EXECUTIVE STRATEGIES, INC. APPOINTED APPROVED
CORRESPONDENT OF BROKERS AT LLOYD’S OF LONDON

FOR IMMEDIATE RELEASE
Contact: James C. Farber
(313) 881-8069

GROSSE POINTE, MICHIGAN; September 14, 2009: James C. Farber, Founder and President of Executive Strategies, Inc. (ESI) announced today that ESI has been appointed an approved correspondent of Rattner Mackenzie Ltd., brokers at Lloyd’s of London.

ESI, licensed in all 50 states and the District of Columbia, was formed in July 2000, as a specialty retail and wholesale insurance agency dedicated to creating custom insurance programs and executive liability products for underserved industries. In July 2008, ESI was named Program Administrator for the American Staffing Assurance Company program, underwritten by SPARTA Insurance Company.

The appointment by Rattner Mackenzie further strengthens the position of ESI as a leader in Program Administration services for niche industries in need of innovative risk solutions, especially those confronted with complex executive liability exposures.

For further information about ESI, please contact jimfarber@esi-us.com.

About Executive Strategies, Inc.

Executive Strategies, Inc. exists to be the optimal choice for our clients as their risk services provider. Our professional mission is to continuously reduce the ultimate cost of risk for our clients. We accomplish this utilizing a highly personalized service delivery system that seeks commitments to long-term, aligned interest partnerships that allow for the development of highly effective, continuous improvement based risk strategies. We maintain an unwavering commitment to honesty, integrity and the highest level of ethical behavior as we strive to be trusted advisors in risk to our clients.

A STAFFING COMPANY DILEMMA: THE “ACTION-OVER CLAIM”

Any staffing firm that does not know the bottom-line impact of an Action-Over Claim should rethink their relationship with their risk services provider.

The American Staffing Assurance Company partners with staffing firms that want to be aware of issues like Action-Over Claims and strive to be the “Best of the Best.” The unique ASAC “Product Follows the Process” methodology allows ASAC and its Exclusive Agents to provide consultative services to staffing firms at the highest corporate level, facilitating sound business decisions that contemplate a comprehensive understanding of the “Ultimate Cost of Risk” associated with those decisions. Over time, this “Aligned Interests” partnership allows ASAC insureds to consistently reduce their ultimate cost of risk, in a never-ending quest to achieve the lowest ultimate cost of risk possible and, in turn, profitably grow their business. An understanding of Action-Over Claims is just one area in which we educate our clients and is the topic of this article.

In every state, an injured worker’s “sole remedy” from their employer is through the Workers’ Compensation Act. Therefore, if a staffing firm’s employee is injured on the job, they are prohibited from suing their employer for damages because of the availability of Workers’ Compensation insurance. The Workers’ Compensation law does not, however, prohibit the injured worker from suing parties other than their employer. In many cases, the staffing firm’s client becomes the target of an injured worker’s suit. With the duty a staffing firm’s client has to maintain a safe working environment, under what is called the “Safe-Place-to-Work Doctrine,” the staffing firm’s injured employee can make an argument that the staffing firm’s client did not maintain a “safe place to work” and the employee was injured as a direct result of the unsafe work environment. This allows the injured worker to bring a suit against the staffing firm’s client and, frequently, these suits are for amounts well beyond the Workers’ Compensation payments made.

Once this action takes place, we have not only a Workers’ Compensation claim with the employer, but also a claim against the staffing firm’s client for bodily injury arising out of the “Safe-Place-to-Work Doctrine.” Little does the staffing firm employer of the injured worker know, but this is soon to become a claim against the staffing firm’s Commercial General Liability Policy. This is only true, of course, if the contract contains language that allows this shifting of liability.

Most staffing contracts contain an Indemnification and Hold Harmless provision stating that the staffing firm agrees to indemnify and hold their client harmless from claims arising out of the staffing firm’s work. In addition, staffing firms are often required to name their client as an Additional Insured under the staffing firm’s liability policies. By listing the staffing firm’s client as an additional insured, any legal actions against the staffing firm’s client for bodily injury are now covered under the staffing firm’s policy. Additionally, the Indemnification and Hold Harmless agreement obligates the staffing firm to be responsible for injuries arising out their work for their client.

