Liberty Northwest to Sell Workers Compensation Insurance Exclusively through Independent Agents

News Release
Contact: Christopher Goetcheus, 774-279-5923
or [email protected]

Liberty Northwest® to Sell Workers Compensation Insurance 
Exclusively through Independent Agents
Company Discontinues Direct Distribution

Boston, Mass. (June 9, 2009) – Liberty Mutual Group’s Agency Markets business unit today announced that one of its member companies, Liberty Northwest, has sold the renewal rights for most of its direct-sold workers compensation policies written in Idaho, Montana, and Oregon. Going forward, it will sell its new workers compensation policies, as well as all of its other lines of business, exclusively through independent agents.

To ensure service continuity and consistency for its customers, Liberty Northwest has entered into definitive agreements to sell these policy renewal rights to Western States Insurance Agency of Missoula, Montana; Premier Insurance of Idaho; and Propel Insurance of Tacoma, Washington. Each of these agencies has extended offers of employment to all of the Liberty Northwest sales and service professionals who are already supporting the transferring policies.  Additionally, a definitive agreement has been entered into with Advantage Plus Insurance Services of Pocatello, Idaho. It will be the agency of record for direct-sold workers compensation business previously managed out of the Liberty Northwest Pocatello office. While the transaction with Advantage Plus is effective immediately, the other transactions are expected to close by the end of June 2009.

“These transactions further solidify our belief in and commitment to the independent agency system,” said Gary R. Gregg, president of Liberty Mutual Agency Markets. “In phasing-out direct distribution, we offer a wider appetite for our Liberty Northwest agents to meet existing and new commercial customers’ full insurance needs.”

As the largest private workers compensation insurer in Idaho, Montana, and Oregon, Liberty Northwest is looking to grow and expand this line of business via independent agents. Liberty Northwest already writes workers compensation, as well as all of its other lines of business through the agency system.

Julie Burnett, president of Liberty Northwest added, “Policyholders affected by this change will continue to receive our proven risk management solutions, loss control services, and fast and efficient claims service. We are delighted that virtually all of our direct sales staff and account coordinators will be joining these agencies and continuing the strong, supportive relationships we’ve developed with our mutual customers.”

About Liberty Northwest

Liberty Northwest Insurance Corp. (libertynorthwest.com) is Oregon’s largest private workers compensation insurer and is a leading property and casualty insurer with offices throughout the Northwest.

Founded in 1983, Portland-based Liberty Northwest distinguishes itself through exceptional customer service, building strong partnerships, and serving the community.

About Liberty Mutual Agency Markets

Liberty Mutual Agency Markets, a business unit of Liberty Mutual Group, offers personal and commercial insurance through independent agents throughout the United States. Commercial lines products are offered through eight regional companies and Liberty Agency Underwriters, which provides specialty commercial products, including excess casualty and program business. Personal lines products are offered nationally under the Safeco Insurance brand. Liberty Mutual Surety provides contract and commercial surety and fidelity bonds nationwide, and Summit provides workers compensation coverage in the Southeast.

Agency Markets operates under a unique regional/national model that leverages the service-oriented focus of regional operations with the cost efficiencies of a national infrastructure to deliver quality products and services to agents and brokers and the customers they serve. 

Commercial Lines:
• America First Insurance™ (Gulf Region)
• Colorado Casualty™ (Mountain Region)
• Golden Eagle Insurance™ (California)
• Indiana Insurance™ (Midwest Region)
• Liberty Northwest® (Pacific Northwest Region)
• Montgomery Insurance™ (Southeast Region)
• Ohio Casualty™ (Mid-Atlantic Region)
• Peerless Insurance™ (Northeast Region)

Personal Lines:

• Safeco Insurance™ (National)

• Liberty Agency Underwriters™ (Specialty Commercial Products)
• Liberty Mutual Surety™
• Summit™ (mono-line Workers Compensation)

About the Liberty Mutual Group

Liberty Mutual Group ranks 86 on the Fortune 500 list of the largest U.S. corporations based on 2008 revenues. The company has financial strength ratings of A (Excellent) from the A.M. Best Company, A2 (Good) from Moody’s Investors Service, and A- (Strong) from Standard & Poor’s.

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