Sterling Risk Advisors is dedicated to customer privacy and full disclosure regarding our compensation.
Please see our policies below.
Sterling Risk Advisors is committed to the highest level of integrity in all of our relationships with clients, employees and service partners. This commitment extends to any personal information about our customers that we might possess or acquire. Sterling Risk Advisors is committed to respecting personal privacy, and safeguarding individual record confidentiality and system security. Accordingly, Sterling Risk Advisors and its affiliates adhere to the following Privacy Guidelines and Principles:
Sterling Risk Advisors has developed policies and programs for the protection of customer information.
Sterling Risk Advisors strives to maintain the accuracy of customer information and will promptly respond to any questions or concerns customers may raise with respect to the accuracy of such customer's personal information.
Sterling Risk Advisors employees are responsible for the protection of customer information, and each Sterling Risk Advisors employee with access to personal customer information is responsible for compliance with our privacy policies and procedures.
Sterling Risk Advisors expects all of its service partners and service providers to adhere to Sterling Risk Advisors' high ethical standards as to the confidentiality of personal information.
Sterling Risk Advisors will only use personal information in compliance with applicable law.
Sterling Risk Advisors has appointed compliance officers within each business unit who are responsible for ensuring that their respective business units are in compliance with each of these principles.
Sterling Risk Advisors may collect user information for its Web sites via cookies, alphanumeric identifiers transmitted from a Web site to a visitor's browser. Sterling Risk Advisors collects such information solely for the purposes of better customer service, enabling our ability to identify users and create content to meet their needs. While it is possible to disable cookies via your browser settings, doing so may not allow Sterling Risk Advisors to enhance your Web experience.
Visitors should check this Web site regularly to learn of any changes to these Guidelines.
How We Are Compensated
There has been media coverage in the recent past as to alleged compensation improprieties on the part of some national insurance brokerage firms. At Sterling we make full disclosure as to the ways we are compensated for our services. This is straightforward and simple as detailed below.
For placing Property and Casualty, Professional Liability, Surety, and Benefits accounts on a brokered basis we are paid a commission by the writing carriers. These commissions are a percentage of the total premium. The carriers all pay us the same commission percentages that they pay other brokers. Moreover, in most cases the writing carriers each pay us the same commission percentage for each line of coverage. In a few cases commission percentages may vary by line of coverage between carriers. Such commissions never vary so much as to have an affect on where we recommend the customer place coverage.
Several of our staff are licensed insurance counselors. In the case of some very large accounts we recommend and some customers prefer that we charge professional fees rather than accept commissions as our compensation. When we do so we do not accept commissions from carriers at the same time that we are charging professional fees so as to increase our total compensation. If however, we are receiving commissions and there are additional services that the our client needs wants over and above the norm we will agree on specific fees for these services with the client in advance and fully disclose them in writing.
Contingency and Profit Sharing Payments
Property and Casualty, Professional Liability, Surety, and Benefits carriers offer us year-end Contingency and Profit Sharing arrangements. Medical Malpractice carriers do not offer such arrangements. These Contingency and Profit Sharing arrangements are based on formulas that consider a combination of the profitability of the accounts we place with the carrier, the size of the overall volume with the carrier, and the growth we have that year with the carrier. If for example we have a large volume and growth with a carrier in a calendar year but it turns out that the losses on the accounts we have with the carrier have been severe then there would be less (or perhaps no) Contingency and Profit Sharing Payment. We accept these Contingency and Profit Sharing Payments from carriers. Because of the randomness of the above formulas due to claim losses we can't predict in no case that these payments have an affect on where we recommend customers place coverage.
In some case it makes sense for our customers to seek premium financing from outside commercial premium finance companies. This happens when either the writing carrier does not offer premium financing, or when the writing carrier's premium finance offer is not as good as can be obtained from outside commercial premium finance companies. This involves considerable additional work time for us compared to having the financing handled by the writing carrier. If we arrange such premium financing, the outside commercial premium finance companies pay us a small percentage of the finance charge. We receive the above compensation from premium finance companies both on accounts where we are paid commissions and on accounts where we are paid professional fees. This percentage compensation is the same from each of the outside commercial premium finance companies and thus we have no incentive to place the financing with any premium finance company other than the one that offers the least expensive and best terms to our customers.