SAN DIEGO, January 2011 – The BB&T-John Burnham Insurance Services agency based here recently was named as one of San Diego’s 15 “Most Admired Companies” by San Diego Metropolitan magazine.

The agency has been actively involved in San Diego charitable organizations over the years and was named as Employer of the Year by the San Diego chapter of the National Association of Insurance Women (NAIW).

BB&T-John Burnham serves the corporate, education, transportation, real estate and nonprofit industries. It provides business risk and personal insurance, including property and casualty services, employee benefits consulting, surety bonds, owner-controlled insurance programs, risk management, workers’ compensation, and key person insurance.

BB&T-John Burnham was founded in San Diego in 1891. Acquired in 2008 by BB&T, the agency is part of BB&T Insurance Services, the nation’s sixth largest insurance agency.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

Lindsey Shank Credits InVEST Program with Launching Insurance Career

By Dennis H. Pillsbury
Rough Notes Magazine

The statistics are telling. As many talented insurance professionals are preparing to retire, fewer young people are choosing insurance as a career.

The numbers indicate that the industry will need to bring in approximately 90,000 new hires every year for quite some time to replace some 1.3 million people who will be retiring during the next two decades—as well as fill new positions as the industry continues to expand.

Attracting young people to the industry hasn’t been easy, as insurance has lagged behind other career choices. Compounding the issue is the fact that there are only some 92 full-time insurance and risk management programs available at colleges and universities across the country. Those programs will produce fewer than 10,000 students a year—a far cry from the 90,000 needed.

Fortunately, the landscape is changing, thanks in large part to InVEST, a national program sponsored by the Independent Insurance Agents & Brokers of America (IIABA).

Lindsey Shank, CIC, assistant agency manager of BB&T-Iler Wall & Shonter in St. Petersburg, Fla., exemplifies the kind of talent that InVEST has attracted to the insurance industry. Shank is the 2010 “Dach Award” winner. Named in memory of program founder Stephen Dach, the award honors an insurance industry volunteer who has made a tremendous contribution in fostering the growth and development of InVEST.

“Without InVEST exposure, I probably wouldn’t be in insurance,” says Shank, an assistant vice president at BB&T Insurance Services and 11-year insurance veteran. Shank gives back to the program that opened the door to her eventual career by volunteering her time as an outside instructor for the InVEST course at her high school, St. Petersburg Catholic.

A Fortunate Accident

As a junior back at St. Petersburg Catholic, Shank decided to take a “Business Dynamics” course as an elective on the advice of her guidance counselor. Worth a try, Shank figured, since her first choices were not available.

InVEST was introduced during the second semester. “My eyes were completely opened,” Shank recalls. “All the ins and outs of the insurance transaction were fascinating. As my junior year came to an end, there was no doubt in my mind that InVEST would be on my schedule the next year.”

Lindsey also became an unofficial cheerleader for the program for other students. The class size nearly doubled and two periods were needed rather than one. The program was on its way.

“You can tell it’s a different kind of learning experience when you walk into the classroom,” said teacher Gary Preston, InVEST director and business chairman at St. Petersburg Catholic. “We have offices set up from which the students operate their own agencies or insurance company home office. Today, it’s probably the most popular course in our school.”

In fact, today there are 100 students in three classes with a waiting list. That’s up from just 19 students in one class when the program started in 1997.

A Model for Others

More than a decade into her career in insurance, Shank’s passion for the InVEST program has never waned. She remembers the many guest speakers who would drop by her high school—the agents, underwriters and police officers. She’s followed in their footsteps.

As Preston said in his letter recommending Shank for the Dach Award, “Lindsey is the type of professional who gives of herself. The projects and activities that she has managed for our InVEST program are too many to mention. Her attention to detail and unending dedication to volunteering in my classroom goes beyond what you would expect.”

Thanks to support from Shank and numerous other insurance professionals in the Tampa Bay area, the InVEST program is now the class of choice at St. Petersburg Catholic. And word is getting out, especially around InVEST scholarships.

When Shank was in high school, she won scholarships from the local, state and national InVEST programs, which helped pay her way to the University of South Florida. The graduating class of 2009 at St. Petersburg Catholic saw 17 students win $26,000 in InVEST scholarships.

In addition to volunteering at her high school alma mater, Lindsey also works with the Florida Association of Insurance Agents to put together an annual “Teach the Teachers” event.

“The best news to come out of that is that two new schools are starting an InVEST program this year,” Shank said. “I would really like to see that expansion and interest continue throughout all InVEST programs nationwide.”

About InVEST

InVEST teaches high school and community college students about insurance, financial services and risk management and encourages them to pursue careers in the industry. The program is supported by financial contributions from insurance companies, agents, and organizations.

Founded at a Los Angeles high school in 1970, InVEST has evolved into a financial literacy program in 39 states with local insurance professionals serving as volunteers in classrooms. The program has helped lay the groundwork for lifelong professional success for thousands of students and awarded $378,497 in scholarships over the past 10 years.

Used with permission from Rough Notes Magazine.

BB&T Insurance Services, the nation's sixth largest insurance agency, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking & Trust Company.

BB&T Insurance earns three top awards in customer satisfaction from Greenwich Associates

RALEIGH, N.C., July 28, 2010 /PRNewswire/ -- BB&T Insurance Services announced today it has been rated excellent in three separate studies conducted by independent research group Greenwich Associates:

• Greenwich 2010 Excellence Awards for Customer Satisfaction, National;
• Greenwich 2010 Excellence Award for Customer Satisfaction in the Southern Region; and
• Greenwich 2010 Large Corporate Insurance Study.

The three awards were earned collectively by BB&T Insurance, McGriff, Seibels & Williams, Inc. and BB&T Insurance Services of California, Inc.

BB&T Wins Greenwich 2010 National and Regional Excellence Awards for Customer Satisfaction

BB&T Insurance Services was one of five national winners in the 2010 Greenwich National Excellence Awards for Customer Satisfaction, capturing the award for excellence in the mid-market insurance brokerage segment for the second consecutive year. BB&T received this award based on its ability to help corporate clients identify and manage their risk, and implement cost-effective coverage.

BB&T was one of 250 brokers included in the national study. Greenwich Associates interviewed more than 9,000 decisions-makers from mid-market companies ranging in size from $10 million to $500 million in annual sales.

BB&T attributes its win in the Southern Region to its long-term relationships based on trusted expertise and local attention.

BB&T Awarded the Greenwich 2010 Excellence in Customer Satisfaction

BB&T earned the top score on a five-point scale among the 683 risk managers interviewed in the large corporate insurance study.

The study concluded that BB&T distinguished itself from other commercial brokers, earning a relatively high excellent rating of more than 30 percent. The study evaluated both the tangible and intangible elements that risk managers find important including ethics, ease to work with, flexibility, financial strength, innovation, and transparency in pricing and compensation.

The Greenwich 2010 Large Corporate Insurance Study pulls data from a pool of companies with annual revenues of $500 million and above.

"Our dedication to relationship building, ethics and excellence are simply a reflection of our vision and values, played out through our daily interactions with our clients. The national excellence in customer service awards affirm our teams' character, judgment and pride," said Randy Screen, chief insurance marketing executive for BB&T Insurance Services. "It is rewarding to be recognized for our ability to listen and develop solutions for clients through an independent research study."

About Greenwich Associates

Greenwich Associates is a leading international research-based consulting firm that conducts benchmarking research and studies on best practices and industry trends.

About BB&T Insurance Services

BB&T Insurance Services, the nation's sixth largest insurance broker, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Maryland, West Virginia, Virginia, Kentucky, Tennessee, North Carolina, South Carolina, Alabama, Georgia, Florida, and California. Visit http://insurance.bbt.com/ to learn more.

About BB&T

As of June 30, BB&T Corporation (NYSE: BBT) is the 10th largest financial services holding company in the U.S. with more than $155.1 billion in assets and market capitalization of $18.2 billion. Based in Winston-Salem, N.C., the company operates more than 1,800 financial centers in 12 states and Washington, D.C., and offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services. A Fortune 500 company, BB&T is consistently recognized for outstanding client satisfaction by J.D. Power and Associates, the U.S. Small Business Administration, Greenwich Associates and others. More information about BB&T and its full line of products and services is available at www.BBT.com.

