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Revised 3/23/2011
Local Surety Association
Handbook
A resource brought to you by:
Surety Information Office
1828 L St., NW, Suite 720
Washington, DC 20036
202-686-7463 | Fax: 202-686-3656
sio@sio.org | www.sio.org
The Surety & Fidelity Association of America
1101 Connecticut Ave., NW, Suite 800
Washington, DC 20036
202-463-0600 | Fax: 202-463-0606
information@surety.org | www.surety.org
National Association of Surety Bond Producers
1828 L St., NW, Suite 720
Washington, DC 20036
202-686-3700 | Fax: 202-686-3656
info@nasbp.org | www.nasbp.org
Table of Contents
1. Introduction Page
Purpose ............................................................................................................... 4
SIO, SFAA, NASBP............................................................................................. 4
History & Relationships ....................................................................................... 5
LSA Directory ...................................................................................................... 7
LSA Web Sites .................................................................................................... 7
LSA News ........................................................................................................... 7
2. Administrative & Legal Issues
What is an LSA? ................................................................................................. 9
How to Start a Nonprofit ...................................................................................... 11
Bylaws ................................................................................................................. 12
Committees & Task Forces ................................................................................. 12
Tax Status ........................................................................................................... 13
Antitrust ............................................................................................................... 13
3. Membership
Getting Started .................................................................................................... 16
Identifying & Getting Members ............................................................................ 17
Retaining & Motivating Members ........................................................................ 17
4. Program Development
Education & Seminars ......................................................................................... 20
Legislative Affairs ................................................................................................ 22
Community Outreach & Special Events .............................................................. 24
Assisting Emerging Contractors (MDCP) ............................................................ 24
Awards ................................................................................................................ 26
5. Marketing & Public Relations
Web Site Development........................................................................................ 29
Promoting Contract Surety: How SIO Can Help .................................................. 32
Exhibiting............................................................................................................. 34
Speaker Topics ................................................................................................... 35
SIO PowerPoint® Presentations ......................................................................... 35
LSA Speakers’ Bureau ........................................................................................ 37
Public Speaking Tips ........................................................................................... 38
Newsletters ......................................................................................................... 42
Working with the Media ....................................................................................... 43
2
6. Best Practices
Best Practices ..................................................................................................... 44
3
Section 1 – Introduction
Purpose
This Handbook has been written to provide Local Surety Associations (LSAs) with a
central source of information related to development, stewardship, expansion of their
associations, and the resources that are available through the Surety Information Office
(SIO), The Surety & Fidelity Association of America (SFAA) and the National
Association of Surety Bond Producers (NASBP).
It is designed to be particularly helpful to the LSA leadership as officers plan and
implement programs for their members. This Handbook is not meant to provide legal
advice on any issue, and each LSA should consult counsel on matters such as
incorporation, tax status, antitrust issues, etc.
This Handbook will be updated regularly via the SIO Web site and comments or
suggestions for additional information to be included in the Handbook are welcome.
Contact SIO at (202) 686-7463 or sio@sio.org with your ideas.
SIO is the information source on contract surety bonds. SIO was formed in 1993 with
the mission:
―To increase the use of corporate surety bonds in the private sector and promote the
value and importance of contract surety bonds in private and public construction.‖
Back to Table of Contents
SIO, SFAA, NASBP
This resource is brought to you by:
Surety Information Office
1828 L St. NW, Suite 720
Washington, DC 20036-5104
(202) 686-7463 | Fax (202) 686-3656
www.sio.org | sio@sio.org
The Surety Information Office (SIO) is the information source on contract surety bonds in
public and private construction. SIO offers complimentary brochures and CDs and can
provide speakers, write articles, and answer questions on contract surety bonds. SIO is
supported by The Surety & Fidelity Association of America (SFAA) and the National
4
Association of Surety Bond Producers (NASBP). All materials may be accessed at
www.sio.org.
The Surety & Fidelity National Association
Association of America of Surety Bond Producers
1101 Connecticut Avenue, NW, Suite 800 1828 L St. NW, Suite 720
Washington, DC 20036 Washington, DC 20036-5104
(202) 463-0600 | Fax (202) 463-0606 (202) 686-3700 | Fax (202) 686-3656
www.surety.org | information@surety.org www.nasbp.org | info@nasbp.org
The Surety & Fidelity Association of America The National Association of Surety Bond
(SFAA) is a District of Columbia non-profit Producers (NASBP) is the international
corporation whose members are engaged organization of professional surety bond
in the business of suretyship worldwide. producers and brokers. NASBP
Member companies collectively write the represents more than 5,000 personnel
majority of surety and fidelity bonds in the who specialize in surety bonding; provide
United States. SFAA is licensed as a rating performance and payment bonds for the
or advisory organization in all states, as well construction industry; and issue other
as in the District of Columbia and Puerto types of surety bonds, such as license
Rico, and it has been designated by state and permit bonds, for guaranteeing
insurance departments as a statistical agent performance. NASBP’s mission is to
for the reporting of fidelity and surety strengthen professionalism, expertise,
experience. SFAA represents its member and innovation in surety and to advocate
companies in matters of common interest its use worldwide.
before various federal, state, and local
government agencies.
Back to Table of Contents
History & Relationships
SFAA, NASBP, and SIO – Providing Strength, Solidarity, and Support
to the Industry
Today’s surety professionals enjoy the support of the three national organizations
whose primary objective is the success of the surety industry.
Humble Beginnings
By the turn of the 20th century, surety bonds were required on all federal, and many state,
construction projects. There were several corporate surety ventures during the time, but
high failure rates of early corporate surety companies created the need for unified efforts at
strengthening the surety industry. In 1908, The Surety Association of America (SAA) was
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formed to regulate the industry, promote public understanding of and confidence in the
surety industry, and to provide a forum for the discussion of problems of common interest to
its members. At the same time, the Towner Rating Bureau was formed to collect statistics
and set rates for surety bonds. The SAA and the Towner Rating Bureau merged in 1947. In
May 2006, the Board of Directors approved a name change to The Surety & Fidelity
Association of America (SFAA). Since its inception, SFAA has been instrumental in
strengthening the role and position of the surety industry by collecting and filing statistical
data, tracking industry trends, handling regulatory concerns, lobbying political issues, and
serving as a unifying force for surety companies.
As the SFAA helped strengthen the role of surety companies, surety producers began to
recognize the need for providing the same type of leadership and organization to its side of
the surety business. In 1942, the U.S. War Department developed a plan, which was
released in a bulletin by the Towner Rating Bureau, to cut surety premiums up to 19% and
agents’ commissions by as much as 86% on contracts let by the Army and Navy relating to
the war. Word of the proposed cuts spread quickly through the surety community. A group
of surety producers met with Colonel Reece Hill—who was in charge of the War
Department Insurance and Bonding Office—and convinced him to settle on a maximum
adjustment in the General Agents’ commission of no more than 2.5%. In anticipation of
future problems, this group agreed that surety producers should be organized permanently,
and on April 9, 1943, the National Association of Surety Bond Producers was chartered ―to
promote the general welfare of those engaged in the production of surety bonds, to further
a closer fraternal relationship among its members; to obtain and disseminate helpful
information; to adopt expedient rules and regulations and secure advantages of united
action, plans, and procedure among its members so as to promote their general welfare; to
safeguard and protect public interests; and inspire public confidence.
SIO Is Created
In 1993, NASBP and SFAA joined forces to establish a promotional office to represent
the members of both associations. The Surety Information Office would develop and
distribute information to educate the construction industry and general public, as well as
present a positive image of the surety industry. SIO is governed by a Policy Board
comprised of NASBP and SFAA members. The objective of the SIO is to increase the
use of corporate surety bonds in the private sector and promote the value and
importance of contract surety bonds in private and public construction.‖
Relationship of LSAs to NASBP/SFAA
Local surety associations are completely independent entities with no formal ties to
SFAA or NASBP. Each association is free to determine its purpose, its constitution, the
make-up of its membership, and how it operates.
Back to Table of Contents
6
LSA Directory
SIO maintains a list of Local Surety Associations and their officers by state at SIO's
Local Surety Association Officers Directory Web site. LSAs are responsible for
maintaining accurate contact information for their officers and can update their rosters at
www.sio.org/Access_Surety_Pros/LSA_Directory/Update_Form.cfm.
Back to Table of Contents
LSA Web Sites
Several Local Surety Associations have created their own Web sites where members or
interested parties can obtain information about surety bonds or learn more about
activities, meetings, or special events held by the Association.
Carolinas Surety Association
Florida Surety Association
Minnesota Surety Association
Surety Association of Arizona
Surety Association of Georgia
Surety Association of Houston
Surety Association of Illinois
Surety Association of Indiana
Surety Association of Kansas City
Surety Association of Ohio
Surety Association of Oregon
Surety Association of San Diego
Surety Association of St. Louis
Surety Association of Washington
Surety Underwriters Association of New Jersey
Surety Underwriters Association of South Texas Inc.
