Agent News

Q4 2017

Our Year Eight Outlook

As we enter our eighth year of business, 3CU finds itself in an enviable position. Because of our niche focus and commitment to diversification, we are able to pursue risks that fall squarely in line with our expertise. As a result, we deliver the successful outcomes our customers seek and form true partnerships in risk management for complex operations.

With the support of our larger enterprise, AF Group, we keep a tight focus on our niche markets while reaping the benefits of an enterprise that is committed to innovation and excellence. A few examples of this excellence include:

  • AF Group’s “A-” (Excellent) A.M. Best rating with a positive outlook.
  • AF Group being named no. 1 large employer on Business Insurance’s 2017 Best Places to Work list.
  • AF Group earning the 14th spot – based on direct written premium – on A.M. Best’s list of Top 25 Workers’ Compensation Carriers in the U.S.

In turn, 3CU continues to expand its reach as a specialized workers compensation carrier.

  • We’re on track to achieve our 2017 strategic initiatives with a calendar year combined ratio on plan and strong profitability across all market segments.
  • Our agency appointment strategy continues to see success, with almost 40% of new business premium coming from new relationships.
  • The addition of agribusiness to our appetite has been well received by the marketplace and has surpassed growth and profitability plans in 2017.

This ability to develop and foster strong agent partnerships will remain critical to our long-term success. As marketplace competition grows, we rely on your ability to sell 3CU’s value proposition: a commitment to deliver on our promises and to deliver unique workers’ compensation solutions to those with complex needs. We look forward to working with you to write profitable business across all our segments. We’re eager to partner with you in creative ways to find mutual success this year and beyond.  From all of us at 3CU, we wish you a very happy holiday season and thank you for your continued partnership and support!

Mike Valiante
3CU Vice President of Production and Agency Management

Third Coast Underwriters Makes “Pay as You Go” Easier Than Ever

We’re excited to introduce AccuPremium, our payroll reporting process for workers’ compensation, which provides your clients a true “pay as you go” payment plan with no restrictions.

AccuPremium, effective Jan. 1, 2018, replaces the monthly self reporting process previously used to track payroll.

Benefits include:

  • Security deposit as low as 5% for policies over $150,000.
  • Better cash flow and expense planning — you pay premium based on actual payroll.
  • Fewer audit surprises — using actual reported payroll instead of estimates ensures minimal adjustments at final audit.
  • No restrictions or limitations on states, class codes, policy size, minimum premium or payroll vendors.
  • No administration fees.
  • No checks to write – automated EFT draft approximately one week after reporting.

For a list of all benefits, please review this marketing material and share it with your customers.

If you have additional questions, please contact your business development consultant or email

AF Group Named No. 1 Large Employer on Best Places to Work List

We’re proud to announce that AF Group – which includes 3CU and our related brands (Accident Fund, CompWest, United Heartland and AF Specialty) — has been selected as a Best Place to Work in Insurance for 2017 by Business Insurance for the seventh year in a row. And even more exciting — this year, we earned FIRST PLACE in the large employer category!

Business Insurance launched the Best Places to Work in Insurance program in 2009 to identify and recognize high-quality employers in the commercial insurance industry and honor them for creating workplaces that encourage employees to thrive. AF Group and its brands have an excellent reputation for creating a positive workplace culture focused on open communication and a commitment to inclusion and innovation. This atmosphere encourages employees to work hard and best serve our agents and policyholders.

We are excited to see some of our agency partners make the list as well. Congratulations to the following for their ‘Best Places to Work’ recognition:

  • Assurance Agency Ltd.
  • Holmes Murphy & Associates
  • Hylant
  • Kapnick Insurance Group
  • Lipscomb & Pitts Insurance LLC
  • Lockton Companies LLC

We are proud to once again be considered among the Best Places to Work in Insurance and pleased to share this recognition with our agency partners.

AF Group President Lisa Corless Named 2017 Women to Watch Honoree

We are very pleased to congratulate Lisa Corless, president of AF Group, for being named a “2017 Women to Watch” honoree by Business Insurance magazine in late September. This special award “celebrates leading women from every facet of the commercial insurance industry…and is aimed at the advancement of women in commercial insurance, risk management and related fields.”

