February 2022 Edition

Kristen Gruber, President of iA American Warranty Group, addresses the agent conference.

Highlights From iA American LIVE!, Our Very First Agent Conference!

From February 9th – 11th, we held our first-ever iA American LIVE! event, bringing together approximately 70 agent-partners and iA American’s leadership and Sales team for an important conference focused on learning, discussion, and camaraderie.

Held at the luxurious Eau Palm Beach Resort in sunny Palm Beach, Florida, iA American LIVE! was a great opportunity to meet with our agents and listen to their kudos and concerns, and to share information about our products, our services, and our company’s vision for the future. Best of all, nine agencies were inducted into the iA American Winners’ Circle, and one very special agent received a Lifetime Achievement Award! (Please see separate story, below.)

Kicking us off was iA American’s President, Kristen Gruber, who thanked everyone for their business last year, and said, “I want to assure everyone that although we are leaving the legacy names of SouthwestRe, IAS, and Service Group behind, we are going to keep and protect the very best of what each of our legacy organizations brought to the table, especially the great service and small company mindset that our agents have come to love.”

Kristen also shared her top six reasons agents should choose iA American, including having:

A partner with the strength, stability and scale to withstand inevitable bumps in the road
A culture that attracts and retains the best talent to serve you better
The unique advantage of Toro, the best admin system in the business
An internal Sales Operations team designed to help our agents grow their business
A partner with its own “A” rated insurance company, which allows it to focus on agents’ priorities with speed and efficiency
The best Claims Department in the business, so agents can be confident their dealers and contract holders will always be taken care of

Kristen ended her remarks with a promise: although no company is perfect, iA American will always be relentlessly focused on delivering nothing less than great Client Experiences for our agents, dealers, and contract holders.

Right after Kristen, special guest United States Air Force fighter pilot, Lt. Colonel Dan Rooney, gave a motivating and inspiring speech on the power of making your own luck by taking control of your actions. After his talk, he stayed behind to sign his book “Fly Into the Wind,” resulting in a long line out the door. A 15-minute break scheduled after his speech soon became a 45-minute break, because so many people wanted to get a book and have it signed by him.

The packed agenda included two full days of in-depth presentations, including a Claims Overview by Doug Guziec (see Claims Stats section below to download a copy), an overview of our VSC, Ancillary and RV products by the Sales team, Wealth-Building Opportunities by Kirk Borchardt, The Evolving Digital Landscape: Harnessing 1P Data to Thrive by Tony Carroll, Introducing iA American Training Institute by Tony Dupaquier, and How to Lead on the Battlefield of Business by the incomparable Frenchy Mélon.

To get a taste of everything that occurred during iA American LIVE!, a PDF of the agenda is available by clicking here.

To view photos taken during the event, please click here.

After the show was over, we were fortunate enough to get some great feedback from many happy agents. Here’s a sampling of what they said:

“I think content-wise, this particular conference was incredible, focusing on the reinsurance aspects, all of the new products coming out, and learning how iA American is putting IAS and SouthwestRe together. It was great to learn. The speakers were motivational, and it’s been a great experience.”

“I’m just so impressed with the talent that you have. The talent has been out there for so long, and now it’s coalesced into an organization that can really help us go to the next level.”

“I’m very excited to have iA American as an agency partner, because I’ve worked with almost every provider in the industry. There’s always good things about them, but what sets iA American apart is the ethos of the company and what they believe is most important, which is putting people first and integrity first. You all have a team of tremendously talented, intelligent people to support the best products in the industry. What sets you apart is your service, and the team you have backing you, and you can’t ask for better than iA American. They stand alone at the top.”

Thank you for those very kind words! We look forward to seeing all of you again next time at iA American LIVE!

Carmen Torres, Glenn Nielsen, and John Lutman congratulate Jim Tansey on his iA American Lifetime Achievement award.

Congratulations to the 2021 iA American Winners' Circle Award Inductees, and Jim Tansey for His iA American Lifetime Achievement Award!

Each of them received an invitation for two for a Los Cabos getaway at a 5-star private resort!

During our recent iA American LIVE! agent conference, we had the great pleasure of inducting nine agencies into the 2021 iA American Winners' Circle, and awarding long-time partner Jim Tansey with a Lifetime Achievement Award!

In addition, each of the Winners’ Circle inductees and Jim Tansey received invitations for two to a Los Cabos getaway! The One&Only Palmilla is a legendary Forbes 5-star private resort filled with glamour, beauty and Mexican charm. iA American will provide them with four nights of ocean-front guest accommodations from Tuesday, March 22nd - Saturday, March 26th!