Surety Underwriters Association of Southern California
Texas Surety Federation
Back to Table of Contents
LSA News
SFAA offers news on Local Surety Associations on the SFAA Web site.
LSA Communiqué
The LSA Communiqué provides LSA officers and members with resources and ideas
for promoting contract surety bonds. It recognizes the efforts of NASBP members,
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SFAA members, and LSA members who promote surety bonds. To receive the LSA
Communiqué, send an e-mail to sio@sio.org.
Back to Table of Contents
8
Section 2 – Administrative & Legal Issues
What is an LSA?
Local Surety Associations are completely independent entities with no formal ties to
either SFAA or NASBP. Each LSA is free to determine its purpose, dues structure,
bylaws, makeup of membership, and how it operates. For example, some LSAs have
only surety underwriters as members. Others limit membership to surety company
personnel and surety bond producers. Others allow CPAs, attorneys, and others
associated with the construction and surety industries to join. Dues range from $50 to
$3,000 per year. Some meet monthly, some quarterly, and others ―infrequently.‖ Many
hold golf outings and holiday parties and have speakers at their meetings. Some LSAs
are very active legislatively and a few are primarily lobbying organizations. Some LSAs
are very active in promoting surety bonding. And lastly, several LSAs have public
relations task forces or committees.
SIO Survey
In a 2004 survey conducted by SIO, LSAs were asked several questions regarding their
members, association structures, community outreach, and other information in order to
create this handbook. These are the results of the survey that describe the general
membership and structures of the LSAs that participated in the survey.
Membership
The average membership composition of the LSAs surveyed indicated that underwriters
and producers compose more than half of LSA membership. The rest is divided among
other affiliated groups such as CPAs and attorneys. Some LSAs allow only surety
professionals to become members.
LSA Average Membership Composition
Other
8% Producers
Attorneys 27%
16%
CPAs
20%
Underwriters
Claims
27%
2%
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Leadership Structures
In general, LSAs are governed by bylaws, an executive committee, or a board of
directors, or a combination of different structures that might include a mission statement
or a strategic/business plan. Some LSAs allow all members the opportunity to run for
office while others reserve leadership opportunities for surety company personnel only.
Of the LSAs that have leadership structures, 1/3 of these LSAs reserve leadership for
surety professionals only.
LSA Structures
Other
7%
Mission
13% Bylaws
30%
Strategic
5%
Exec
25% Board
20%
Outreach and Guest Speakers
LSAs are created to provide information to members, to represent members on issues, and
to provide information about surety bonds to the local community. Thus, LSAs have a
diverse audience outreach depending on each association’s needs and ambitions. The
average primary outreach of LSAs surveyed named public project owners, state and local
policy makers, contractors and subcontractors, and private project owners as their main
target audiences. Some LSAs invite guest speakers, such as industry leaders, attorneys,
policy makers, CPAs, bond claims persons, reinsurers, and consultants.
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LSA Primary Outreach Audiences
Designers
Emerging 3% Bankers
Contractors 8% Educators
7% 4%
Contractors Private
19% 15%
Public
Policy
21%
23%
LSA Guest Speakers
Other
15% Attorneys
28%
Assoc.
12%
Designers
Contractors
9%
12%
Policy Makers
24%
Back to Table of Contents
How to Start a Nonprofit
Follow these links to find helpful information for starting your own nonprofit organization:
Internal Revenue Service – Business Leagues
Society for Nonprofit Organizations – Starting a Nonprofit
Back to Table of Contents
11
Bylaws
The bylaws of local surety associations govern the operations and stewardship of these
entities. Although bylaws may differ somewhat from association to association, there
are certain elements and provisions that are common to all. These include the name
and purpose of the organization; membership provisions, including classes of
memberships (if appropriate) and dues; provisions for nominating and electing a Board
of Directors and Officers; the duties and responsibilities of these Directors and Officers;
a description of the standing committees of the organization; meetings and quorums;
other general provisions; and, a provision for bylaws amendments. While bylaws usually
may be amended by a vote of the majority of the membership, it is recommended that
bylaws be drafted broadly so that amendments are rare. This contributes to the
continuity of the organization and strengthens the bylaws as the primary reference point
for governance of the association.
Sample Bylaws
LSAs may wish to adapt these sample bylaws to suit their own needs.
Back to Table of Contents
Committees & Task Forces
Each LSA should have in place all of the Standing Committees described in its bylaws.
These Standing Committees could include an Executive Committee, a Budget/Finance
Committee, a Membership Committee, a Program Committee (which could include
education, public relations, awards, and special events), and a Legislative Committee.
In addition, the LSA leadership should have the latitude to establish other ad hoc
committees as needed. These committees might include a Bylaws Committee to draft
and propose any changes in the association’s bylaws or a Nominating Committee to
propose candidates for officers of the association. These ad hoc committees may
dissolve once their specific undertaking has ended. Furthermore, the LSA leadership
may establish Task Forces or subcommittees related to specific efforts such as a
contractor outreach and educational program or a summer/holiday social event.
Following are brief descriptions of the types of responsibilities and activities undertaken
by each of the suggested Standing Committees.
Executive Committee—Usually consisting of the elected officers of the
association, the Executive Committee plans, develops, and evaluates the
association’s strategic direction. In addition, the Executive Committee plans,
directs, and assures administration of all association activities.
Budget/Finance Committee—This committee oversees the preparation of the
annual budget and the financial reporting activities of the association.
Membership Committee – This committee oversees membership development
and retention.
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Program Committee—This committee develops the program agenda for the
year, including educational programs and special events.
Legislative Committee—This committee monitors activities regarding
legislation, regulation, and other significant local, state, and federal issues. The
Committee identifies current issues and their impact on the surety and fidelity
industry, and reports on these findings to the LSA membership at-large. Most
importantly, this Committee is the principal liaison with the Government Affairs
Department of SFAA and the Government Relations Department of NASBP and
coordinates their position on issues and legislative advocacy efforts with these
entities.
Back to Table of Contents
Tax Status
The LSA may want to incorporate through Articles of Incorporation, obtain a Federal
Tax ID number, and draft a set of bylaws to govern the operation of the association.
With respect to tax-exempt status, the most common form of association is a 501(c)(6).
This designation is for nonprofit, tax-exempt groups organized under Section 501(c) of
the Internal Revenue Code that can engage in varying amounts of political activity,
depending on the type of group. Section 501(c)(6) is reserved for business leagues,
chambers of commerce, real estate boards, or boards of trade. Should an association’s
gross receipts each year be in excess of $25,000, the association is required to file an
IRS Form 990, Return of Organizations Exempt from Income Tax, by the 15th day of the
fifth month after the end of the annual accounting period (i.e., the association’s fiscal
year). These IRS rules change periodically, and each LSA should consult with counsel
to ensure it is complying with the most current requirements.
Tax Status Comparison Chart
Form W-9 (Request for Taxpayer Identification Number and Certification)
& Form 990 (Return of Organization Exempt From Income Tax)
Official request form for nonprofit organizations:
Forms & Instructions - Internal Revenue Service
Back to Table of Contents
Antitrust
To our knowledge, no local surety association is licensed as an advisory organization by
a state insurance department. Thus, they do not have the partial exemption from the
federal antitrust laws provided to licensed insurance rating and advisory organizations
by the McCarran-Ferguson Act.
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Local association meetings by their very nature involve discussions between
representatives of competing companies and/or agents. Discussions and activities can
be conducted within the antitrust laws, but the members of each association must
understand the allowed parameters of discussion and must adhere to them. Each
member company of The Surety & Fidelity Association (SFAA) having underwriters who
are members of local surety associations may wish to have its own counsel review this
subject and establish its own policies toward local associations, generally, or individual
local associations.
We all know that we must engage in ethical business practices. However, even the
perception of wrongdoing can have a strong adverse effect on an industry.
Everyone at any level of an organization—or an industry—has a responsibility to
maintain ethical standards.
One important component of business ethics is avoiding infringement of antitrust laws—
or even the appearance of an antitrust violation. Such laws were created to protect the
public interest from collusive industry tactics and monopolies. While the gathering of
peers is an invaluable component of any industry, it also presents the opportunity for
antitrust violations to occur.
Local surety associations provide the perfect opportunity for surety professionals to
interact, address concerns, and share information. However, at such gatherings of
industry colleagues, surety professionals should avoid discussion of sensitive business
topics. Certain subjects that should be carefully avoided at such gatherings, both during
formal and informal sessions, include:
1. Rates or any elements of rates, including insurer rate levels, insurer loss cost
levels, or plans for what the advisory loss cost levels ought to be for any line of
insurance for any jurisdiction.
