By VERNON CLEMENT JONES, Guardian Business Editor, vernon@nasguard.com

The fourth largest general insurance agency is bucking a national trend with what it terms significant policy growth even as the industry takes a near-three percent revenue hit on the chin.

It's a success story Colina General President Lynden Nairn is chalking up to, at least in part, the agency's adoption of payment plans amortized premiums over the length of a coverage period and not, as most insurers in this country continue to insist on, one lump-sum forked over in order to even activate a policy. Marketing campaigns throwing in home and car security systems haven't hurt either.

Still, it's Nairn's payment flexibility, applied across all types of policies, including house and auto insurance, that brings him closer in line with almost all of his U.S. and Canadian counterparts. They as a matter of course allow for monthly insurance premiums. The willingness of an upstart Colina General, an affiliate of the Nassau Guardian, to follow their lead seems to be paying off.

"We're seen impressive growth for the year compared to the same period last year," Nairn told Guardian Business last Friday, singling out increases in the company's house insurance division for particular mention. "That comes as the industry has seen a one to three percent slip in revenue since the beginning of the year, largely because of the rate reductions."

He, like his competitors, is closed-mouth about exact numbers, given the increasingly heated battle among all players in this mature insurance market. The lull in Bahamian economic growth has only heightened the competition.

Still, Nairn argues the economic slowdown has done little to kill consumer need for not only house, but auto and commercial insurance coverage. He points to the demands for coverage the law and, indeed, mortgage lenders continue to place on consumers.

Actually, tough times may in fact be working to his advantage given increased willingness on the part of Bahamians to shop around for coverage, even demonstrating the willingness to part with agencies that have held their business for decades in order to erase dollars off of their expenses column.

"Allowing customers to pay with post-dated monthly checks or through our offices each month has really addressed the economic reality of Bahamians who may be struggling at this time." He told Guardian Business.

Some agencies and brokers may view extending that kind of option especially risky given the current economic climate.

Nairn is quick to point out that delinquency rates, in fact, remain well within acceptable levels, dismissing them as of little concern.

All factions of his business have seen revenue growth largely driven by expansion in policies. The company, which writes for Bahamas First and, to a lesser extent, Security & General is, in fact, planning the opening of its newest Nassau branch.

The Oakes Field facility will take up leased premises within the Nassau Guardian by summer's end.