So, if the injury to the worker arose out of their employment with the staffing firm and as a result the employee sues the staffing firm’s client under the “safe place to work” theory, once the staffing firm’s client receives the lawsuit, they tender the defense of the suit back to the staffing firm. If the staffing firm has coverage for contractual liability assumed by contract, as they should, their liability carrier is obligated to defend the staffing firm’s client and pay a judgment, if one is issued. This is what we call an Action-Over Claim.

Action-Over Claims are not new to the staffing industry. Fortunately, many staffing firms have not experienced this type of claim, but, those who have certainly realize the impact they can have on the bottom-line, especially in the scenario in which the staffing firm’s liability policy does not cover contractual liability assumed, and the staffing firm is left uninsured. In a perfect world, Workers’ Compensation would be enough for an injured worker. Unfortunately, we don’t live in a perfect world. The sad reality of these claims is that, despite the millions of dollars the attorney tells the injured worker they will receive, typically, the only one who prospers is the attorney. Once a judgment is rendered, and provided there is any award, the Workers’ Compensation carrier is first in line to be repaid for what they spent on the claim. Right behind them is the attorney, looking for their percentage. In the end, the injured worker often receives very little.

It is very important if you are a staffing firm to know what coverage is being afforded under your liability policy, and, more importantly, what is not being provided. Additionally, consistent with the ASAC “Product follows the Process” methodology, it is also crucial for staffing firms and the clients of staffing firms to understand the impact of their contractual agreements.

To learn more about this and other risk related issues facing the staffing industry, please feel free to contact:

James C. Farber, CIC, LIC
President
American Staffing Assurance Company
“Trusted Advisors to the Staffing Industry”
Office: (313) 881-8069
Mobile: (313) 550-8486

About American Staffing Assurance Company:

The American Staffing Assurance Company program exists to partner with staffing firms that strive to be the “Best of the Best.” The unique ASAC “Product Follows the Process” methodology allows ASAC and its Exclusive Agents to provide consultative services to staffing firms at the highest corporate level, facilitating sound business decisions that contemplate a comprehensive understanding of the “Ultimate Cost of Risk” associated with those decisions. Over time, this “Aligned Interests” partnership allows ASAC insureds to consistently reduce their ultimate cost of risk, in a never-ending quest to achieve the lowest ultimate cost of risk possible and, in turn, profitably grow their business.

AMERICAN STAFFING ASSURANCE COMPANY CREATES THE ASAC CENTER FOR STAFFING EXCELLENCE (CSE)

For Immediate Release

Contact: James C. Farber
(313) 881-8069

Grosse Pointe, Michigan; March 5, 2009: James C. Farber, Chairman of the Board and CEO of the American Staffing Assurance Company (ASAC) announced the creation of the ASAC Center for Staffing Excellence (CSE). Located in Troy, Michigan the Center for Staffing Excellence will be devoted to educational courses and programs designed to serve the staffing industry throughout the United States and Canada. ASAC is committed to being the "trusted advisor" to the staffing industry. To this end, the center piece of the course offerings will be developmental sessions entitled “You as a Trusted Advisor.” These sessions, along with courses in Communication Skills, Listening Skills and Management Training will be available to agents and staffing companies who are certified by ASAC and dedicated to the principals of excellence which distinguish ASAC from its competitors. The CSE will offer courses in May, September and November during 2009.

For further information about the Center or ASAC, contact staffexcel@asac-us.com.

About American Staffing Assurance Company:

The American Staffing Assurance Company program exists to partner with staffing firms that strive to be the “Best of the Best.” The unique ASAC “Product Follows the Process” methodology allows ASAC and its Exclusive Agents to provide consultative services to staffing firms at the highest corporate level, facilitating sound business decisions that contemplate a comprehensive understanding of the “Ultimate Cost of Risk” associated with those decisions. Over time, this “Aligned Interests” partnership allows ASAC insureds to consistently reduce their ultimate cost of risk, in a never-ending quest to achieve the lowest ultimate cost of risk possible.

