Building New Bridges for U.S.-London Market with the CHART-Exchange

Glenn's background in addition to being the founder of Target Markets sets the stage for the CHART-Exchange. He is the owner and president of Delaware-based Rockwood Programs, an administrator of several nationwide manage­ment liability programs distributed through agency retailers, including Employment Practices Liability, Not-For-Profit Directors & Officers Liability, Insurance Agents Errors & Omissions, and Medical Malpractice. The company also maintains a separate E&S brokerage operation and provides marketing services to insurance carriers. Prior to Rockwood Programs, Glenn held executive-level positions, including for AIG, INA (now ACE), and Allstate Insurance Company. While at AIG, Mr. Clark served as President of UNAT Direct in Paris, a company subsidiary that marketed insurance and financial services to consumers in a number of European countries.

Annie George (AG): "What is the genesis of the CHART-Exchange?"

Glenn Clark (GC): "In May 2014, we attended a dinner at a meet-the-markets event in Boston with the new CEO of Lloyd's of London, Inga Beale, who was charged with developing new business approaches for the oldest branded insurance name in the world. Listening to her struck a chord with me. The opportunity we saw was similar to what we did with Target Markets. We researched the London market and learned there were 1,300 U.S. coverholders that hold the pen with London syndicates. We had already been doing business with London for 14 years and realized there were gaps and room for improvement for coverholders and risk takers to help each other...thus the idea of the CHART-Exchange. There was no other entity exclusively dedicated to facilitating new ways to do new business between these two groups."

The idea behind the CHART-Exchange is simple. A coverholder who has the pen for London is the equivalent of a program manager holding the pen for a U.S. carrier. A risk taker is the London syndicate with the authority to grant you the pen, equivalent to a U.S. program carrier. "The goal of the CHART-Exchange is to bring together these decision makers to develop ideas and products, establish new relationships and make deals. It's a forum for them to interact directly," explained Glenn.

For the first summit taking place this October, Glenn is looking to have 500 attendees made up of 100 risk takers from different Lloyd's syndicates, 250 current coverholders, 100 potential coverholders and 50 selected vendors with London strategies.

"We will have the very best practitioners in the insurance world gathering together and building new bridges for increased commerce growth between London and the U.S.," said Glenn.

AG: "How was the CHART-Exchange concept received by the London market?"

GC: "In March we visited London to sell the concept during 35 back-to-back meetings within one week with 30 different syndicates. Every single meeting went the same way, with risk takers first looking at us as if we were a bit crazy. London has been doing business many of the same ways for over 400 years. Business is brought to the syndicates via intermediaries (brokers) and it has worked well. We are now saying, let's add an element of "hunting" into your new business acquisition - let's put another arrow into your quiver. We want to create a flow of people for them [risk takers] to go after. You have 93 syndicates at Lloyd's and thousands of retailers and wholesalers here in the U.S. that would love to talk business."

Indeed, by the end of each of Glenn's one-hour meetings, most syndicates were ready to sign up for the two-day summit. They "got what CHART was looking to do". When asked about whether brokers would be attending, Glenn noted he wanted this meeting to be unencumbered by the possibility of muted conservations or intermediaries looking to protect relationships. "We love brokers and want them involved once the deals are made, not before," said Glenn. "Let this summit be a think tank of ideas and if there is a meeting of the minds, you're free to do business with anyone you want.  Choose the broker both sides feel will bring the most value."

AG: "What will be taking place at the summit?

GC: "There will be two keynote speakers, 40 workshops, panel discussions, an incubator and testing lab for new ideas and products, networking events, and venues for private appointments. We'll also have a Shark Tank (Dragon's Den for the Brits) competition for best new product/marketing idea to have a little fun. Workshop topics will include issues relevant to individuals who already do or are looking to do business with London. These include topics on how to turn your underwriters into production underwriters; the Lloyd's coverholder process; M&A issues to consider; alternative risk transfer options to evaluate; advances in standard and surplus lines licensing; U.S. and London reinsurance markets; claims handling; and new technologies applicable to U.S.-London business; among many others. Panel discussions will feature top syndicates with a Q&A forum and vendor partners who will provide information on successfully promoting business. There will be opportunities to connect in the risk taker lounge, make appointments for future discussions and make as many contacts as possible."

