Suggestions for Compensating an Agent

[CaptiveGuy]

My thing is how would you keep a solid producer anyways? If they can really sell and are the go-getter type they would start their own agency eventually. You could keep the mediocre producers around I guess.

Just like Gemini posted above, it's too much of a hassle unless you are consistenly bringing on new producers every few years or so. Order taking CSRs are easier to manage as long as you as the owner have good sources of leads coming in.

I tried the 1099 producer route had a few licensed buddies and between 3 of them they were bringing in $10k-$15k premium combined not worth it to me.

 

[GeminiGroup]

Let's face it you have be VERY lucky to find any REAL producers in the first place....
let alone ones that want to continue to NOT work for themselves.
That being your success PLAN is outrageous...to think that you could just hire great reps over and over & keep 'em around is just crazy.

Just ask yourself WHY the carriers don't want to be bothered with effing with a bunch of loser agents....
THINK about the money they pay out to IMO's or FMO's.....so that THEY don't have to get their hands dirty. ..should be a HINT.

So now some dude in Fresno 'thinks' he can just hire 'some salesmen' and that'll be his way to the top?

There is a reason some guys play golf and others go crazy 'trying' to re-invent a dead horse.

But who knows every now a then a 'glue factory' horse might win a race or two...place your bets, wisely, gentlemen........

 

[GMANPRO]

Let's face it you have be VERY lucky to find any REAL producers in the first place....
let alone ones that want to continue to NOT work for themselves.
That being your success PLAN is outrageous...to think that you could just hire great reps over and over & keep 'em around is just crazy.

Just ask yourself WHY the carriers don't want to be bothered with effing with a bunch of loser agents....
THINK about the money they pay out to IMO's or FMO's.....so that THEY don't have to get their hands dirty. ..should be a HINT.

So now some dude in Fresno 'thinks' he can just hire 'some salesmen' and that'll be his way to the top?

There is a reason some guys play golf and others go crazy 'trying' to re-invent a dead horse.

But who knows every now a then a 'glue factory' horse might win a race or two...place your bets, wisely, gentlemen........

I'm making a guess that you have problems keeping staff...

 

[GeminiGroup]

I'm making a guess that you have problems keeping staff...

Are you SERIOUS?....Did you see the OP's question?

Btw SALES people aren't 'staff' bro....even when I 'sold' for someone else I NEVER thought of myself as a member of the 'staff'.

That title IMO was for the folks that needed jobs, I like most real sales people thought of myself as a 'partner' that the company was LUCKY to be associated with...since I BRING money in and the receptionist COST money.

If you were paying closer attention to my point..I was just letting the kid know what type of uphill battle it is to 'keep' good folks around because most 'good' people will leave and generally when hiring you ARE hiring from the bottom of the deck...that's just the facts,pal.

The OP was asking about paying 'salaries' or not in an effort to 'build an agency' ...
I don't know what you read but keeping 'staff' is easy...keeping producing agents AS STAFF is a different effing story all together.

Unless you've figured out something NO OTHER insurance agency has....Am all ears

 

[MarkTed]

Probably start with a commission base and tell the agent that you can agree with a base pay after a few months (around 4 or 6 probably) of working - seeing if the agent is worth it or not.

Make a contract specifying those and that would make the agent stay and work for you.