2. Information on any competitively sensitive practices, including pricing, bidding,
underwriting guidelines, terms or conditions of coverage, product development,
customers, marketing plans and agent and broker compensation.
3. All discussions related to legislative or regulatory issues should be limited to
subjects relevant to the support of or opposition to legislation or regulatory action,
or involvement in judicial proceedings, such as the Association’s position, the
contents of proposed laws or rules, and the public policy or legal issues.
Members may not discuss market activity to influence a governmental body or
market response to legislation or regulation.
Trade and professional associations should avoid even the appearance of potential
antitrust infringement. Antitrust investigators, enforcers, and lawyers pressing private
treble damage suits can be impressed with an organization’s steadfast efforts at not
only complying with antitrust laws, but with their precautionary efforts at awareness and
avoidance of the appearance that their activities are influencing pricing or competition.
14
Any indicator that someone may be ―treading on thin ice‖ should be dealt with by any
member immediately, openly, forcefully, and courteously.
This brief overview should not be construed in any way as an attempt to provide
comprehensive antitrust compliance information.
Example guidelines
The following are links to sample guidelines covering antitrust issues and ethics:
SFAA Antitrust Compliance Guidelines
Statement of Values and Code of Ethics for Nonprofit and Philanthropic
Organizations - Independent Sector
Back to Table of Contents
15
Section 3 – Membership
Getting Started
Why Do People Join?
Pursue Personal and Professional Development
Make Industry Contacts and Friends
Stay Abreast of Industry Issues & Developments
Promote the Surety Industry
Develop and Practice Leadership Skills
Develop and Practice Management Skills
Explore Employment Options
How to Start an LSA
Sam Derby, International Fidelity Insurance Co., Little Rock, AR, offers some sage
advice when starting a local surety association (LSA).
Be Persistent—Don’t get discouraged or give up on the idea if your first efforts
to gain interest don't seem to generate the type of response you had hoped for.
Get those who are interested involved and you gradually will see your numbers
increasing.
Be Specific—When recruiting membership it is important to provide concrete
reasons for the necessity of the LSA. Let prospective members know how the
LSA can help meet their needs.
Get Help—Contact the Surety Information Office and existing LSAs in other
states for assistance. SIO can provide promotional materials and ideas. Other
LSAs can offer insights into how to attain goals and information on how to
structure the LSA, e.g. bylaws, officers, elections, etc.
Just Do It—The bottom line is if you see the need for an LSA, just go out there
and make it happen. Once your mind is made up, let the momentum carry it
through.
Ideas for Determining Member Dues
Charge meeting fees according to the costs of each meeting.
Offer a ―Pay-Ahead‖ Plan. After the meetings are laid out for a year and the
meeting costs are calculated, members have the option to pay for all of the
planned meetings in advance, an incentive could include one free meeting or a
discount.
Charge dues that include the meeting costs for the year.
16
Charge base annual dues per company or agency plus a registration fee for each
individual attending a luncheon meeting.
Consider administrative costs (copying, postage, temporary help, etc.) or costs
associated with lobbying, if applicable.
Back to Table of Contents
Identifying & Getting Members
Ideas for recruiting members:
Keep a ―prospective member‖ list at all times and make contact with the
individuals on a regular basis.
One of the best sources of prospective members are existing members.
Keep meeting attendance records, including members and guests. Contact
members who do not attend meetings and follow-up with guests to encourage
joining.
Acknowledge new members and guests at every meeting.
Make ―Membership‖ your #1 priority in recruiting and retention.
Communicate exactly what you expect from volunteers and what they can expect
in return—assign one task to spark interest, then as their interest grows they can
move up in roles, possibly into leadership (i.e. obtain speaker, find meeting
place, update Web site, etc.).
Encourage your Membership Committee and/or Board of Directors to call
members for meetings and special events to encourage inactive or lapsed
members to activate.
Encourage members to bring a guest to meetings and introduce guests at
meeting. Have ―Guest Registration Forms‖ at all regular meetings to facilitate
introductions and, better yet, ―a ready made prospect target list.‖
Have application forms (with how to join and self-addressed return envelope
attached) at all functions and encourage members to distribute to member
prospects.
Consider joint seminars with other professional associations. Contact SIO for a
list of associations in your state. Also see SIO's List of Speaker Topics in this
document.
- Adapted from CFMA Chapter Operations Handbook.
Back to Table of Contents
Retaining & Motivating Members
Schedule regular meetings and hold additional meetings, seminars, or workshops as
desired. Try to have a standard meeting place and time for the attendees’ convenience.
Also consider the following:
17
Step 1:
Send a survey to all members and anyone who attended the first meeting asking days
and times (i.e. breakfast, lunch, dinner) that work best for them; include a list of topic
ideas and ask them to add any additional interests.
Continue to send surveys on a quarterly basis to ensure you are meeting all the needs
of your members!
Since July, August, and December often involve family holidays and vacations, they can
be used for social events or planning purposes. When scheduling meetings, consider
the meeting times of other civic and professional groups in your community with which
your membership might overlap.
Step 2:
Rank topics in order of interest and ensure they relate to your audience! Always be
creative in planning the meeting to capture and maintain members’ attendance.
Step 3:
Once the schedule/agenda is completed, a meeting notice by e-mail or postcard, which
includes speaker information, should be sent at least a month or two in advance to
remind members. If using bulk-rate postage, remember to allow for the additional
delivery time required—up to 10 days. A brief announcement should also be published
in the chapter newsletter and/or the LSA Web site, listing the date, time, topic, speaker,
and place whether the meeting will be held.
Encourage members to RSVP for local meetings to avoid inaccuracy in planning of
meals and seating arrangements.
Step 4:
Without overwhelming volunteers, create a small task force to make phone calls to
members to remind them of the meeting and to follow up with non-respondents to find
out why they are not attending.
Meetings should be structured to provide opportunities for professional education and/or
development, information on new products and services, and interaction among
members. If members are informed that the meeting will be an hour, keep it that way.
Build trust and don’t waste their time.
First-time attendees should be welcomed by a specified Board Member and introduced
to others to help them feel welcome and accepted. Always attempt to attract other
persons within the audience to join your committee or Board of Directors.
18
Occasionally survey members to obtain feedback regarding: speakers, topics, meeting
format, meeting content, and meeting scheduling. This can be done by either placing a
small generic comment card on the tables at meetings, mailing the cards directly to
members, or sending a quick e-mail. This will help generate ideas for future meetings
and ensure that members feel good about attending the meetings. LSAs should also
consider scheduling meetings, locations, speakers, and topics a year out to ensure
good quality meetings.
- Adapted from CFMA Chapter Operations Handbook – Motivate & Maintain Your Chapter
Basic Preparation for a General Meeting
A. Determine Format, Date, and Location (Providing top quality venues and
speakers will entice members to return)
B. Decide on Speaker and Topic
C. Set Price to be Charged for Meeting
D. Send Meeting Invitations
E. Promote General Meeting
F. Develop Meeting Agenda
1. Welcoming Comments
2. Dinner or Lunch
3. Introductions (Introduce organizing committee members and officers
by having each one stand and give his or her name, firm, and position)
4. Announcements
5. Speaker
a. Representative from national office such as SIO, SFAA, or
NASBP
b. Briefing on purpose, history, benefits, and objectives
6. Closing Comments/Announcements
a. Take five minutes to complete surveys on Topic Survey Form &
Meeting Survey Form
b. Announce next meeting date, place, speaker, and subject
- Adapted from CFMA Chapter Operations Handbook – New Chapter Information
Back to Table of Contents
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Section 4 – Program Development
Education & Seminars
Education & Continuing Education
SIO has several links on its Web site to organizations that offer classes, seminars, and
continuing education courses for surety professionals.
The National Association of Surety Bond Producers (NASBP) offers CE credits
through the William J. Angell Surety School Level I, II, III, Annual and Regional
meetings, and various seminars and symposia throughout the year.
The Surety & Fidelity Association of America (SFAA) conducts seminars and
meetings including a commercial surety seminar.
The American Institute for Chartered Property Casualty Underwriters (AICPCU)
and the Insurance Institute of America (IIA) offer coursework leading to
professional designations and degrees such as Associate in Fidelity and Surety
Bonding (AFSB).
Independent Insurance Agents of America (IIAA) Virtual University provides
articles and courses to increase your knowledge of insurance. No courses are
filed for CE credit at this time.
International Risk Management Institute (IRMI) and WebCE offer several
insurance training and CE courses.
The Reinsurance Association of America (RAA) offers educational seminars
concentrating on the highly specialized field of reinsurance. Seminars focus on
the complexities of reinsurance from the perspective of both buyer and seller.
Conducting Your Own Seminars
Checklist for seminar planning:
1. Six months before the seminar: Decide the parameters of your seminar. Who is it
for? On what topic(s)? When will you hold it? Where? Who will speak? How long
will the seminar last? Will there be food? (A light meal is a great way to get
people together.)
