Do Agencies Usually Pay Agents' E&O?

[Zoaty]

Hello,

I am new to the industry, and didn't realize the E&O is usually paid annually, which makes it cost prohibitive for me to get started for another month or two unless I sign on with an agency that pays for E&O.

If I were to join an agency instead of going independent, do they usually pay agents' E&O?

Thanks

 

[NY Agent]

It may be different in your state, but if you work for an agency, you are covered by their E&O and therefore do not need your own. If $1-$2,000 per year is cost prohibitive for you to start on your own, you should not be looking to become an agent. Most new agents spend $3-$4,000 or more on advertising and leads PER MONTH. You should work as a trainee for an agent to make a nice base salary ($24,000/year) plus commission (4% on P&C).

 

[dorado]

E & O can be paid in monthly installments.