SOURCE BB&T Corporation

Spotlight on Chris Hayes from Alpharetta, Georgia

BB&T Insurance Services attracts some of the industry’s most talented insurance professionals. One of those individuals is Chris Hayes, a Business Insurance professional from Alpharetta, Ga.

An 18-year insurance industry veteran, Hayes started with BB&T Insurance in August 2000 when BB&T acquired his agency, Pruden Risk Management.

Here’s how Hayes describes his approach to client service: “I work hard and make sure I stay squarely on top of the changing marketplace in order to provide the most up-to-date service and creative strategies to my clients,” he said. “I believe in developing relationships based on trust and attentive service, which is what I strive to deliver each and every day.

“Any success that I’ve had is a result of that approach. I firmly believe that if you work hard with impeccable ethics and strong character, success will find you. I’ve never changed my approach throughout my career.”

Hayes has certainly enjoyed his share of success. He’s been a consistent Top 5 producer for BB&T Insurance Services and has been named as a Sterling “Best of the Best” Award winner – BB&T’s highest honor for its sales force – every year since joining the company in 2000.

Hayes takes the time to get to know his clients and know their business, inside and out. Then he goes to work on a comprehensive, cost-effective plan to effectively manage their total cost of risk. That’s the BB&T Insurance Services hands-on approach, backed by global resources and laser-focused attention on the client.

“I’m not big on trying to be cheaper than the other agent or broker or offering cookie-cutter solutions,” he said. “The best part of my job is solving problems for my clients. I’m here to provide solutions to challenges, to be creative, and to go beyond the status quo and be a trusted business partner.”

Business Insurance Agents like Chris Hayes are a big reason why BB&T Insurance Services consistently scores the highest marks among major brokers for overall client satisfaction (according to leading consulting firm Greenwich Associates.)

Contact Hayes at (678) 566-8080 or CAHayes@BBandT.com. For more information or to speak with a licensed insurance professional where you live, please call 1-877-643-6227.

BB&T Insurance Services, the nation’s sixth largest insurance agency, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking & Trust Company.

Risk of cyber attacks should be board-level concern, Lloyd’s says

Insurance Journal

Digital risks must be a board-level concern for business as the range, frequency and scale of cyber attacks increases, according to a new report.

Many companies are unwittingly vulnerable to the possibility of data leakage, phishing attacks, trojans or advance persistent threats, according to Lloyd’s, the world’s leading specialist insurance market, and HP, the world’s largest technology company.

The report, “Managing digital risks: trends, issues and implications for business,” warns that, as businesses become more reliant on technology, they will face more complex and damaging digital attacks as sophisticated attackers quickly adapt their methods to steal from, disrupt and spy on businesses.

Many companies are unintentionally exposed to digital risks, believing their existing insurance policies will cover them, but most traditional (property and commercial liability) policies focus on the tangible damage to physical property and do not cover the many new areas where digital risks lie.

Lloyd’s Chairman, Lord Levene, said: “A discussion of digital risks should be on the agenda of board meetings everywhere as cyber attacks become more frequent, more creative and more disruptive. Cybercrime is an international business aided by those countries without the legislative framework to tackle it. If we are serious about combating cybercrime, we need to increase international communication and collaboration between governments and businesses, and move towards uniform global regulation.”

Most of the digital risks that companies face, such as extortion and stolen information, are similar to risks they have always known, the report indicates. However, technology has increased the speed at which these risks can occur as well as amplified their impact. It has made information and processes more accessible and now citizens of the world – with both good and bad intentions – are more connected than ever.

The study points out that:

• As part of the overall digital risk management strategy, companies should consider the growing number of cyber-risk insurance products and solutions that can transfer these risks to third parties. Although difficult to measure, the current market for cyber insurance is estimated to be around $600 million, a 16 percent to 25 percent increase from 2009, according to a Betterley Cyber Risk and Privacy Market Survey.
• Most digital risk mitigation typically happens within the IT department. However, risk managers, technology experts and other stakeholders need to be more involved in the process in order to bring broader business perspectives to the decisions that are made.

Prith Banerjee, senior vice president of research at HP and Director of HP Labs, said: “This collaborative research effort demonstrates HP’s focus on innovation with a purpose. The combination of Lloyd’s corporate view of risk with HP Labs’ knowledge of future technology trends and information security has enabled us to provide companies with impactful information about the digital threats facing businesses worldwide.”

Jenny Menna, director of critical infrastructure cyber protection and awareness for the national cyber security division of the Department of Homeland Security, said cyber threats are diverse, and a collaborative approach from private businesses, the insurance industry, tech companies and federal resources are necessary to manage the risks. “Cyber security can’t just be something managed by the IT shop,” she said. “It’s got to be something business people think about in the C suite.”

The real challenge for risk managers is to determine how to effectively monitor digital risks in order to decide how seriously they should be considered. The report provides several practical and implementable recommendations to help risk managers respond to the growing digital threat including:

• Setting up a working group to monitor and review business risk exposure;
• Becoming more involved in IT governance and strategy; and
• Ensuring that applicable standards are used to manage digital risks.

Reprinted with permission from Insurance Journal, a national property and casualty trade publication.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

Spotlight on agent Steve Harville from Kingsport, Tennessee

BB&T Insurance Services agents believe strongly that success lies in the details. Just ask Steve Harville, agency manager of BB&T-KDC Insurance Services in Kingsport, Tenn.

He'll tell you a story from a few years ago about the small hotel account his agency managed in Kingsport. Right after Harville's team had worked to obtain reduced property insurance rates for the hotel's owner, it was sold to a much larger multi-property account handled by a much larger insurer.

But not for long. Not only did a quoting opportunity bring the individual hotel back into the fold, Harville also won the entire account when it came up for renewal, still one of the agency's largest accounts.

"That was a complete reversal of fortune, but it was only possible because we paid such close attention to the details on the original small hotel account all those years," he said. "When you have a laser-like focus on our clients like that, word gets around and leads to further success. That's the kind of client-focused commitment our staff has."

Harville lives and breathes that commitment 38 years into an insurance career that began at KDC in the summer of 1972, when Harville was still in high school. After graduating from the University of Tennessee (and also working in insurance as a college student), Harville came back to KDC in 1977, where he's been ever since.

BB&T acquired KDC in 2003, a perfect fit, he says. "We could see from the beginning that there was a mutual understanding about the importance of commitment and providing clients with the best available combination of premium, coverage, service, and stability."

In particular, Harville's agency has nearly 30 years of experience in property and casualty coverages tailored to the affordable housing industry.

"Our experience - and that's my entire staff I'm referring to - makes the difference," he said. "We retain our customers by treating them like they are the most important client in our agency, regardless of size or complexity. We want to be sure they know that we are looking out for their best interest."

Contact Harville at (423) 247-7181 or SHarville@BBandT.com. For more information or to speak with a licensed insurance professional where you live, please call 1-877-643-6227.

BB&T Insurance Services, the nation's sixth largest insurance agency, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking & Trust Company.

BB&T launches InsureWithBBT.com, a simple and secure way to buy auto insurance online

RALEIGH, N.C., Aug. 5, 2010 /PRNewswire-FirstCall/ -- Today, BB&T Insurance Services announced the launch of an online auto insurance service, http://www.InsureWithBBT.com, which enables consumers to shop for coverage, compare quotes and purchase auto insurance online.

Consumers can obtain insurance policies online within minutes from BB&T Insurance and some of the nation's top rated auto insurance companies. BB&T Insurance is one of the few agencies to offer consumers a choice in their purchase experience—online, by phone, or in person at one of our local agencies.

"BB&T Insurance Services has developed a simple and secure portal to shop for auto insurance with a focus on usability and security," said Cathy Lamoreaux, SVP and Personal Lines Manager, BB&T Insurance Services. "We've partnered with some of the most financially stable insurance carriers that have a proven track record of customer service and the highest industry recognition. As more and more consumers choose to go online to purchase auto insurance, we believe InsureWithBBT.com will provide the value and convenience these buyers seek."

The design of InsureWithBBT.com is based on consumer buying trends that show an increasing number of clients prefer choice in how they evaluate and purchase auto insurance.

Consumers in nine states can go directly to InsureWithBBT.com to explore rates and select their auto coverage. These states are Alabama, Florida, Georgia, Kentucky, Maryland, North Carolina, South Carolina, Tennessee and Virginia.