2. Three months before the seminar: Finalize the arrangements with the speakers,
the meeting place and caterer, etc.
Prepare the invitations to the seminar (they can be standard formal invitations, an
oversized post card or a letter) and develop the mailing list. Appoint someone to
keep track of responses and answer questions.
20
Decide who will be the moderator for the seminar. Have the speakers give you a
list of their equipment needs (slide projector, overhead projector, etc.) and a copy
of their presentation outline.
3. Two months before the seminar: Mail the invitations and keep track of the
responses. Arrange to have the appropriate equipment on hand (most hotels and
conference centers have projectors and other equipment that you can use.)
Send a press release to appropriate media announcing the seminar and featuring
the speakers.
4. One month before the seminar: Visit the site of the seminar. Determine what
signs you might need. Check to make sure the facilities are adequate.
5. Contact your speakers and reconfirm their commitment. Arrange for a thank-you
gift for your speakers.
6. Prepare information kits to give seminar attendees. Include an agenda,
biographies of the speakers, information on the topic and on bonding in general,
a description of your organization, an evaluation form and a list of contacts for
further information.
7. One week before the seminar: Prepare name badges for those attending the
seminar. Contact the site and the caterer to inform them of the number attending.
Recruit helpers for the day of the seminar.
8. The day of the seminar: Arrive at the site as early as possible. Put your helpers in
charge of placing signs in the appropriate places, staffing the registration/
welcoming table, and talking with any reporters who cover the event.
9. Take photos during the seminar. Assign one helper to take notes or tape record
or videotape the speakers' presentations (with the speakers' permission, of
course).
10. Ask the attendees to complete the evaluation form.
11. Thank the speakers publicly and present the gift.
12. The week after the seminar: Write thank you letters to the speakers. It's also a
good idea to thank your attendees for coming and ask them if they need more
information.
13. Within a month following the seminar: Evaluate the seminar and plan ahead.
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Legislative Affairs
SFAA
SFAA is active in federal and state advocacy on surety and fidelity issues both in a
legislative and regulatory context. SFAA partners with the American Insurance
Association (AIA) in a manner that draws upon the strengths of both organizations to
affect surety and fidelity issues. The AIA has a significant state and federal legislative
network, and the SFAA provides the AIA regional managers and state counsel with
substantive analysis of and policy positions on legislation and any talking points,
testimony and other materials needed to address pending legislation, as well as
government affairs expertise and grassroots support as needed from the local surety
associations. SFAA arranges for staff and member company representatives to testify as
needed at hearings. SFAA participates in weekly joint trade calls with the AIA and the
NASBP to coordinate legislative and regulatory activities. The SFAA provides legislative
information to all LSAs and coordinates its legislative activity in any state with the LSA.
SFAA keeps its members informed about legislation and regulation affecting surety and
fidelity. The SFAA Monthly Legislative Report is a comprehensive federal and state-by-
state report that assists members in getting information about, and being proactive on,
legislation of importance. The report lists new bills that were introduced since the last
report and contains the status of bills that had significant movement since the preceding
month, which means that the bills have either passed out of committee, passed one
House in the legislature, or are on their way to the governor for signature. The monthly
legislative report includes a highlights feature, which gives SFAA members an upfront
summary of recent enactments of new bond enactments and reductions/eliminations of
existing bond requirements.
The SFAA monthly legislative reports are sent electronically to the SFAA Government
Affairs Advisory Committee and to the local surety associations. They also are available
on the SFAA Web site to all SFAA members. These reports are presented by line of
business—contract surety, commercial surety, and fidelity—so that SFAA members can
more easily obtain and review the information of most interest to their companies. The
monthly reports show the bills by state. During peak times in the state legislative
sessions, SFAA may publish these reports more frequently than monthly.
In addition, SFAA publishes a monthly legislative overview, which summarizes state
legislation by key issues and topics, rather than by state. These reports also are sent to the
Government Affairs Advisory Committee and the LSAs and are available on the Web site.
The Monthly Regulation Report keeps SFAA members informed of the previous month's
federal and state proposed, final, and emergency regulations. In addition to describing
any action SFAA has taken on these regulations, the report details how members can
submit comments on regulations so that they can be proactive on regulations of
importance to them.
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SFAA uses a variety of sources for its legislative and regulatory information. SFAA staff
welcome input and additional information from all LSAs.
Staff
SFAA Government Affairs: Lenore Marema, Vice President of Government Affairs,
(202) 778-3637, (202) 463-0606 fax, lmarema@surety.org; Daniel Wanke, Associate
Analyst, (202) 778-3631, (202) 463-0606 fax, dwanke@surety.org.
NASBP
NASBP's government relations' activities operate at all levels of government—federal,
state, and local—and in both legislative and regulatory arenas. From providing comments
regarding regulations proposed by a federal agency, to urging a local public owner to
reject a proposal for a wrap-up surety program, NASBP makes its case known on behalf
of surety bond producers before governmental decision-makers in this country.
NASBP's overall public policy goal is to advocate at all governmental levels public
policies that are favorable to members' interests. NASBP does this by educating
legislators and other public officials about the vital role surety bonds play in today's
environment so they will make public policy decisions that positively affect surety bond
producers, specifically, and the surety industry, in general.
NASBP’s experienced professional government relations staff work closely with the
volunteer component of the government relations program—NASBP's grassroots
network. This network is comprised of surety professionals who have volunteered to
promote surety bonds to public officials. In addition, the staff and the grassroots network
make the nucleus of a formidable coalition that responds quickly and effectively to
issues pending before state, local, and federal policymakers.
Some of the routine activities in which the government relations staff engage are:
Encourage public officials to make decisions and policies that preserve and
expand the legislative-regulatory mandate for surety products.
Identify and track proposals of significance to surety producers, which are
pending before legislatures, and submit comments representing NASBP's
interests regarding such proposals.
Arm members and affiliates with resources, tools, techniques, materials, and
strategies to effectively represent their interests and educate public decision-
makers about the value of surety bonds.
Energize the grassroots network to respond quickly to challenges affecting the
surety industry.
Seek coalitions, partnerships, and other relationships with construction, surety-
oriented associations, and other organizations to promote the use of surety bonding.
Through the NASBP’s SuretyPAC, support candidates for election to the U.S.
Congress whose views are aligned with NASBP's.
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Staff
NASBP Government Relations: Mark McCallum, General Counsel & Director of
Government Relations, (202) 464-1173, (202) 686-3656 fax, mmccallum@nasbp.org;
Kathy J. Mapes Hoffman, Assistant Director, Government Relations & Communications,
(202) 464-1175, (202) 686-3656 fax, khoffman@nasbp.org.
Back to Table of Contents
Community Outreach & Special Events
Special Meetings
In addition to regular meetings, LSAs may offer study groups, workshops, and other
special functions to members. Any fee usually covers the cost of a featured speaker,
handout materials, a meal (if appropriate), room rental, etc.
Other meeting ideas include:
Social & Networking Opportunity—Golf Tournament, Christmas in July,
Jobsite Tour, Holiday Party
Community Services—Habitat For Humanity, Toys For Tots, National
Association of Women in Construction Block Kids Program, American Red
Cross, food drives
Education—Scholarships, guest lectures at high schools and colleges, Career
Day
Legislative—State Department of Transportation, state Department of
Development, meetings with state Representatives and Senators and/or their
offices, state Contractors Board officials, or other public agencies.
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Assisting Emerging Contractors (MCDP)
SFAA is actively involved in a variety of programs and activities to assist LSAs and their
respective contractor communities to further the goals of access to bonding and
increased bonding capacity for emerging contractors.
The Model Contractor Development Program
Launched in 2001, the Model Contractor Development Program (MCDP) is an SFAA
program designed to increase access to and availability of bonding to minority, women,
and other emerging contractors. The Model Contractor Development Program
objectives include:
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Educate small, minority, and women contractors about surety bonds and help
them become bondable.
Identify resources available to small, minority, and women contractors in
obtaining their first bond, such as the SBA Surety Bond Guarantee Program and
similar federal, state, and local programs.
Provide assistance and referrals to small, minority, and women contractors in
obtaining appropriate accounting, project management, and financing expertise.
Assist small, minority, and women contractors with increasing their bonding
capacity.
The MCDP is composed of two interrelated components:
The educational workshops component offers a set of eight comprehensive workshops,
each of which is designed to provide information to the contractors related to improving
their company’s operations and thereby making it easier to be bonded or to increase
their bonding capacity. Specific seminars or workshops are available on:
Business Planning and Management for Construction
Construction Accounting and Financial Management
Banking and Financing for Contractors
Bonding and Insurance for New and Emerging Contractors
Marketing, Estimating, and Bidding
Project Management and Field Operations
Claims and Dispute Resolution
Success Stories: Why Some Contractors Succeed and Others Fail
The bond readiness component consists of one-on-one interactions with surety bond
producers, underwriters, and other professionals who work with the contractors on a
case-by-case basis in assembling the materials necessary for a complete bond
application and in addressing any omissions and/or deficiencies that might deter the
successful underwriting of a bond. In this component, SFAA uses the network of local
surety associations to identify one or more surety professionals in the various local
areas to volunteer to assist these companies in becoming bondable or increasing their
bonding capacity.
