Insurance Agent Forum

[eddie]

I was looking for advice on this. I was thinking of transitioning to P/C with their Agent in Training program. They start you with a salary as well as commissions. Has anyone had experience with this program and would they be good to work for? I ran into a similar proposal with Farmers and it was a nightmare. Suggestions? I am also selling health and some life, would they make you cancel your contracts as well if you end up working for them? I hate to give up renewals. Any help or advice would be appreciated as I was sent over the begininning paperwork for background check/etc.

[Reuben]

Originally Posted by eddie

I was looking for advice on this. I was thinking of transitioning to P/C with their Agent in Training program. They start you with a salary as well as commissions. Has anyone had experience with this program and would they be good to work for? I ran into a similar proposal with Farmers and it was a nightmare. Suggestions? I am also selling health and some life, would they make you cancel your contracts as well if you end up working for them? I hate to give up renewals. Any help or advice would be appreciated as I was sent over the begininning paperwork for background check/etc.

You might consider doing one of two things:

1. Do a search function here for American Family Agent, you might have some luck.

2. Do a Google/Yahoo search on the company, when I was looking for a place to hang my hat I did both, when I Googled the companies' name I put the word "scam" after it. This tends to bring to the head of the line those people who are not happy with the service, or with working with the company. Take the comments by ex-employees with a HUGE chunck of salt though.

Ripoff Report Search Results: American Family Insurance

Rip-off Report: American Family Insurance committed fraud against my fiance' forged his signature on an application that he didnt sign turned him into the attroney general office. arrested him for insurance fraud. Las Vegas Nevada

As far as salary, is it really salary, or an upfront advance, ala Farmers' Insurance? Be careful, if you take the pay, and leave for whatever reason, you might find yourself having to repay the so-called salary.

[xrac]

As far as I have been able to find information on this forum about American Family is sketching. I don't know if we have any current or former AF agents participating. The post I have seen about AF have drawn no response.

[eddie]

That's what I saw too. I read the posts about State Farm and I experienced the Farmers training situation but never moved forward due to a bit of a scam I saw there and how they operated it. I appreciate the input. This opportunity seems to be ok and legit, but I will ask them more about the salary thing as well. They basically said I would eventually be taking over an office, and didn't mention anything about having capital to open any other new ones like State Farm wants you to do.
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Well, it looks good so far. I just got an email from them stating the following:
No, at no point are you obligated to pay anything back to American Family if things don't work out. There is no start up capital or loan required. We pay you a base + comm. The only thing you will need to pay out of pocket at first is for your licenses, but we will pay you back. Yes, you can keep your current clients.

Thoughts?

[SCLady]

I'm sure things have changed since I was there. But here is my past experience:
You received a "salary" which was really advanced commissions. So, you received new business commissions but not renewals. Once your renewals added up to be more than the salary (monthly), then you could exchange the salary for the renewals BUT you had to repay the salary back at about $300/month. However, if you were one of the top salespeoeple from your region, then some of that money would be forgiven.

I do know that training and staff support are very different. I do believe that they offer a better package now than they did when I was with them.

[eddie]

Apparently you take over an exsisting office. The others like State Farm and Allstate require exsisting capital to open an exsisting agency. This is similar to Farmers as they have a similar program but so far, American Family's process seems to be a lot better organized. Has anyone gone through it?
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May I ask why you left? As far as a payback, the recruiter said no, but I will get that in writing.

[SCLady]

Originally Posted by eddie

Apparently you take over an exsisting office. The others like State Farm and Allstate require exsisting capital to open an exsisting agency. This is similar to Farmers as they have a similar program but so far, American Family's process seems to be a lot better organized. Has anyone gone through it?

That was possible before too. Since the agent is responsible for his own lease, you'd negotiate to take over his lease or find your own space. You did have the problem with the customers who had been transferred agents 3 or 4 times, and they had only been insured with the company 1 or 2 years. Their rates, at that time, were really good, and they were there to help you. I had no sales experience so the beginning was a little rough for me. If I knew then what I know now, I think I would have been able to make it work. I did okay with them, received many awards, but left to go back to being employed. Now, MANY years later, I'd like to be my own boss again, but, like some of you, are afraid. Single mom, 2 kids, 1 with medical problems. Scared not to have a steady paycheck (even if the one I have isn't a whole lot)