About BB&T Insurance Services

BB&T Insurance Services, the nation's sixth largest insurance broker, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Maryland, West Virginia, Virginia, Kentucky, Tennessee, North Carolina, South Carolina, Alabama, Georgia, Florida, and California. Visit http://insurance.bbt.com/ to learn more.

About BB&T

As of June 30, BB&T Corporation (NYSE: BBT) is the 10th largest financial services holding company in the U.S. with more than $155.1 billion in assets and market capitalization of $18.2 billion. Based in Winston-Salem, N.C., the company operates more than 1,800 financial centers in 12 states and Washington, D.C., and offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services. A Fortune 500 company, BB&T is consistently recognized for outstanding client satisfaction by J.D. Power and Associates, the U.S. Small Business Administration, Greenwich Associates and others. More information about BB&T and its full line of products and services is available at www.BBT.com.

SOURCE BB&T Corporation

At BB&T we recognize that you're an individual, with a unique set of financial goals and ambitions. We also know that what you need from us will change as you go through your life. That's why we believe in building strong relationships, and that complete financial security comes from making one good decision at a time. We can offer solutions to all your financial needs, and the accounts, tools, and services to help you meet your goals.

BB&T Insurance Services to acquire southwest Florida agency

RALEIGH, N.C., Nov. 2, 2009 /PRNewswire/ -- BB&T Insurance Services, the nation's seventh largest insurance broker, today said it has expanded its southwest Florida operation with the acquisition of Oswald Trippe and Company Inc. of Fort Myers.

The acquisition comes on the heels of BB&T Corporation's acquisition in August of Colonial Bank, which expanded BB&T's presence in southwest Florida. The Oswald Trippe transaction was completed Monday. Terms were not disclosed.

One of the largest privately owned insurance agencies in southwest Florida, Oswald Trippe provides commercial property and casualty; employee benefits; individual life and health, personal lines; and professional liability protection to businesses and individuals throughout Florida.

"We have known Oswald Trippe for quite some time as an outstanding competitor," said Wade Reece, chairman and chief executive officer of BB&T Insurance Services. "With the recent growth of BB&T in southwest Florida following the Colonial acquisition, this is a perfect combination and an outstanding addition to our Florida insurance franchise."

In addition to its Fort Myers headquarters, Oswald Trippe has offices in Cape Coral, Miami, Naples, Sarasota, Holmes Beach, Weston and Ocala. It also operates four offices in North Carolina that were not part of the BB&T Insurance acquisition.

OTC was founded in 1982 by Chairman and Chief Executive Officer Gary Trippe and his wife, Gay Trippe, and James Pender, honorary chairman of corporate partner The Oswald Companies of Cleveland, Ohio. The company has about 130 employees in Florida.

"BB&T Insurance is known to treat its clients, employees and their communities as treasured assets, which matches up with our culture very well," Gary Trippe said. "Add that to the fact that our companies had very similar growth plans for Florida, and you're left with a combination that made too much sense not to pursue."

Trippe will remain with BB&T-Oswald Trippe in a client and community relationships and management consulting role. Agency President John Pollock will serve as agency manager and report to BB&T Insurance Regional Manager Rick Iler.

BB&T Insurance Services also operates Florida agencies J. Rolfe Davis Insurance of metro Orlando; Burkey Risk Services of metro Orlando and Boynton Beach; BB&T-Iler Wall & Shonter of St. Petersburg; BB&T-Wyman, Green & Blalock of Bradenton; and BB&T-Landrum Yaeger of Tallahassee.

With the Colonial acquisition, BB&T created a new community bank region in Sarasota covering Manatee, Sarasota, Lee, Charlotte, and Collier counties. The region has deposits of $2.1 billion.

BB&T acquired $23 billion in assets and assumed $19 billion in deposits in the Colonial acquisition, creating the nation's eighth largest financial holding company by deposits. The Colonial acquisition moved BB&T to the No. 5 market share in Florida. With the acquisition, BB&T has about $14 billion in deposits and more than 300 branches in Florida.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates more than 100 insurance agencies in North Carolina, Virginia, Georgia, South Carolina, Maryland, West Virginia, Tennessee, Florida, Kentucky and California.

Branch Banking and Trust Company is the principal subsidiary of Winston-Salem, N.C.-based BB&T Corporation (NYSE: BBT). With $165.3 billion in assets, BB&T operates more than 1,800 financial centers in 13 states and Washington, D.C. More information about the company is available at BBT.com.

SOURCE: BB&T Corporation
Web site: http://www.bbt.com/

Company News On-Call: http://www.prnewswire.com/comp/809325.html

At BB&T we recognize that you're an individual, with a unique set of financial goals and ambitions. We also know that what you need from us will change as you go through your life. That's why we believe in building strong relationships, and that complete financial security comes from making one good decision at a time. We can offer solutions to all your financial needs, and the accounts, tools, and services to help you meet your goals.

BB&T Insurance receives top customer satisfaction award from Greenwich Associates

BB&T one of four brokers to win the Greenwich Excellence Award
 for U.S. Large Corporate Insurance Brokerage

RALEIGH, N.C. – BB&T Insurance Services announced today it earned the 2011 Greenwich Excellence Award for Customer Satisfaction, U.S. Large Corporate Insurance Brokerage.

The award is based on 676 interviews with U.S. companies with annual revenues of $500 million or more. The study asked about property and casualty risk management practices and strategies, including the brokers and carriers with whom they purchase coverage and insurance-related services.

“BB&T Insurance continues to distinguish itself and receive top honors from industry experts based on our ability to help clients identify and manage risk, and implement cost-effective coverage,” said Randy Screen, chief insurance marketing executive for BB&T Insurance Services. “I’m very proud of our team for their consistent attention to customer satisfaction.”

Greenwich 2010 Excellence Award for Middle Market Insurance Brokerage
BB&T Insurance also received the 2010 Greenwich Excellence Award for Middle Market Insurance Brokerage, Southern Region. BB&T attributed the win to its long-term relationships based on trusted expertise and local attention, Screen said.

For the 2010 Greenwich Excellence Awards for Middle Market Insurance Brokerage, Greenwich Associates interviewed more than 9,000 decisions-makers from mid-market companies ranging in size from $10 million to $500 million in annual sales.

About Greenwich Associates
Greenwich Associates is a leading international research-based consulting firm that conducts benchmarking research and studies on best practices and industry trends.

About BB&T Insurance Services
BB&T Insurance Services, the nation’s sixth largest insurance broker, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Maryland, West Virginia, Virginia, Kentucky, Tennessee, North Carolina, South Carolina, Alabama, Georgia, Florida, and California.

About BB&T
BB&T Corporation (NYSE: BBT) is one of the largest financial services holding companies in the U.S. with more than $157.1 billion in assets and market capitalization of $18.3 billion, as of Dec. 31, 2010. Based in Winston-Salem, N.C., the company operates approximately 1,800 financial centers in 12 states and Washington, D.C., and offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services. A Fortune 500 company, BB&T is consistently recognized for outstanding client satisfaction by J.D. Power and Associates, the U.S. Small Business Administration, Greenwich Associates and others. More information about BB&T and its full line of products and services is available at www.BBT.com.

Copyright © 2011, Branch Banking and Trust Company. All Rights Reserved.

Flextronics Partners with BB&T-Tanner Insurance
Services on Workers’ Compensation Risk Management

Global electronics manufacturer Flextronics in 2010 was trying to maintain a successful workers’ compensation risk management program in a competitive environment, while battling the worst economic downturn since the Great Depression.

To up the ante, the company also was digesting the acquisition of a firm larger than the corporate parent. And did we mention the company employs 14,000 employees – spread across the country in every state except Alaska and Wyoming?

If you were thinking a very adept risk management broker would be in order here, you’ll be glad to know Flextronics and Workers’ Comp Risk Manager Roy Manns thought of that more than a decade ago.

That’s how long Flextronics and BB&T-Tanner Insurance Services of Pleasanton, Calif., have been partners.

By overcoming the aforementioned challenges and others, Flextronics earned an Honorable Mention in 2010 as one of three winners of the National Underwriter Award for Excellence in Risk Management.

Flextronics products include automotive, lighting and interior, power controls, computing, industrial, aerospace and defense, solar, medical equipment and others. To describe their operations as “diverse” is an understatement.

And their broad base of locations and manufacturing operations in the United States translates into a very difficult risk management environment when it comes to addressing state-based workers’ comp issues.

