AAggeenntt IInnffoorrmmeerr News stories of interest to Allstate Agency Owners published by the National Association of Professional Allstate Agents, Inc. This Special complimentary issue of Agent Informer is designed to acquaint

you with our email publications. NAPAA members have already received all of this news in their inbox over the last 4 weeks. You could also receive weekly news in the DirectExpress newsletter – exclusively for NAPAA Members.

September 17, 2012

Mission Statement: NAPAA is dedicated to the success of Allstate Exclusive Agency Owners and to advance the independence and entrepreneurial spirit of our members.

News from NAPAA Business Objectives and Monthly Performance Evaluations – Did you know you CAN report violations to the IRS rules anonymously? September 12, 2012, NAPAA Headquarters Following a few months of relative quiet from the company, new pronouncements have been issued that impose additional changes to the agent contract that heighten the independent contractor classification question. Allstate will launch a new Agency Business Objectives program on January 1, 2013. The new quotas are outlined in a company announcement which explains that “agencies below expected performance for 10 month in a 12-month period will be considered for termination.” NAPAA believes that production quotas and the new monthly performance evaluation are indicative of an employee/employer relationship. Allstate continues to misclassify its agents as independent contractors, thereby avoiding state and federal tax obligations while depriving agents of FLSA and EEOC protections. Agents should remain vigilant. With enough information, the IRS may one day launch an investigation that will result in Allstate’s proper treatment of agents as independent contractors. FORM 3949 A http://www.irs.gov/pub/irs-access/f3949a_accessible.pdf may be submitted to the IRS anonymously. The primary purpose of this form is to report potential violations of Internal Revenue rules. Agents may attach copies of documents – such as the Agency Business Objectives Program Overview – supporting their claims that Allstate agents are misclassified. For a hypothetical sample of a completed Form 3949A, click on the following link: http://www.napaausa.org/Upload/Form%203949A%20IRS%20Winter%202009.pdf. Please note the online form was prepared when there were approximately 14,000 Allstate agents. Today there are about 9,000.

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Allstate purchases agency management system from eBridge September 12, 2012, NAPAA Headquarters Last Friday, Allstate announced the acquisition of eAgent – an agency management system – from eBridge, Inc. The company plans to make the tool available to its agents in 2013 through a ―cost-sharing arrangement.‖

There are about 1,500 Allstate agents currently subscribing to the eBridge service. These agents will continue to receive uninterrupted service, according to a company announcement.

On the surface, having the company provide more robust technology to assist agents in managing their customers makes sense, but further examination reveals some disturbing details. Foremost is the financial harm it will cause hundreds of agents who have made substantial investments in competing systems from Applied, Sunrise and Vertafore. By the end of 2013, the company will no longer offer captive agents any support for these systems, which will render them useless.

Noteworthy is the fact that there will be no change for non-captive Allstate independent agents; they will be able to continue to use the agency management system of their choice. Many concerns have been voiced by agents, especially those already using the system. Agency management systems are designed to integrate all agency business operations, so most users incorporate their proprietary agency information into them. This is problematic for many agents because they do not want Allstate spying on them. Proprietary information might include office management tactics and strategies, staffing, payroll, productivity, agency revenues and expenses, business relationships with other vendors, tax returns, and other administrative and personal documents. Of equal or greater concern is the proprietary information agents store on their non-Allstate prospects and customers, such as policy data, e-mail addresses, etc. Use of the Allstate owned system gives the company access to all of this information – including business written through state JUA plans – which is information the company has sought for years. Use of third party vendors generally keeps unauthorized use of confidential agency information at arm’s length. Giving Allstate access to this information is an inherent conflict of interest. Will Allstate claim ownership of this information? Will they further undermine the agency force by using eAgent as a prospecting tool for their darling new acquisition Esurance?

While agents may continue to use another system, they will no longer be able to integrate all customer data into one system. How cumbersome will it be to use one system for agency operations and brokered/state plan policies and another for Allstate policies? In effect, the company is forcing agents to use the company owned product.

