Bankers understand risk management. That’s what the business of banking is all about, after all. Bankers accept the risk of protecting their customers’ funds and manage the risk of extending those funds out as loans to build the community. Without effective risk management, no bank can be successful.
That’s why Wisconsin Bankers Association wholly owned subsidiary WBA Employee Benefits Corporation (EBC) partnered with the Minnesota Bankers Association nearly a decade ago to form Midwest Bankers Insurance Services LLC (MBIS). This partnership created an insurance agency dedicated to providing community banks with comprehensive insurance options.
As an association-owned entity, ultimately the revenue generated by MBIS flows back to support the overall mission of WBA, which is to support you, our member banks. Another advantage of working with MBIS: we serve only you. The banking industry is the only market MBIS serves; its products are specifically tailored to banks’ insurance needs. All of MBIS’ financial products are designed to protect banks, their officers, directors, and employees from disasters of all kinds.
Because MBIS is owned by your association, you can rest assured we’re working on your behalf and you can contact us with concerns. For example, recently, we have fielded questions from bankers wondering about the impact of the current pandemic on pricing for their D&O liability policy renewals. Some experts have stated they expect increases of nearly 50% as a result of emerging claims related to COVID-19.
Our response: while the D&O markets are a bit shaken right now, the banking sector has not seen the significant premium increases other areas have. However, some carriers are tightening in various ways, including more disciplined risk selection, increased retentions, lack of three-year prepay options, and narrower terms and conditions.
MBIS’s lead D&O carrier, AmTrust, continues to offer broad terms, conditions, and less-than-market pricing with three-year prepay options. The MBIS-negotiated D&O forms have been broader than what we have experienced with policy forms negotiated by other agencies.
For more guidance and insight like this, you need to work with an agency that knows banking as well as it knows insurance. That’s MBIS.
Find out how MBIS can help your bank manage risk, and join our over 200 bank clients in Wisconsin, Minnesota, and North Dakota in enjoying peace of mind. Contact Jeff Otteson at 608-217-5219 or firstname.lastname@example.org today.
Lund is WBA executive vice president – chief of staff and president of EBC and MBIS.
By, Amber Seitz