From the beginning of their partnership, BB&T-Tanner took the unusual step of placing a claims advocate on site at Flextronics for a year. After learning the business, BB&T-Tanner worked closely with Manns to:

• establish risk management protocols
• identify claims trends
• create benchmarking standards
• control loss
• track litigated claims

And here’s what transpired, by the numbers:

In 2000, Flextronics had a claims frequency rate of 1.858 per $1 million in payroll, and claims severity of 1.784 per $100 of payroll. By 2009, with assistance from BB&T-Tanner, Flextronics had reduced those numbers to a claim frequency of 0.217 per $1 million of payroll, while claim severity fell to 0.087 per $100 of payroll.

The next workers’ comp challenge came in 2007, when Flextronics’ U.S. work force jumped from 5,000 to 14,000 with the acquisition of the major competitor. The comp claim count jumped from 153 in 2006 to 356 a year later.

In two years, Flextronics and BB&T-Tanner partnered to cut 149 claims from the acquired firm to 36, while reducing the outstanding reserve by 42 percent. This was accomplished through a combination of claims settlements (80 in the first year) and capitalizing on the combined company’s back-to-work program.

All in all, through rapid internal growth, ups and downs of the economy, and regulatory changes in 49 states, the result for Flextronics is an employee-focused and highly cost-effective workers’ compensation program.

Spotlight on Richard Todd from Statesville, NC

When it comes to protecting your organization from risk, there’s just no way to overstate the value of deep industry expertise.

That’s why more than 150 entities in the senior living and home health industries have turned to Richard Todd, a veteran BB&T Insurance Services Senior Living Risk Management consultant.

A generalist, Todd is not. He’s earned the expert label by finding his lane 20 years ago in senior care and never veering from it, establishing himself along the way as one of the elite insurance sales professionals at BB&T.

Todd has methodically built a burgeoning book of business by providing strategic, cost-effective solutions to manage the myriad risks associated with nursing homes, assisted living facilities, and continuing care retirement communities.

Not that he’s a one-man show, as Todd is quick to point out. The BB&T Insurance Senior Living Group in Statesville, N.C., also consists of a highly experienced support team of account executives, customer service professionals, and even an on-staff registered nurse. All are experts in their own right, when it comes to insurance brokerage, risk management and claims services.

“I couldn’t do a quarter of what I do without this phenomenal group,” he said. “And when I call on prospects, I make sure that folks know they get the benefit of an experienced team, not just me. That’s a big selling point and something I highlight as a differentiator. And the best part is, when it comes to taking care of our clients, they’re always even better than I promised.”

So good in fact that other BB&T Insurance agencies routinely turn to Todd and the Senior Living Group team for their industry expertise. But the bulk of the new business comes directly from Todd, a road warrior with an entrepreneurial spirit who especially enjoys solving tough dilemmas for clients.

Case in point: Several years ago, a group of 17 retirement community clients in Virginia were at a serious crossroads. In just three years, their malpractice insurance had gone up from 500 to 800 percent, leaving them “in a state of crisis” with little hope of financial viability, Todd said.

So Todd and co-workers in the Senior Living Group went to work on a plan. They helped the members create multiple risk financing solutions for several of their liability exposures. Group members now manage their risk collectively, rather than as individual retirement communities.

As a group, they were able to negotiate much lower rates by agreeing to pool their risk. Crisis solved. So well, in fact, that the group now also buys its property, auto and workers’ compensation insurance collectively as well.

It’s that type of dedication and client-first attitude that has driven Todd to succeed since he joined the former Webb Insurance agency in 1991, the same year he graduated from Appalachian State University. BB&T Insurance Services acquired the Webb agency four years later.

Todd has been recognized as a BB&T Corporation “Sterling Performer” every year since 1999. His contacts from two decades of senior living and home health care association conferences read like a list of Who’s Who in the industry. He cites tried-and-true attributes like honesty, integrity and a belief in good old-fashioned hard work as keys to his success.

“This is my first and only job and I couldn’t have asked for a better opportunity, a better career,” he said. “From the very beginning, I was able to go out and create a niche where myself and others – and most importantly, our clients – could thrive.

“Our vision is to be the premier provider of insurance brokerage and risk management services to senior living communities and home health providers in the regions in which we do business. And I live that every day.”

Contact Todd at (704) 878-3923 or Richard.Todd@BBandT.com.

BB&T Insurance Services, the nation’s sixth largest insurance agency, is a wholly owned subsidiary of BB&T. Founded in 1922, it operates more than 100 insurance agencies in Georgia, Florida, Alabama, Tennessee, Kentucky, Virginia, Maryland, West Virginia, California and the Carolinas.

BB&T subsidiary CRC Insurance Services and TB&C Wholesale Insurance Services combine Southern California Operations
News Release – Jun 21, 2010
BIRMINGHAM, Ala., June 21 /PRNewswire-FirstCall/ -- CRC Insurance Services Inc., the wholesale insurance subsidiary of BB&T, announced today an agreement with TB&C Wholesale Insurance Services to combine two of the California offices of both companies. The combined offices will operate as CRC Insurance Services effective June 21.

According to Tom Curtin, CEO and founder of CRC, the action solidifies CRC's commitment to southern California. "We are honored TB&C is joining the CRC family," Curtin said. "They are a well-respected team of professionals who will help continue to strengthen our client relations in the southern California market. Together, we will continue to provide the high level of service our clients have come to expect." Robin Robb and Joseph Rowland, managing partners of TB&C, will combine their locations with CRC's Santa Ana and Glendale, Calif., offices. Robb will serve as office president-casualty in Glendale. An active insurance wholesale broker since 1996, Robb was a broker for Sterling West Insurance Services where she was the point contact between in-house brokers and several markets. Prior to that, Robb served as broker at another firm.

Rowland will serve as office president in Santa Ana. Active in the insurance industry since 1980 and as a wholesale broker since 1985, Rowland served as broker/partner for Sterling West Insurance Services prior to TB&C. He also has served as broker for firms in Chicago and England.

CRC also announced the promotion of James Kuchta to office president-professional liability in the Glendale office. Prior to joining CRC in 2008, Kuchta was a wholesale broker at a Los Angeles firm where he was the third largest financial services producer in the country. He brings more than 20 years of professional liability experience to the position, as well as financial services underwriting and human resources. Robb, Rowland, and Kuchta, along with Mickey Hopkins, office president in Redondo Beach, will lead the southern California operations. They look forward to continuing to provide dedicated service. TB&C Wholesale Insurance Services is a multi-line wholesale insurance brokerage firm in California. TB&C works aggressively to market business and ensure clients receive the best quotes available. CRC, with more than $2.4 billion in casualty, property, and professional premiums during 2009, is a leading wholesale property and casualty insurance broker in the United States. Founded in 1982, CRC has 29 offices across the country. BB&T Corporation (NYSE: BBT) is the 10th largest financial services holding company in the U.S. with more than $163 billion in assets and market capitalization of $22.4 billion, as of March 31, 2010. Based in Winston-Salem, N.C., the company operates more than 1,800 financial centers in 12 states and Washington, D.C., and offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services. A Fortune 500 company, BB&T is consistently recognized for outstanding client satisfaction by J.D. Power and Associates, the U.S. Small Business Administration, Greenwich Associates and others. More information about BB&T and its full line of products and services is available at www.BBT.com.
SOURCE BB&T Corporation

At BB&T we recognize that you're an individual, with a unique set of financial goals and ambitions. We also know that what you need from us will change as you go through your life. That's why we believe in building strong relationships, and that complete financial security comes from making one good decision at a time. We can offer solutions to all your financial needs, and the accounts, tools, and services to help you meet your goals.

BB&T Insurance Services to acquire metro Orlando agency
News Release – Dec 18, 2008
RALEIGH, N.C., Dec. 18 /PRNewswire-FirstCall/ -- BB&T Insurance Services, the nation's sixth largest insurance broker, today said it plans to expand its metro Orlando, Fla., operation with the acquisition of J. Rolfe Davis Insurance of Maitland.

A property and casualty and employee benefits specialist, J. Rolfe Davis provides a full range of risk management services for businesses and families throughout the country.

Founded in 1942 by former Orlando mayor J. Rolfe Davis, the privately-held broker is ranked among the nation's top 100 large insurers by Business Insurance magazine.

"J. Rolfe Davis is one of the most highly respected insurance agencies in the United States," said Wade Reece, chairman and chief executive officer of BB&T Insurance Services. "Being selected by them as their acquisition partner is a significant honor and a bestowed trust that we do not take lightly.

