Young Insurance Professional In The Midst Of A Career Crisis

[Pir8guy]

First off let me say that I have been visiting this site for a long time and I have always been amazed at the plethora of information available. Plus, everyone seems to be very accommodating of and very receptive to new members. I made the decision to join because I am in the middle of a dilemma.

I am aware of the importance of knowing someone's background so I'll lay-out mine.

I am a young insurance professional who is a recent business school graduate with a concentration in risk management & insurance. I currently work as a commercial lines underwriter with a mid-size brokerage in North Carolina.

While I enjoy underwriting and have learned a lot in my current position, I can't help but feel that my talents will be better utilized as an insurance agent. I have been in my current position about 7 months and have obtained my North Carolina P & C license.

I currently have connections with a large regional carrier (NC Farm Bureau) and am very interested in working as an agent. My question to everyone is should I stay in my current position or strike out and hit the ground running as an agent?

I am open to comments, advice and even criticism. I am looking forward to contributing to this forum and thank you guys in advance for your input.

 

[oldinsuranceguy]

You have to follow your dreams. If you feel that you should be an agent, then go for it.

Make sure that you have a specific plan and enough savings before you leave your current job. It can take a while to build a book of business and earn a reasonable income.

 

[ncagent83]

I feel the exact same way. I am currently enrolled at Appalachian State for RMI as a first semester transfer student. I thought about pursuing a career in underwriting but the agency game is hard to beat. I'm a agency brat so that's where I got my start. I worked there as a independent agent for a year and my father convinced me to Boone and get a degree in it.

You would do the right thing by working with a captive simply due to the brand. If I continue to work on the agency side I'll work with a captive.

Good luck!

 

[LGilmore]

Keep in mind the grass is always greener on the other side. You want to move from a salaried position to one of full commissions? It's a big jump and industry wide only about 10% make it beyond a couple years.
Not saying you can't make it, but realize it's very hard to make it. It involves a ton of hard work and luck.

Do you have student debt or any other debts to worry about? Do you have savings? If this is really something you want to pursue, make sure your ducks are all in a row. Can you go a couple months without a check coming in?

Again not saying you can't, but I have always believed if you know the negatives up front and can deal with them, then you can make the move eyes wide open. I mean who the hell has to worry about the positives? Gee I made a lot of money this month... and??? What you have to deal with or prepare for is "I made squat this month" or "I had a huge chargeback this month" Those are situations you actually have to deal with. If you can plan and handle those, you could be part of that 10%. It is a rare individual in this business that hasn't gone a month or two or three with income problems. That's what usually does in new agents. Sorry for bringing real life into the situation, but really think something like this through.

 

[ncagent83]

LGilmore has a point. I would stay in the underwriting position for a while longer. Also, I'm sure you had to work hard to get to where you're at.

 

[Pir8guy]

Keep in mind the grass is always greener on the other side. You want to move from a salaried position to one of full commissions? It's a big jump and industry wide only about 10% make it beyond a couple years.
Not saying you can't make it, but realize it's very hard to make it. It involves a ton of hard work and luck.

Do you have student debt or any other debts to worry about? Do you have savings? If this is really something you want to pursue, make sure your ducks are all in a row. Can you go a couple months without a check coming in?

Again not saying you can't, but I have always believed if you know the negatives up front and can deal with them, then you can make the move eyes wide open. I mean who the hell has to worry about the positives? Gee I made a lot of money this month... and??? What you have to deal with or prepare for is "I made squat this month" or "I had a huge chargeback this month" Those are situations you actually have to deal with. If you can plan and handle those, you could be part of that 10%. It is a rare individual in this business that hasn't gone a month or two or three with income problems. That's what usually does in new agents. Sorry for bringing real life into the situation, but really think something like this through.

As I understand it, you're coded a book that will generate enough income to get you started. That should help with any of my financial obligations to begin with.

I know it can be tough to break in but I plan to be relentless in my work if given the opportunity. The thought of my income being directly tied to the effort I put in is attractive to me.

Thank you for presenting a real life perspective on my situation. I appreciate your input.

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I feel the exact same way. I am currently enrolled at Appalachian State for RMI as a first semester transfer student. I thought about pursuing a career in underwriting but the agency game is hard to beat. I'm a agency brat so that's where I got my start. I worked there as a independent agent for a year and my father convinced me to Boone and get a degree in it.

You would do the right thing by working with a captive simply due to the brand. If I continue to work on the agency side I'll work with a captive.

Good luck!

You're right about the agency game being hard to beat. It's good that you already have some experience under your belt.

Appalachian State has a great RMI program that definitely sets the bar for other programs in the state. Best of luck to you in your degree pursuit.

 

[LGilmore]

Are you thinking the P&C side of things? On the life side there is no book of business that generates like that. I would check very carefully any deal where a carrier "gives" you anything, as insurance carriers rarely "give" agents anything.

Make sure that any money "given" to you does not have terms that switch it from a subsidy to a "loan" if things don't work out. If you're super productive, things like this don't matter. If you hit some road bumps, they do. Read what ever contract is set before you before you sign off. Go by the written words on the contract, not what the sales manager says.

 

[xrac]

LGilmore has a point. I would stay in the underwriting position for a while longer. Also, I'm sure you had to work hard to get to where you're at.

Take the next 1-2 years to learn everything you can and prepare to the best of your abilities. If you still want to do it then go for it.

 

[Still Green]

What I would do if I were you; DON'T make any hasty decisions. Is there a way you could continue in your current position and try your hand at sales on the side? You could probably walk through the door of any agency out there and they'd sign you on as a producer in a heartbeat. It would give you a better idea of what you would be stepping into should you decide to make the change. Obviously that would require sacrificing your nights and weekends for a while, but the reality is, if you're thinking of starting up your own agency, you'll need to get used to losing those anyway.