To support this program, SFAA has prepared a handbook for locals surety associations,
Increasing Access to Surety Bonding – A Handbook for Establishing a Local Contractor
Development Program, which is available in the Development & Diversity section of the
SFAA Web site at www.surety.org/modelcontractor/MCDPHandbook.pdf.
Technical Assistance to Federal, State and Local Jurisdictions
An outgrowth of the Model Contractor Development Program is SFAA’s increasing role
in the provision of technical assistance to federal, state, and local governmental entities
in developing programs of bonding support for emerging contractors that want to do
business with these jurisdictions. Generally, SFAA works with the relevant LSA in the
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particular area and these joint efforts have ranged from informational and educational
programs for contractors to formal bond guarantee programs. These efforts
demonstrate that early involvement of the surety industry in the development and
implementation of bonding support programs has been and will continue to be an
important contributor to their success.
Staff
SFAA Development & Diversity: Samuel A. Carradine, Director of Development and
Diversity, (202) 778-3638, (202) 463-0606 fax, scarradine@surety.org.
Small Contractor Brochures
The SBA’s Surety Bond Guarantee Program brochure published by SIO summarizes
the U.S. Small Business Administration’s program, which helps small and emerging
contactors obtain bonds. This publication examines:
Program eligibility;
Prior Approval Program;
Preferred Surety Bonds Program; and
The necessary application forms and documents.
View and print html or pdf versions of this brochure.
Helping Contractors Grow: Surety Bonding for New & Emerging Contractors, provides
information on surety bond assistance and support programs and mentor-protégé
programs. Order this brochure online at SIO's store, contact SIO at (202) 686-7463, or
send an e-mail to sio@sio.org.
View and print html or pdf versions of this brochure.
Why Do Contractors Fail? outlines the events that lead to contractor failure and the
warning signs that a contractor is in trouble. Order this brochure at SIO's online store,
contact SIO at (202) 686-7463, or send an e-mail to sio@sio.org.
View and print html or pdf versions of this brochure.
Back to Table of Contents
Awards
SIO Awards for Excellence in Surety Bond Promotion
The SIO Awards for Excellence in Surety Bond Promotion honor Local Surety
Associations (LSAs) with two levels of achievement and individual NASBP and SFAA
members with one level of achievement:
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Local Surety Associations
Silver Award—for LSAs that conduct at least five public relations activities in a
calendar year to promote the value and benefits of contract surety bonds. This
award recognizes active LSAs for a positive good start, calls attention to the
opportunity to further pursue promotional initiatives, and encourages the LSA to
move into the next level.
Gold Award—for LSAs that conduct at least 10 public relations activities in a
calendar year to promote the value and benefits of contract surety bonds. This
level rewards LSAs for outstanding commitment to the promotion of contract
surety bonds and recognizes their leadership efforts in their communities.
Individual
Platinum Award—for an individual NASBP or SFAA member whose efforts to
promote contract surety bonds have had a significant impact on the construction
industry. This award is not based on the volume of activities, but on the
successful outcome of the individual's actions in promoting the value and benefits
of contract surety bonds. Nominations for this award must include an impact
statement (no more than 300 words) explaining the significance of the
individual’s accomplishment(s) and specific outcome(s) of his or her effort(s).
Examples of Promotional Activities
Outreach (To private owners, public owners, lenders, government agencies, risk
managers, contractors, subcontractors, minority contractors, architects, engineers,
attorneys, CPAs, universities, and their respective associations)
Give presentations on the value and benefits of contract surety bonds.
Conduct meetings/seminars to discuss the protections surety bonds provide.
Organize an initiative to inform audiences on the benefits of surety bonds.
Set up a surety display and distribute information at expos, conventions,
meetings, career fairs, or other gatherings.
Sponsor, develop, or present non-compensated continuing education courses to
a non-surety industry audience on contract surety bond-related issues.
Inform Legislators and their staff on how surety bonds protect taxpayer dollars,
prequalify contractors, and guarantee project completion.
Media Relations (Please provide publication clippings, PDFs, or audio/visual files to
support the nomination)
Write articles on surety bonds for external magazines, newsletters, or other
publications.
Produce Public Service Announcements on the benefits of contract surety bonds.
Participate on a TV/radio program, talk show, or news story.
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Distribute press releases or provide information to the media on the value and
benefits of contract surety bonds.
Community Outreach (Must promote the value and benefits of contract surety bonds in
the name of the LSA or bring public relations value to the LSA’s name. The weight given
to these secondary activities will be determined by the judges.)
Spearhead a community service or volunteer initiative.
Provide a scholarship to a student or endowment fund in a construction-related
program.
Serve as a surety mentor to students at construction trade schools/college
programs.
Participate in a career fair to promote surety as a career or raise awareness of
the importance of contract surety bonds in construction.
View SIO Awards for Excellence in Surety Bond Promotion criteria & nomination form.
Tiger Trust
In 1984, the very elite group known as the Tiger Trust was formed to recognize SFAA
and NASBP members who persuade a private construction project owner or lender to
require surety bonds on a project. Today, the Tiger Trust continues to be one of the
most prestigious honors SFAA and NASBP members can earn. Tiger Trust members
demonstrate an extraordinary commitment to the principles of suretyship and have
achieved individual distinction by educating private owners about the value of contract
surety bonds.
Because the private sector offers the greatest potential for contract surety growth, it is
important for surety professionals to become actively involved in persuading private
owners and lenders to specify contract surety bonds on their projects. SIO proudly
confers upon all qualified applicants the distinction of the Tiger Trust. To apply for the
Tiger Trust and join the other members of this elite group, simply fill out the nomination
form and send it to SIO with the requisite documentation. All winners will be inducted to
the Tiger Trust and receive their certificate and pin at the SFAA and NASBP Annual
Meetings.
View Tiger Trust criteria & nomination form.
Back to Table of Contents
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Section 5 – Marketing & Public Relations
Web site Development
A well-designed Web site is a powerful tool for communicating ideas, sharing
information, and promoting an organization. Yet developing and maintaining such a site
can seem a daunting task. The jargon can be confusing, the options overwhelming.
Getting Started
The first step is to come up with a name for the Web site—referred to as a domain
name or Web address. The name should be connected clearly to the LSA. Sites like
Register.com, Network Solutions, Verio, aplus.net, and HTML.com allow you to
determine the availability of a domain name and will walk you through the registration
process. Costs range from $19 to $40 a year.
Plan Your Site
Good planning is crucial to the site’s success. These are some of the steps to include in
the planning process.
1. Seek assistance of those within your organization who have Web experience. If
you have the funds, consider contracting a professional Web designer to help
with the initial set-up of the site.
2. Outline the development process. How will decisions get made? Who will have
input? Whether you have one person or a team guiding the project, make sure
the process is clear.
3. Develop a budget for the site. Registration, hosting, and consultant fees are just
a few of the expenses associated with Web site development. Final costs will
vary but it is wise to consider and keep track of them at the start of the planning
process.
4. Conceptualize the design and content. Effective Web sites are tools; they fulfill
an integral role in an organization's communication and outreach activities.
Contract With a Web Server Company to Host Your Site
To be accessible on the Web, the site needs to reside on a server with a high-speed
connection to the Internet. Most organizations pay a monthly fee to rent space on the
servers of a Web hosting company. Hosting companies offer an array of plans, including
various configurations of essential services along with lots of bells and whistles.
You may be limited to the number of pages or amount of memory you can use on the
server. Consider the services you really need. If you are going to manage the Web site
yourself, you will want the host to provide an FTP (file transfer protocol) site so you can
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easily update and manage it. Most organizations can meet their needs with a hosting
package under $30 a month (there may also be a setup fee, which should be under
$50). Your Web site developer may be able to suggest a trusted hosting server.
Manage the Site
Maintaining the Web site is just as important as building it in the first place. New
information will always be waiting to be uploaded, old information will need to be
updated, and users will provide suggestions that need to be incorporated. Make a
commitment to keeping the Web site up-to-date.
Whether you pay a developer to maintain the site or it is maintained in-house, it is
important to quality control the site. It is a big mistake to put up a Web site and never
use it. You are trying to communicate through the Web site, so make sure it’s saying
what you want it to say. Here are some tips to making sure the Web site is fresh,
functional, and fulfilling:
View the Web page with different browsers, e.g. Microsoft Internet Explorer and
Netscape Navigator. These are the two most common browsers and cover most
Web users. Each browser outputs the code differently. Sometimes a Web site
looks great in one version but not another. The Web developer should fix any of
those problems.
