- 1,016
I know this only applies to agents in some states with some carriers .....
but when you have the choice between selling a 6 or 12 month auto policy to a customer, how do you handle it as far as your procedure?
do you:
A) offer both and let the customer decide?
or B) choose one automatically for the customer, since it usually makes very little difference?
from the agent's standpoint, it only makes a difference if the carrier pays commission on an earned basis. pros and cons to both a 6 mo. vs. 12 mo. if they pay on an earned basis. doesn't make any difference if the carrier pays on a cash flow basis.
from the customer's standpoint, it only makes a difference whether or not their driving/clue records are clean or not.
personally, I usually give customers the choice, but advise them to go 12 months if their record is clean and 6 months if their record is not clean (due to violations, accidents, etc not getting added/dropped until renewal).
I'm curious to hear other thoughts on this.....
but when you have the choice between selling a 6 or 12 month auto policy to a customer, how do you handle it as far as your procedure?
do you:
A) offer both and let the customer decide?
or B) choose one automatically for the customer, since it usually makes very little difference?
from the agent's standpoint, it only makes a difference if the carrier pays commission on an earned basis. pros and cons to both a 6 mo. vs. 12 mo. if they pay on an earned basis. doesn't make any difference if the carrier pays on a cash flow basis.
from the customer's standpoint, it only makes a difference whether or not their driving/clue records are clean or not.
personally, I usually give customers the choice, but advise them to go 12 months if their record is clean and 6 months if their record is not clean (due to violations, accidents, etc not getting added/dropped until renewal).
I'm curious to hear other thoughts on this.....