Many agents view this as yet another attempt by Allstate to gain absolute control over their businesses.

Allstate has already planned a cut in agency revenue in 2013. Now the eAgent acquisition is forcing agents to shop at the company store for this potentially invasive technology, making them even more dependent on Allstate. When questioned whether this is a new trend where agents will be expected to pay for other such enhancements, the company responded, ―in the future, Allstate may consider the same approach if the right opportunity arises.” Want to do something about it? File IRS FORM 3949 A http://www.irs.gov/pub/irs-access/f3949a_accessible.pdf may be submitted to the IRS anonymously. The primary purpose of this form is to report potential violations of Internal Revenue statutes. Agents may attach copies of documents – such as the eAgent Q&A Overview – to support their complaint that they are being subjected to controls that are not consistent with independent contractor guidelines. A sample completed form 3949A is posted on the NAPAA website. Access the sample at: http://www.napaausa.org/Upload/Form%203949A%20IRS%20Winter%202009.pdf. Please note that the current number of agents is about 9,000, not 14,000 as indicated on the online sample form.

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Why Allstate is pushing a money-losing online business August 13, 2012, By Steve Daniels, Crains Allstate Corp. is wasting no time stepping on the gas at newly acquired Esurance. Auto policies at Allstate's online insurer are up 13 percent through June 30, thanks to an aggressive ad campaign that has Esurance on course to boost its 2011 marketing budget of $100 million by 66 percent this year. Meanwhile, Northbrook-based Allstate's far larger traditional business of selling auto policies through a nationwide network of 10,000 agents has been in decline for five years. Any offset is welcome. But Esurance's growth is unprofitable, while the shrinking agent-sold business enjoys industry-leading profit margins. ―It's still an open question whether they can compete with much bigger (online auto) companies and still be profitable,‖ says Meyer Shields, an analyst at Stifel Nicolaus & Co. in Baltimore. ―(Esurance's) importance is only going to grow.‖ Allstate, which bought San Francisco-based Esurance for $1 billion late last year, is up against Chevy Chase, Md.-based Geico and Mayfield Village, Ohio-based Progressive Corp., which over the past decade have upended the insurance industry by selling policies cheaply over the Internet. The good news for Allstate CEO Tom Wilson: Improved financial results, particularly in the second quarter, have led to a relief rally on Wall Street for his company's long-punished shares, buying him some breathing room to pursue his online strategy. Allstate's stock is up 39 percent this year on better earnings due largely to homeowners' insurance rate hikes and fewer catastrophe losses. ―We expect Esurance to keep growing,‖ Mr. Wilson said during Allstate's Aug. 1 conference call with analysts. ―We like what we got there.‖ As for the agent-sold business, he said, ―I don't think you should expect to see dramatic growth in (policies) there.‖ Company representatives did not respond to requests for comment. One reason Esurance is growing and Allstate's traditional business isn't is that Esurance's rates are falling, albeit slightly, while Allstate's continue to climb, as they have since Mr. Wilson became CEO in 2007. In the second quarter, Esurance dropped rates an average of 0.1 percent in 23 states while Allstate boosted rates an average of 4.4 percent in 19 states.