"We've wanted to build a solid presence in metro Orlando for some time now, and this new partnership, combined with nearby BB&T-Burkey Risk Services, certainly puts us in that position."

BB&T acquired Burkey Risk Services of Maitland and Boynton Beach in March. The J. Rolfe Davis transaction is expected to be completed by the end of the month. Terms were not disclosed.

BB&T Insurance Services also operates Florida agencies BB&T-Iler Wall & Shonter of St. Petersburg, BB&T-Wyman, Green & Blalock of Bradenton, and BB&T-Landrum Yaeger of Tallahassee.

With more than 130 employees, J. Rolfe Davis is made up of five divisions: commercial property and casualty, employee benefits, personal lines, financial services, and retirement plans.

"Combining forces with BB&T Insurance allows us to be part of the nation's sixth largest insurance agency while continuing to focus our resources on customized business solutions for our clients," said David McKinney, chief executive officer of J. Rolfe Davis.

"Our agency has been part of the greater Orlando community for more than 65 years. On behalf of my partners, Don Boone and Bruce Arrow, we look forward to providing our clients the same local support they've always enjoyed backed by the size and support of an industry leader."

McKinney, Boone and Arrow will continue in their leadership positions with BB&T-J. Rolfe Davis.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates 100 insurance agencies in North Carolina, Virginia, Georgia, South Carolina, Maryland, West Virginia, Tennessee, Florida, Kentucky and California.

Branch Banking and Trust Company is the principal subsidiary of Winston-Salem N.C.-based BB&T Corporation . With $137 billion in assets, BB&T Corp. is the nation's 14th largest financial holding company. More information about the company is available at www.BBT.com.
SOURCE: BB&T Corporation
Web site: http://www.BBT.com/
Company News On-Call: http://www.prnewswire.com/comp/809325.html /

At BB&T we recognize that you're an individual, with a unique set of financial goals and ambitions. We also know that what you need from us will change as you go through your life. That's why we believe in building strong relationships, and that complete financial security comes from making one good

BB&T Insurance unit to acquire Myrtle Beach, S.C., agency
News Release – Jul 30, 2008

RALEIGH, N.C., July 30 /PRNewswire/ -- BB&T Insurance Services, the nation's sixth largest insurance broker, today said it plans to expand its coastal South Carolina operation with the acquisition of the Grand Strand's largest insurance agency.

Puckett, Scheetz & Hogan, a coastal property insurance specialist, provides a full range of risk management services for businesses and families from its Myrtle Beach headquarters and a branch office in nearby Pawleys Island.

The merger would give BB&T the largest insurance market share in greater Myrtle Beach, a little more than a year after gaining the No. 1 banking market share in the same area.

"South Carolina's Grand Strand is a thriving area. To have the No. 1 market share in both banking and now, insurance, is another great step forward for BB&T," said Wade Reece, chairman and chief executive officer of BB&T Insurance Services. "Puckett, Scheetz & Hogan is an outstanding agency with a thorough understanding of the unique challenges associated with coastal property insurance."
The transaction is expected to be completed in early August. Terms were not disclosed.

Puckett, Scheetz & Hogan President Mike Hogan founded the agency in 1989. It began as a coastal branch of the former Puckett, Scheetz & Hagler agency based in Greenville, S.C.

Puckett, Scheetz & Hogan now has 50 employees, all of whom will remain with "BB&T-Puckett, Scheetz & Hogan" following the acquisition.

"Having enjoyed both personal and professional relationships with BB&T Insurance for several years now, I am even more energized about the future of Puckett, Scheetz & Hogan," Hogan said.

"This business combination will be very beneficial to our clients, our employees and the Grand Strand community. Our goal is to continue providing the greatest value possible to our clients. We believe that joining forces with the insurance industry leader will keep us meeting that goal for the long run."

Hogan and his management team will remain as managers with BB&T-Puckett, Scheetz & Hogan.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates 99 insurance agencies in North Carolina, Virginia, Georgia, South Carolina, Maryland, West Virginia, Tennessee, Florida, Kentucky and California.

Branch Banking and Trust Company is the principal subsidiary of Winston-Salem N.C.-based BB&T Corporation (NYSE: BBT). With $136.5 billion in assets, BB&T Corp. is the nation's 14th largest financial holding company. More information about the company is available at http://www.bbt.com/.

SOURCE: BB&T Corporation
CONTACT: Wade Reece, Chairman and CEO of BB&T Insurance Services Inc.,
+1-919-716-9770; Mike Hogan, President of Puckett, Scheetz & Hogan,
+1-843-448-8122; or Jeff Nichols, Vice President of BB&T Corp. Communications,
+1-336-733-1472
Web site: http://www.bbt.com/
Company News On-Call: http://www.prnewswire.com/comp/809325.html

At BB&T we recognize that you're an individual, with a unique set of financial goals and ambitions. We also know that what you need from us will change as you go through your life. That's why we believe

BB&T Insurance Services to acquire Union Bank of California insurance brokerage arm
News Release – Apr 23, 2008

RALEIGH, N.C. and SAN DIEGO, April 23 /PRNewswire-FirstCall/ -- Raleigh, N.C.-based BB&T Insurance Services today said it has reached an agreement with Union Bank of California, N.A., to purchase its San Diego-based insurance subsidiary, UnionBanc Insurance Services Inc.

The acquisition would expand BB&T Corporation's insurance operation in California, where wholesale insurance subsidiary CRC Insurance Services and large account commercial insurer McGriff, Seibels & Williams already operate.

The deal has been approved by the directors of BB&T Corporation (NYSE: BBT) and Union Bank holding company UnionBanCal Corporation (NYSE: UB). It is expected to be completed by the end of the second quarter pending regulatory approval. Terms were not disclosed.

"We're excited about expanding in California, the No. 1 state for insurance values in the country," said BB&T Insurance Services Chairman and Chief Executive Officer Wade Reece. "This partnership will only strengthen our overall investment on the West Coast."

Founded in 1922, BB&T Insurance Services is the nation's seventh largest insurance broker. BB&T's combined insurance operation includes 134 agencies across the country.

With 369 employees, UnionBanc Insurance Services operates offices in Pleasanton, San Rafael, Stockton and Roseville in Northern California; San Diego, Irvine, Fullerton and Glendale in Southern California; and Portland, Ore. It is the 31st largest insurance broker in the nation.

Union Bank entered the insurance brokerage business in 2001 with the acquisition of Fullerton-based Armstrong/Robitaille Business and Insurance Services. The additions of 115-year-old John Burnham and Company in 2002 and Pleasanton-based Tanner Insurance Brokers in 2003 expanded the company's footprint into San Diego and Northern California. In late 2003, Glendale-based Knight Insurance Agency joined the company.

UnionBanc Insurance Services is expected to operate as a wholly owned BB&T insurance subsidiary after the acquisition is completed. Martin Loth, who currently manages the McGriff, Seibels & Williams office in Irvine, would oversee the new West Coast subsidiary of BB&T Insurance Services.

When the acquisition is completed, BB&T plans to consolidate the UnionBanc Insurance Services offices in San Rafael and Roseville into "BB&T-Tanner Insurance" in Pleasanton and Stockton. It also plans to operate "BB&T Insurance Services of Orange County" in Fullerton and Irvine, "BB&T-John Burnham Insurance" in San Diego, and "BB&T-Knight Insurance" in Glendale. It plans to combine the Portland office of UnionBanc Insurance Services with BB&T's existing McGriff office there.

"We've made a decision to exit the insurance brokerage business in order to concentrate our efforts on enhancing other core fee-based lines of business, including wealth and asset management, institutional services, and capital markets-related activities," said Johannes (Johs) Worsoe, a senior executive vice president with Union Bank and head of its Global & Wealth Markets Group.

"We view insurance services as a critical component of our clients' financial services needs. By entering into this transaction with BB&T, our clients will have a broader offering of insurance and risk management services by a nationally recognized leader and a company we know will continue our high level of client service."

Merrill Lynch & Co. served as a financial advisor to Union Bank in the transaction; Shearman & Sterling LLP served as the company's legal advisor.

BB&T Insurance Services, McGriff, Seibels & Williams and CRC Insurance Services are wholly owned

Managing Social Media Risk
By Kevin M. Quinley
Berkley Life Sciences LLC
www.berkleyls.com
Facebook. Twitter. LinkedIn. YouTube. MySpace. Welcome, risk professionals, to the wide—and sometimes wild—world of social media!

