own destiny," said PIA National President Fred Thomas. "The professionalism and can-do attitude of our PIA National staff was exemplary and kept the project on track throughout the formation. In future years, I think we will be able to look back with pride and see that we planted a great seed of a giant oak that will grow, and will foster great PIA membership and coverage for our members for decades to come."
PIA National Executive Vice President & CEO Leonard C. Brevik said the complex process to form PIAPRO was challenging, but ultimately successful due to the dedication of PIA's leaders. "This courageous, far-sighted decision by PIA Services, Inc. was in keeping with PIA's vision statement, which proclaims that PIA is 'the Association that creates unlimited opportunities for professional insurance agents,'" he said.
"We have shepherded this process to this end result, utilizing the best actuaries in the business, employing the leading captive counsels and assembling reinsurance experts in a full court press that brought us to today," Brevik said. "It was a time-consuming, comprehensive process of due diligence, but it was time well spent. PIA is marking its 80th anniversary this year. Creating these types of tools will ensure our success for the next 80 years."
"PIA is not your grandfather's trade association," Brevik said.
Founded in 1931, PIA is a national trade association that represents member insurance agents and their employees who sell and service all kinds of insurance, but specialize in coverage of automobiles, homes and businesses. PIA members are Local Agents Serving Main Street America (SM). PIA's web address is www.pianet.com.
This press release is online at: http://www.pianet.com/NewsCenter/PressReleases/09-07-11-07.htm
SOURCE National Association of Professional Insurance Agents