Looking to Go Independent or Captive NY

[VBins]

Hi, I have looked at a couple of Allstate book of business but the multiples they want are ridiculous and with the status of their business in NY it's not worth it. I am wondering if I can buy an existing Independent book of business in NY can someone guide me in the right direction? or maybe even start an Independent agency myself it's just the things I have read don't look that great for the first year or 2.

PS I am in Staten Island NY and wouldn't mind doing business in Brooklyn either.

 

[CaptiveBroke(r)]

Buying an Allstate book in NYC can only be a "bargain" if the agent got his/her 90 day letter from them telling them their contract is terminated.

Once they get the letter, they have 90 days to get someone in that office. Training, licensing etc, all has to be done before the 90 days is up or they lose the right to sell and the agent has no alternative but to give the book back to Allstate and get a pittance of a termination pay.

What were they asking?...could go anywhere from 1.5 times renewals (for that bargain/fire sale book above) to almost 4 times for a good, solid agent's book that is just looking to move on to retire or different endeavor.

Allstate's direction in New York has hurt the agent's resale prices lately since they are systematically nonrenewing HO polices, irregardless of support. They also are not writing any new HO policies through Allstate as they are brokering the business out to companies such as Tower and TSC through "Allstate's" brokerage company,Ivantage.

Good luck.