As PIMA approaches its 50th anniversary, we interviewed Frank Cella, a former president of PIMA, to gain insights from his extensive experiences. Frank witnessed and contributed to significant developments in the affinity insurance market, making him a valuable source of historical and strategic knowledge. In his own words, "The affinity marketplace's leadership lessons are no different from any other kind of management experience. You have to learn how to work with people."
Frank's journey in the insurance industry began at the American Institute of Professional Association Group Insurance Administrators. Recognizing the need to address legal and regulatory challenges that threatened the industry, he quickly became deeply involved with PIMA, driven by a desire to protect and grow the sector. In 1981, Frank became the 7th president of PIMA, furthering his contributions to the insurance and affinity industry. After his tenure as President of PIMA, Frank worked for many years with Albert H. Wohlers & Co., now part of Marsh.
During the discussion, Frank shared pivotal moments from his time with PIMA, offering lessons and advice for current and future members as they navigate numerous insurance industry challenges. His perspective provides a window into the evolution of PIMA and the innovative insurance solutions that continue to drive its success today.
Lesson #1: Keep Your Eyes Open to Industry Needs and Innovate Accordingly
Frank's career is a testament to the power of innovation in the insurance industry. One of his most notable contributions was the creation of convention cancellation insurance, a product that addressed a critical need for associations and event organizers. The idea was born from a simple observation: many of the associations Frank worked with relied heavily on annual conventions for their revenue. These events were significant undertakings, and any disruption, like a strike or a fire at the venue, could lead to substantial financial losses.
Recognizing this vulnerability, Frank helped develop a product that provided coverage for such cancellations. Underwritten by Lloyd's of London, this insurance guaranteed that associations would still receive their expected revenue even if unforeseen circumstances forced the cancellation of their events. "The National Restaurant Association's convention in Chicago was a multi-million-dollar project," Frank recalls. "If that was ever canceled, they would be in deep trouble. So, we developed convention cancellation insurance. It gave our clients peace of mind and set us apart from the competition."
This creation showcases how innovative thinking can transform challenges into industry-wide advancements. Frank's story is a powerful reminder that creativity and responsiveness to client needs are the driving forces behind long-term success and progress in the insurance sector.
Lesson #2: Don't Be Afraid to Embrace Digital Strategies
Frank's career also sheds light on the evolving challenges in marketing and distribution within the insurance industry. In the early days, direct mail was the primary method for reaching potential clients. Frank excelled in this area; his company sent out millions of pieces of mail annually. However, as the market evolved, so did the strategies for reaching clients.
"When I started, we were in the direct mail business, and we mailed 10 million pieces of mail a year," Frank recalls. "But today, it's got to be really difficult trying to sell something through direct mail. As an example, if you're selling a term life insurance plan, [anyone] can easily go on the internet and find one that probably costs less. There's a lot more competition."
For PIMA members today, Frank's experience highlights the need to be agile and open to change. The move to digital marketing strategies, including social media, email campaigns, and search engine optimization, represents a significant evolution from the traditional methods. Staying current with these trends is crucial for maintaining a competitive edge.
Frank's journey also highlights the importance of embracing new technologies and continuously evolving to meet the changing needs of the market. By doing so, PIMA members can ensure they remain at the forefront of the industry, ready to tackle future challenges with innovative insurance solutions.
Lesson #3: Build Relationships, Share Knowledge, and Foster a Flourishing PIMA Community
Perhaps one of the greatest highlights of Frank's career is the importance he placed on building a strong community within PIMA. Throughout his tenure, Frank emphasized the significance of fostering relationships and sharing knowledge among members, which remains a cornerstone of PIMA's ideology today.
Frank's approach to building a community was rooted in his belief in the power of collaboration. He forged strong connections with colleagues and competitors alike, turning many of them into lifelong friends. "I made some wonderful friends—competitors, in fact," he reflects. "We would go to conventions, play golf, and share information that wasn't available anywhere else."
This sense of community allowed members to share insights, discuss challenges, and develop innovative solutions together. Frank's story shows just how valuable these interactions were in driving both personal and professional growth. The collaborative spirit he fostered within PIMA helped create a supportive network where members could learn from each other and advance the industry as a whole.
Frank also believed strongly in leadership through empowerment. He said, "You've got to be good to your employees. You've got to give them an opportunity to make some money. You've got to give them an incentive to help build the company." This philosophy helped strengthen his teams and contributed to the overall success and growth of his business.
Embracing the Future with Confidence
Today, PIMA continues to prioritize community building. With regular events, conferences, and digital forums, members have the freedom to connect, share knowledge, and discuss industry trends amongst like-minded individuals. These gatherings also provide opportunities for networking, mentorship, and professional development, ensuring that the sense of camaraderie and mutual support that Frank championed remains strong.
For current and future PIMA members, Frank's experience serves as a reminder of the enduring value of building a strong community. By fostering relationships and sharing knowledge, members can continue to drive innovation and excellence within the insurance industry. The connections made within PIMA not only enhance individual careers but also contribute to the collective success and advancement of the organization.
Frank's legacy of community building within PIMA highlights the importance of collaboration and knowledge sharing in achieving long-term success. Reflecting on his journey, Frank shared a candid moment: "[I thought,] Oh, what the hell did you get yourself into here? But, you know, it all worked out. And it's going to work out now, too." This optimism and resilience encapsulate the spirit of PIMA. By embracing these principles, PIMA members can ensure that the organization remains a forward-thinking and supportive community ready to tackle future challenges together, just as it did during Frank's time.
PIMA® (Professional Insurance Marketing Association®) is a member-driven trade association focused exclusively on the affinity market.
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