Though Esurance is relatively small and new to Allstate, which had $33.17 billion in revenue last year, some unhappy Allstate agents are complaining that clients are leaving them for Esurance, reasoning that they're getting Allstate-type coverage at far lower prices. Some analysts worry about the costs of Esurance's growth. But for now, Allstate appears willing to accept losing money on Esurance in order to grow. Mr. Wilson has said repeatedly that he thinks the kind of customers who buy from an agent generally aren't interested in buying coverage on their own. Whoever's right, in the past Allstate risked losing bargain hunters to Geico or Progressive. At least now, the company has a chance to keep them in-house. Owning Esurance also allows Allstate to be firm on pricing in its agent business, argues Josh Stirling, an analyst at Sanford C. Bernstein & Co. in New York. ―Raising margins in the core (business) to pay for growth in Esurance will allow the firm to achieve the sustainably higher margins necessary to satisfy investors while still allowing Allstate to ensure its future in a slowly but permanently changing industry,‖ he writes in an Aug. 1 report. That won't be music to the ears of frustrated Allstate agents, who have struggled to grow their businesses in the face of relentless rate increases. In the shorter term, some analysts worry about the costs of Esurance's growth. In 2012, loss trends have worsened at Esurance, as well as at other online insurers. Allstate's heavy ad spending on Esurance, along with the heftier losses, meant that Esurance spent $1.22 for every dollar of premium it collected in the first half of 2012. Under different ownership during the same period last year, Esurance paid out $1.02 for each dollar of premium it collected. Over time, Allstate will have to hike rates for Esurance customers to bring that ratio in line, as Progressive is doing. But for now, Allstate appears willing to accept losing money on Esurance in order to grow. ―We're watching the loss trends at other companies like Esurance,‖ says Greg Peters, an analyst at Raymond James & Associates Inc. in Chicago. ―We're concerned Esurance will experience some of the same pressures.‖

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Allstate Increases Agencies in 2nd

Half of 2012 August 28,2012, By, Zacks Equity Research Striding ahead with its proactive expansion approach, Allstate Corp. announced its plans to employ about 85 new insurance agencies across south-west of the US. The company plans to begin with the appointments by the end of the second half of 2012. Accordingly, Allstate intends to increase its agency owners by 20 in Oklahoma, 30 in Phoenix, 15 in Nevada, and 10 each in Albuquerque and Salt Lake City. Earlier this year, the company had laid out its aim of appointing about 28 new agency owners in Michigan by the end of 2012, while about 140 were targeted to be employed across the primary locations of Connecticut, Maine, New Hampshire, Pennsylvania, Rhode Island and Vermont. The recent surge in sales professionals along with the expansion of agency owners reflect the company’s capital efficiency, strong operating leverage and its focus to generate an operating return on equity (ROE) of 13% by 2014 through business growth and brand management. This also complements Allstate’s long-term growth strategy to reposition products and distribution platforms to meet the changing needs of consumers. Earnings Review Beginning this month, Allstate reported second-quarter 2012 operating earnings per share of 87 cents, which substantially exceeded the Zacks Consensus Estimate of 52 cents and the year-ago quarter’s loss of $1.24. Allstate’s net income for the reported quarter came in at $423 million or 86 cents per share, as opposed to a net loss of $624 million or $1.19 per share in the prior-year quarter, witnessing a stark improvement. Results for the quarter reflected lower catastrophe losses, which further led to reduced claims expenses coupled with lower operating expenses and higher premiums. Expansions in emerging businesses and other personal lines along with higher investment income also benefited the results. These were offset by lower realized capital gains and underperformance of Allstate Financial. Improved operating cash flow and prudent capital management also drove return on equity (ROE), book value per share and combined ratio. The Zacks Consensus Estimate for the third quarter of 2012 earnings is currently pegged at 78 cents, which is about 390% above the prior-year quarter’s earnings results. Of the 20 firms covering the stock, 10 revised their estimates upward in the last 30 days, while 6 downward revisions were witnessed. The upside potential for the second quarter currently stands at 2.56%. Our Take Overall, we believe that Allstate will persistently benefit due to its diversification, superior financial strength rating and tactical approach to investment. These factors have helped Allstate gain the second-largest personal lines writer position in the US, which also reflects its competitive strength against arch rivals such as Berkshire Hathaway-A) and The Travelers Companies. However, Allstate’s exposure to catastrophe risks, capital losses and volatility in pricing, interest and loss costs will continue to impact the premiums and investment portfolio in the upcoming quarters. Hence, we maintain a Neutral recommendation on Allstate for the long-term, with a Zacks Rank #3, which translates in to a short-term Hold rating.