Whenever additions or changes to the Web site are made, test it thoroughly and
proof it carefully to make sure there are no errors.
Check every link on the Web site at least once a month. Often, pages get moved,
links are broken, and outside Web sites change domains. Make sure the links are
sending visitors to intended pages.
If the Web site is used to provide information, make additions to the Web site as
soon as there is new material. If visitors see new information on a regular basis,
they will come back to see what is new.
Visibility
Getting a site on the Web is an achievement, but it doesn't count for much if no one
sees the site. Bring traffic to the site by marketing it to your key audiences.
Contact other organizations that have Web sites and see if they will link the site
to theirs.
Place the Web address on any material your organization develops.
Solicit feedback from Web visitors to improve the site and make it more effective.
- Adapted from Building an Effective Web Site: A Guide for Nonprofit Organizations by
Adam Shannon, Oxygen Communications.
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The Nuts & Bolts of Web Site Design
Plans for developing the LSA Web site are progressing nicely. Targeted audiences have
been identified and a list of documents to post has been created. The domain name is
registered and a server to host the site has been determined. A marketing plan and a
plan for updating the site when new material is available also have been developed.
Now it is time to actually create the site—to get to the nuts and bolts of designing a Web
site. Not too long ago, creating a Web site meant one thing—writing code in Hypertext
Markup Language or HTML. Now there are many ways to create a Web page. These
are some options to consider.
HTML
Hypertext Markup Language is the common language of the Internet. All pages on the
Internet are based on it. This system uses programming codes like <p> around text or
an image to instruct a Web browser (such as Internet Explorer or Netscape Navigator)
how to format a document.
The advantage of HTML is it requires no expensive software programs. Simply type the
code into a word processing program like Microsoft Word, save it as an HTML
document, and then open it through the Web browser. The disadvantage is learning to
write HTML code can be a long, steep learning curve, particularly when developing a
more sophisticated presentation.
Fortunately, there are a number of sites that can help. For the serious student,
Webmonkey offers an excellent set of free online tutorials and resources for the
beginning Web author. Other worthwhile sites are Homebuilder.com, the Web Design
Workgroup, and HTML Goodies.
HTML is for those who have a tight budget, plenty of time, a basic Web design in mind,
and a knack for learning technical computer coding. If not, consider some of the other
options.
Online Web Design
Another option for developing the site is using an online program that provides
templates that can be customized. Offerings differ from provider to provider, but
generally, these sites advertise simple ―point and click‖ designing, professionally
designed templates, one stop shopping for domain names and hosting, and technical
support.
Some examples are Tripod.com, Yahoo's GeoCities, and Network Solutions. Costs
range from $5 to $30 a month. Be aware that the lower range limits the possibilities (i.e.
only 5 Web pages for the site).
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Developing a Web site with an online program can be as simple as writing e-mail. It can
also be very restricting in terms of what, how much, and the design of the pages.
However, these online programs might just right for those who are not technically
inclined, have little time and a bit more money, and are looking for a very basic Web
site.
What You See Is What You Get
Software that enables Web site creation without needing to learn HTML code is called a
WYSIWYG (pronounced wizzy-wig) program. The name is an acronym for ―what you
see is what you get‖ because unlike a text editor such as Notepad, these programs
display text and images pretty much as the Web browser will present them. WYSIWYG
programs allow users to drag and drop images and text onto a blank canvas while it
quietly composes the HTML code underneath.
Dreamweaver, Frontpage, and Print Shop® Deluxe are among the better-known
WYSIWYG programs on the market now. Ranging in cost from $50 to $300, the
programs include tutorials, templates, and loads of clip art allowing beginning and
intermediate users to simply and quickly create relatively sophisticated site.
Those with a budget and a short timeline should consider a WYSIWYG program for
designing their Web site. Spend some time reviewing the offerings before buying. It will
be time well spent. Also make sure the Web server can support everything the site
needs to do.
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Promoting Contract Surety: How SIO Can Help
The most time-consuming component of any marketing strategy is developing the
message and the materials. SIO offers a wealth of resources to help LSAs reach a
variety of targeted audiences and can provide assistance with private construction
project owner outreach, writing articles, developing presentations, or increasing the
LSA’s exposure at exhibitions and trade shows.
SIO provides information and resources for specific targeted audiences:
Contractors/Subcontractors
Surety Professionals
Private Owners/Bankers
Public Owners
Design Professionals
Educators/Students
Here are ways SIO is prepared to assist LSAs:
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PowerPoint® Presentations—In today's business world, PowerPoint® is the preferred
visual aid. SIO offers 15 PowerPoint® presentations with speaking notes that can be
downloaded from its Web site. Be sure to order free brochures and CDs to distribute to
attendees.
Exhibit Posters—These 20" x 24" posters can be prominently displayed on an exhibit
table to convey specific messages for specific audiences including:
Emerging Contractors
Surety Bonds: Helping Contractors Grow
Public Owners
Surety Bonds on Public Projects: Protecting Taxpayer Dollars
Private Owners
Surety Bonds: Financial Security, Construction Assurance
Surety Bonds: Protect Your Investment
Construction is a risky business ... Protect your investment with a surety bond
(Best for smaller owners)
Construction is a risky business ... Protect your investment with a surety bond
Bankers/Lenders
Protect construction lending capital with a surety bond
Free SIO Materials
SIO: The information source on contract surety bonds
SIO lends these posters to LSAs, NASBP members, and SFAA members to help
generate greater exposure at trade shows and expos. To ―check out‖ exhibit posters,
contact SIO at (202) 686-7463 or sio@sio.org.
Article Placement—By maintaining relationships with several editors or various
publications whose audience needs to know about contract surety bonds, SIO continues
to place articles that educate readers on the value and importance of surety bonds in
construction. SIO writes articles for Construction Executive, Engineering News-Record
(ENR), and many other publications. SIO also uses its contacts to place articles written
by NASBP and SFAA members. For help with an article, contact SIO.
Prestigious Awards Program—If an LSA hasn’t won an SIO Award for Excellence in
Surety Bond Promotion, associations either aren’t actively promoting surety bonds or
members aren’t being recognized for their efforts. SIO presents these awards to
recognize LSAs, NASBP members, and SFAA members who have taken special
initiatives to promote contract surety bonds. SIO’s prestigious Tiger Trust recognizes
NASBP and SFAA members who have persuaded a private construction owner or
lender to require surety bonds on a project.
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Electronic Newsletters—The LSA Communiqué provides LSA officers and members
with resources and ideas for promoting contract surety bonds and recognizes NASBP,
SFAA, and LSA members who promote surety bonds. To see what other surety
professionals are doing and to learn strategies and tips on promoting surety bonds,
subscribe to the LSA Communiqué. The Surety Bond Networker keeps surety
professionals abreast of industry trends and information, as well as SIO activities and
news. Stay connected to the industry’s leading surety professionals. Subscribe to the
Surety Bond Networker.
Speakers' Bureau—Need a speaker? Like to speak? Call SIO at (202) 686-7463 or
submit an online speaker request form. When someone needs a speaker, SIO turns to
the SIO Speakers' Bureau to offer potential candidates. The speakers' bureau contains
a list of NASBP and SFAA members willing to accept speaking engagements. SIO can
arrange for surety professionals to address a variety of topics such as:
How to obtain surety bonds;
Why contractors fail;
Basics of bonding;
State of the surety industry;
Surety bonds for public works;
Protecting construction lending capital; and
Surety bonds for private projects.
Back to Table of Contents
Exhibiting
Conferences and trade shows offer unique opportunities to meet with targeted
audiences and promote contract surety bonds. SIO and SFAA take their exhibits to
several expos and trade shows every year and may call on LSAs to assist with booth
staffing. LSAs may borrow SFAA's exhibit booth by calling (202) 463-0600. In addition,
LSA's may check-out SIO's exhibit posters and order free handout materials by calling
(202) 686-7463 or visiting www.sio.org/fstore.html.
Promoting Surety in a Crowd
1. Pick the Crowd—Who is the targeted audience? What issues need to be
addressed? Contractors and public owners may be the obvious choices, but
bankers, private owners, real estate developers, design professionals, and other
construction industry advisers need to hear about the value and benefits of
contract surety bonds.
2. Prepare Materials—Prepare materials to reflect the specific benefits surety
bonds have for the targeted audience. For example, a convention of private
owners could be swayed with case studies illustrating the need for surety bonds,
34
while a meeting of emerging contactors may be more interested in how to obtain
surety bonds. SIO offers CDs that address specific needs of public owners,
private owners, contractors, and students.
