“The Capital Story”
The founding partners, David Moore, Sr., Dalton Tate, Jr. and Dale Lauer started Capital Insurance Agency, Inc. in the spring of 1970 as payroll deduction emerged in the market as a new convenience to pay insurance premiums. This new era began to evolve into what is known today as worksite marketing. From the beginning, Capital’s focus became marketing and servicing large groups on payroll deduction, both in the private sector and governmental market.
With payroll deduction as a new concept, many employers and insurance companies we not able to accommodate all payment frequencies and bridging this gap required the services of a third party to assist in premium collection and remittance. In light of this new market demand, Capital internally designed and developed its first common remitting and billing system in the mid 1970’s to support its sales activities and to act as an intermediary between the employer and insurance company.
Conservation efforts were also established in response to high lapse rates incurred during the early years of payroll deduction. With new procedures in place Capital’s retention rate on inforce business grew tremendously during the 1980’s and continues to hold a 93% 24-month life insurance persistency.
However a new challenge for Capital appeared in 2001 with the State of Florida’s Human Resource Outsourcing Project, also known as People First. The outsourcing contract deleted key personnel positions responsible for servicing employee benefits and processing payroll requests. The state’s new downsizing initiative posed a threat to Capital’s worksite business.
As a result Capital developed a separate business unit and became a Florida licensed third party administrator (TPA). Through Capital’s TPA services they partnered with state agencies to form support centers for the state’s employee benefit programs and payroll deduction administration. This continues to be a no cost service for the state agencies and their employees.
Eventually the Capital partners desired to return to its traditional role as an insurance and annuity sales and created Capital Administrative Services, Inc. (CAS) in April 2009 to support all its administrative activities. In August 2009 and July 2010, respectively, CAS became a licensed TPA in the State of Florida as well as Georgia, Illinois, Mississippi, Louisiana, North Carolina and South Carolina.
The combined experience of both Capital teams offers our clients, employees, employers and insurance companies over 100 combined years of industry knowledge, over 40 years of expertise in employee benefit administration, insurance sales and financial advisement and over 35 years of experience in common remitting and payroll deduction administration.