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Do you ever sit up at night wondering:

What is Staffing E&O?

Why do I need Staffing E&O?

Is there a difference between Staffing E&O and Professional Liability Insurance?

Is it possible that the $10,000 policy I bought will exclude coverage when I have a claim because I bought the wrong type of policy?


If you are not sure of the answer to any of these questions, then you need to consider the American Staffing Assurance Company consultative methodology of addressing risk from a Board of Directors perspective. The American Staffing Assurance Company (ASAC) program is designed to educate staffing firms to reduce their ultimate cost of risk through a consultative approach in which “product follows the process.” The founders of the ASAC program in partnership with Executive Strategies, Inc. developed insurance policies with SPARTA Insurance Company to specifically address certain product needs of the staffing industry, tailoring coverage to staffing specific exposures. ASAC has also developed other products with additional insurers to address a variety of unique staffing exposures.

In the specific case of E&O coverage, the product offered by the ASAC program to address the E&O exposure is underwritten by Hiscox, rated A, XV by AM Best. ASAC is able to bring their staffing specific knowledge to the Hiscox underwriters, who have significant capabilities in the E&O arena, but look to ASAC and ESI for their staffing expertise. Together, we have developed a program that allows us to customize on an individual account basis what we believe is the right product for the needs of a staffing firm at the best price the market will bear. ASAC has similar arrangements with underwriters of EPL, Crime including Theft of Clients Property and Fiduciary Liability.


ASAC strives to be “Best of the Best” and to do that we must partner with “Best of Class” providers and insure only “Best of Class” staffing firms. We are confident that through partnering with only properly licensed and highly rated carriers we will consistently deliver excellence to our clients. Additionally, by only insuring staffing firms committed to being “Best of Class” we will be a long-term solution for the staffing industry, and as anyone knows, the only worthwhile insurer is one that is dedicated to the long haul.

To discuss this or any other risk related matters, please call ASAC President, Jim Farber, at (313) 881-8069. We look forward to hearing from you and appreciate the opportunity to be of service. We are here to serve and we aim to please.

New Insurance Company for Staffing Firms

American Staffing Assurance Company
1246 Berkshire Road
Grosse Pointe Park, MI 48230-1035

AMERICAN STAFFING ASSURANCE COMPANY ANNOUNCES UNIQUE PROGRAM TO INSURE STAFFING FIRMS

Contact: James C. Farber
(313) 881-8069
GROSSE POINTE PARK, MI, July 8, 2008: For years, the Staffing Industry has struggled to find insurers capable of providing the necessary liability protection and risk control services to help them lower costs and maximize their service to clients.
That’s about to change.
The American Staffing Assurance Company is the first insurance organization created solely to provide comprehensive insurance solutions for the Staffing Industry. Its wide-ranging Program now offers staffing firms a pro-active risk management strategy designed specifically by professionals with the creativity and considerable experience necessary to assist this underserved industry.
“Staffing firms have traditionally been treated poorly by the insurance industry,” says ASAC president James C. Farber. “With sound risk management, industry specific risk control services and people who know the business, we can help companies reduce their costs and increase profitability.”

Because the ASAC Program is an all-lines offering, tailored specifically to the staffing industry and implemented by professionals with knowledge of firms’ unique needs, it can target and solve the problems faced by companies that have varied, multi-state risk exposures. It is underwritten by the SPARTA Insurance Company, which is licensed in 52 jurisdictions and rated A- (Excellent) by A.M. Best, thereby giving firms coverage wherever their contract employees may be working.
The ASAC Program offers more than just an insurance policy, and that brings added value to clients. Through its partnership with Risk Control Services (RCS), the Program provides a comprehensive approach to help staffing firms manage their risks by assessing current circumstances and recommending best-practice strategies that limit exposure and provide long-term cost savings. By heading off potential problems and correcting previous troubles, ASAC can help firms operate more safely, effectively and inexpensively. That’s an advantage no other company can offer the Staffing Industry.
"Because ASAC was formed specifically for the Staffing Industry, we understand its unique needs and can implement strategies which will help firms demonstrate a commitment to safe business practices,” says Bill Secinaro, Chief Marketing Officer for the ASAC Program. “That is attractive to staffing firms’ potential clients.”