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Allstate: "Ushering in a new era of auto insurance" August 13, 2012, Telematics Update TU catches up with Nate Bryer, usage based insurance general manager at Allstate, about the insurance telematics field and Allstate's DriveWise solution TU: Can you provide a quick introduction to your role at Allstate? NB: I am the usage based insurance general manager here at Allstate. I oversee the general day-to-day operations for DriveWise as well as work on the development of future state enhancements. I have been doing this role for about four years. My background is technology and process performance for business, as well as marketing design. So I’ve merged those two skill sets into my optimal job. TU: UBI solutions have steadily gained traction over the past five to 10 years. Some describe the current market among top insurance carriers in the U.S. as an arms race. Do you agree? NB: I would agree that UBI solutions have steadily gained traction over the past five to 10 years; however, I’m not sure I would agree with it being called an arms race. It’s a little bit strong. There is a lot of healthy competition between the insurance carriers. I merely think we have a convergence, a perfect storm if you will. The technology has improved to the point that it’s small, nimble enough, the price point is good, so that capturing actual driving behavior is now feasible. TU: Even if it‟s just a convergence of activity, what would you say is at stake here? And what should companies focus on achieving through UBI products? NB: Understanding your customer is key. If you understand your customer and know what they want, then you want to be able to provide as an insurance company the best services at the best prices for your customer. Here within our UBI practice, that’s what we are doing: We’re focusing on providing a product to attract and retain the safest drivers. We know that drivers that want to be safe want to be rewarded for that driving, and our UBI product gives them a means for proving that they’re safe and thus being rewarded. So it’s pretty simple. TU: To formulate sound strategy, you generally need good metrics. What metrics should insurers be focusing on when it comes to telematics? NB: There are a lot of myths here, but there really is no secret to base metrics that are part of the UBI model. The first is mileage. Mileage is intuitively going to be your most heavily weighted metric because the more you’re on the road, the more chances you have of getting into an accident. The other things subsequent to that are things like breaking, the time of day that you’re on the road, high-speed driving. Those are all very intuitive factors that play into a UBI model. Take breaking, for example. If you’re breaking hard and you’re breaking hard a lot, that is usually an indicator that you’re not paying attention, you’re tailgating, or you’re not leaving enough time or space between you and other vehicles and infrastructure on the road. A lot of people don’t like the fact that breaking is part of it, but it is an indicator that if you break more than someone who doesn’t, you’re going to be higher risk. It’s just straight math there. Things like time of day are also intuitive. Late at night when it’s dark out, people are either tired or they’re drinking or other things they probably shouldn’t be doing, so it’s a higher risk time. And high speed, that’s one of those things that people don’t necessarily like either, but it’s intuitive to know that higher speed means that you have lower reaction time to incidents or potential accidents.

TU: A recurring challenge or concern with UBI products is that high-premium drivers will leave their policies through new revenue opportunities. How can companies counter this effect? NB: I really think that it is standard business 101. Make sure that you offer your customers the best services at the best prices that you can. If you’re doing that in a way that resonates with your customers, they’ll stay regardless of what other people are offering. TU: Let‟s talk about your specific activity at Allstate. How have you taken some of the lessons you just shared and incorporated them into your own offerings? NB: The number one lesson that we have learned over the few years we’ve been doing this is that education is key. UBI is not necessarily a new concept, but it is fairly new compared to other insurance products. Insurance in general has been around for as long as there have been things that you want to protect, there’s been insurance there to offer protection for it. But UBI is a little bit different in that we’re giving somebody a price for their auto insurance based on how they actually drive, so there’s some education in terms of what safe driving is, what safe drive isn’t, and what risky driving is. So it’s a matter of getting the general consumer up to speed on what that really means. Once people understand that it’s based on actual science, they get it. They may not agree with it, but they understand that it intuitively makes sense. TU: Beyond the basic services, have you started to integrate new features into your UBI offerings, like dynamic content and external services? Is this an important way to create competitive advantage? NB: I think that is a logical next step that we would like to make, though it remains to be seen whether or not that is a step that will happen. Here at Allstate we’re still exploring whether services in addition to the base UBI offering is something that we want to pursue. TU: Looking ahead, what are you most excited about when it comes to your own UBI solutions and to the broader UBI market? Is telematics ushering in a new era of auto insurance? NB: I think what’s exciting to me is when people get it. When customers get the connection between their actual driving and the price they’re paying, and they can actually make some changes and determine the price they pay, you get to see the light bulbs go off so to speak and then people understand that, you know what, if I understand what safe driving is and actually execute on what that is and get to save money, it actually makes sense. So you wrap all those things up, then yeah, we are ushering in a new era of auto insurance.