3. Send Out the Alert—Let attendees know ahead of time that you will be
exhibiting at an event. Don’t rely solely on the marketing efforts of the meeting
managers. Offer to provide a short, engaging article to the group or association
holding the event. Provide a news release to trade publications or a business
journal about contract surety bonds and mention the exhibit to create pre-show
interest. Send a direct mail letter or postcard to event registrants offering an
incentive for visiting your booth. Become an event sponsor to heighten your
exposure.
4. Collect the Data—Obtain information from exhibit visitors interested in surety
bonds and offer to send literature after the show. Prepare beforehand what
information you want to collect and from whom.
5. Follow Through—Once the event is over, the work is just beginning. If you
prepared follow-up material ahead of time, the time between parting handshake
and next contact will be short. The sooner the contact hears back from you, the
better. Send a personalized letter addressing the contact’s individual needs,
questions, or concerns. Prepare a general letter prior to the event, but take the
time to personalize the letter with information specific to your conversation with
the individual.
6. Make a Splash at a Conference—Take advantage of question-and-answer
periods by stating your name, employer, and a brief job description. Attendees
will be more apt to approach you afterward if you introduce yourself to the group.
Look for opportunities to visit with conferees such as in an elevator, at the
registration desk, or waiting for a taxi or valet. Arrive with brochures, giveaways,
or fact sheets and distribute them to everyone you meet.
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SIO List of Speaker Topics
For a list of recognized experts on a topic, organizations that can assist with locating a
speaker, or speakers SIO staff has heard speak, view SIO's List of Speaker Topics
Word document. This is by no means a complete list of speakers on the topics listed.
Some speakers may charge a fee and/or travel expenses.
Back to Table of Contents
SIO PowerPoint® Presentations
All SIO PowerPoint® presentations are downloadable from the SIO Web site.
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Unleash the Power of PowerPoint®
These days, the word "presentation" is synonymous with "PowerPoint®." While this
omnipresent tool can help create appealing presentations, its true power is sometimes
ignored. PowerPoint® is a means to communicate visually with an audience. Take
advantage of its power, not by including overwhelming amounts of information, but by
using it to emphasize, clarify, and quickly convey your message.
Quality vs. Quantity
More is not always better. Reducing your messages to bite-sized chunks allows your
audience to digest them more easily. After you have crafted the presentation, go back
and conduct an audit. Examine each slide carefully and determine whether it’s truly
necessary—combine and condense wherever you can.
Balancing Text and Graphics
No doubt you’ve seen the PowerPoint® presentation where the speaker seems to be
reading verbatim from a printout of the slideshow. What was gained by hearing the
slides read aloud? According to multi-media graphic designer Patty Civalleri in the
September 2002 issue of Presentations magazine, ―this presentation technique usually
does more harm than good.‖ She adds that a large amount of text causes the audience
to read line-by-line, diverting attention away from the speaker. Use text sparingly and
emphasize key points to keep the audience focused on the message and you.
Replace words with graphics if you can. Images convey large amounts of information in
a small amount of space. Images you include should complement your speaking points.
A conflicting or seemingly random image creates confusion—don’t add graphics simply
as filler.
The Look
Think of each slide as an ad for a point in a larger campaign you are communicating
through the entire presentation. Would you be attracted to a full-page advertisement of
black and white text? Create something that you find visually appealing while using
words and images to engage and communicate.
When designing slides, keep in mind some basics about colors and legibility. Use a high
contrast between the text and the background. Light, bright colors on a dark background
are effective, and vice versa. Small-point fonts won’t convey your message—think big
and bold. Also, keep in mind that what you see on your computer screen may not be
what you get on the full screen. Always conduct a trial run with your projector on a full
screen to ensure slides can be read easily.
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Don’t Go Overboard
PowerPoint® offers a number of features to animate text and graphics, but a slideshow
with words and images flying, dissolving, and popping out all over the screen can be
distracting. When in doubt: keep it simple.
Remember, PowerPoint is only a part of the overall presentation. Do not rely on
PowerPoint® to give the presentation for you. Watching someone click a mouse and
read slides is not an engaging experience. Use PowerPoint® for its maximum intended
effect—as a visual aid to your oral presentation.
Back to Table of Contents
LSA Speakers' Bureau
How do you take the efforts of your local surety association members to the next level?
Two words: speakers’ bureau. This next step in promoting contract surety bonds may
be challenging to organize, but it also offers rich rewards.
First things first—what is a speakers’ bureau? At its basic level, it’s a list of well-spoken
experts—but the power behind the list lies in the fact that you will have an audience’s
undivided attention, and full control of the message. Editors can alter press releases,
your voice can get lost in an exhibit hall—but a speaking engagement gives you
complete control of the content and quality of your message.
The following list serves as a quick guide to help you develop a speakers’ bureau.
1. Designate someone to be the speakers’ bureau coordinator. He or she will
be in charge of maintaining the speakers’ bureau file and will serve as the key
point of contact for those seeking a speaker.
2. Identify the experts and issues. Assemble a listing, with contact information for
each, of those who are knowledgeable in specific areas of surety. Next, prepare
summaries (a bite-sized abstract will suffice) of the issues that your speakers are
able to discuss.
3. Create a speaker file. Put together a file for every speaker containing a
biography, a photograph, and a brief but suitable introduction for them. This
information is useful not only to promote speakers, but also comes in handy
when groups want to announce a speaking engagement in their newsletters and
meeting programs. ―Creating a speakers’ bureau is all about having direct
contact and communication.‖
4. Identify your audience. While your list of speakers and topics may cover
everything from default insurance to warranty issues, not everyone will be
interested in surety from A to Z. Identify the topics that are most pertinent to each
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group (e.g. bank letters of credit vs. surety bonds for bankers; contractor
prequalification or claims handling for owners). Pool your group’s contacts
throughout various industries to compile a comprehensive list—matching up a
speaker, topic, and audience. Again, keeping this list (as with any media list) up-
to-date is imperative.
5. Promote! Once you’ve identified the best speakers for each group, it’s time to let
the world know. Put your promotional skills to work using an assortment of tools
to get the word out: a traditional press release; a direct mail post card; a one-on-
one phone call; or a personalized letter.
Try tailoring, as much as possible, each piece to the particular audience by
including a listing of the topics most relevant to each. Also, reach out to local
media or trade publications and alert them of the bureau—the extra exposure
can only help.
6. Utilize Feedback. After a speaking engagement, make sure your group gets a
chance to debrief the speaker. Finding out what issues, questions, and concerns
each group raises is important for adapting your messages in the future.
Creating a speakers’ bureau is all about having direct contact and communication.
While it may take a good bit of coordination and time to organize a bureau, the chance
to be able to share the industry’s perspective on issues directly with other groups is
invaluable.
Back to Table of Contents
Public Speaking Tips
Getting an Audience to Listen
Author Richard Dowis offers many useful public speaking tips in his book The Lost Art
of the Great Speech: How to Write It, How to Deliver It.
View an invitation to speak as an opportunity, not a summons that appeals to you
about as much as an IRS audit.
Compose a statement of purpose as a starting point to your writing. Your
purpose can be to entertain, inform, inspire, advocate, motivate, educate,
persuade, and yes, even to SELL!
Audiences are primed to listen at the beginning so craft an opener that will
establish rapport, set the tone, enforce your authority to speak on the topic, and
arouse interest.
Write your speech as a conversation, not a lecture! Use plenty of pronouns: you,
I, us, we. Engage your audience; be interactive.
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Choose gut vs. brain words. Do you use verbs like postulate, fabricate, ascertain,
surmise? If so, cut the brain words and use gut action verbs, such as, cry, jump,
ooze, roar!
Everyone loves a story, anecdote, or joke, but only use ones that are true (or
perceived to be true) because they offer insight about the topic, the speaker, or
the event, and they're interesting or amusing and easy to understand.
Only use visual aids if they enhance your message. Do not let them detract from
your spoken message.
SOURCE: The Lost Art of the Great Speech: How to Write It, How to Deliver It by
Richard Dowis, AMACOM, 1601 Broadway, New York, NY 10019, $14.95. Printed in
Communications Briefings; 703/548-3800; Speak With Confidence and Power.
Presentation Power
When preparing to give a presentation, make sure you can answer YES to these
questions:
Do I know the one thing I want the audience to remember? If the answer is no,
your speech has no focus.
Do I know how much people can remember? Rule of thumb—if you give a five
minute speech, your presentation should have only one main point.
Are my figures clear? Audiences are slow to receive and analyze data. Make
charts and graphs simple, with key points emphasized. For complex information,
prepare a handout, but try to limit it to one page.
SOURCE: Creating Confidence: How to Develop Your Personal Power and Presence
by Meribeth Bunch, Kogan Page Ltd., London, England. Printed in Communications
Briefings; 703/548-3800.
It's Still the Words
Think about great speeches you've heard or read.
Martin Luther King Jr., "I have a dream."
Franklin Delano Roosevelt, "The only thing to fear is fear itself."