During the conference, Carmen Torres was proud to announce the each of the Winners' Circle inductees, presenting each with a beautiful engraved crystal award:

2021 Top VSC Agency: Insured Services
2021 Top VSC Agency: F&I Solutions Group, LLC
2021 Top Ancillary Agency: Brown & Brown of KY Inc.
2021 Top Ancillary Agency: Gulfstream Partners, LLC
2021 Top Income Development Agency: Continental-National, LLC
2021 Top Growth Agency: Melhus Enterprises, Inc.
2021 Top Growth Agency: Automotive Reinsurance Concepts
2021 #1 Overall Producing Agency: Austin Consulting Group, Inc.
2021 Top Woman Owned Agency: Jessica Mélon of Keystone Dealer Solutions

In appreciation for over 25 years of business with our company, Carmen presented Jim Tansey of Responsive Automotive was presented with a beautiful iA American Lifetime Achievement Award! Jim was kind enough to come up on stage and share some great comments. To read our recent agent interview with Jim, please click here.

"I was honored to help present the first ever iA American Winners Circle inductees," said Carmen Torres, Senior Vice President of Agent Sales. "All winners were selected based on a strict evaluation of their book of business with iA American. Regardless of their territories, product niches, or agency size, they all have something in common – they’re an elite and influential group, committed to the long term growth and success of their dealer clients, and work tirelessly to secure those relationships. I look forward to seeing many others join the esteemed iA American Winners Circle!"

To view photos taken during the event, please click here and choose "More" and "Winners' Circle Awards" at the top.

To see examples of both awards, please click here.

Congratulations, everyone! Thank you for everything, and enjoy your trip!

2021 Tax Updates and the Implications for Reinsurance

As you may have heard, in the last quarter of 2021 Congress ultimately backed away from proposed tax law changes that could have affected the taxation of dealer-owned reinsurance companies and/or the taxation of distributions to shareholders of those companies.

In the end, the tax attributes in 2022 for reinsurers taxed under Internal Revenue Code Section 831(b) and their shareholders will remain as they were in 2021, except as noted below:

The IRS increased the maximum annual premium limit for Section 831(b) reinsurers in 2022 from $2.4 million to $2.45 million (See Rev. Proc. 2021-45.36)
The corporate tax rate on the taxable investment income of Section 831(b) reinsurers will continue at a flat 21% rate
The dividends paid by Section 831(b) reinsurers to their shareholders will continue to be treated as “qualified dividends” and taxed at the capital gains rates shown below
A gain received by a shareholder from the receipt of a liquidating distribution made by a liquidating Section 831(b) reinsurer will continue to be taxed as a capital gain at the 0/15/20% rates, with the income brackets shown below

To see a larger version of the table below, simply click on it. Please contact us f you have any questions or concerns.

2022 Long-Term Capital Gains and Dividend Tax Rates:

iA American’s Next Agent Spotlight: Classic Care!

Please join us online on Friday, April 1^st

This time, we’ll be sharing details about a great program we launched at our recent Agent Conference: iA American’s Classic Care VSC!

Classic Care covers ALL of the components of the customer’s vehicle if there’s ever a mechanical breakdown. The only exclusions are items listed in the “What Is Not Covered” section of the service contract. Also covered are common “wear & tear” components, including the battery, belts and hoses, brake pads, rotors and much more. Even headlamps and wiper blades are covered!

As if that wasn’t enough, Classic Care offers a suite of helpful benefits, including rental car reimbursement, trip interruption, emergency roadside assistance, lock-out, PDR, windshield repair, and key replacement.

For a deep dive into Classic Care, including terms and eligibility, don’t miss our next Agent Spotlight!

Meeting times: 8:30 a.m. CST / 9:30 a.m. EST, or 11:30 a.m. CST / 12:30 p.m. EST.

Thank you in advance for your participation. Please contact Glenn or Matt and let them know if you have any questions or need assistance joining in.

Glenn Nielsen: [email protected]. 512.799.8697
Matt Romanowski: [email protected]. 443.880.0918

Upcoming iA American Training Institute (iAATI) In-Person Training Opportunities

Balancing the importance of profitability in the dealership with today’s increasingly stringent legal climate require having the right training and processes for successful product sales. Let iA American Training Institute assist your dealerships with training opportunities that fit their needs and their schedules:

T.U.S.K. F&I School

Course description: This class introduces a progressive and innovative curriculum that is designed for business managers at every level. It teaches our customer-centric F&I process, designed by our trainers and intended for today’s more informed, better educated customers. Consistent role-play is implemented to ensure full understanding of the material covered.

iAATI Training in Austin, TX

When: Tuesday, March 8 through Friday, March 11

Where: Lone Star Court at the Domain

To Register: Please click here

iAATI Training in Oklahoma City

When: Tuesday, April 12 through Friday, April 15

Where: iAATI Training Center

To Register: Please click here

For more information about iAATI training opportunities, please call or email your sales rep, or contact:

Tony Dupaquier | North American Training Director

[email protected] | 512.542.1669

Mike Holliman | National Director of Training
[email protected] | 918.361.4524

Register Now to Win! Agents Who Attend iA American's Party During NADA Could Win an Electric Guitar Signed by Ron Wood and Charlie Watts of the Rolling Stones!

