Applied Underwriters

Applied Underwriters Inc.

Company type	Subsidiary
Industry	Insurance
Founded	1994
Headquarters	Foster City, California, U.S.
Key people	Sidney R. Ferenc Chairman, CEO Steven Menzies President, COO
Products	Worker's compensation Payroll processing
Parent	Berkshire Hathaway
Website	[2]

Applied Underwriter headquarters in the Foster City Metro Tower

Applied Underwriters Inc. is an insurance company that specializes in providing worker's compensation insurance and payroll processing services. It is headquartered in Foster City, California, but maintains a national operations center in Omaha, Nebraska. Applied Underwriters boasts some of the highest customer retention rates in the industry (in excess of 90%), has a claims closure rate 2.5 times faster than the industry average, and its insurance carriers are rated 'A' (excellent) by A.M. Best Company. In 2006, Applied Underwriters was acquired as a subsidiary by Berkshire Hathaway.

It's mascot is the St. Bernard, which reflects the company's strength, dependability, intelligence, and diligence.

History

Applied Underwriters was first founded in 1994 by Sid Ference and Steve Menzies as a profit-driven worker's compensation insurance company. Originally based in the San Francisco Bay Area, it has since expanded across the country, diversifying its products to suit the needs of clients in every state.

In 2001, Applied Underwriters brought its claims handling inhouse, establishing an operations center in Omaha, Nebraska.

In 2005, Applied Underwriters founded its own insurance carrier, called California Insurance Company. Upon doing so, A.M. Best immediately gave the new company an A- rating to reflect its growing potential. It has since upgraded its rating to an A for North American Casualty Group, which California Insurance became a member of shortly after Applied Underwriters went national.

In 2006, Applied Underwriters was acquired as a subsidiary by Berkshire Hathaway due its longtime association with another Berkshire Hathaway subsidiary, General Re. Upon the heels of this announcement, Applied Underwriters started its own PPO health provider, Promesa Health, to ensure low-cost and effective drugs, treatments, and coaching for its clients.

Products

Applied Underwriter offers a variety of products through its own insurance carrier, North American Casualty Group, of which California Insurance Company and Continental Indemnity Company are members. It does business in all 44 non-monopolistic fund states (excepting Texas, which is the only state that does not require its employers to carry worker's compensation insurance).

SolutionOne combines A-rated workers' compensation insurance coverage along with payroll processing, risk management, and employee extended coverages, which is a comprehensive package of services meant to handle adminsitrative hassles such as worker safety training, background checks, and drug testing. All of these services are managed inhouse, so there are no pass-through costs involved.

PremierExclusive combines A-rated workers' compensation insurance coverage along with profit-sharing options which allow clients to share in the underwriting profit by controlling their losses. PremierExclusive is a competitive alternative to upfront discounts and back-end dividends and the reduced pay-in provides cash flow benefits to companies. PremierExclusive is a premium product that is currently offered exclusively only through select agents.

External links

• [3] Applied Underwriters official website
• [4] Berkshire Hathaway official website