“While I am truly honored to be recognized by Business Insurance, this award is a reflection upon our entire business. It demonstrates the amazing support from our valued agent partners who have sustained our collective success, along with the continued contributions of our outstanding team at AF Group,” said Corless.

Now in its 12th year, Business Insurance’s Women to Watch Awards & Leadership Conference is the only recognition program that celebrates leading women from every facet of the commercial insurance industry. The program was created in 2006 to recognize leading women in commercial insurance, risk management, employee benefits and related fields, such as consulting and law.

Introducing AF Advantage App

Third Coast Underwriters is excited to announce the launch of our enterprise’s mobile app – AF Advantage. The intent of this app is to give our agent partners a tool that will make doing business with us and other AF Group brands easier by facilitating communication and putting company resources at their fingertips.

AF Advantage provides our agents immediate access to dynamic information and tools, such as:

  • Marketing materials
  • What we insure (search by state or risk type)
  • Company contact information (Help Desk, Billing and two customizable contacts)
  • Segment knowledge center
  • Agency training opportunities

The mobile app is publicly available in the Apple and Google store. We’d encourage you to download it – we’re certain you’ll find it very useful.

What We Write

At Third Coast Underwriters (3CU), our customers are our top priority. Because we specialize in addressing complex operations and challenging exposures, we know the importance of developing unique workers’ compensation solutions. The list below illustrates the varied mix of accounts we have written recently within our core segments. Let us help you deliver successful outcomes for your customers today. For more information, visit, email or call 866-641-2328.


  • Farm: Poultry or Egg Producer & Drivers – $424,200
  • Hay, Grain, Feed or Fertilizer – Dealers, Local Managers & Drivers – $193,000
  • Livestock – Dealer or Commission Merchant, Salesperson & Drivers – $198,600
  • Machinery Dealer NOC – Store or Yard & Drivers – $782,000
  • Oil Manufacturing: Vegetable – Solvent Extraction Process – $193,700
  • Seed Merchant – $225,300
  • Store Meat, Fish or Poultry Dealer – $926,800


  • Architect or Engineer – Consulting – $174,300
  • Automatic Sprinkler Repair Installation & Drivers – $154,600 – $176,100
  • Boiler Installation or Repair – Steam – $292,700
  • Buildings – Operation by Contractors – $651,700
  • Carpentry – Detached One- or Two-Family Dwellings – $751,100
  • Conduit Construction – $237,000 – $648,200
  • Concrete Construction – $1,154,600
  • Concrete or Cement Work – $168,700 – $422,900
  • Contractor – Executive Supervisor or Construction Superintendent – $202,900 – $298,000
  • Electrical Wiring – Within Buildings & Drivers – $259,200 – $857,400
  • Elevator Erection or Repair – $271,900
  • Furniture or Fixtures Installation – Portable – $460,900
  • Glazier – $183,700
  • Household and Commercial Appliances – Electrical Installation, Service or Repair & Drivers – $270,300
  • HVAC & Refrigeration – $169,000 – $343,200
  • Iron or Steel Erection – $1,216,500
  • Landscape Gardening and Drivers – $751,300
  • Linoleum, Carpet, Vinyl, Asphalt or Rubber Floor Tile – $226,900
  • Machinery or Equipment Erection or Repair – $296,200
  • Masonry –  $178,400 – $593,600
  • Mobile Crane and Hoisting Service Contractors – All operations – $192,400 – $204,600
  • Painting – Metal Structures Over Two Stories in Height & Drivers – $295,900
  • Painting or Paperhanging – $165,100 – $257,000
  • Park Noc – All Employees & Drivers – $470,800 – $675,100
  • Plumbing –  $161,500 – $232,400
  • Railroad Construction – $173,200 – $229,400
  • Stone Crushing & Drivers – $355,300
  • Street or Road Construction – Paving or Repaving – $202,500 – $320,200
  • Telephone or Telegraph Company – $170,400 – $1,182,600
  • Tile, Stone, Mosaic or Terazzo Work – Inside – $449,500
  • Wallboard Installation Within Buildings & Drivers – $580,200


