You're lucky you had Rick to guide you.
How to Make Top $$ As a Producer
- Thread starter ewilkins
- Start date
You're lucky you had Rick to guide you.
EWilkins,
I'm a Farmers Agent and let me give you some words of advice... take it for what it is...
Either independent or captured a producer is a PRODUCER! Do not listen to these fools... Something you have not mentioned what so ever is how much you are making per sale and if you are getting renewals.... What happens if you work for a Indy agent who says he will give you a great base salary and very little bonus or even no renewal commission... Also most of the indy industry is all about "Price" and not about value. My Agency, 3yrs and 3 months now, has over 2200 policies in force with Farmers. My retention ratio is at roughly 89%, We sell to a preferred, middle class type of client and I steal "cheap" policies daily from indy agents. My 2012 renewal commission was $189,430... My new business commission was $65,094... Guess what, I did this BY MYSELF! I only have 1 csr and 1 telemarketer. I just hired on an agency producer. Think about this... my new AP is going to get 70/30 splits...He will also be able to recruit other AP's and will receive a bonus of 5% of their renewals. So if he does what I did he would of made roughly $102,459 with NO EXPENSES other than gas since I am providing leads, another huge expense and headache is where is the leads coming from?!!
It drives me insane that people will just randomly shout GO INDY GO INDY! Its all about how your compensation plan is set up from the beginning!
I'm on my 4th crown and coke so sorry for the horrible grammar and punctuation lol.
I'm a Farmers Agent and let me give you some words of advice... take it for what it is...
Either independent or captured a producer is a PRODUCER! Do not listen to these fools... Something you have not mentioned what so ever is how much you are making per sale and if you are getting renewals.... What happens if you work for a Indy agent who says he will give you a great base salary and very little bonus or even no renewal commission... Also most of the indy industry is all about "Price" and not about value. My Agency, 3yrs and 3 months now, has over 2200 policies in force with Farmers. My retention ratio is at roughly 89%, We sell to a preferred, middle class type of client and I steal "cheap" policies daily from indy agents. My 2012 renewal commission was $189,430... My new business commission was $65,094... Guess what, I did this BY MYSELF! I only have 1 csr and 1 telemarketer. I just hired on an agency producer. Think about this... my new AP is going to get 70/30 splits...He will also be able to recruit other AP's and will receive a bonus of 5% of their renewals. So if he does what I did he would of made roughly $102,459 with NO EXPENSES other than gas since I am providing leads, another huge expense and headache is where is the leads coming from?!!
It drives me insane that people will just randomly shout GO INDY GO INDY! Its all about how your compensation plan is set up from the beginning!
I'm on my 4th crown and coke so sorry for the horrible grammar and punctuation lol.
Last edited:
- 4,689
I have to disagree with you Todd02.
You're ruining that Crown with Coke.
You're ruining that Crown with Coke.
- 202
pcbinsurance said:
I'm with you, crown and coke sounds like a bad batch...there are many upsides to going INDY...like choosing your compensation, renewals, lead source, overhead costs, cost effective products, etc....how much will you lose on your renewals when rates are hiked 30% next tornado or ice storm...
If my rates increase 30% and I built a value based book of business with average line per client at 3 policies per household the only way I lose money is of my retention ratio drops by 30%. Right now rates did increase on avg 25%. My retention is around 88-89%. Just who got a pay increase!
A few things: I work until 7:30pm with a telemarketer in the next room. She gets the leads and I set the appointments. On my sales calls I build value instead of a price conversation. I help people understand why you don't want ACV or state min liability. I go as far as to tell people I won't offer them state min auto coverage. I also use Internet leads the same way. I also don't do any service work that interfere during my sales peak hours when people are able to talk. 4-7:30pm. It's all a numbers game. However you need to learn how to organize your leads so you call the important ones first, know how to sell over the phone, close for a face to face appointment at their house and cancel their current insurance for them by getting a signed cancelation letter. Once you set a face to face its usually a done deal.
desertsun
Expert
- 42
Todd, Do you quote them over the phone, or only in your face to face meetings? Do you close and write the policy at the home via wireless internet? Or do you have them come to your office? Also, if I may ask, what lead co do you use?
I usually quote over the phone and go collect signatures at the kitchen table. I want to build a personal relationship with my clients plus its easier to sell a policy that is more expensive face to face selling value. I don't want to promote my lead company as they don't pay me
. I use Internet leads with all the filters I need to target Farmers best type of clients.Similar threads
