USAA and the Hartford Team Up to Offer Insurance to400,000 USAA Small-Business Owners.
Business Editors & Insurance Writers
HARTFORD, Conn.--(BUSINESS WIRE)--Nov. 27, 2000
USAA and The Hartford Financial Services Group announced an exclusive alliance today that offers insurance protection to USAA members who own small businesses.
Known as the USAA Business Insurance Program, the new exclusive alliance replaces the USAA General Agency's previous small business insurance program, in which USAA brokered commercial coverage for its members with nine carriers, including The Hartford (NYSE:HIG). Currently, USAA members own about 16,500 policies through that program.
"We are very enthusiastic about our new alliance with The Hartford," said Steven F. Goldberg, senior vice president of underwriting and pricing for USAA's Property and Casualty Insurance Group.
"Almost 400,000 USAA members own small businesses. Our exclusive agreement with The Hartford, whose employees have provided top-notch insurance protection and customer service for decades, will help us ensure USAA meets its members' growing need for competitively priced business insurance and unparalleled service. Working hand-in-hand with The Hartford, we plan to dramatically increase service to USAA members who are small-business owners," Goldberg said.
Under the program, USAA will perform sales operations through a dedicated team of experienced commercial insurance representatives. USAA will also market the insurance to its members. The Hartford has formed dedicated teams to underwrite policies and perform policy service, claims processing and billing for the new alliance. Additionally, the policy jacket will be co-branded to prominently display the USAA and The Hartford logos.
"We're pleased to offer our industry-leading small business program through an alliance with USAA, a premier organization that shares our philosophy of excellence in customer service," said Judy Blades, president of business insurance at The Hartford. "We know that members who have a loyal and trusting relationship with an organization, as they do with USAA, are likely to seek other products and services from that organization, and we're happy to be USAA's partner for small business insurance."
The centerpiece of the agreement is The Hartford's Spectrum policy, which is available to more than 700 classes of business. The Spectrum policy provides today's small businesses with essential protections, such as business income coverage to help keep a company going if a loss shuts down operations and equipment breakdown coverage to pay for damaged equipment. Additionally, it includes employment practices liability insurance, a key coverage in a litigious society. Other available coverages are commercial auto and workers' compensation. The policy also can be economically expanded with a package of coverages tailored to specific industries.