It was a nice group of people, their technology wasn't super strong, but it did get better.
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It could very well be true that you don't have to pay it back. Things change. I left because I found out that I was pregnant, and was single. The health insurance, at that time, didn't cover maternity and I got scared. My DM said that we could have worked it out, and that amfam would have helped me through it and helped run my agency while I was out, and helped me with my medical bills, but I was terrified to be without maternity insurance. Terrified. There were about 10 of us under my DM, and, as far as I know, none of us still work with amfam. Some had insurance experience, some had sales experience, but not in insurance. You could determine right away who would be successful and who wouldn't. I was in the middle. Made plenty of life sales (30% comm, I think) and was steady on the P&C. Wrote lots of commercial. Didn't have any big problems. Was just terrified about my financial situation.

[eddie]

Well, good luck to you and I hope all works out well for you. I am in a little bit of a different situation, but I like the fact that seems to hold a bit of a better guarantee and I can also retain my current health insurance company appointments to keep on doing that since apparently they say they don't do health. We will see once I meet with the district manager though.

[xrac]

Originally Posted by eddie

Well, good luck to you and I hope all works out well for you. I am in a little bit of a different situation, but I like the fact that seems to hold a bit of a better guarantee and I can also retain my current health insurance company appointments to keep on doing that since apparently they say they don't do health. We will see once I meet with the district manager though.

My overall impression of AF is positive. They seem to have local agents who have been at it for quite a few years, they seem successful, and their rates are competitive. Since there is not a lot of information from forum participants if I were you I would talk to some AF agents but preferably not in your town. That way they would probably be more honest and open with their answers. Find 1, 2, and 3 year agents and see what they have to say.

[SCLady]

Originally Posted by eddie

Well, good luck to you and I hope all works out well for you. I am in a little bit of a different situation, but I like the fact that seems to hold a bit of a better guarantee and I can also retain my current health insurance company appointments to keep on doing that since apparently they say they don't do health. We will see once I meet with the district manager though.

Guru gave you good information. When I was there, they did sell health. I can give you more information about their current structure in the next few weeks. I can find out about the changes for you.

[DenverINS]

I'm checking this out too. I was told you support an existing office for 12 months then they will look to have you run an agency. You get a base salary and 50% commission split with the lead agent. All new business you bring in belongs to the lead agent as well.

I'm going to meet with them for more details next week. I'm curious if they will be ok with me keeping up on my health biz at the same time.

[eddie]

Keep me posted as I will do as well. I am meeting with them next week as well. We will see how it goes.

[debshelp44]

I'm an Amfam agent that's been in the program since last March. You didn't state where you are. In Ohio, I had to give up all other appointments - I had life and health licenses - when I started. We do sell health here. Get clear answers from the DM you speak to.

Some states use AIT's and some use scratch agencies, or both. AIT's work as a producer for another agent with the intention of taking over an agency when someone retires.

I've always been told I can walk away and not owe anything. There are quotas you must meet to keep your advance. And yes, it is an advance, not a salary, so you will have to pay it back when you get off financing (50% is forgiven).

If you want to know more, send me a PM. The advice of calling other agents in the area is the best advice. Amfam is a good company, and I thought they had the best program if you want to be a captive agent.

[Klutzys]

Originally Posted by debshelp44

I'm an Amfam agent that's been in the program since last March. You didn't state where you are. In Ohio, I had to give up all other appointments - I had life and health licenses - when I started. We do sell health here. Get clear answers from the DM you speak to.

Some states use AIT's and some use scratch agencies, or both. AIT's work as a producer for another agent with the intention of taking over an agency when someone retires.

I've always been told I can walk away and not owe anything. There are quotas you must meet to keep your advance. And yes, it is an advance, not a salary, so you will have to pay it back when you get off financing (50% is forgiven).

If you want to know more, send me a PM. The advice of calling other agents in the area is the best advice. Amfam is a good company, and I thought they had the best program if you want to be a captive agent.

Deb, I tried PM'ing you but because I am new here it won't let me. As well, I tried emailing you and that did not go through either. I just spoke with AF last night and was hoping to get some inside information, suggestions and such. Please PM me or email me as I can't reach you any other way.

Thanks!
Tam
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Originally Posted by eddie

Keep me posted as I will do as well. I am meeting with them next week as well. We will see how it goes.

Hi Eddie,

How did it go meeting with AF? Any pointers or tips?

