One West Coast broker is hoping to grow by targeting new producers and products. In California their specialty market will continue to turn toward admitted facilities. However, it will always need the nonadmitted market, where there is greater flexibility and needed products for insureds to cope with our changing society. Sale and consolidation of insurance carriers could have an effect on volume of business, according to a New England broker. The primary consideration in choosing new markets is financial stability with flexible underwriting and quick response time for policy issuance and claim handling.
Most offices review financial reports such as Bests' in their offices on an annual basis.
Keeping an ear to the ground to pick up what others are experiencing with their companies is another method used to determine whether companies can handle business you submit. Trouble signs may show up in the way the insurer pays claims, downsizing of the company, letting experienced underwriters go and operating with lower-paid inexperienced employees. It is important to know on any new venture, whether the company knows anything about the market they are getting into.