WFG Title A gents Insurance Program wfgagents.usiwfgagents.usi.biz/forms/WFG Title Agents...

WFG Title Agents Insurance Programwfgagents.usi.biz

About The ProgramAbout The Program

Partnership between USI and WFG

©2013 USI Insurance Services, Williston Financial Group. All Rights Reserved

American Land Title Association ComplianceAmerican Land Title Association Compliance

Best Practice No. 3: Adopt and maintain a written privacy and information security program to protect Non‐public Personal Information as required by local state and federal law

Best Practices of the ALTA

Information as required by local, state and federal law.

Purpose: Federal and state laws (including the Gramm‐Leach‐Bliley Act) require title companies to develop a written information security program that describes the procedures they employ to protect Non‐public Personal Information. The program must be appropriate to the Company’s size and complexity, the nature and scope of the Company’s activities, and the sensitivity of the customer information the Company handles A Company evaluates and adjusts its program incustomer information the Company handles. A Company evaluates and adjusts its program in light of relevant circumstances, including changes in the Company’s business or operations, or

the results of security testing and monitoring.

Best Practice No. 6:Maintain appropriate professional liability insurance and fidelity coverageinsurance and fidelity coverage.

Purpose: Appropriate levels of professional liability insurance or errors and omissions insurance help ensure title agencies and settlement companies maintain the financial capacity to stand behind their professional services. In addition, state law and title insurance underwriting agreements may require a company to maintain professional liability insurance or errors and

i i i fid li b d


omissions insurance, fidelity coverage or surety bonds

WFG Agents Insurance ProgramWFG Agents Insurance Program

Errors and Omissions (Professional Liability)$1 000 000 Coverage

Inclusive Of The Indicated Minimum Coverage:

$1,000,000 Coverage

Financial Institutions Bond/ Escrow Security Bond/Escrow Security Bond/Form 15 Bond$250,000 Coverage

Cyber Liability and Privacy$100,000 Coverage


Distribution Of ProgramDistribution Of Program

Extending Coverage To Agents


Title Agents Errors & OmissionsTitle Agents Errors & Omissions

Insuring agent’s duty to clients

• Provides coverage for errors and omissions and wrongful acts in the performance of professional services by any insured for a fee in the following capacities: title insurance agent, title abstractor, title searcher,

t l i t t bli fl d tifi ti escrow agent, closing agent, notary public, flood zone certifications, witness closer

• Lack of documentation is the most common reason for submissions of claims, however groundless accusations occur with regularity and incur cost of defensecost of defense

• Statutory limits vary by state

.


Fidelity BondsFidelity Bonds

Protecting Agent’s Assets

• Provides coverage for direct financial loss resulting from fraudulent or dishonest acts committed by any employee of the title agent acting alone or in collusion with others

• Most lenders and state regulators require fidelity bonds for title agents • Statutory limits vary by state• $50,000,000,000 stolen annually from U.S. businesses by their

employees• 7% of annual revenue is lost due to theft or fraud• 75% of employees admit to having stolen at least once from their

employer• 33% of all business bankruptcies are caused by employee theft33% of all business bankruptcies are caused by employee theft

Sources:Association of Certified Fraud Examiners, Easy Small


Business HR, Institute for Corporate Productivity, Jack L. Hayes International, Inc., Sept 2012.

Cyber and Privacy RisksCyber and Privacy Risks

Risks On The Rise

• Privacy coverage responds to costs resulting from a breach. These types of costs include but are not limited to fraud or theft. Much of the cost of a breach is a result of notification and public relations expenses,

ll l f b i d t t i h d t ti d t as well as loss of business due to tarnished reputation and systems interruption.

• Over 90% of U.S. organizations have experienced a breach• 75% of breaches are driven by financial motives• 66% of breaches took longer than 30 days to discover• 83% of small to medium sized businesses have no formal cyber security

plan• 71% of small businesses are dependent on internet for daily operation• Cyber attacks cost small and medium-sized business an average of

$188,242• Over 60% of maliciously victimized small to medium-sized companies

are forced out of business within six months of being attacked Sources:2013 Verizon Data Breach Investigations Report2011 NCSA/S t S


2011 NCSA/Symantec Survey2011 Ponemon Institute Perceptions About Network Security Survey

Insurance Placement NotesInsurance Placement Notes

Our Offer To Help


Who We AreWho We Are

O f th t t i b k i N th A iOne of the top ten insurance brokers in North America

Nationally, more than 4,000 employees in 126 offices across the country.Nationally, more than 4,000 employees in 126 offices across the country.

USI, headquartered in Briarcliff Manor, NY, is ranked 3rd in Insurance Journal's Top 100 P&C AgenciesInsurance Journal s Top 100 P&C Agencies

USI is the 2nd largest privately held insurance broker in the U.S.


Contact InfoContact Info


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