Choosing An Agency to Work With

[natwhit]

I was recently licensed in health/life. I find it a bit confusing the way insurance is organized & sold. So many different agencies representing the same insurance companies. And on top of that, one agent told me that his agency had a product from one company that could not be bought anywhere else, not even from the insurance company itself. It was made special & available only through his agency.

I,m trying to evaluate the various options & settle upon who to work with as a non captive agent. I don't want to get stuck somehow--either finding out too late that I don't like the place I signed up with or that I'm now blocked from joining a place that I really want to work with.

So let's say that there are 3 companies, Agency 1, Agency 2, & Agency 3. 1 sells insurance from A, B, & C. 2 sells insurance from B, D, E, & F. 3 sells insurance from B, C, E, F, G, & H & they have a product from B that is exclusive to them.

1. If I signed up with 1 & was appointed with A, B, C, but then for some reason was dissatisfied with them, or I found that I preferred something about agency 3, could I switch agencies & still sell for insurance companies B & C?

2. If I signed up with 1 & was appointed with A, B, C & liked them & wanted to stay with them, but I wanted to sell B's product that was exclusive to Agency3, would I be able to do that somehow? Could I for example keep selling A & C with Agency 1, drop out of B with them & get reappointed with B through agency 3?

3. If I signed up with 1 & was appointed with A, B, C & was happy with them & wanted to stay with them, but I learned of some product that I really wanted to sell from company H, could I remain with Agency 1 selling for A, B, & C and also sign up with Agency 3 to sell H's product?

Thanks.

 

[The Gimp]

As an independent agent you can have contracts with anyone. Your concerns can be handled by getting a release from your upline. If there is anything I can do to help you let me know.

James Roman
904-624-2438

 

[Newby]

I was recently licensed in health/life. I find it a bit confusing the way insurance is organized & sold. So many different agencies representing the same insurance companies. And on top of that, one agent told me that his agency had a product from one company that could not be bought anywhere else, not even from the insurance company itself. It was made special & available only through his agency. I,m trying to evaluate the various options & settle upon who to work with as a non captive agent. I don't want to get stuck somehow--either finding out too late that I don't like the place I signed up with or that I'm now blocked from joining a place that I really want to work with. So let's say that there are 3 companies, Agency 1, Agency 2, & Agency 3. 1 sells insurance from A, B, & C. 2 sells insurance from B, D, E, & F. 3 sells insurance from B, C, E, F, G, & H & they have a product from B that is exclusive to them. 1. If I signed up with 1 & was appointed with A, B, C, but then for some reason was dissatisfied with them, or I found that I preferred something about agency 3, could I switch agencies & still sell for insurance companies B & C? 2. If I signed up with 1 & was appointed with A, B, C & liked them & wanted to stay with them, but I wanted to sell B's product that was exclusive to Agency3, would I be able to do that somehow? Could I for example keep selling A & C with Agency 1, drop out of B with them & get reappointed with B through agency 3? 3. If I signed up with 1 & was appointed with A, B, C & was happy with them & wanted to stay with them, but I learned of some product that I really wanted to sell from company H, could I remain with Agency 1 selling for A, B, & C and also sign up with Agency 3 to sell H's product? Thanks.

Yes, an important question you need to ask before you sign is about releases if you decide to move. Many agencies will require that you cancel your contract for 6-months before you could move it.

In your position you should ask these questions when choosing an FMO.

RELEASES- do they refuse to release agents? There is no reason for an independent to be held up other than if you owe them money.

Commission levels- know what they are IN WRITING before you sign up. Many agents call me and want to recontract with a company they just signed up with. The story is always the same. The FMO sent them an email with (free leads, super scripts, exclusive new product, etc.) The agent got a stubby and instantly had to have it (Ready, fire, aim). They were told verbally that the commission level was 100% and Cheap leads. The leads turned out to be crap (is anyone surprised?) and the commission ended up being 90% on a product that every agent in the world has 110%.

Now the agent wants to switch because he feels ripped off? I have news for you...those FMOs won't release you. That's their business model. Over promise, under deliver and do NOT ever release an agent. Because those captured agents will occasionally have to sell something.

Training- talk about this up front. Many agents aren't realistic as to how much knowledge it takes to be good at FE. Is there good ongoing training and support from people who really sell FE? Don't underestimate the value of open communication with people who are right where you want to be.

Health Insurance- hadn't ever thought of that one. I think Obama fixed all that for us though. And you can even make a commission selling yourself a policy.

Leads- Free Leads, Cheap Leads, Aged Leads, B- Leads, etc have killed more agents than Cancer. Get familiar with what the true cost to generate a lead is. That's what you really pay for leads. Lead cost doesn't really matter once you are making sales. If you are pulling in $2,500 every week but spending $600 a week on leads, I have news for you...you are making $1,900 a week. Take advantage of lead credits like 5% lead credit based on last month's sales. That's real. But don't fall for gimmicks. And don't finance your leads! Pay as you go. You can't borrow your way to riches.

Personalities- a big part of choosing an FMO is Do you like them? If you get the feeling they are trying to screw you over, move on. This is your business partner. Choose one that you like and respect. To many agents must pull the trigger without thinking anything through.