Save the date, classic rock fans! Although iA American will not have a booth this year during the NADA convention, we are looking forward to celebrating with you at an exclusive private party on Friday, March 11th from 6-9 p.m. at On the Record!

In addition to lots of food, fun, and sensational musical entertainment, registered guests will have a chance to win an electric guitar personally signed by Ron Wood and the late Charlie Watts of the Rolling Stones! As Charlie sadly passed away last August, this guitar is already quite a collector's item.

In addition to the party, we have also reserved a hospitality suite in the Park MGM Conference Center - Level One. If you would like to meet with us during the convention, simply let your sales rep know what time is convenient for you, and they'll be happy to set it all up!

You must be present and registered to win, so send an email with your name and contact information today to [email protected].

See you soon in Vegas!

Register Today for Big Savings on EFI Con 2022!

Sponsored by iA American Warranty Group

iA American would like to invite you and your dealers to join us at the Ethical F&I (EFI) Managers Conference from April 19-21 at the Embassy Suites in downtown Denver. EFI is the only dedicated forum to benefit the advancement and interest of the F&I office, with a foundation of ethical and moral principles, and profitable practices.

ACT NOW! REGISTER TODAY!
Early bird registration is currently open through February 28.

iA American is offering $100 OFF the cost if you register by March 21 and use the code IAAWG.

Example: $449 regular price, $249 early bird, $149 discounted price.

For complete details and to register, use the QR code below or click here. We hope to see you there!

Women in F&I: Ignite Your Automotive Career

By Arielle Vaughn

Women have proven to be highly successful in the F&I office, but few actually aspire to become finance managers. Why is that, and how can we change it? Not only does it benefit the dealership, but spending time in F&I can be the key to moving forward in any career.

According to the U.S. Department of Labor, the last 100 years have seen the majority of women in the workforce (52.8% in 1920 and 69.8% in 1950) occupying roles such as secretary, teacher, bookkeeper, nurse and “private household worker” — all admin, support or caregiver roles. Accordingly, women who work in dealerships are most commonly seen in admin or support roles. Despite a slight downturn in these numbers, it is still rare to see women in sales, F&I and leadership positions in dealerships.

Two common objections women have to the F&I office include the dealership culture, in which there is little representation of women leaders, and the hours, since F&I managers often work up to 15 hours a day, six days a week. Another barrier preventing women from entering F&I is that of imposter syndrome, a topic that has been more and more commonly discussed in recent years.

Imposter syndrome is “the persistent inability to believe that one’s success is deserved or has been legitimately achieved as a result of one’s own efforts or skills.” Women in all industries and careers can (and do) experience imposter syndrome. However, many of the skills required for admin and service roles translate directly to the F&I office, proving that women are qualified. To begin moving more women into F&I, we must address imposter syndrome: show women they belong, include them in management meetings, listen to their feedback and ideas, and encourage their professional growth and development.

More women in F&I can positively impact a dealership’s bottom line. According to Forbes, women are more likely to close a deal than their male counterparts, and they also tend to outperform them. Additionally, having a more diverse team helps you “better connect with your customers” because they represent a large portion of any dealership’s customer base, can provide different perspectives, and often have a natural ability to “build trust, nurture relationships, listen and provide recommendations” (Forbes). Without starting a battle of the sexes, suffice to say that women have a lot to offer in the field of F&I.

In addition to the contributions women can make in an F&I role, they can also derive many benefits. Along with various industry and dealership perks, a career in F&I can prepare you for almost any opportunity moving forward. It provides you with a management title and leadership experience; networking opportunities across many fields and industries; legal experience and familiarity with the CFPB, FTC, state and federal laws; the confidence to present complicated information to consumers; insight into and understanding of dealership operations and an understanding of how different teams integrate; as well as a thorough understanding of credit bureaus and credit reports.

This experience, in turn, proves to future employers that you are trustworthy (handling legal contracts and large sums of money), demonstrates your ability to lead and work with people, strengthens discipline and translates to a myriad of other industries: title and registration agencies, compliance and regulatory industries, risk management, insurance, product and training companies, real estate and more. The bottom line is, there’s no reason why women should not go into F&I. Don’t be afraid to pursue a career in this field — you can find great success in this role, and it will open doors and provide countless opportunities for your future.

Arielle Vaughn is a Training and Development Specialist for iA American. This article originally appeared in the February 2022 edition of Auto Success Online.

iA American Claims Performance for January 2022

To download a copy of Doug Guziec's iA American LIVE! Claims Overview presentation, please click here.