Tam

[eddie]

Yes I did interview with them, but as forme, I am going to take a pass. There is this new person that works in HR by the name of Molly. Have you spoken to her? The only reason why I started the process is that I specifically asked her if I would have to cancel my other appointments with my HEALTH carriers and as you saw in the response email I got above she said NO. Then when I spoke to the district manager he said YES I WOULD?!?!?! I was pretty irritated by that, but I figured it was captive so we continued. They pay you about a $36,000 1099 salary he said, but you would not have to pay it back. I made sure I got that out of the way. You then start in an agency and all the business you generate gets split with the training agent and then when you eventually open your own. all the business you wrote as well as the renewals stay with that office? I don't think thats very fair. Basically free money for that office. Then when you do eventually get your own, they advance you $150,000 that you have to pay back of course, in order to start your own agency. It was just too much for me because I am currently independent and make more now than I would there except for probably in the long run, but to me it seems a bit much. Not to mention some things I wish I found out more in the beginning. They send you for 5 weeks of classroom trianing in Madison as well. Hope that helps you in your quest, it just wasn't for me.

[Klutzys]

Originally Posted by eddie

Yes I did interview with them, but as forme, I am going to take a pass. There is this new person that works in HR by the name of Molly. Have you spoken to her? The only reason why I started the process is that I specifically asked her if I would have to cancel my other appointments with my HEALTH carriers and as you saw in the response email I got above she said NO. Then when I spoke to the district manager he said YES I WOULD?!?!?! I was pretty irritated by that, but I figured it was captive so we continued. They pay you about a $36,000 1099 salary he said, but you would not have to pay it back. I made sure I got that out of the way. You then start in an agency and all the business you generate gets split with the training agent and then when you eventually open your own. all the business you wrote as well as the renewals stay with that office? I don't think thats very fair. Basically free money for that office. Then when you do eventually get your own, they advance you $150,000 that you have to pay back of course, in order to start your own agency. It was just too much for me because I am currently independent and make more now than I would there except for probably in the long run, but to me it seems a bit much. Not to mention some things I wish I found out more in the beginning. They send you for 5 weeks of classroom trianing in Madison as well. Hope that helps you in your quest, it just wasn't for me.

Eddie, thanks for the details. Some are the same as what they told me and some are different.

I live in MO and I replied to an add that stated $2000/month while training for 13-24 months (this is called the AIT program) But when I had my phone interview he stated that the AIT program was basically for recent college grads who didn't really have any real business experience. He said the program I would be put in is the NATP and that training is 7 weeks, full time at $3000/month plus meals, mileage, overnight stays etc. During this 7 week training I would build a business plan with them that would include helping me with how to find a place to rent and negotiate the lease (he said nothing of working in another office with another agent like you mentioned and spliting commissions as that seems to be with the AIT program)

After training, for the 1st 4yrs I could recieve rent reimbursement monthly, staff reimbursement (after I write 500 of my own as staff is to help support my already there clientelle) and I would receive a base advance of $3600/month. This 4yr stuff seems to be a loan that I would have to pay back. I don't really know because he said the next phone interview with the DM would give me more details.

So I am wondering how thourough 7 weeks training is going to be and if I will actually get to work with an already established agent, or am I expected to fly by the seat of my pants when it's over. HMMMM!

Also, I live in a pretty rural area and all directions have fairly small towns, I have to drive 30 minutes either way to hit a bigger population. So this concerns me BIG TIME....

Tam

[eddie]

I would really be careful and look into it closely. I am sure you can make a good living doing it, but it will take a couple of years to really get it going unless you have tons of contacts to write policies on right away. They told me the training was cut down to 5 weeks and it is in Madison, Wisconsin. I just didn't like the fact that I was told 2 different things about my current appointments and also about the hugh loan thing that I don't want to get involved in right now.

[eddie]

Now they called back today and told me they want to re-interview me to possibly take over an office where a new agent in training did not work out. Sounds completely different as to what they told me before so I think I'll just check it out to see what else they have to say. I am def. curious as to why the other person didn't work out so suddenly.

[WTBagent]

Hello
I am about to interview with the DM for the AIT position. I would love to get more info about the program. I tried to PM some of you Denshelp44 for one if u can e-mail me would be great thanks

DL

[xrac]

I spoke to an American Family agent today. He has been with them 6 years and says that they are a good outfit to be with. Formerly he worked for Country Companies in Illinois and an indy agency here in Indiana. If you are looking to go captive P&C I would check them out if they are in your area. Definitely better than Farmers in my opinion.