Hotchkiss Insurance Agency, Inc. Approved to Form Green Industry Workers' Compensation Group...

Business Editors

DALLAS--(BUSINESS WIRE)--Feb. 10, 2004

Texas Green Industry Will Now Have a Competitive Option

for Workers' Compensation Insurance

Hotchkiss Insurance Agency, Inc. (HIA), a leading provider of insurance services to the building industry and

related trades in the State of Texas announced today that the Texas Department of Insurance has approved their application to form and maintain the Texas Green Industry Workers' Compensation Group. The purpose of the group is to create a workers' compensation (WC) purchasing group to provide the members of the Texas green industry with a competitive option for acquiring workers' compensation insurance. The green industry consists primarily of growers, landscape contractors, retail nursery, and allied green industry businesses.

The purchasing group combined with management training and a safety program will be part of a comprehensive program designed for the benefit of green industry members and their employees. With the support and resources of HIA, the Texas Green Industry Workers' Compensation Group will provide value added benefits to members of the green industry. Among one of the benefits is a customized safety training program that will be available to members to promote better industry safety practices. The primary benefit of the group will give members the ability to qualify for a premium discount.

"This program is a direct response by the insurance industry to the ever-increasing professionalism exhibited by members of this powerful 9.3 billion dollar industry," says Doug Hotchkiss, president of HIA. "We are proud to be able to deliver this vehicle for the benefit of the entire green industry."

"One of the immediate benefits of the group is the application of the 10.5% premium discount to each member, regardless of premium size. This substantial discount is otherwise unavailable to the typical individual policyholder," reports Anne Davis, vice president of sales for HIA.

The safety program will also give member employers the opportunity to earn policy dividends as a group, in addition to the individual dividends that they may qualify for on their own. Due to their premium size, most green industry workers' compensation subscribers are not currently earning an individual policy dividend. By banding together in a safety group of other green industry employers, members have the opportunity to access and implement HIA's exclusive safety training program at no cost so they may learn how to:

a. earn their own individual dividend;

b. earn a separate dividend based upon loss experience of the

group as a whole;

c. strengthen their industries' voices on insurance issues

including rates and WC laws by establishing a collective voice;

(long-term effect)

d. gain credibility as an industry, with the general public, by

promoting their commitment to safety and loss control.

In addition to the above HIA will work with the green industry members to promote the Green Industry Workers' Compensation Group in Texas in the following ways:

-- Identifying expert speakers for educational safety programs at

association meetings;

-- Providing informative articles for newsletters;

-- Building a Q&A database for members regarding educational

topics in the field of insurance coverage;

-- Working to build informative links on the Web sites for

members to access;

-- Actively assisting the green industry in its marketing drive

to gain new members.

Underwriters meeting the criteria of the group which will include an "A" rating by AM Best, strong financials and claims paying ability have been identified and negotiations are underway.

Membership in the group may include anyone working in the following insurance classifications of Texas green industry businesses: Nursery-Wholesale-with Hot House or Greenhouse Growing Operations & Drivers; Landscape Gardening & Drivers; Lawn Sprinkler Installation & Drivers; Garden Supply Stores-Retail & Drivers; Nursery-Wholesale & Drivers; Lawn Maintenance-By Contract; Farm: Nursery Employees & Drivers; Farm Christmas Tree & Drivers; Grass Nursery & Drivers.

About Hotchkiss Insurance Agency

Founded in 1975, the Hotchkiss Insurance Agency (HIA) is a leading provider of a broad range of insurance products and services including commercial and personal insurance, life and health insurance, retirement and estate planning as well as workers' compensation. As members of select associations, and the recipient of many local and statewide endorsements, HIA has developed specialty programs for many industries including; home builders, general contractors, landscapers, irrigators, nurseries, and churches. In 2002, the Texas Association of Builders announced its endorsement of the Hotchkiss Insurance Agency to lead its life and health initiative for home builders in the state of Texas. The Texas Department of Insurance approved their application to form and maintain the Texas Green Industry Workers' Compensation Group in January of 2004. Headquartered in Dallas, Texas, HIA has statewide locations in Houston, San Antonio, Bryan/College Station, Fredericksburg, Kerrville, and Boerne. For more information about the Hotchkiss Insurance Agency and this program please contact sshahon@hotchkissins.com, call 800-899-3750 ext.260, or visit the Web site at www.hotchkissins.com.