With 37 years in insurance and hands-on experience in construction, Brad Tennant, president and founder of Tennant Special Risk LLC, knows how to recognize trends in both industries. It’s a trait that helped him build Tennant Risk into a top-ranked Managing General Underwriting facility for both commercial and residential subcontractors.  

Twelve years ago, Tennant was a senior underwriting officer for a Fortune 500 insurance company. "I saw some niche opportunities and had a business model I wanted to try that probably would not have gained too much traction in the corporate environment of the time," Tennant says. "I left that company with no job, a dream, 50 bucks in my pocket, and a Gateway computer on a TV tray in the bedroom."

Tennant slowly built the company from his home. He had an underwriting assistant and one employee who worked remotely. "When I hired my second employee, there was no space left in the bedroom so we moved into an office," Tennant laughs. Now, Tennant Special Risk provides specialized lines of commercial insurance throughout 42 states.
"This was a very high-risk venture," Tennant says. "As a startup with no capital and a $50,000 line of credit, we've beaten some pretty significant odds."

Tennant credits his success to having a strong business plan from the start and believing in what he was trying to accomplish. "We've remained very true to what our original ideals were, and still are today. We are very consistent and have a national reputation for consistency in our approach. Being consistent does not mean you stay in a box and don't evolve," Tennant adds. "It does mean that if something isn't broken, don't fix it."

When the housing market imploded, subcontractors were one segment of the economy that was hit particularly hard. That’s why Tennant is thankful that everyone in his company has had direct experience within the construction trade.  “We were able to anticipate what was coming down the road and made the appropriate business adjustments,” he said.  Knowing how to analyze construction trends along with making the appropriate adjustments helped him steer Tennant Special Risk around the eye of the storm. 

"We made a conscious decision to move into a less heated segment of the industry and stayed away from the areas we thought were perhaps moving too quickly. Home building was one. We stayed away from contractors that build new homes. Instead, we tended to focus on residential and commercial service or repair contractors and commercial construction contractors," Tennant explains.

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As the market recovers, Tennant continues keeping a watchful eye on the industry and growth opportunities. "Every problem, when properly perceived, becomes an opportunity," he said. “We spend time thinking ahead. The insurance business is as wild and unpredictable as the banking business. Things change from minute to minute. Once prices start to rise and our competitors start shedding unprofitable businesses, we are in a position to take advantage of that.  We have no underwriting issues, which is where we wanted to be in the current insurance marketplace.”

As the company continues to grow, Tennant looks forward to building on a solid foundation. “Having a terrific business model and plan along with a talented and experienced staff has been essential to our success.  Emphasize what you do well, and capitalize on that experience.”