Does anyone has problems with agency producers? like agency producers signing up directly with MGA's that offer commercial insurance product. They are getting paid salary and commissions to produce for the agency, getting leads from the agency and they are ready to bind coverage, they will bind it under their own name and get full commissions without the agency owner/broker knowledge of what went on.
When producers sign up directly with an MGA, they can produce their own policies, like they own an agency within an agency without and marketing or business expense. They cannot be tracked and MGA will not give you any information, because it is confidential. If you check their list on insurance company appointment with Department of insurance it will show none, because they are not appointed directly with the insurer.
Is that insurance fraud for misleading clients who is the agent of record, insurance embezzelment, theft by producers, maybe they should br reported to State Board of Insurance for their actions.
Any advice, how to handle this issue?????
When producers sign up directly with an MGA, they can produce their own policies, like they own an agency within an agency without and marketing or business expense. They cannot be tracked and MGA will not give you any information, because it is confidential. If you check their list on insurance company appointment with Department of insurance it will show none, because they are not appointed directly with the insurer.
Is that insurance fraud for misleading clients who is the agent of record, insurance embezzelment, theft by producers, maybe they should br reported to State Board of Insurance for their actions.
Any advice, how to handle this issue?????