The ASAC Program is distributed through exclusive agents. These insurance professionals have considerable knowledge of the risk management needs and solutions for the Staffing Industry. Each agent’s vast experience allows him to fill the role of risk manager for a firm and provide ongoing support and service that anticipates and meets future needs.
That industry-specific service is the hallmark of ASAC’s approach and is born out of years of experience. In 1997, Farber developed a comprehensive (Property, Casualty, Workers Compensation) program for the National Technical Services Association that broke new ground and allowed technical staffing companies to reduce their liability and bolster their bottom lines.
“Our experience in this industry allows us to provide services which no one else can,” Farber says. “And because we know the unique challenges faced by staffing firms, and have made a long-term commitment to the industry, we can anticipate the needs of our clients and provide cost-effective solutions that will keep them clear of significant problems and allow them to work better with their clients to solidify long-term business relationships.”
American Staffing Assurance Company provides Staffing Firms with the education, tools and risk transfer solutions necessary to consistently realize their lowest ultimate cost of risk.

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SPARTA INSURANCE HOLDINGS

SPARTA Insurance Holdings, Inc. (SPARTA) was formed in March, 2007 to develop an underwriting company specializing in unbundled Alternative Risk Transfer ("ART") and Specialty programs for the commercial property and casualty insurance market in the United States.
In August 2007, SPARTA received regulatory approval from the Massachusetts Insurance Division to acquire a 52 jurisdiction licensed insurance company shell that it renamed SPARTA Insurance Company. Upon approval of the acquisition, SPARTA Insurance Company received an A-(Excellent) rating from A.M. Best.
Sparta Insurance Company has $255 million of statutory surplus, an A.M. Best financial size category IX.
SPARTA is an acronym for Specialty Program and Risk Transfer Alternatives. SPARTA's vision is to be the premier provider of customized unbundled program solutions. All insurance coverages are issued through SPARTA Insurance Company on a fully admitted basis.
The company operates in two niche property and casualty insurance segments:
Alternative Risk Transfer Programs ("ART") providing program level risk sharing through captive reinsurance

Specialty Insurance Programs ("Specialty") whereby the risk is fully retained by SPARTA
Programs typically average from $10 to $15 million in annual gross written premium and demonstrate a high degree of homogeneity by:
Industry Sector, or
Territory, or
Controlled Production Source
SPARTA's exclusive focus on and long term commitment to the unbundled program market, breadth of product offering along the continuum of risk sharing, unparalleled expertise, and leading edge technology have positioned SPARTA to become the carrier of choice in the ART and Specialty Program marketplace.
SPARTA is headquartered in Hartford, CT.


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RISK CONTROL SERVICES

RCS' operational consulting is based on a simple premise: when your product is people, control over workers compensation expenses translates directly into profitability. The mission of RCS is to help clients increase profitability by realizing effective control over what is one of a staffing firm's most significant costs after payroll.
Since its inception in 1990, 700+ staffing clients have enhanced profitability through RCS' Strategic Risk Management Consulting. The RCS staff, comprised of industry leading experts, provide consulting and field services in a multitude of staffing disciplines, as well as in other non-staffing related industries. RCS consultants boast credentials and field experience second to none, including: Certified Safety Professionals, Associates in Risk Management, etc..
Specific risk management training and programming is available to general industry and staffing sectors including: Healthcare, Professional & Technical, Hospitality, Drivers, Logistics, Engineering, Skilled Trades, Commercial, and Clerical. RCS programming provides the basis for nationally recognized certification programs.

RCS provides the structure to understand a staffing firm's exposure to loss. RCS analyzes all aspects of a staffing firm's operations and quantifies opportunities for control. RCS benchmark systems offer insight into loss prevention, loss control, corporate infrastructure and risk financing strategies.
Effective risk management is more than corporate policy; it is corporate culture. RCS Services provides ongoing assistance implementing risk management methodologies. Through interactive training, third party monitoring, online technology, accentuating products and outsourced safety services, RCS provides solutions for the continued development of risk management culture.


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