New Independant Agency Questions

[tjalsma]

Hello Everyone!

I have found some great information on this site and I was looking for some additional information regarding starting a new agency (I know, it's probably something that is asked almost daily).

Being in the insurance industry for almost 10 years has lead me to the conclusion that I need to start my own agency. I have hit a wall as far as salary and opportunities go being in just a producer's role.

Both my Wife and I are licensed in P&C and L&H and have been for close to 10 years. So, we would have no employees - just us 2. Her for mostly customer service and me for most of the sales.

I am more than capable with the daily operations of an agency having worked in many and practically running them anyways.

We would not be a captive agency, I don't want to go that route. We would be an independant agency responsible for the bills, rents, etc.

My main questions are how do I get appointed to sell directly through companies? I am currently appointed with about 20 companies in every state, however it's under the agency that I am currently employed by.

Will those companies require me to already have a book of business? Are we able to run an "over the phone" agency from a home office until we have enough capital to rent or buy a building?

Thank you for any information!

 

[Carlos Gil]

Some will require you to be in business for some time before they will appoint you.

Some will require production reports and loss runs which take time.

Some will appoint you just on your experience or the fact that you have a pulse.

You can run your office from home and there are a few treads that can give you some information on doing it, while many including myself do not recommend it.

We may be able to help please visit Fiesta Insurance Franchise - Structure, Agency Automation, Training, Operational Support

 

[pomfin]

Hello Everyone!

I have found some great information on this site and I was looking for some additional information regarding starting a new agency (I know, it's probably something that is asked almost daily).

Being in the insurance industry for almost 10 years has lead me to the conclusion that I need to start my own agency. I have hit a wall as far as salary and opportunities go being in just a producer's role.

Both my Wife and I are licensed in P&C and L&H and have been for close to 10 years. So, we would have no employees - just us 2. Her for mostly customer service and me for most of the sales.

I am more than capable with the daily operations of an agency having worked in many and practically running them anyways.

We would not be a captive agency, I don't want to go that route. We would be an independant agency responsible for the bills, rents, etc.

My main questions are how do I get appointed to sell directly through companies? I am currently appointed with about 20 companies in every state, however it's under the agency that I am currently employed by.

Will those companies require me to already have a book of business? Are we able to run an "over the phone" agency from a home office until we have enough capital to rent or buy a building?

Thank you for any information!

The only option for most insurance companies is to be appointed through an IMO. Many here can sponsor you to be a GA but you need to consider who is the best for your business, the area you are working and the commission you are confortable with. Interview a few of them and then select one.

 

[Jawslogan]

We have an agency that caters to both captive and independent agents.
We are not the biggest nor do we pretend to be, however we do have a system that works and has allowed us to grow our business slowly and steadily where both our agents, appointment setters and the company are making a good income. If you are interested in learning more about starting your own agency I would be happy to speak with you. You can reach me @ [email protected]

 

[blue_wynd]

I would suggest going through a cluster group such as SIAA, Premiere? (Guy who post here too, Iroquois, Insurance Pro, etc. Get the nonstandard ones yourself and use these guys for the standard ones if you can't get it yourself. I personally use one of them I mentioned. Call them all and talk to them.

 

[shawnmwalker]

TJ,

Consider the following:

Well you have a decision tree here. I'll lead you down one path, but it is biased.

"Begin with the end in mind"- 7 habits of Highly effective people.

Decision #1:

What end of the Ins Spectrum do you want? if you answered P&C keep reading. If ''Other" wait for the others to respond

Decision #2: Captive or Independent.

Captive:
Pro: They will teach you a lot but inevitably you will go Indy at some point in your career. Another Pro, they will subsidize your life for a time.
Con: The District Manager will push too hard or force life on you or cut your commissions or change your contract, or, ext, ext. Your Captive will take rate increases and kill your production and you will have one price point while others dissect your book one policy at a time.

Independent: :
Pro: Control expenses. Get higher commission. Higher conversion. Higher retention. All of those factors equal more money.
Con: Starting out. Getting knowledge. Your personality type could sink yourself.

Decision #3:

Once you decide Indy is for you, in the next week or 22 yrs from now. The question will be how to do it. Your options include:

Buy an agency.
Join a group.
Become a producer for an agency.
Get direct appointments.
Get an agency that provides the back end service so you can hunt full time.

You decide which one is best for you.


Decision #4: What group should I join?

There are a lot. Consider the following. NOT ALL GROUPS ARE CREATED EQUAL! They range from good, better and best.

Any group claiming to be best of class should provide the following:
1. Transparency
2. Training and support
3. Carrier Alignment
4. and a great Contract
Give me a call, shoot me am IM. Good luck and have fun with your choices.

I have been in Insurance for 12 years and the great thing in this industry is you can choose to never stop learning. Your learning curve is never ending. Meaning you will never get board.

 

[ARus]

Hello Everyone!

I have found some great information on this site and I was looking for some additional information regarding starting a new agency (I know, it's probably something that is asked almost daily).

Being in the insurance industry for almost 10 years has lead me to the conclusion that I need to start my own agency. I have hit a wall as far as salary and opportunities go being in just a producer's role.

Both my Wife and I are licensed in P&C and L&H and have been for close to 10 years. So, we would have no employees - just us 2. Her for mostly customer service and me for most of the sales.

I am more than capable with the daily operations of an agency having worked in many and practically running them anyways.

We would not be a captive agency, I don't want to go that route. We would be an independant agency responsible for the bills, rents, etc.

My main questions are how do I get appointed to sell directly through companies? I am currently appointed with about 20 companies in every state, however it's under the agency that I am currently employed by.

Will those companies require me to already have a book of business? Are we able to run an "over the phone" agency from a home office until we have enough capital to rent or buy a building?

Thank you for any information!

Look for a specialization. What you are selling the most now, might do not be what you will be selling as independent. Just start doing it, or one from you to start, until you see some clear direction to follow to. First few years are ruff.

 

[GreenSky]

Look for a specialization. What you are selling the most now, might do not be what you will be selling as independent. Just start doing it, or one from you to start, until you see some clear direction to follow to. First few years are ruff.

That post was from 8 years ago. I suspect the OP is now asking if customers want it supersized.

Rick

 

[tjalsma]

That post was from 8 years ago. I suspect the OP is now asking if customers want it supersized.

Rick

Hey Rick,

Thanks for the vote of confidence. I am actually an agency manager now and doing quite well.

I appreciate all of the feedback you guys have given me over the years. Best of luck to you all and thanks again.

 

[pcbinsurance]

So nice to see Alton Root spamming his UK based "price compare" websites for hundreds of items. Why not contribute to the Forum Alton?