  • Buildings – Operation by Contractors – $516,900
  • Construction or Agricultural Machinery Manufacturing – $258,600
  • Machinery or Equipment Erection or Repair & Drivers – $440,000
  • Rubber Tire Dealers – $1,685,500
  • Scrap Dealer & Drivers – $165,600 – $868,200
  • Street Cleaning & Drivers – $357,300


  • Gasoline Dealer & Drivers – $295,300
  • Oil or Gas Lease Work – By Contractor & Drivers – $297,900 – $357,100
  • Oil or Gas Well – Instrument Logging or Survey Work & Drivers – $206,600
  • Painting or Paperhanging Noc & Shop Operations – $295,200
  • Trucking – Employees & Drivers – $519,300
  • Trucking – Long Distance Hauling – $152,500


  • Boilermaking – $394,700
  • Rubber Goods Manufacturing – $719,200
  • Store: Wholesale Noc – $2,286,700
  • Street Cleaning & Drivers – $357,700


  • Automobile Towing – $239,300 – $305,700
  • Automobile Service or Repair Center & Drivers – $294,000
  • Beer or Ale Dealer – $219,300 – $286,000
  • Bus Company – All Other Employees & Drivers – $212,500
  • Trucking – Long Distance Hauling – $165,800 – $857,600
  • Trucking $373,00 – $495,700
Legislative Update


The following link is a summary of workers’ compensation reform provisions produced by the Wisconsin Workers’ Compensation Advisory Council. This summary was provided by our state trade partner — the Wisconsin Insurance Alliance (WIA). The recommendations include modest increases in certain indemnity benefits, a Medicare and group health insurance based medical fee schedule, electronic billing provisions and restrictions on the dispensation of opioids to injured workers. We anticipate these recommendations will be formed into legislative language and pursued through the legislative process. 2018 being an election year makes the enactment of the proposal a challenge. AF Group will monitor the situation moving forward.


Senator Randy Head is moving full steam ahead with trying to implement a workers’ compensation drug formulary in Indiana. His goal is to have the legislation drafted and implemented by the end of the 2018 legislative session (ends in March).  Currently, the Senator’s staff is drafting the formulary utilizing the Texas formulary as the model.

Politically, this initiative has serious potential to get enacted. Working with the state insurance trade, the Insurance Institute of Indiana, AF Group has been identified as a carrier expert resource for the Senator. This will enable us the opportunity to truly impact the final proposal. Issues being focused on at this point include: Duration and dosage of opioids, clearly defined process for dealing with non-approved medications, process and resources required to educate the provider community. As this initiative progresses into 2018, we’ll keep you informed.


In November, the legislature concluded its fall veto session. Of significance and positive news for our industry, no effort was made to override Governor Rauner’s veto of HB 2525, the workers’ compensation insurer price control legislation, so its total veto stands. A veto override was attempted on HB 2622, the workers’ compensation state fund legislation, but that motion failed to obtain 71 votes, so that veto also stands. We expect to see similar negative legislation reintroduced in 2018.  An additional legislative issue of significance in 2018 will be addressing the opioid crisis. Lt. Governor Sanguinetti has been leading hearings on the topic across the state, and it is expected that Governor Rauner will be pushing for legislative and administrative solutions to the crisis in 2018. We’ll keep you apprised of developments moving forward.


Beginning January 1, 2018, a shareholder of an S corporation with at least 40% or more interest in the S corporation can individually elect to reject coverage under the workers’ compensation laws by providing a written notice of the rejection to the S corporation and its insurer. Failure to provide notice to the S corporation shall not be grounds for any shareholder to claim that the rejection is not legally effective. The shareholder may rescind the rejection in writing to the S corporation and its insurer. The rescission shall entitle the shareholder only to the benefits which accrue on or after the date of the notice of rescission is received by the insurance company. If you have any questions please contact your business development consultant.