Allstate EFS

[Gaddock]

Hello Folks,
Thank you all for the wealth of info. I've read on this BBS.

I have received an offer to contract with Allstate as an EFS. I'm weary of entering a captive contract but have seen the numbers many of the EFS's have been producing, large.

Any advice / input would be greatly appreciated.

Thank you in advance for your time.

Regards,
Gaddock

 

[Zydo]

The Allstate concept is a great one.

The EA's are the backbone of the organization. Every Allstate office that you see on the street corner has at their disposal an EFS and an EBS. This is their 3-legged stool concept.

You will have two legs of the stool from which to draw business. And as you have stated, the EFS's are doing very well.

I would not hesitate for one minute to go with Allstate. On your side of the fence you will find they are a great company to be affilliated with.

Just my .02 cents

 

[sman]

Hello Folks,
Thank you all for the wealth of info. I've read on this BBS.

I have received an offer to contract with Allstate as an EFS. I'm weary of entering a captive contract but have seen the numbers many of the EFS's have been producing, large.

Any advice / input would be greatly appreciated.

Thank you in advance for your time.

Regards,
Gaddock

I don't share the same warm fuzzies as Zydo about the Allstate program. In theory, it's a great concept. However, you are dependent upon Allstate P&C agents to refer clients to you. The Allstate P&C agents are primarily concerned about P&C business and life and financial services are secondary. If you don't need their referrals, then why go with Allstate. I jnow someone who tried them out. He went and spoke with about 7 or 8 agents in a 3 county area about working with them. They all said they were on board and willing to give referrals. Based on that information, he accepted the position. All of a sudden, the P&C guys just couldn't seem to find the time to sit down with him and come up with a game plan. And the only referrals he got from them were the ones they couldn't handle themselves.

 

[J.R.]

Would be kind enough to tell me what these acrnoyms stand for EA's, EFS andEBS? Thanks.

-J.R.

 

[Zydo]

EA = Exclusive Agent...that is the local Allstate office on the street corner.

EFS = Financial Services....stocks, bonds, mutual funds, large life policies.

EBS = Allstate Workplace Division ... (think AFLAC) supplemental products.

A close friend of mine is an EFS...Top of the Table 9 consecutive years. He eats, sleeps and breathes Allstate.

 

[midwestbroker]

I suppose it would be a great position if you have the agents working with you. I work with an agent who tried it and had no success. But as mentioned above, it all depends on the willingness of the main agents to provide you referrals.

What is in it for the P&C Agent? What is their motivation to send you business?

 

[InsuranceGuy]

I work for Allstate on the P&C side, and every client I write gets sent to our EFS person.

If our agency doesnt write enough Financial, we can get a haircut. Each agency must obtain there goals, and we get as many people to our EFS as we can.

Allstate is a great company to work for.

 

[sman]

I work for Allstate on the P&C side, and every client I write gets sent to our EFS person.

If our agency doesnt write enough Financial, we can get a haircut. Each agency must obtain there goals, and we get as many people to our EFS as we can.

Allstate is a great company to work for.

That may be true for your office. But the P&C agents as a whole do not refer every client to the EFS reps.

As for Allstate being a great company to work for, I think that's a matter of perspective. I was talking to a local Allstate agent a few years ago at the local ball park (fairly successful) and he did nothing but gripe and complain. I asked him why he didn't just go independent. He said, "That's the price you pay for the blue sign".

 

[InsuranceGuy]

I see, maybe our office is different. I enjoy working for Allstate, I have no problems with them.

 

[Gaddock]

I suppose it would be a great position if you have the agents working with you. I work with an agent who tried it and had no success. But as mentioned above, it all depends on the willingness of the main agents to provide you referrals.

What is in it for the P&C Agent? What is their motivation to send you business?

Thanks all! Addressing the above and what Insuranceguy wrote. I'm in a coastal area and the EA's are being limited in several lines of business due to storm risk. For the first time in maybe twenty years their book is flat or diminishing. The three I spoke with are quite concerned about it. A couple years back they were just as happy to write the life apps without an EFS. I can only speak for the three I know, I think they and perhaps Allstate are banking on this as a way to bring in lost the premium without that kind of risk.

My worry is helping to build a nice book of business with deep penetration and then getting the boot when the perceived sponge is saturated to capacity. I’m a bit gun shy from an experience I had with Mutual of Omaha 15 years back.

BUT that being said If I can prospect hard and bring in P&C business as well that may increase my value to all involved.

There are some rather lofty production requirements as well. I see them as attainable though.