Senior AVRECO Property Broker Retiring Today

Ken Karsted, a 35-year veteran of the insurance industry and former naval officer, will retire from AVRECO, where he has spent the last seven years as a property broker specializing in non-standard and specialty lines, at the end of this month.

After 4 years as a gunnery officer in the Navy, Mr. Karsted's insurance career commenced in 1970 with Allstate Insurance Company as a personal lines underwriter, where he was responsible for underwriting auto and homeowners insurance.

In 1974 Mr. Karsted joined The Home Insurance Company, where he received an education in commercial lines underwriting, including package, inland, and ocean marine.

Mr. Karsted spent the next 9 years at Cravens, Dargan Company, Pacific Coast, and MGA, and handled aviation, lumber business, special risk property, and umbrella accounts in a marketing capacity.

In 1985, Mr. Karsted became a full-time property broker with Irland & Rogers, Inc., a small brokerage serving Illinois and the Midwest. Late in 1997, Mr. Karsted joined AVRECO, where he has brokered a wide range of property business from all over the United States.

When Mr. Karsted leaves on July 31 st, AVRECO property broker Trent Iliff will take over his book of business. Mr. Iliff specializes in Primary, Excess Property, and Inland Marine coverages. He also recently received his Certificate in General Insurance and is currently working toward earning his Chartered Property Casualty Underwriters designation.

Says Mr. Karsted when asked about his upcoming retirement: "Looking back on my 35 year insurance career, I consider it my good fortune to have met and worked with so many fine and capable people that this industry seems to attract. In retirement, I know I'll miss everyone, co-workers, company underwriters and retail agents alike. I'll leave behind no monuments, just pleasant memories and a stack of files. On to the next chapter in life."

A.M. Best Affirms 'A' Excellent Rating for Lloyd's

July 27, 2005
The Insurance Journal

"A.M. Best Co. has affirmed the financial strength rating of A (Excellent) and the issuer credit rating of 'a' of Lloyd's of London..."

Insurers Unveil 'Market-Based' Terrorism Insurance Plan Before House

The Insurance Journal
July 27, 2005

"Property casualty insurers today outlined what they termed a "market-based" approach to providing terrorism risk insurance..."

Click HERE to read the Insurance Journal's summary of the plan.

Out With The Old, In With The New

By Steve Tuckey
National Underwriter P&C

"London market reforms scrap centuries-old processes in favor of modern-age, high-tech tools and commitment to industry standards"

"When futurists some decades ago declared the advent of the “paperless society,” they might not have realized the tough nut they had to crack in the London market. But times are changing. Soon the sight of 17th century movers and shakers buying and selling coverage at Mr. Lloyd’s famous coffee shop will be replaced by their 21st century counterparts conducting essentially the same transactions on their laptops in Starbucks..."

Greenspan: Private Insurers Can't Cover Terror Risk Without Government

July 20, 2005
The Insurance Journal

"Federal Reserve Chairman Alan Greenspan again testified that he believes that private insurers alone can't handle the risk of losses resulting from terrorist attacks..."

Tube cleared after small blasts

July 21, 2005
BBC Breaking News

"A number of Tube stations have been evacuated and lines closed after three blasts in what Met Police chief Sir Ian Blair says is a 'serious incident'..."

AVRECO Staff Announcements

It is truly a time of change here at AVRECO, on both a professional as well as a personal level. Both our Chicago and New York offices have grown with the addition of talented and experienced brokers and underwriters such as Angela North, Jody Oster, and Marcia Gloppe, and they will continue to grow as we continue our search for the best qualified people possible to fill current and future vacancies (Please refer to our Job Postings page and email resumes to Bill Yurek (byurek@avreco.com). I would also like to take this opportunity, however, to announce some personal news from AVRECO employees:

Trent Iliff, Property broker at AVRECO Chicago, was married on June 18, 2005.

Ted Baran, VP of Sales & Marketing, became a father on May 28, 2005, with the birth of his daughter, Katherine Elaine Baran.

Jamil Qureshi, Staff Accountant, is due to become a father any day now--we will keep you posted!

In the meantime, we hope you are enjoying your summer! Thanks again for your business and we look forward to hearing from you soon!! ~Karen (kzyck@avreco.com)

AVRECO Adds to Casualty Team

July 19, 2005
AVRECO News

"AVRECO welcomes its newest broker, Jody Oster, to its Chicago-based Casualty team. Mr. Oster has almost 5 years of insurance experience and works with manager Mark Senkbeil placing various lines of Casualty business..."

