National Specialty Benefits Practice

1. National Specialty Benefits Practice Mike Dangler

2. National Specialty Benefits Practice • Mission Statement • To be the premiere National Accident & Health Practice • through team work, dedication and focus in providing • our client’s with the most comprehensive and • competitively priced programs in the market

3. National Specialty Benefits Practice • Michael P. Dangler • Senior Vice President - National Practice Leader • Specialty Benefits Practice Group (New York) • Michael Dangler, with over seventeen years of insurance industry experience, is the National Practice Leader of the WillisHRH Specialty Benefits Practice Group. Michael joined WillisHRH from Aon’s New York office where he served as Assistant Vice President and assisted in the development of the National Special Risk Division. • Some of the specialty lines of business Michael and the Specialty Benefits Group will focus on include, but are not limited to, Travel Accident Insurance, War Risk/Terrorism Insurance, Accidental Death & Dismemberment Insurance, Occupational Accident, Student/Sport Accident, Youth Group, CRAF Coverage, Crew/Seat Accident, Credit Card and Critical Illness Insurance Plans. • Michael’s focus is on expanding the product array and capabilities for National Accounts in response to continued client demand for innovative solutions to risk management challenges in this area as a result from market conditions and changes at the client in the management of these risks. • Prior to Aon, Michael was an Associate U.S. Manager for Accident & Health for Everest Reinsurance Company and was a Special Risk Underwriter for AIG. Michael received his Bachelors Degree from Drew University and his Masters in Government Administration and Economic Management from the University of Pennsylvania.

4. National Specialty Benefits Practice Services • Provide Detail to Respond to RFP’s • Policy Review • Plan Design • Marketing/Carrier Negotiations • Provide Comparative Data Analysis • Policy Issuance • Policy Invoicing • Policy Renewals • Plan Administration Assistance • Obtain 5500 Information • Secure Certificates of Insurance • Issuance of Summary Plan Descriptions

5. Corporate Business Travel Accident Plans Global Travel/Personal Accident Plans Group Personal Accident Plans Non-Contributory AD&D Plans War Risk Insurance Special Event Insurance Occupational Accident Insurance Youth Group Plans Sport Accident Plans Travel Assistance Plans Industrial Aid Plans for Corporate Aircraft (Crew/Seat Accident Plans) CRAF Mission Insurance Common Carrier Credit Card Insurance (TAI, CDW, LDW, Baggage, Trip Interruption/Cancellation) National Specialty Benefits Practice – Lines of Business

6. National Specialty Benefits Practice • Value Proposition – To WillisHRH Colleagues • Increased Revenue to WillisHRH/Decreased Work at the local level • Willis is currently the only major broker with a true National Specialty Benefits (Accident & Health) Practice that brokers upward of twenty lines of Accident & Health business. • The Specialty Benefits Group acts as a fully functional Accident & Health Department meeting the needs of our WillisHRH colleagues and client base on both a domestic base as well as international level through coordination with the WillisHRH London Accident and Health Group. • At the direction of the local office and/or producer, we may work directly with the client, work with the client and carbon copy the local client advocate on all correspondence; or act as a back office whereby all communication is handled by the local office/client advocate.

7. National Specialty Benefits Practice • The Specialty Benefits Group maintains all policies, market accounts, provides comprehensive data analysis, assist in the issuance of Summary Plan Documents, obtain Certificates of Insurance, secure information necessary to complete the Schedule A of Form 5500, handle day to day inquiries/endorsements and process invoices for all applicable accounts. All of the work is removed from the local office, though we maintain a continuous revenue flow back to the local office. Through our negotiated agreements with the principal A&H Carriers, any programs placed through the National Specialty Benefits Practice will receive an increase in commission. The local office will continue to receive their standard commission level, all work will be removed from the local office and any additional commission received above the standard will be applied to the National Practice.