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Letters to NAPAA It is NAPAA's editorial policy to publish letters submitted by our readers. Just because we publish a letter, does not mean the NAPAA Board agrees with, supports or endorses the letter's content or the writer's opinion. Also, NAPAA reserves the right to edit any material submitted for offensive or inappropriate language, length, tone and civility.

So, if you read the excerpts from the Crain’s article, Tom Wilson admits he will use agent-based business to make up for the losses at Esurance to make sure they grow, but he doesn't expect any growth in the agent-based business. Tom Wilson admits here that he will forfeit agent growth to pay for Esurance losses, and yet agent bonuses and future 10% commissions are tied to the very growth they never intend to achieve! Amazing! Editor’s response: You make an excellent point in that Tom Wilson expects agents to perform miracles to write new business, yet they seem more than content to lose more PIF at Allstate and remain unprofitable at Esurance instead of fixing the competitive problems that exist for agents. Strange way to run a business. _________________________________ This past week provides a second helping of evidence that Allstate has begun to embrace what appears to be the first iteration of the Canadian model here in the US. The first came in the form of Allstate’s Facebook posting a few weeks ago and now we are seeing more evidence popping up on other social media sites (see examples below). It is now quite obvious that Allstate plans to open several Multi-Agent locations throughout the U.S. Agents who have denied the existence of an alternative agent deployment model will need to sharpen their assessment of recent comments from Allstate management concerning the Canadian model never coming to the U.S. It has long been my contention that the current agent deployment model is a ―bridge‖ to the final configuration of Tom Wilson’s utopia of an Allstate without EA agents. The recent purchase of Esurance, the beefing up of Allstate call centers and the massive culling of the agency force all point to Allstate’s ultimate goal of establishing Canadian-style multi-agent offices.

It remains unclear how Allstate will broker the deal between participating agents in its new multi-agent sales centers, but clearly the rollout of the new program would be a lot easier if they hired employee agents rather than independent contractors. I simply can’t imagine how three or four non-related agents would ever consent such a marriage; one that in the recent past has been fraught with contractual perils.

Who owns what part of the business? Who has the ―Up Time‖ for sales? How are profits shared/distributed? Who is responsible for retention, etc? The complexity associated with this type of forced partnership would be incredible, unless each agent’s duties are defined as they are in Canada. There, the agents are employees and have designated titles, such as Business Development Agents, Relationship Development Agents and Customer Care Agents.

My ―Spider Sense‖ tells me that the Canadian model is already here, but the final version has yet to be determined.

See below from Linkedin:

Allstate Multi-Agent Location Open House September 6, 2012 at 2:00 PM - 5:00 PM Crowne Plaza Springfield Illinois http://www.allstate.com/recruitment Allstate will be attending the Springfield Chamber of Commerce Career Fair on September 6. We invite you to stop by our conference room to learn about Exclusive Agent opportunities at our new Multi-Agent Retail Location in Springfield. No one offers an opportunity for success like Allstate. Those who become a part of our new agency developmental concept (emphasis added) in Springfield will receive all Allstate Exclusive Agent benefits PLUS: -Ongoing training and guidance from Allstate’s Business Development Team -Shared monthly expenses, office space and overhead cost -State of the art Allstate branded retail location -Additional monthly marketing allowance -Enhanced commission program -Unlimited income potential For more information or to RSVP, please contact Chip Stenholt at chip.stenholt@allstate.com or (847) 402-2703. We look forward to see you there! See below from Careerbuilder.com:

Become an Entrepeneur The Allstate Corporation is the nation’s largest publicly held personal lines insurer. A Fortune 100 company, with $156 billion in assets, Allstate sells 13 major lines of insurance, including auto, property, life and commercial. Allstate also offers retirement and investment products and banking services. Allstate is widely known through the ―You’re In Good Hands With Allstate®‖ slogan. Allstate was founded in 1931 and became a publicly traded company in 1993. We Want You! Allstate is looking for individuals who would like to start their own business and be a part of Allstate's new agency developmental concept. (emphasis added) Check out the benefits: Unlimited earning potential Economic interest in the book of business you write State of the art Allstate branded retail location Monthly marketing allowance Shared costs for office space and monthly expenses Brand recognition Ongoing training and support from Allstate's Business Development Team No insurance background, franchise or annual fees are required! Take the next step to becoming an Allstate Agent. Take the next step to becoming an Allstate Agent. Contact our Talent Acquisition Team toll free at 1-877-711-1006 or send an email to [Click Here to Email Your Resume]. In a hurry? Click here to leave your business card and a recruiter will contact you within 48 hours Visit our website at http://www.allstateagent.com/ to learn more about starting a business or purchasing an existing agency with Allstate.

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Are you as bold as this Oregon insurance agency? August 28th, 2012, By Dan Pink, DanPink.com (Excerpt) Chris Nordyke runs an insurance agency in Corvallis, Oregon. But it’s a different kind of agency — with a unique approach to sales, service, and motivation. Reproduced below is the message on the sign in his lobby.

Our “No Commission” Philosophy My goal for our agency is to build lifelong trust relationships with our clients. When our clients have needs that relates to insurance or financial services, we want to be the obvious choice. To that end, we transitioned to a commission free agency in January of 2011. None of my employees receive any commissions for selling certain policies or products. They don’t receive any compensation based on the amount of premium a customer pays. I feel this gives my team a pure and singular focus on our client’s best interest. When one of them recommends a new policy or a change to your current coverage, you can be confident it’s because it is their best recommendation, and not based on incentives they receive for selling. I hope you value this unique approach and enjoy our agency’s style of customer service. Thank you so much for your business with us. Chris Nordyke Owner/Agent

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Allstate Hires Gupta to Challenge Buffett, LeBron James August 22, 2012, By Noah Buhayar and Dakin Campbell, Bloomberg.com (Excerpt)

Sanjay Gupta, who led the rebranding of Ally Financial Inc. (ALLY)’s bank, is joining Allstate Corp. (ALL) as the insurer competes with Geico Corp.’s gecko mascot and Progressive Corp. (PGR)’s spunky saleswoman, Flo, to win customers.

Gupta was named executive vice president and chief marketing officer of Allstate, the second-largest U.S. auto and home insurer, according to a statement today from the company. He will join the Northbrook, Illinois-based firm Sept. 1 and report to Chairman and Chief Executive Officer Tom Wilson. Allstate is increasing spending to promote online car- insurance provider Esurance, which it purchased last year to spur sales through the Internet after losing customers for its namesake brand sold through agents. Gupta is stepping into a marketing clash that has featured Geico advertisements with talking pigs and comedian Gallagher, as well as basketball star LeBron James pitching State Farm Mutual Automobile Insurance Co. by playing the ―world’s smallest violin.‖ ―Humor lasts longer or is more memorable versus something that is more fact-based,‖ said Brad Adgate, head of research at Horizon Media, a New York-based advertising company that works with Geico. ―It’s not the most exciting of product categories, so most of the major insurance companies have taken a humorous approach to their creative messaging.‖ Gupta was instrumental in Ally’s May 2009 rebranding of the former GMAC Bank and the architect of an advertising campaign that portrayed competing bankers as deceptive. Deposits have climbed every quarter since the first ads were shown. The lender was bailed out by the U.S. government in 2008 and is still majority owned by the Treasury Department.