Damage From London Terror Bombings Could Reach $100M

By Mark E. Ruquet
National Underwriter P&C

"As Londoners strive to find normalcy again in their daily lives after the horror of four bombings in the city's transportation system, the insurance industry is beginning to come to terms with the tragic day's fallout..."

White House Eases Stance On TRIA Renewal

Washington Bureau
Arthur D. Postal and Matt Brady
National Underwriter P&C

"A Bush administration recommendation that insurers should bear more risk if the federal backstop provided by the Terrorism Risk Insurance Act is renewed is open to negotiation, Treasury Secretary John Snow told Congress last week..."

Producer Development: Learning to Sell

By Kevin B. O'Reilly
July 18, 2005
The Insurance Journal

New Program Teaches a Consultative Approach to Insurance Sales

"Beginning this week, 15 insurance agents are returning to Normal, Ill., to do an unusual thing in the world of insurance training: talk with each other about what's worked and what hasn't. It's the third and final leg of the Professional Insurance Sales Associate program, a new certification being offered by Illinois State University's Katie School of Insurance and Financial Services in conjunction with the university's Professional Sales Institute..."

Summer in the office: It's too hot! It's too cold!

For those of us who experience "temperature wars" in the
office, here is an interesting article. Have a great weekend! ~Karen

By Margarita Bauza
Knight Ridder/Tribune news
Published July 15, 2005
The Chicago Tribune

"DETROIT -- As petunias bloom outside Michele Dickens' office building, her workspace feels like mid-January..."

White House Eases Stand On TRIA Renewal

By Matt Brady
NU Online News Service, July 13, 8:55 p.m. EDT
National Underwriter P&C

"Washington—A Bush Administration recommendation, that insurers should bear more risk if the federal backstop provided by the Terrorism Risk Insurance Act is renewed, is open to negotiation Treasury Secretary John Snow told Congress today..."

PIA Urges Congress to Renew Terrorism Risk Insurance Act

"Insurance Agents Provide Examples of Nationwide Need for Backstop"
PIA (National Association of Professional Insurance Agents)
http://www.pianet.com

"WASHINGTON -— As Congress begins a new round of hearings, the National Association of Professional Insurance Agents provided lawmakers and President Bush with fresh evidence of the need to renew the Terrorism Risk Insurance Act (TRIA)..."

Insurers:London Bombs Show TRIA Need

By Arthur D. Postal
National Underwriter P&C
NU Online News Service, July 12, 9:19 p.m. EDT

"Washington — The London bombings last week underscore the fact that the terrorism risk remains and insurers in the U.S. need a federal backstop, officials at two insurance industry trade groups said today..."

Big 'I' Says Reform Needed for National Flood Insurance Program

July 12, 2005
The Insurance Journal

"The Independent Insurance Agents & Brokers of America (the Big "I") praised the House Subcommittee on Housing and Community Opportunity for holding a hearing on the future of the National Flood Insurance Program (NFIP)..."

Hurricane Dennis's Bark Was Worse Than Its Bite; Carriers, Associations Evaluating Damages

By Dave Kaiser
July 12, 2005
The Insurance Journal

"As Hurricane Dennis approached Key West, Fla., large insurance carriers, expecting and preparing for the worst, alerted hundreds of adjusters to proceed to Florida and Alabama, and put hundreds of other employees on standby, ready to go into action after the hurricane passed through..."

London Death Toll Tops 50; Search on for Bodies, Answers

By Dave Thomas
July 8, 2005
Insurance Journal

"One day after four bombs struck at the heart of London's morning rush hour, authorities were still finding bodies and searching for clues as the death toll has reportedly topped 50 people. Al Qaeda is still the main suspect in the bombings, which hit three trains and a double-decker bus..."

Medical Malpractice Poised For A Comeback

By Steven Tuckey
National Underwriter

"Troubled line nears profitability after huge losses, but will the good times last?"

"With the medical malpractice industry once again near profitability, and doctors and nurses walking picket lines no longer a staple on the evening news, has one more crisis vanished into thin air? It depends on who you ask..."

Sens. Schumer, Clinton Blast Treasury Report; Call for TRIA Renewal

July 5, 2005
The Insurance Journal

"New York Senators Charles E. Schumer, D, and Sen. Hillary Rodham Clinton, D, have blasted the Treasury Department's report, submitted to the Senate Banking Committee, which urged Congress not to renew the Terrorism Risk Insurance Act or TRIA as it currently is written..."