Social media might be defined as the use of Internet and Web-based technologies to allow individuals to communicate and disseminate other media, such as photographic images, to many other people. In essence, it empowers everyone to be a publisher. The most prominent social media platforms are noted above. These social networking sites allow members to build online groups of people who share similar interests and activities and who want to share information with each other.

This article examines the corporate risks arising from social media that increasingly confront risk professionals. In the context of this discussion, social media include the various ways users interact, either through e-mail, instant messaging, or "postings" on social networking sites.

Using Social Networking Sites


Risk professionals can view social media in at least four ways:

1. How employees use it while on the job in the course of their employment.
2. How employees use it off the job in ways that have job-related consequences.
3. How the organization uses it to advance the firm's business aims.
4. How risk professionals can use social media professionally as a career-advancing tool through networking, job searches, and knowledge acquisition.


The first two bullet points might be viewed as "defensive" strategies. Risk professionals seek ways to reduce the potential for liability flowing from employees' use of social media. By contrast, points three and four might be considered more "offensive" or proactive strategies, i.e., ways to use social media tools positively, at a macro level (organizationally) and micro level (individual career management). But, of course, even these uses pose risks that must be managed.

Perils and Pitfalls

Many companies avoid embracing social media for fear of adverse consequences. Some reluctance is due to the relative newness of social media. Other management teams might be reluctant to become early adopters of Web 2.0 tools. (C-suite demographics are such that daily use of Facebook and Twitter are not necessarily part of executives' lives. Further, this may prompt management to conclude that such tools are toys used by teens, not something deployable for serious or legitimate business purposes. This can cause corporate management to be ultraconservative regarding the use of social media.)

Still, not all resistance to social media is due to paranoia or senescence. Company management may have legitimate concerns about social media risks. Often combined with that concern is an inability to clearly envision concrete advantages flowing from social media. Potential perils from employees engaging in social media are easier to enumerate. They include:

• Disclosing proprietary or confidential information about the employer. Users of social media often presume an unwarranted level of confidentiality and privacy in their statements. While computer keyboards have DEL or erase keys, the Internet does not.
• Libel or defamation liability for content posted by an employee about another company, competing product, or individual.
• Violation of others' rights of privacy arising from postings.
• Infringement of copyrights, trademarks, or other intellectual property rights.
• Corporate productivity loss due to excessive use of social media.

Corporate reputations can suffer significant hits from intemperate social media use. For example, a disgruntled airline passenger wrote a song about how a carrier's baggage handlers smashed his guitar in transit. He posted the video to YouTube where it was an instant hit, though a black eye for the airline. Within 5 days after airing, the video received 5 million hits. In another case, disgruntled employees posted a video depicting a major restaurant chain as having significant food health violations. The video went viral, receiving millions of hits in short order. Reputational damage looms large as a result of the power and speed of social media.

From a personal risk standpoint, careless Facebook postings can get employees fired. The Urban Dictionary even includes the term "Facebook fired" for job discharges occasioned by intemperate remarks.

Used injudiciously, social media can degrade a company's brand and reputation. For example, a California Pizza Kitchen worker lost his job after Tweeting about his work at "Cali-Pornia Skeetzer Kitchen." After his firing, he created a YouTube video about his discharge; the video became a viral hit and an eyesore for the restaurant chain.

In the medical liability realm, social media spawns potential liabilities. For example, in Stockholm, Sweden, a surgical nurse was suspended after posting Facebook pictures from back and brain surgeries without the patient's consent.

The fact that this incident occurred beyond United States borders should not eliminate liability concerns. One can easily envision patient/customer liability claims for invasion of privacy and personal injury. Further, employees subject to disciplinary action could file employment practice liability claims. Even if such claims lack foundation, the legal costs of defending those suits are substantial. Nor should we infer from these vignettes that potential risks from social media reside exclusively within the healthcare sector. As some legal commentators have cautioned:

Left to their own devices, employees might be blogging, Tweeting, and posting about anything: confidential company plans to spin off a division; lay off a group of workers or start a new product line; sexual escapades between coworkers; or posting highly charged political statements about gay marriage, immigration, or race.

Productivity is another peril of social media use that concerns corporate management. According to a July 2009 Nucleus Research study, corporate employees may waste nearly 15 percent of office productivity by using Facebook at work. (By contrast, a study by the University of Melbourne shows that people using the Internet for personal reasons at work are 9 percent more productive than those who do not.)

Social media will also impact corporate governance, presenting new risks for brand management and directors and officers (D&O) liability. For example:

• Shareholder activists can use social media to disseminate information more quickly and launch efforts to derail corporate defenses.
• The ubiquity of camera phones means that even "closed door" annual meetings can end up with corporate executives becoming unwitting "stars" on YouTube.
• "Viral" corporate movements that harness social media as ways to attack a corporate brand. For instance, witness the flak that Whole Foods' CEO John Mackey caught after his August 11, 2009, Wall Street Journal op-ed criticizing “ObamaCare.” The attempted backlash boycott failed, but Whole Foods' brand suffered.

Social media may also affect employment and hiring practices. Companies can harness social media as recruitment tools in the war for talent, posting information about the company, careers, and job openings. Companies are also using social media such as Facebook to screen job applicants. An ExecuNet survey of recruiters revealed that 26 percent had eliminated job candidates based on Internet searches of them. This, in turn, could spawn new employment practice liabilities if spurned applicants claim that information posted on a social media site is untrue or that a prospective employer lost interest after checking an applicant's race or ethnicity on, say, Facebook. Thus, social media creates new human resource opportunities (recruitment) alloyed with new liabilities (discriminatory hiring practices).

Social Media Positives: Enterprise Opportunity or Risk?

Not all of the reverberations of social media are negative. From an enterprise risk management standpoint, social media creates new positives and opportunities. Some companies use social media as "virtual bulletin boards" to drive traffic to company-maintained Web sites, blogs, and social networks. Other companies integrate social media to advance their broader business aims. For example, Starbucks, Ford Motor Company, and Chevron sell products, service customers, and communicate with the broader public using Twitter, Facebook, and YouTube.

Over 80 percent of U.S. adults online use social media at least once a month, according to a 2009 Forrester Research report. While it is tempting to assume that these converts are exclusively young people, the study shows that the most rapid growth in social media use occurs among those 35 or older.

Innovative firms find ways to use social media to advance business aims. Commercial airlines such as Southwest Airlines, JetBlue, Virgin American, and United use Twitter to flag promotions, Web-only fares, to respond to customers, and to monitor complaints, questions, and comments. They use Twitter to foster dialogue with customers. Businesses that do not thoughtfully reflect on how to leverage social media positively may be left behind in a competitive marketplace. From an enterprise standpoint, risk managers must recognize that social media presents not only risks but business opportunities.

Some companies use social media to attract talent and boost recruitment strategies. Increasingly, the workforce is composed of younger workers who grew up using MySpace, Facebook, and other social media. In the life science sector, a recent survey in the Boston area reflected that 15 percent of those surveyed work for companies that use social media to reach business prospects and customers. Establishing a footprint via social media sites can help project a positive image of the company, reinforce its brand, and elevate visibility in the battle to recruit talent. At the other end of the spectrum, banning employee access to social media sites may negatively impact employee retention and recruitment.

Understandably, some will challenge social media proponents to "monetize" the activity or quantify the return on investment. However, that view can be short-sighted. Social media can be used to solidify and expand business relationships. It also can give you an ear to the ground—a way to learn what the public is saying about your firm and its products, services, employees, and management. Other positive uses for social media are discussed below.

Preserving Brand Equity

Companies can use social media to protect brand equity, monitor reputation, and assess whether corporate products or services are being unfairly tarnished by social media posts. Some monitoring can be outsourced. Electronic fee-based services are available that will do this for companies. The Google Alerts tool also provides a rudimentary way to monitor online postings about a company and provide opportunities to challenge, correct, or neutralize unfair negative feedback.

If done in-house, this monitoring may merit careful division of labor. Turf battles could arise in trying to decide which functional department "owns" monitoring what is said about a company in social media forums to preserve brand equity and reputation. A case can be made by the legal department, the risk management department, or the public relations department for owning the function. The point is that somebody in the corporation needs to be in charge of such monitoring as an ongoing part of job responsibilities. Social media represents not only new challenges and potential liabilities, but new tools for extending a corporate identity, brand, and customer service.

