A State Farm Job. Should I Take It ?

[meininsur]

A local State Farm agent here in Cali offered me a job at his agency. He is a new agent. I am considering becoming a State Farm agent myself, or going the indy route once I have enough money saved and experience. I have P&C and Life and Health licenses already. I thought it would be a good idea to work for an agent first to see what it's like before I take the agent opportunity with State Farm.
What is your experience working at State Farm?
Will I be underpaid? How much can I expect to make my first year as a team member? With this agent, I was able to negotiate $11 per hour plus 5% comp on P&C and 25% term and 40% perm comp on life insurance. What about other financial products? He doesn't offer any benefits for employees for now such as health insurance or 401K, but that can change. He has 3 staff members now. 2 were let go in the last 3 months. I hear a lot of stories about State Farm pressuring for sales and requirements. How competitive are their prices on different insurance lines? Also, I am appointed with about 6 life insurance companies and the agent told me that I have to give up those appointments asap. Will I be able to get re-appointed with these companies ever again? And most importantly, you think this is a good offer?

Thanks!

 

[Dragline]

Re: Do I Take It?

What is your level of production at the moment?

 

[Josh]

Re: Do I Take It?

Anything with a base plus a commission is a good deal in the insurance world. That said, this might not be a good fit for you.

There is a pretty big difference between the type of person that would become a State Farm agency principle and a CSR/sales rep.

How is what you're doing now working for you?

 

[meininsur]

Re: Do I Take It?

Thanks. I am not doing anything now. Just looking for work.

 

[rikwells]

Re: Do I Take It?

Josh is right that having a base line pay + commissions is good for the insurance world. Also, if you're not producing on your own at the moment. It might be a good fit for you to learn some knowledge from state farm while you get an hourly pay.

 

[Josh]

Re: Do I Take It?

Thanks. I am not doing anything now. Just looking for work.

Then it's a great deal.

People tend to focus more on what they *might* lose, then what they're guaranteed. If you give up some of your contracts you *might* lose a few days. On the other hand, you'll probably make more at $11/hour than most of the folks that come on here.

 

[meininsur]

Re: Do I Take It?

I was also offered another position with Freeway Insurance. This is a local agency. However, they do mostly auto insurance and only offer draw against commission, but I'll have a choice of carriers to work with.

 

[GMANPRO]

Id take it. Either you will learn good pratices or you will learn what not to do lol. Also, you have nothing to lose.

 

[FullAuto]

Isn't that pay kind of low? The newer State Farm agents around here pay better than that and the cost of living is quite a bit less than CA.

You won't be working for State Farm. You will be working for the agent. You may or may not ever get benefits.

 

[xrac]

Re: Do I Take It?

I was also offered another position with Freeway Insurance. This is a local agency. However, they do mostly auto insurance and only offer draw against commission, but I'll have a choice of carriers to work with.

With either one you should be able to learn the business and then you can decide what you want to do future wise.