Multi-Nation Report Finds Terror Insurance Lacking; Private Markets' Coverage Not Enough

July 5, 2005
The Insurance Journal

"Days after the U.S. Treasury issued its report downplaying the need for renewal of a federal terrorism risk reinsurance program, an organization of 30 democratic countries including the U.S. has warned of shortfalls in terrorism coverage around the world..."

Scotland's NIG Insures Triathlon Competitors Against Monster Attack

Good afternoon and welcome back! Hopefully you were able to enjoy some fireworks on this July 4th weekend. We at AVRECO are undergoing a lot of changes around the office, and the future of TRIA coverage has inundated insurance newswires. Therefore, on a lighter note, we thought that we would suggest that you take a look at this story regarding the "Loch Ness Monster." Monster Insurance anyone? Have a great day! -Karen

July 5, 2005
The Insurance Journal

"While most of Scotland braces for the upcoming G8 summit in Edinburgh, some 100 or so triathletes have a different concern. They're scheduled to compete in a triathlon around and in Scotland's legendary Loch Ness on July 23, and they're worried about the monster, affectionately known as "Nessie," who's said to inhabit the dark waters of the Loch..."

Market could fall short on terrorism cover: OECD

by Sarah Veysey

Posted on July 05, 2005 11:36 AM CST
Business Insurance

"PARIS—The terrorism insurance market may not be able to fully cover losses that could arise from a future large-scale terrorism attack, according to a report by the Organization for Economic Cooperation & Development..."

Senators Seek State Alternatives to Medical Liability System

July 5, 2005
The Insurance Journal

"Sen. Max Baucus, D-Mont., ranking member of the Committee on Finance, and Sen. Mike Enzi, R-Wyo, chairman of the Committee on Health, Education, Labor, and Pensions, have introduced legislation to promote state-based demonstrations of alternatives to current medical tort liability litigation..."

Legislators react along party lines to TRIA report

by Mark A. Hofmann

Posted on July 01, 2005 2:06 PM CST
Business Insurance

"WASHINGTON—Congressional reaction to Thursday's Treasury Department recommendation that the Terrorism Risk Insurance Act not be extended in its present form appears to be breaking largely along party lines..."

Republicans Agree Terror Insurance Needs Restructuring

July 1, 2005
The Insurance Journal

"Early reaction from Republicans on Capitol Hill suggests they are likely to go along with Treasury Secretay John Snow's recommendations and not renew the federal terrorism insurance program in its current form..."

Businesses Hit Treasury Terrorism Insurance Report

June 30, 2005
The Insurance Journal

"The business lobby, Coalition to Insure Against Terrorism, is blasting as "flawed" and illogical the Treasury Department's report recommending against renewal of the federal Terrorism Risk Insurance Act in its current form..."

Treasury Report Opposes Renewal of Terrorism Risk Insurance Act

June 30, 2005
The Insurance Journal

"The Treasury Department on June 30 released a long-awaited report on the Terrorism Risk Insurance Act of 2002 that concludes the act should not be renewed by Congress in its current form..."

Treasury Report on Terrorism Insurance: Exec Summary

June 30, 2005
The Insurance Journal

"The following is the Introduction and the Executive Summary of the June 30, 2005 report from the Treasury Department on the Terrorism Risk Insurance Act of 2002 including its assessment of the act and recommendations for Congress on whether to renew it..."

Best Study: Agents, Insurers Raid Competition for New Employees

June 28, 2005
The Insurance Journal

"When insurance companies and agencies go looking for new producers, they rely mostly on referrals and word-of-mouth recommendations, and they say the best places to look for those new recruits are other insurers and agencies, according to a recent Best's Review survey..."

Students Find Americans Willing to Pay for ID Theft Insurance

June 27, 2005
The Insurance Journal

"Americans willing to pay for a personal information protection insurance plan expect to pay $88 annually, according to an online survey by graduate student researchers at Boston University..."

WTC Twin Towers Investigators Urge Improved Skyscraper Safety

By Andrew G. Simpson, Jr.
June 23, 2005
The Insurance Journal

"A federal agency that investigated the fires and collapses of the World Trade Center's twin towers following the September 11, 2001 terrorist attack today recommended changes in building standards, fire codes and emergency response methods to improve the safety of skyscrapers..."