Other companies are sizing up the positive business potential of social media. For example, AT&T has over 13,000 followers on Twitter. The company used Twitter to communicate with customers during a service outage in the Silicon Valley area in the spring of 2009. Even if companies do not actively utilize social media, engage in the activity, or sanction it by employees, firms ignore social networking at their peril if they wish to preserve brand equity and avert reputational hits.

Social Media as a Disaster Recovery Tool

Those organizations with a substantial presence on one or more social media platforms may use them as an alternative way to communicate with customers following a disaster. For example, Innovative Beverage Group Holdings' Web site crashed in 2009 after a spike in Internet traffic caused by a TV news program. The company notified customers on its Twitter feed that it was striving to resolve the problem. According to Peter Bianchi, chief executive of Innovative Beverage, "Twitter gave us an up-to-the-minute ability to take what would normally be a crisis and make it just another event." He added, "You can't do that with a 1-800 number."

Other companies have also made Twitter part of their disaster recovery and crisis management toolboxes. In 2008, an Oklahoma ice storm delayed order fulfillment for United Linen and Uniform Services. The company notified customers through Twitter about the status of their orders, augmenting its Web site.

Social Media as a Vendor Selection Tool

Social media tools such as Twitter may also be used to help choose service providers, such as outside legal counsel. Jeffrey Carr, general counsel for FMC Technologies, launched a selection process requiring that candidate firms send Tweets on why their law firm should be selected. Fitting a compelling rationale within the confines of 140 characters was a challenge that taxed outside counsel's creativity. Some firms touted recent verdicts and settlements. Others mentioned the great wine they serve at celebratory dinners. One firm boasted, "We save you money—or die trying." No one suggests that risk managers select vendors based solely on the superficiality of Twitter, but the vignette illustrates the creative purposes to which businesses can use social media.

A broader application might have risk managers use Twitter as one among many vendor selection tools. Vendors selected using social media tools could include outside law firms but also include insurance brokers, rehab vendors, safety consultants, actuaries, and surveillance firms. There may be little wisdom in picking vendors based solely on the functional equivalent of a corporate haiku. Nevertheless, risk managers could use this as one factor in evaluating vendors and their ability to concisely articulate differentiating features and advantages.

Risk Management Approaches to Social Media

All the classic "textbook" techniques for addressing risks apply—to varying degrees—to managing social media perils. In short order, these strategies can be categorized as risk avoidance, retention, contractual risk transfer, insurance transfer, and risk control.

Avoidance. Thus far, avoidance has been a technique used by many organizations to handle social media risks. These organizations simply have not established corporate presence on social media sites. Many also set their firewalls to block access to these sites to prohibit their employees from using them while on the job. While this may be relatively effective at avoiding the risk, it also prevents the organizations from reaping any benefits available from using social media.
Retention.

The conscious (and, sometimes, unconscious) decision to retain the financial consequences of any losses that arise is also commonly used for social media exposures. This may take the form of deductibles or self-insured retentions in polices that insure the risks or acceptance of the fact that the insurance program will only cover some of the related exposures leaving others totally uninsured.

Contractual Risk Transfer. The use of indemnity provisions and insurance requirements in contracts to allocate risks between the parties is used by the social media providers themselves to transfer risk to the individual and corporate participants on their sites. For example, the terms of use for these sites typically include clauses requiring users to indemnify the social media site host for liability arising from content the user posts on the site, including libel, defamation, and trademark and copyright infringement. Figure 1 shows, for example, the indemnity agreement included in LinkedIn's user agreement. The firm also includes limitation of liability clauses limiting any liability the social media site may have to users. Thus, risk professionals should be cognizant of the fact that their organizations are assuming certain liabilities when they establish a formal presence on these sites.

FIGURE 1

EXAMPLE USER AGREEMENT INDEMNITY CLAUSE

You have to indemnify us and hold us harmless from any damages, losses, and costs (including, but not limited to, reasonable attorneys' fees) related to third-party claims, charges, or investigations, caused by (a) your failure to comply with this Agreement, including, without limitation, your submission of content that violates third party rights or applicable laws, (b) any content you submit to LinkedIn or (c) any activity in which you engage on or through the LinkedIn.

Source: LinkedIn User Agreement, January 22, 2009, version.

Insurance Transfer. This is most commonly achieved through the personal injury coverage provided by commercial general liability (CGL) and umbrella liability policies. Without special modifications, however, these policies are likely to provide only partial coverage for the attendant liability exposures.

To being with, media businesses—from advertisers to publishers to Web site developers—receive no personal injury coverage under the policy. Second, the CGL excludes infringement of copyright, trademark, and other forms of intellectual property rights, with only slight exceptions. Third, the standard Insurance Services Office, Inc. (ISO), CGL policy excludes personal injury liability arising from "chat rooms or bulletin boards the insured owns, hosts, or controls," and this very well may include some of the features, such as interest groups, available in the social media sites. And, lastly, the CGL policy's contractual liability coverage does not apply to the personal injury perils, which would make it largely ineffective in responding to the indemnity agreements the sites impose in their terms of use.

A more reliable approach to covering these risks that most companies should at least consider is to purchase a media liability policy or a cyber liability policy that covers media risks. This would have the added advantage of covering other cyber perils to which the organization may have an exposure (see the October 2009 issue for more on cyber liability insurance).

When using cyber or media liability insurance to cover these liability risks, a key consideration is to assure that the media liability coverage is not limited to the insured's activities on the insured's own Web sites. But even with these policies, it is possible that coverage for certain liability exposures arising from social media will not be covered. For example, some forms limit coverage for liability arising from invasion of privacy to only data that is taken from the insured's own computer system, and a post on one of these social media sites would not qualify for privacy coverage.

Companies suffering reputational damage from social media activities may soon be able to buy insurance for this loss. The DeWitt Stern Group began selling reputational risk insurance in 2010. Such policies reimburse insureds for advertising expenses, lost sales, and endorsement fees caused by a public relations crisis. The latter is defined as an unforeseen event or misbehavior that casts a pall over a company. With the heightened awareness of brand identity and reputational risks, it is possible that an increasing number of niche insurance products may arise to address this type of loss

Risk Control. This involves preventing losses or mitigating the extent of those losses that do occur. In the context of social media, risk control would predominantly involve establishing usage guidelines for employees to follow in their "professional" use of social media. It is a good practice to draft a policy to include in the corporate code of conduct, employee manual, or other appropriate communication vehicle. These policies will remind employees that the employer can monitor any social media postings made on company time, sensitize workers to the risks of divulging confidential information, caution them to exercise discretion and decorum in postings, and to observe copyrights and intellectual property rights of others.

Other "policy" decisions companies must address to manage social media risks include:

• Deciding whether or not to let employees use social media sites on the company's computer network.
• Determining what corporate policy, if any, exists regarding managers "friending" employees?
• Developing company policies about monitoring social media sites, and clearly disclosing and communicating them to the staff.

Risk managers should collaborate with their human resource counterparts to craft sensible policies, aligned with the company's Internet usage policy. More than just a source of risk and headaches, though, social media offers new career advancement and transition tools for risk managers.

Whether companies endorse or repudiate social media, it is a risk that should not be ignored. Companies can monitor the World Wide Web and assess their reputational status by utilizing formal listening tools and services. These might include search engine notification services. Others may include hiring a firm to monitor what is said about the company on the Internet and in social media forums.

Social Media Risks in Context

Social media detractors may seize on disaster scenarios. Due to the perceived perils of Facebook, Twitter, and other social media sites, some companies block employee access to these sites. Context is vital here, though. Mistakes, liabilities, and embarrassments are not unique to social media. The proverbial "smoking guns"— inanities or blunders made via e-mail or cell phones—have occurred for years. Yet, few suggest that businesses ban these tools, which have become business environment fixtures.

Social media perils and risks are not unique to social media. The problem is not social media. The problem lies in using social media in dumb ways. Social media perils are not to be underestimated or laughed off. They exist. Still, they may represent no compelling reason for companies to delay harnessing social media for business purposes. Is social media totally risk free? Are fax machines risk free? How about cell phones? Are computers, personal digital assistants, or smart phones risk free? At the close of a business dinner, is it risk free to hand one's Visa card to a restaurant's waiter?