8. National Specialty Benefits Practice • The Specialty Benefits Team assists the local offices in responding to RFP’s and is instrumental in acquiring/winning new business for the local WillisHRH offices, nationally. The SB Team maintains/handles day to day issues – respond to inquiries, policy endorsements, carrier negotiations, invoicing via PABS, resolving accounting issues as well as marketing/renewals on existing accounts. • Excellent conduit between Risk Management (P&C) and Human Resources (EB) • Promotes cross-sell opportunities

9. National Specialty Benefits Practice • Having accounts maintained by SB assists the local EB office to provide their clients with the expertise in a niche market while allowing the local office to focus on the maintenance and production of their core EB products. • The Specialty Benefits Group currently maintains accounts that have as few as five participants to as many as 30 million. The Specialty Benefits Group will work on any/all group accident lines of business

10. National Specialty Benefits Practice • Value Proposition – to EB Clients • Willis is currently the only major broker with a dedicated National Specialty Benefits Group; • The fact that Willis has consolidated all of our Special Risk products under a single group allows us to more effectively review and market all of our client’s coverage's in a single “package” to national carriers and work aggressively on our clients behalf to obtain competitive pricing, terms and conditions; • Our policy review service typically produces both savings and improvements in coverage. We can always find ways to improve virtually every BTA program we analyze;

11. National Specialty Benefits Practice • Combining BTA and ADD, a Willis specialty, generally produces savings that often amount to as much as 20% savings; • Our Group includes individuals with backgrounds in all aspects of Specialty Benefits business from brokerage to underwriting to reinsurance; • We take the time to develop a custom approach, have the skills to design comprehensive programs and work closely with the markets to bring the client competitive results.

12. National Specialty Benefits Practice • Product Packaging - Reasons To Consolidate All AD&D Plans With A Single Carrier • It is important to note that AD&D coverage's, regardless of the type (Business Travel, Non-Contributory AD&D or Personal [Supplemental] Accident Insurance Plans) are impacted very heavily by volume. The larger the total volume of AD&D placed with a carrier, the larger the volume discount the carrier is willing to apply to the rates of these plans. The discounts can be applied to lower premiums, purchase additional benefits or a combination of both. • Additionally, since Group AD&D plans, either voluntary or non-contributory, generate greater volumes and a better spread of risk the packaging of all AD&D plans, tends to lower losses, which benefits all parties.

13. National Specialty Benefits Practice • Placing all of the traditional AD&D programs with a single A&H carrier can usually lower the cost of each plan upwards of 20%. We recommend the use of traditional A&H carriers as opposed to Group carriers due to the fact that A&H carriers have greater expertise with these products and a greater volume of same. The packages offered by A&H carriers tend to be more up-to-date and generous in comparison to other markets. • Product Packaging provides: • Consistency in policy provisions, terms and conditions – prevents gaps in coverage due to differing contract conditions • Simplifies claims reporting and adjusting – one claim form, one set of documents, one adjuster rather than three to deal with and satisfy. It avoids conflicts, lawsuits and speeds payment

14. National Specialty Benefits Practice • Simplifies administration – one carrier to deal with, one administrative manual and one set of policy forms. One renewal for all plans • Booklets/SPD’s are simplified since contracts contain the same language and provisions • Product packaging represents a win/win situation for the Policyholder and its Employees: • Lower cost and reduced administration • Lower cost and broader, clearer coverage for employees

15. National Specialty Benefits Practice • Why BTA? • Group Travel Accident Insurance Programs are designed to provide accidental death & dismemberment insurance protection for employees who are exposed to additional risk by traveling on behalf of the company. The purpose of a business travel accident insurance policy is to (a) supplement the current benefit structure (b) enforce the company’s commitment to the care of their employees and their families (c) provide high limit benefits for a comparable low cost and (d) reduces the risk against potential litigation. The benefit(s) included under the travel accident insurance plan are payable in addition to any other group or individual plan. • .

16. National Specialty Benefits Practice • In the United States nearly 90% of companies have a travel accident insurance plan in effect for their employees. The events of 9/11 have dramatically changed the landscape for Corporate Accident Insurance Plans. In fact, many Policyholders are assessing their travel insurance coverage's in relationship to how they respond to situations involving war, terrorism, bomb explosion and felonious assault. • It is crucial to understand the major differences in the positions various carriers are taking regarding the terms, conditions and pricing of the programs.

17. National Specialty Benefits Practice • How to engage your client: • Ask if their employees travel on business • Ask if they currently have a BTA policy in place • Offer a free analysis of their current program (forward a copy of the contract to the National SB Practice for suggested improvements/modifications to offer to your prospective client)