E&S Property Insurance Specialist | Hard Market Innovator | Forward Thinker | Hospitality | Healthcare | Habitational
We are not a fit for every hotel or motel that comes our way - even if we can technically write it. I spoke to an agent this morning who described a La Quinta Inn and Suites in MS which can likely be up our alley. Nice risk, built in 2009, no losses - let's do it! The problem was that the incumbent carrier which is a standard market is offering a renewal. As an E&S property-only solution we are not here to compete with standard market options nor are we designed to even attempt to. In this tough hospitality market if you have a standard carrier offering a renewal don't shop - grab it and run!! #insurance #hotels #motels #insuranceagents #insurancebrokers #propertyinsurance #hospitality
Yup. Basic fundamentals in this space 😁
More people need to take this approach very good Joseph Indig
Equilibrium Insurance Partners
4moI couldn’t disagree more. My very first hotel deal, in 2015 (newly licensed), I cold knocked on a 209 room full service hotel. I was young, maybe 21, and new nothing about insurance. The insured’s renewal was coming up at the end of the month and he received a $120k renewal with Travelers. It was up $40k from his $80k expiring premium, and much like your story, with no losses. Due to the property not having a sprinkler system, combined with his TIV of $25M, it was a hard pass by all of our standard markets. So I took it E&S to All Risks (now RT Specialty). I was able to get a fantastic quote with Everest for $80k, which included agreed value, flood, quake, etc. I presented it to the insured and he ended up going with me. That same client, that same hotel, is actually in the AIU program today. And he’s been a great-long term client. The due diligence rule is, if 3 carriers decline, you can take it to E&S. The due diligence rule doesn’t say, “if a standard market offers a renewal, you can’t quote.” You missed the opportunity to write a fantastic hotel that would’ve only strengthened the program; that is, if it was truly “right up your alley.” MS is tornado alley, so there could’ve been more to this story…