„Mind Numbing‟ One Ally television advertisement boasts ―no more mind- numbing customer service‖ and mocks phrases that clients might hear at rival firms, such as, ―Would you like to hold?‖; ―My supervisor is currently not available‖; and ―How can I deliver world-class service for you today?‖ ―We thank Sanjay for his contributions to Ally and wish him well,‖ Gina Proia, a spokeswoman for the Detroit-based lender, said in an e-mailed statement. ―Ally has a deep bench of talent that has been integral in the creation and development of the Ally brand and its marketing strategies.‖ Allstate has used pitchman Dennis Haysbert to deliver its ―good hands‖ motto and Mayhem, a character that causes accidents, to promote the completeness of its policies. Mark LaNeve had been chief marketing officer at Allstate prior to his resignation, announced in February. Geico, a unit of Warren Buffett’s Berkshire Hathaway Inc. (BRK/A), led U.S. property-casualty insurers with $993.8 million in advertising spending last year, according to data compiled by SNL Financial. State Farm, the biggest U.S. home and auto insurer, was No. 2, at $813.5 million. Allstate spent $745.3 million, while Mayfield Village, Ohio-based Progressive’s cost was $536.1 million.

cparkhurst@ovationpayroll.com

Become the "Good Hands" in your community Become an Allstate Exclusive Agent in New Jersey August 21, 2012, Linkedin (Excerpt)

Looking to purchase a business that has no franchise fees? Allstate Insurance Agencies for sale in New Jersey. Start your own legacy as an Allstate Agency Owner. If you have leadership skills, experience and capital to invest, Allstate could be the place for you. We are looking for entrepreneurial individuals to represent the Allstate Good Hands® promise to our customers as Allstate Exclusive Agents. As an Exclusive Agent, you will have the opportunity to sell Allstate's wide range of insurance and financial products, such as auto, property, and financial services. Desired Skills & Experience Qualifications What you need to succeed as an Allstate Agent: The desire to be an entrepreneur, create strategic business solutions, and hire/motivate staff. Proactive networking skills to build relationships to drive results and profitability. The willingness to learn about the industry and the tools needed to succeed. At least $100,000 in liquid capital (not a franchise fee). (Emphasis added) Proven track record of success managing and/or running a business. Driven to succeed and make a lot of money!

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Allstate Suit Says Brain-Injured Washed Cars as Therapy August 28, 2012, By David Armstrong, Businessweek.com (Excerpt) Allstate Corp., the second-largest U.S. auto insurer, is seeking fraud damages in a lawsuit alleging that a Florida brain-injury facility warehoused patients who were beaten and abused by staff. The suit, filed Friday in U.S. District Court in Tampa, seeks $7.6 million that the insurer says it paid the Florida Institute for Neurologic Rehabilitation to treat its claimants, as well as triple damages under federal racketeering laws and other costs. Allstate alleges patients from Michigan, which mandates unlimited lifetime medical benefits for automobile injury coverage, were recruited to the Florida facility through an aggressive marketing campaign that promised an array of services that were never provided. Some patients washed the cars of the center’s employees, an activity that was considered vocational training, according to the lawsuit. Wayne J. Miller, an attorney representing the facility, known as FINR, said in an e-mail that he was ―confident that this matter will ultimately be resolved in FINR’s favor.‖ The lawsuit, which also named FINR owner Joseph Brennick as a defendant, follows a Bloomberg News report last month on dozens of cases of alleged abuse at the facility. Patients’ families or state agencies have accused FINR of abuse or care lapses in at least five residents’ deaths since 1998, two of them in the last two years. Three former employees face criminal charges of abusing FINR patients -- one of whom was allegedly hit repeatedly for two hours in a TV room last September. Allstate said it began investigating the treatment of its insured patients at FINR in 2011. Its review included interviewing patients, hiring experts to study medical records and ordering exams with a neuropsychologist. The lawsuit covers the cases of a dozen patients -- identified only by initials in the legal filing -- whose care was paid for by the Northbrook, Illinois-based insurance company.

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