John F. Kennedy, "Ask not what your country can do for you, but what you can
do for your country."
Abraham Lincoln, "We cannot dedicate—we cannot consecrate—we cannot
hallow this ground."
Even in an electronic age, it's still the words that live in our minds.
An unforgettable speech takes research, planning, and the right words. The first
consideration in finding the right words and constructing an effective speech is know the
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audience! And know the type of speech appropriate for the audience. For example,
remarks to busy executives should be challenging, quick, and engaging. Regardless of
the type of address, waste no time in making a quick, clear, and simple connection with
the audience. Find something in common with your listeners and lead with it.
SOURCE: "Speak Like the Best of Them," by Daniel Cirucci, Association Management,
1993.
Speak With Confidence and Power
Prepare, Relax, Be Positive: three suggestions from the editors of Communications
Briefing, an Alexandria, Virginia based publication providing business communication
advice.
Prepare—We've all heard public speaking tips about being prepared, such as "Know
your audience;" "Do your homework;" "Practice, practice, practice"—and they're good
tips to follow, but some other important preparatory steps include practicing
pronouncing difficult words and names, double-checking facts and figures, and cutting
material that isn't vital to the speech's main message.
Relax—Take gradual steps to overcome stage fright and anxiety about public speaking.
Practice a speech to an empty room, then deliver to smaller, safer audiences such as
family members, co-workers, and close friends. When practicing, record your remarks on
audiotape to listen for any grammatical errors or mispronunciations; then video tape your
presentation to ensure you are not doing any annoying or distracting gestures or body
movements. Lastly, determine what motivates and appeals to your audience. You'll be
able to match your message to their interests and they'll be more responsive to you.
Be positive—Your attitude helps determine how well the audience will receive your
message. Most audiences want you to succeed and to be yourself; sincerity and
enthusiasm often prevail over a lack of public speaking experience. To calm your
nerves, visualize yourself giving a successful speech. And remember, audiences are
attending your presentation because they are interested in the topic.
SOURCE: How to Speak with Confidence and Power, Printed in Communications
Briefings; 703/548-3800.
The Rewards of Public Speaking
"A good speech is the single most cost-effective marketing and public relations tool any
organization can have," advises author Joan Detz in her book How to Write and Give a
Speech. Giving an electrifying, informative, and entertaining speech is comparable to
making 50 to 100 cold calls in one day. You may not make a sale today, but you may
have sold yourself and your company/product to a future client—a member, or two, of
the audience!
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A must after every speech or sales presentation: get the audience's business cards and
follow-up with a letter and phone call.
SOURCE: "You, Too, Can Be a Successful Public Speaker" by William C. Wilson, Jr. -
American Agent & Broker, December 1999.
Dispelling the Myths of Public Speaking
Myth Successful speakers have natural speaking voices.
Fact The best speakers are those who connect with an audience by being themselves and
speaking conversationally. Speak as if you are conversing with each audience member,
use eye contact, smile, and target your message to make a personal connection.
Myth Good speakers do not have a fear of speaking.
Fact Every speaker, experienced or inexperienced, feels anxiety before a presentation.
Anxiety can be reduced through relaxation techniques, such as deep breathing.
Myth Begin your presentation with a joke to loosen up the audience.
Fact Humor is an important component of any speech, but it must have relevance to the
topic under discussion.
Myth Effective speakers do not use notes.
Fact Skilled speakers have found ways to use notes without distracting from their
message. From your written copy, condense your remarks into outline form, and then
create a second outline of keywords that will remind you of the full concepts designated
by the keywords.
Myth Excellent speakers are spontaneous.
Fact Effective speakers rehearse their presentations. Practice is essential. The more
familiar you become with your material, the more the words flow with passion. The more
comfortable you feel with your words, the more naturally you present your speech.
Good speakers practice... and practice again!
SOURCE: Based on "Add Spark to Your Speeches" by Rob Sherman in Association
Management, January 2000. Rob Sherman is an attorney in Columbus, Ohio and
author of Sherman's 21 Laws of Speaking: How to Inspire Others to Action, Cedar
Creek Press. E-mail shermanrps@aol.com.
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Timing Guidelines
We live in a fast-paced age so try to keep speaking engagements 20 to 25 minutes (but
always allow additional time for Q&A). When writing and editing your speech, remember
this general rule of thumb: Every double-spaced page of copy is about 90 seconds of
speaking.
SOURCE: "Speak Like the Best of Them," by Daniel Cirucci, Association Management,
1993.
Speech Structure Checklist
An effective way to make the beginning, middle, and end of a speech work together is to
use a basic rule of communications: Tell them what you're going to tell them. Tell them.
Tell them what you told them.
In the beginning, preview what is to come. In the middle, present most of what you have
to say. In the end, summarize what you said.
SOURCE: "Speak Like the Best of Them," by Daniel Cirucci, Association Management,
1993.
Presentations: Be Prepared
For promotional tools for surety professionals, visit www.sio.org/surety/fsurety3.html.
Back to Table of Contents
Newsletters
SFAA’s The Surety & Fidelity Association of America’s Newsletter
After many years of serving as a ―Members Only‖ publication, subscriptions to The
Surety & Fidelity Association of America’s Newsletter now are available industrywide.
The Newsletter is published every other month and contains valuable information
regarding industry developments, federal and state legislative activity, legal decisions,
LSA activities, regulatory news, and coming industry events. Print out an order form to
subscribe.
SFAA Subscriber Program
In response to increasing industry demand, SFAA's Board of Directors has voted to
provide those in the industry who are ineligible to become Members or Foreign Affiliates
of SFAA the opportunity to become SFAA Subscribers. The subscriber service includes
a newsletter; statistical reports; Binder of SFAA Standard Fidelity Forms; SFAA Manual
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of Rules, Procedures and Classifications for Fidelity, Forgery and Surety Bonds; a Web
listing; and reduced rates on other publications and special data requests. For more
information, contact Barbara Finnegan Reiff at breiff@surety.org.
NASBP’s Pipeline
NASBP’s monthly periodical Pipeline covers current events in the surety industry; state-
by-state legislative updates; coming meetings, conventions, trade shows, and seminars.
To learn more visit NASBP's Web site.
SIO’s Surety Bond Networker
Surety Bond Networker provides insight into PR, marketing, and promotion and
recognizes the efforts of NASBP members, SFAA members, and LSA members at
promoting surety bonds. It is perfect for surety professionals who are interested in
seeing what other surety professionals are doing or who want to learn strategies and
tips on promoting their product and business. To receive Surety Bond Networker, send
an e-mail to sio@sio.org.
SIO’s LSA Communiqué
The LSA Communiqué provides LSA officers and members with resources and ideas
for promoting contract surety bonds. It recognizes the efforts of NASBP members,
SFAA members, and LSA members who promote surety bonds. To receive the LSA
Communiqué, send an e-mail to sio@sio.org.
Back to Table of Contents
Working with the Media
Media Overview
Print Media
Broadcast Media
Back to Table of Contents
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Section 6 – Best Practices
See current and past LSA best practices by winners of the SIO Awards for Excellence in
Surety Bond Promotion. Best practices in recent years include:
Legislative Affairs
Work with state legislators and local policymakers on issues such as onerous
bond forms, bond thresholds, long-term warranties, mechanics liens, bond
requirements and claims handling, bond tracking systems, and other issues
affecting the surety industry.
Public Outreach
Give presentations to architects, city and county officials, college students, and
contractors on topics including bonding emerging contractors, claims, and the
state of the contract surety industry.
Education
Educate students at colleges and universities.
New & Emerging Contractors
Educate small, minority, and women contractors, as well as new and emerging
contractors, on how to obtain surety bonding, building solid surety relationships,
and managing risk.
Contractors & Subcontractors
Raise general contractors’ awareness about the value of surety bonding with
presentations on construction defects, the basics of bonding, the surety industry
outlook, construction contracts, succession planning, and how to obtain surety
bonding.
Community Service
Volunteer for the National Association of Women in Construction’s Building
Blocks Program, Habitat for Humanity, Harvesters Food Drive, and other industry
organization events and activities.
Offer scholarships or sponsor a Career Day.
Private Owners/Bankers
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Meet with private project owners to discuss the value of contract surety bonds,
and why contractors fail. Use SIO PowerPoint® presentations such as When You
Build … Bond, Understanding the Benefits of Surety Bonding, Surety Bonds: The
Sensible Choice for Managing Risk, and Why Do Contractors Fail? Leave them
with Contract Surety Bonds: Protecting Your Investment.
Encourage bankers and lenders to require contract surety bonds as a condition
of a construction loan. Use SIO PowerPoint® presentations including Why Do
Contractors Fail? and Investment Protection for Today’s Construction Lender.
Leave them with Contract Surety Bonds: Protecting Your Investment and Surety
Bonds: A Guide for Lenders.
Back to Table of Contents
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