Interview with Tim Seivers

Good morning and happy Friday!  It is going to be an awesome day and we get to enjoy Brendan and David this weekend!

Earlier this week I had the opportunity to meet with Tim Seivers with Floyd Watkins & Associates.  Floyd Watkins operates out of Vancouver Washington and specializes in business and personal insurance.  My relationship with Tim goes back several years working with clients jointly on business and key person insurance.

Tim is a very easy professional to work with as he does not try to dazzle clients with “insurance-eze”.  He speaks their language and always looks out for the best interest of the small business owner.  Don’t get me wrong, he cares about the employees as well, but he is primarily driven to help protect the business owner and the value of the business.

This includes not only insurance products but retirement plans which are focused on the business owner.  One of the things I appreciate most about working with Tim is his use of the “Grocery Bag of Savings.”  It is worth contacting him to find out more about how he helps your employees deal with savings for retirement!

I asked Tim what three things he would like a reader to take away from our conversation.

1. Floyd Watkins carries more than one plan.  When asked to explain he pointed out that he can offer many different types of insurance plans, not just Kaiser or Blue Cross.  His team can craft a compliant plan that maximizes the benefits to the owner and key employees while also offering fair coverage to all the employees.  He pointed out that one of our mutual clients from a few years ago has a policy which cut health insurance in half and provides much greater benefits to the key employees.  This plan was designed to address the fact that most of the employee base was under 30 and unmarried while the management team was over 45 and had dependents.  The plan was designed so that the Company picked up the first $1,000 of medical expenses; and since the younger employees didn’t go to the Doctor, the Company saved huge.  Plus, this policy actually refunded premiums if claims were below the threshold.
2. Business owners need to plan their exit strategy or face a fire sale.  Tim told the story about a partnership he was working on recently.  The partners were debating if they needed a $1.0 Million or $3.0 Million policy on each partner.  This went on for over six months.  About two weeks before they were to meet with Tim, one of the partners called to say he was diagnosed with lung cancer.  This partner passed away 2 months later and not only did his family receive no value from the business, they actually had to repay money to the partnership because he had personally guaranted loans. This risk can be reduced by using appropriate types of insurance.  He stresses that the paperwork to suport a buy/sell agreement is important but that it isn’t worth anything without the means to pay for it.  Let’s face it, most businesses are worth far more than the cash they have on hand so anything you can do to ensure you protect your family and your business is worth considering.
3. People should consider this “Money at a discount”, not life insurance.  Let’s face it, you are not going to get the benefit of any of this insurance (in most cases – although Tim knows of products which can allow you to access some portion of the insurance while you live) in the event a pay-out is required.  So he suggests thinking about this as paying money out today for a payment of money in the future. By asking yourself, “How do I make sure that my family has what it needs to go on without me and what is that investment today?” This is especially true for small business owners who potentially put their family at huge risk if something should happen. Investing a stream of cash payments today to receive some greater future benefit to protect them may be worth it.

Finally, Tim wants everyone to know that he likes being the Second Opinion Professional.  He strongly encourages you to have this discussion with your business insurance professional and then he encourages you to have a conversation with him.  The consultation is free and there is no obligation but it will give you peace of mind in knowing that your current plan recommendation is meeting your needs now and in the future.

You can find out more about Tim Seivers and Floyd Watkins & Associates here.  I strongly encourage you to think about getting a second opinion on your benefits and protection and think Tim is the right person in the Clark County area to talk with.  Thank you Tim for the time and great information.

Have a great Fourth of July Weekend everyone.