The Industry is Changing Quickly

[NSRH]

Integrity Marketing is buying up some of the largest IMO's in the history of the industry... nothing like this has ever happened on the independent side of the business.

They've recently acquired large agencies like Family First Life and Your Insurance Group.

It is reported that this year they will PLACE $2 Billion in premium.

There are roughly 1 million insurance agents in America. Its reported that Integrity has 230,000 contracted agents. That means there is a high chance that you are contracted with Integrity (or a subsidiary) and may not even know it.

How will this effect the independent model, and do you think the carriers will capitalize on this?

Assurant (Independent Agency in Telesales) just sold for over $2 Billion to Prudential.

What we are experiencing is unprecedented in our industry.

 

[Ron Van D]

That means there is a high chance that you are contracted with Integrity (or a subsidiary) and may not even know it.

Oh, I know it.

 

[NSRH]

Oh, I know it.

Did you notice a difference when your IMO got bought out?

 

[Rearden]

What happens in other industries when the market consolidates?

 

[NSRH]

What happens in other industries when the market consolidates?

Higher profits for the corporations and lower commissions/wages to those working?

I do believe that it will be much easier to get releases now for most carriers as many of the top IMOs will be working under the same umbrella: Integrity.

 

[rousemark]

What happens in other industries when the market consolidates?

Gov steps in and starts threatening them with Anti Trust actions..

 

[HoosierLife]

When an Industry Consolidates, What Happens to Wages?

 

[indiana260]

I know some carriers are worried about the possibilities. There really isn't a lot of good that could come from this for the carriers.

1. They could not make the cut and thus loose out on a lot of biz.
2. They could make the cut then get bullied into less favorable deals.

What am is missing as for how this helps carriers?

 

[Baseball7]

There obviously trying to buy as much as they can so when the owners flip it they get a bigger profit. Bigger the company less important the little guy is. But hey maybe they can get a carrier to put out a guaranteed issue product that’s actually drafted right so it stays on the books.They’re obviously trying to buy as much as they can so when the owners flip it they get a bigger profit. Bigger the company less important the little guy is. But hey maybe they can get a carrier to put out a guaranteed issue product that’s actually drafted right so it stays on the books.

 

[Baseball7]

There is another domino to fall to integrity it just hasn’t become public information yet...