Any Carrier More Competitive then Federated?

EugeneM

Guru
100+ Post Club
Large group of dealerships going direct with Federated. I normally wont touch anything Federated - kinda like erie. :1mad::1mad::1mad:

Any markets or strategies that can compete? Open to Self Insurance.

California Market
 
Federated is pretty aggressive in my area (Kentucky) but what I notice is they really push and try to sell big retention limits. All other things being equal that's pretty easy to combat. Their policies are generally not very good and a good agent can pick a ton of holes in them... That being said their rates are pretty impressive at times. I can think of one account I lost to them that really sticks with me, the WC portion of it was being given about 50% credit and was around the $55,000 mark. Somehow they came in and beat it. Unbelievable.
 
ty very much for the input - I think I will try to pursue it. There are about 3-4 large groups of dealerships close to me with 4+ members in each group. lots and lots of premium but they are all will federated. I have had brokers look at their policies separately with no success.
 
Yes a few markets can compete against them in CA.
Travelers and Chubb can at times.
There is an Allied program that is competitive.
Argo program can sometimes beat them too.
Also if the dealer group has over 500 employees you can access Federated directly.
Currently they have around 42% of the CA new car dealer market which is more than they want. So I would expect 10% price increases on all their renewals.
Frankly not my favorite industry being that you have 3 direct writers to compete against and they just take turns insuring the same accounts ever 2-3 years.
 
Thats what I am finding. how do you know they have more market share then desired and also potential rate increases? Can I get some links to articles or is just on your observations? serious question
 
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