These are rhetorical questions, admittedly. Let us not assess social media risks by standards that would flunk other tools and forms of business communication and transactions used daily. Ultimately, risk professionals must be aware of the evolving social media landscape and what the consequences might be to the company if it ignores or prohibits participation in this realm.

Most risk professionals have by now heard that the Chinese character for "danger" also connotes "opportunity." Perhaps nowhere else is this truer than in examining social media. This burgeoning form of communication and collaboration creates new risks—but also new opportunities—for companies. Effective risk managers will mitigate the risks while not being blinded to the new opportunities created by the wide, and often wild, world of social media.

About the Author:

KEVIN M. QUINLEY, CPCU, ARM, AIC, AIM, ARe
Berkley Life Sciences LLC
www.berkleyls.com

Kevin M. Quinley is vice president of Risk Services for Berkley Life Sciences LLC. The views in this article are his own, do not constitute legal advice, and do not necessarily reflect those of the W.R. Berkley Corporation or Berkley Life Sciences LLC. Mr. Quinley is a claims and risk management expert who has written over 600 articles and 10 books, including Litigation Management published by IRMI. His B.A. degree is from Wake Forest University, and his M.A. is from the College of William & Mary. A frequent speaker on risk management, Mr. Quinley can be reached at kquinley@berkleyls.com.

©International Risk Management Institute, Inc.

©2010 Vertafore, Inc. All Rights Reserved.

BB&T Insurance Services to acquire Orlando agency

News Release – Feb 28, 2008

RALEIGH, N.C., Feb. 28 /PRNewswire-FirstCall/ -- BB&T Insurance Services, the nation's seventh largest insurance broker, today said it plans to expand its Florida operation with the acquisition of Burkey Risk Services of metro Orlando.

Burkey Risk Services provides risk management and employee benefits services from its headquarters in Maitland and its south Florida office in Boynton Beach. Burkey subsidiary Hotel Insurance Programs of America Inc. specializes in risk management services for hotels.

"We've wanted to enter the greater Orlando market for some time now," said Wade Reece, chairman and chief executive officer of BB&T Insurance Services. "We can think of no better way to accomplish that goal than by teaming up with Burkey, an agency with an impeccable reputation for knowledgeable and highly personal service."

The transaction is expected to be completed in early March. Terms were not disclosed.

"The decision to join BB&T Insurance is a great one because we have the same culture and philosophy of respect for our clients, our employees and our family," said Burkey Chief Executive Officer Gary Burkey.

"Our partnership with BB&T Insurance provides the best of both worlds -- the resources of the nation's seventh largest insurance brokerage and the ability to provide our clients the same local support they've long enjoyed. We also believe our employees will become valued contributors as part of the BB&T team."

Burkey will continue to manage the company he founded in 1987. His wife, Julie Burkey, will serve as vice president, agency manager and manager of the company's employee benefits division.

The Burkeys' son, Stefan, serves as vice president of the company's hospitality division, Hotel Insurance Programs of America, and will continue in that role. Dennis McNamara and his wife, Gail, will continue to manage the Burkey Risk Services south Florida office. The company has 28 employees, all of whom will remain with the company.

BB&T Insurance Services operates Florida agencies BB&T-Landrum Yaeger in Tallahassee, BB&T-Iler, Wall & Shonter in St. Petersburg and BB&T-Wyman, Green & Blalock in Bradenton.

BB&T Insurance Services is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates 85 insurance agencies in North Carolina, Virginia, Georgia, South Carolina, Maryland, West Virginia, Tennessee, Florida and Kentucky.

Branch Banking and Trust Company is the principal subsidiary of Winston- Salem N.C.-based BB&T Corporation (NYSE: BBT). With $132.6 billion in assets, BB&T Corp. is the nation's 14th largest financial holding company. More information about the company is available at http://www.bbt.com/.

SOURCE: BB&T Corporation

CONTACT: Wade Reece, Chairman and CEO of BB&T Insurance Services Inc.,
+1-919-716-9770, Gary Burkey, Chief Executive Officer of Burkey Risk Services
Inc., +1-407-682-1122, or Jeff Nichols Vice President of BB&T Corp.
Communications, +1-336-733-1472

Web site: http://www.bbt.com/

Company News On-Call: http://www.prnewswire.com/comp/809325.html

Preparing Your Business for a Hurricane
In the News - June 28, 2011

Yes, you may have heard this before, but the best time to respond to a hurricane truly is before it happens. A relatively small investment of time and money now may prevent severe damage and disruption of life and business in the future.

As a risk manager, you have to ask the tough questions: What if the worst happened? How would it affect business? Would we survive if the business were closed down for weeks, months, or perhaps the entire revenue season? What can I do to make sure we survive?

Here is a common-sense checklist:

1. Is your business vulnerable to flooding or severe wind damage? You can map the flood risk to your business at www.fema.gov/hazard/map/flood.shtm. Know the elevation of your building, and have it inspected by a licensed professional to make sure the roof and other building connections comply with the wind loading requirements for your area. If your building has large expanses of glass, consider using impact-resistant glass or impact resistant film products to protect your investment.

2. What precautions can you take? Cover non-impact-resistant windows with shutters or plywood. Cover and move your equipment and furniture to a secured area. Protect all data by making backup files and storing the duplicates away from the area that could be affected by the storm. Make provisions for alternate communications and power, especially if your business cannot shut down during the course of the emergency. Be prepared to have limited access to normal banking services. Plan on losing water, sewer, electrical and phone service. Stockpile emergency supplies. Prepare a list of vendors and telephone numbers critical to daily operations.

3. What about your staff? Prepare a list of all employees, including telephone numbers and addresses and any location where they may go if they plan to evacuate. Most employees will need time to attend to their families. If your business must operate during a storm, provide good shelter. If you will need to get back to work quickly after a storm, and need critical employees to do so, plan on helping them meet their personal needs.

4. Who do you need to keep informed? If you will need to shut down during an emergency, make sure your customers and suppliers know what is happening. If necessary and possible, arrange for telephone, fax and other communication to be rerouted if your lines go out.

5. How do you manage your insurance? Prepare a list of carriers and policy numbers, as well as contact information for your agent and their claims office. Have your business appraised at least every five years. Inventory, document, and photograph equipment, supplies and the workplace. Have copies of insurance policies. Purchase business-interruption insurance and consider adding coverage to protect against lost revenues. Remember that flood coverage often requires a separate policy.

6. What can you do after the storm? Be cautious about entering your business, even if it appears undamaged. Check power lines, gas service, and the building’s structure. If any electrical equipment is wet, have it checked by an electrician before turning on the power. Keep careful track of all losses and damage-related expenditures. Obtain independent estimates of damage. Document all losses with photographs or video. Don’t wait for an adjuster to arrive before making emergency repairs. Try to avoid additional damage – board up broken windows to prevent additional rain damage and looting.

Contact the Small Business Administration for more disaster preparedness tips, including information on low-interest disaster relief loans, at www.sba.gov.

Source material: Clemson University Cooperative Extension Service and the S.C. Grant Consortium (used with permission)

Colhoun named as top graduate of Accredited Adviser in Insurance program
Awards and Recognition - June 28, 2011

Bruce Colhoun recently was named as the “Distinguished Graduate” in The Institutes’ Accredited Adviser in Insurance (AAI) Program.

The Distinguished Graduate Award is presented to the AAI program graduate with the highest cumulative grade average.

Colhoun is a commercial marketing manager based at the BB&T Insurance Services office in Durham, N.C., at 4309 Emperor Blvd. Colhoun also holds the ARM (Associate and Risk Management) and AAI (Accredited Advisor in Insurance) designations.

About The Institutes
The Institutes are the leader in delivering proven knowledge solutions that drive powerful business results for the risk management and property-casualty insurance industry.

The Institutes’ knowledge solutions include the CPCU designation program; associate designation programs in areas such as claims, risk management, underwriting, and reinsurance; introductory and foundation programs; online courses; research; custom solutions; assessment tools; and continuing education (CE) courses for licensed insurance professionals and adjusters through its CEU.com business unit.

About BB&T Insurance Services
BB&T Insurance Services, the nation’s sixth largest insurance broker, is a wholly owned subsidiary of Branch Banking and Trust Company. Founded in 1922, it operates more than 100 insurance agencies in Alabama, California, Florida, Georgia, Kentucky, Maryland, North Carolina, South Carolina, Tennessee, Virginia and West Virginia.