Special Section sponsored by

The State of the Association

Still comparatively young—having been chartered just eight years ago in 2001—the Target Markets Program Administrators Association (TMPAA) has become one of the insurance industry’s most active and vibrant organizations.

“We are very excited about where we are—and about where we’re going,” exclaims William Kronenberg III as he nears completion of his first year as the association’s president. “Our growing membership reflects the fact that Target Markets strongly stands by its mantra to be a working, active association dedicated to avoiding fluff. Instead we operate as a working organization that provides solid value to our members. We’re here to get things done.”

Bill Kronenberg, a Target Markets charter member and long time association official, is currently a principal with Fresh Start Development Company, LLC, of Exton, Pennsylvania. He is also a member of the Glatfelter Insurance Group board of directors and he is on the Max Capital Group, Ltd., board of directors.

As testimony of TMPAA’s good health Kronenberg points to attendance totals at its mid-year meeting this past April in Baltimore. “Most industry groups who meet annually have suffered attendance declines during this era of economic setbacks. Everyone is cognizant of the costs of travel and time away from the office. But we enjoyed a registration increase of between five and six percent. During the past year our total membership expanded beyond the point where we thought we might grow. We now have approximately 200 program administrator [PA] agencies and brokers, 50 carrier partners, and roughly 50 vendor members whose products and services are specifically geared toward PAs.”

Recognizing that national conferences are essential for agencies, carriers, and vendors to network together, TMPAA schedules two meetings annually. Its national Summit is conducted in Arizona. This year’s 9th annual Summit will take place at the Hyatt Regency Scottsdale on October 26-28 where, among other key business presentations and numerous networking opportunities, past year association developments will be reviewed and some new initiatives will be introduced.

Target Markets University, a concept that’s been explored in preliminary stages, will be outlined more fully in Arizona. Greg Thompson, immediate TMPAA past president, has formalized the plan that will offer 12 courses which, in concept, are designed to cover the entire range of underwriting, coverage, actuarial, legal, marketing, contract work, and beyond. The “university” will enable members to earn designations in topics oriented toward program administrators’ core endeavors, and ultimately to enhance their business abilities.

Another Target Markets objective to be introduced at the October Summit is the creation of a focus group featuring younger members of the association. This effort’s mission is to allow program administrators to find and explore enriching aspects for younger TMPAA professionals who will be key players in future years.

“This is pretty much a new venture,” says Kronenberg. “We call it ‘Leadership 2.0.’ It’s clearly a major plus for the association. These young ladies and gentlemen will be stepping up, and our intention is to reach out to them now—not later. Their presence within our organization is very important.”

Upon assuming the Target Markets presidency last year, Kronenberg announced plans to introduce a comprehensive questionnaire designed to elicit pros, cons, and recommendations from the TMPAA membership. The questionnaire invited respondents to outline their thoughts on matters such as types of speakers preferred at national meetings, and on the subjects they felt important to be modified and addressed. Association officials are constantly concerned about providing value to the membership. Feedback from the questionnaire, and from formal and informal meetings, generally confirms that members do, indeed, receive valuable information and the opportunity to develop important business relationships and rapport by attending the association’s national meetings.

Last year new technology for communicating with the TMPAA membership was forecast. It is now in operation. The association launched a networking Web site, and someone new joins nearly every day. This networking opportunity has already proved to be a significant asset.

The program administrator and carrier relationships and partnerships are major areas of continual scrutiny by Target Markets. Helping to nurture such partnerships was a key goal when the association was founded nearly a decade ago. Assisting and encouraging agents and carriers in building their joint program business remains a prime objective.

Carriers have learned that agencies can deliver good specialty underwriting and distribution talent which they can tap. As a result several carriers have recently requested TMPAA membership enrollment forms. The current economic climate seems to be a factor in pointing both PAs and carriers toward decisions about partnerships. Agents might be looking at more than one carrier—not necessarily toward jilting a current partner—but in recognition of a need to expand and grow. Perhaps multiple carriers can help them achieve such growth. Carriers often look toward program administrators for expansion and for help in stabilizing their positions in today’s tough economy.

“Both sides of the agent/carrier partnership are recognizing the need for multiple business relationships,” confirms Bill Kronenberg. “Sometimes it’s difficult to accomplish that because of, perhaps, geography or maybe the size or the nuances of the coverage. It can be tricky. But the old adage applies to both carriers and program administrators: try not to have all your eggs in one basket.”

The development of new long-term agent and carrier relationships each year echoes the TMPAA’s mission—providing numerous modalities of interaction between carriers and program administrators in an effort to expand ways for the association’s members to network and share information to improve their program business operations.

In today’s challenging marketplace, and with a grateful nod toward our growing and active membership, we can point with pride and confidence to the solid state of the Target Markets Program Administrators Association.