State Farm Agents on the AA05 Contract

[insurance1822]

Without knowing their forms & endorsements, how have you then concluded they're the pinnacle?

 

[fredbull337]

So for an independent guy to start with zero policies and grow it organically seems difficult at best. On the indy side it seems to boil down to purchasing a book correctly (right price) and paying it down over time. With the captive side you are getting capacity (renewals) immediately without a buy in, but then are under the stipulations of that contract/company.
I see the benefits of the indy side but see the barriers to entry as well.

I come from a long line of State Farm agents. Grandfather, mother, and two uncles. When I decided to not pursue an agency after hearing horror stories about the contract, my family advised me that it was the best decision I ever made. I started a scratch independent agency and in my eyes it doesnt matter if you are selling insurance, cars, or ice cream, if you work hard and have other peoples best interest in mind the business will come. Most of the older agencies had gotten fat and lazy over the years, were hiring people at $12 a hour, and the customer service was just not there. It almost makes it too easy.

To me I would have been taking the easy way out had I taken a state farm agency. I wouldn't truly own my business ( i have yet to meet a business owner who cant sell their business) and I would have a sales leader breathing down my neck to sell crappy mutual funds and bank accounts. Oh and I have not even mentioned the max 11% Commissions. Thats lower than my lowest company (unless I go through an MGA for commercial.)

One last thing that people dont know. One of my uncles who is an agent in Florida had about 3,000 Fire policies taken away from him when S.F. decided to pull out of Fla in 2008. Being at the mercy of 1 company is not for me.

Regardless, dont drink the koolaide. Do research, and if you decide to go through with it best of luck. There is a TICA agent in north Louisiana who was a top 100 agent and did not get his contract simply because he was not liked. I have had phone conversations with him...this stuff happens.

 

[xrac]

I come from a long line of State Farm agents. Grandfather, mother, and two uncles. When I decided to not pursue an agency after hearing horror stories about the contract, my family advised me that it was the best decision I ever made. I started a scratch independent agency and in my eyes it doesnt matter if you are selling insurance, cars, or ice cream, if you work hard and have other peoples best interest in mind the business will come. Most of the older agencies had gotten fat and lazy over the years, were hiring people at $12 a hour, and the customer service was just not there. It almost makes it too easy.

To me I would have been taking the easy way out had I taken a state farm agency. I wouldn't truly own my business ( i have yet to meet a business owner who cant sell their business) and I would have a sales leader breathing down my neck to sell crappy mutual funds and bank accounts. Oh and I have not even mentioned the max 11% Commissions. Thats lower than my lowest company (unless I go through an MGA for commercial.)

One last thing that people dont know. One of my uncles who is an agent in Florida had about 3,000 Fire policies taken away from him when S.F. decided to pull out of Fla in 2008. Being at the mercy of 1 company is not for me.

Regardless, dont drink the koolaide. Do research, and if you decide to go through with it best of luck. There is a TICA agent in north Louisiana who was a top 100 agent and did not get his contract simply because he was not liked. I have had phone conversations with him...this stuff happens.

SF doesn't sound like the pinnacle to me.

 

[Jsarrio]

Where was your State Farm agency located before you quit to be an independent?

 

[Amywilliams]

I literally just realized you replied. I'm never on here. So, you still have questions 3 years later. Happy to help.

 

[NCAgent828]

I literally just realized you replied. I'm never on here. So, you still have questions 3 years later. Happy to help.

Did you go with SF or Indy? Never get back into insurance?