AGTA – Fall 2008AGTA – Fall 2008 Salt Lake CitySalt Lake City

Ray HarveyRay Harvey

• General Manager – CrossRoads General Agency. Duluth, GA

• A division of National Interstate Insurance

• Underwriting office for public transportation business.

• Program is available to independent insurance agents across the country.

Company InformationCompany Information• National Interstate Insurance Company

established in Cleveland, OH in February 1989.• Licensed in all states and DC. • AM Best rated “A” (Excellent) VIII• Parent company National Interstate Corporation

(Nasdaq: NATL), is a subsidiary of Great American, property – casualty subsidiary of American Financial Group, (NYSE: AFG, Nasdaq: AFG)

• Headquartered in Richfield, OH which is between Cleveland and Akron.

• Over the past 2 decades, National Interstate has grown to become the premier writer of passenger transportation insurance in the United States.

• This status is achieved through outstanding claims handling, highly rated customer service, and underwriting expertise.

• The real growth story is in our Alternative Products Group, where our experience in wheels based insurance for transportation markets is unrivaled.

Growth over 20 yearsGrowth over 20 years• 1989 – Passenger

Transportation• 1996 – RVs, Crossroads

General Agency office in Georgia, Hawaii office, Trax Group Captive.

• 2000 – Truck Transportation

• 2001 – Companion Auto, Voyager Group Captive, Calypso Group Captive

• 2003 – CAMT office, Venture Group Captive

• 2004 to present – 2 additional personal lines products and 21 different Captive products including tow trucks, heavy equipment haulers, and most recently a beer distributor.

““INSURANCE INSURANCE REQUIREMENTS FOR REQUIREMENTS FOR

AIRPORT CONCESSIONS AIRPORT CONCESSIONS – – HOW MUCH IS ENOUGH?”HOW MUCH IS ENOUGH?”

How much is required?How much is required?

• Federal and State jurisdiction

• FMCSA requirements (interstate travel)– $5mm - Seating capacity 16 or more

– $1.5mm – Seating capacity less than 16

• State requirements (intrastate travel)– Each state has their own requirements

Arizona

Seating Capacity Minimum Limit

Taxis - Less than 8 Pax $300,000

8 to 15 Passengers $750,000

16 or more $5,000,000

California

Seating Capacity Minimum Limit

Less than 8 Pax $750,000

8 to 15 Pax $1,500,000

More than 15 Pax $5,000,000

Nevada

Seating Capacity Minimum Limit

All horse-drawn vehicles and taxis

$250/500/50

Less than 16 Pax $1,500,000

More than 15 Pax $5,000,000

ColoradoColorado

Seating Capacity Minimum Limit

Less than 9 Pax $500,000

9 to 15 Pax $1,000,000

16 to 32 Pax $1,500,000

More than 32 Pax $5,000,000

WashingtonWashington

Seating Capacity Minimum Limit

Less than 16 $1,500,000

More than 15 $5,000,000

OregonOregon

Seating Capacity Minimum Limit

All $750,000

IdahoIdaho

Seating Capacity Minimum Limit

Less than 25 $1,500,000

More than 24 $5,000,000

IllinoisIllinois

Seating Capacity Minimum Limit

10 to 13 Pax $1,000,000

13 to 20 Pax $1,500,000

21 to 30 Pax $2,000,000

More than 30 $3,000,000

TexasTexas

Seating Capacity Minimum Limit

16 to 25 Pax $500,000

More than 25 Pax $5,000,000

MinnesotaMinnesota

Seating Capacity Minimum Limit

Less than 16 $1,500,000

More than 15 $5,000,000

LouisianaLouisiana

Seating Capacity Minimum Limit

All $250/500/10

FloridaFlorida

Seating Capacity Minimum Limit

All $300,000

Georgia

Seating Capacity Minimum Limit

Less than 13 Pax $100/300/50

More than 12 Pax $100/500/50

Other points to consider:• Get sufficient coverage so that you can gain

access to the venues that you want to target. • Do certain venues require higher limits than

others? • Insurance is one of the biggest expenses that an

operator incurs. • Operators tend to leave the insurance decision

to the last minute. • Get optional quotes for other limits.• Higher limits could be a marketing tool.

QUESTIONS?QUESTIONS?

• Ray Harvey