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In the May issue we traced the history and current trends in the banking business, including technological advances and the increased concentration of assets in large multi-state banks. We also discussed the major insurance coverages of interest to banks and other financial institutions.
This month we are providing a list of markets, both companies and managing general agencies, which agents and brokers can utilize for the coverages previously discussed. The specialities of each market are discussed briefly, along with contact information.
Bankers Insurance Service Corp., 10 S. LaSalle St., Chicago, IL 60603; (312) 630-4250; 800-323-2743; FAX 312-630-4251 (Lee Brodsky, CPCU, and Noreen Donovan). This company has been in business since 1952 when it originally developed and offered a mortgage bankers bond.
The mortgage bankers bond is a combination of fidelity (employee dishonesty) and mortgagees errors and omissions insurance. Crime insurance coverages are included for loss of property on premises or in transit and check forgery. The policy can also include forged documents and computer crime.
Mortgage protection insurance covers losses to mortgaged property for mortgage impairment and mortgagees errors and omissions. Professional liability insurance for mortgage bankers and directors and officers liability insurance is also available. Most of the coverages offered by Bankers Insurance Service Corp. are endorsed by the Mortgage Bankers Association of America.
The firm also writes a mortgage originators package program through a subsidiary agency covering fidelity/crime losses, principals fidelity, mortgagees E&O and professional liability.
Fidelity and mortgagees E&O are required by FHA, secondary market institutions, warehouse lenders and other private investors.
CNA Financial Insurance, 180 Maiden Lane, New York, NY 10038; (212) 440-3747 (D&O/E&O), John Lopes; or (212) 440-3753 (Bank bonds, Tom Kocaj). CNA makes available new policies and services for community banks. The company has borrowed some key coverages from its new Financial Institution Executive Risk policy for larger banks to create the facility for community banks.
Community banks can purchase multiple coverages with various limits, deductibles and premium options. They will also be offered an enhanced version of the D&O policy, as well as options for bank bond, fiduciary liability, trust department E&O and IRA/Keogh plan E&O coverage.
Crump Financial Services Inc., 565 Marriott Dr., Ste. 820, Nashville, TN 37214; (615) 885-0146; 800-473BANK; FAX 615-885-0230 (Janet Carmichael). Offers...