The opening keynote speaker is Jeff Tobe of Color Outside the Lines. Tobe motivates and empowers individuals to look at things from a different perspective. "We want Jeff to help everyone attending to strip themselves of their preconceived notions, to keep their minds open and learn something new. The idea is for everyone to walk out with 50 new contacts and perhaps 10 new business ideas." But, Glenn emphatically stresses: "You have to have a CHART mindset to come to the event prepared to give up something, too. Perhaps you'll do a presentation, maybe you risk an idea to test in our incubator (the ‘shark tank') or provide 10 contacts to invite to the meeting. You are giving up something of value in order to gain something of greater value. The ones who contribute the most to CHART will also gain the most by attending."

Mark Cloutier, CEO of Brit Holdings, will be the featured keynote speaker on day two of the summit. Cloutier was selected because of his background, which touches upon all four audiences for which the summit is designed. He is a high-profile risk taker at Brit, has worked in reinsurance and as a coverholder and potential coverholder and vendor. "Mark understands the importance of interdependence between all parties," said Glenn. "What's more, as a Canadian having worked in the U.S. and now as a CEO in England, he brings a unique cross-cultural perspective. He can speak to why we need each other, that the alliances we form make us all stronger."

In fact the whole idea of interdependence has taken a life of its own with the CHART-Exchange. "We're inviting England back to Philadelphia," explained Glenn. "We have a "Declaration of Interdependence" that will be signed by the first 500 - our early adopters - who register for the summit. "We are making it fun and productive."

AG: How is registration going for the CHART-Exchange?

GC: "The inaugural event is being well received by risk takers, the smaller hungrier coverholders and potential coverholders. We are in the middle of reaching our goals and will diligently work to complete our 500 early adopter goal. We began in April with London and have 30 syndicates that yielded 70 risk takers committed to attending the CHART-Exchange to date. We started reaching out to coverholders and potential coverholders in May and have nearly 250 responses already expressing interest in learning more.

We have people coming who don't understand the London market (yet want to) and we have those who already access London but want to do more in the space.  One challenge we're having is with the very large coverholders in the U.S. - those that may have $100 million in business with London and are questioning why they should attend. The summit for these coverholders can be a place to find new producers in the U.S., meet syndicates they may not know, identify potential acquisitions or mentor someone else to get into the game.

AG: Can you tell us who some of your early adopters are? 

GC:  "Absolutely. Nothing happens without a dedicated team. Our first sign-ups in each category were:

Risk Taker: Richard Bryant of the ARK

Coverholder: Brian Norman of Norman Spencer

Potential Coverholder: Chris Paradiso of Paradiso Insurance

Vendor Partner: Steven Ahern of Iris Insurance Brokers

"Our early adopter team includes some larger coverholders like Geof McKernan of NSM and Randall Goss of U.S. Risk. Vendor partners like ProgramBusiness.com, Wilson Elser and State National see the value of what we are trying to create. We've spoken to insurance Networks like SIAA and BIGN (Scott Addis) about utilizing the CHART-Exchange to develop cogent London strategies with top decision makers.

"Forty percent of Lloyd's business is in the U.S. with 55% of Lloyd's global coverholder business written here. Yet there's no current forum for coverholders and risk takers to meet face-to-face with the goal of making direct new business connections. We're dedicated to changing all of that."

In fact, ProgramBusiness.com is helping with the CHART-Exchange, reaching out to its membership base of program administrators and managers about this exciting new venture. Registration for the CHART-Exchange before July 4^th is $950; effective July 5^th it will run $1,000. You can find out more about the CHART-Exchange here or contact Glenn at info@chart-exhange.com or at Glenn.Clark@rockwoodinsurance.com.