Question for Erie Agents

WITH ERIE, I AM CONVINCED YOU WILL NEVER LOSE A DEAL OVER PRICE. They're sometimes a little picky, but I haven't found any better yet.

How can a carrier always beat the competition on price? Something is wrong with this picture. Are they profitable, do they consistently run an underwriting loss?
 
How can a carrier always beat the competition on price? Something is wrong with this picture. Are they profitable, do they consistently run an underwriting loss?

They probably would't beat EVERYBODY all the time but if the risk is solid, Erie will go after their business. I go into every appointment with the attitude that I will get the clients business because I know Erie will stand behind me and go after the business with me. As I had stated in my earlier post, they are a bit picky, but then again I don't want a book of business full of sketchy businesses anyway.

As you will notice below, they don't operate in hurricane prone areas like the deep south, wild fire areas like California,
Ratings | J.D. Power


ERIE IS ONLY IN 11 STATES

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Quick Facts
  • Erie Insurance has operations in Illinois, Indiana, Maryland, New York, North Carolina, Ohio, Pennsylvania, Tennessee, Virginia, West Virginia, Wisconsin and the District of Columbia.
  • Erie Insurance has more than 4 million policies in force for auto, home and commercial insurance, and 313,000 life, annuity and disability income policies in force.
  • More than 2,000 agencies represent Erie Insurance in 11 states and the District of Columbia
  • More than 4,300 Employees work at the company’s Home Office in Erie, Pa., and in the field offices across our territory. The Home Office alone employs more than 2,280 people. (Watch a virtual tour of the Home Office or read the transcript.)
Industry Rankings
  • Erie Insurance ranks the highest among auto insurance companies in satisfying new buyers with the purchase experience for a third consecutive year, according to J.D. and Associates 2010 Insurance Shopping StudySM.
  • Erie Insurance Group is the 484th largest U.S. corporate group, in terms of revenue, as ranked by Fortune magazine in 2010.
  • Erie Insurance Group is the 22nd largest property/casualty insurance group based on Policyholder surplus, and the 19th largest property/casualty insurer in the United States based on total lines net premiums written. It is the 13th largest auto insurer in the country based on direct premiums written( ONLY 11 STATES), and the 3rd largest auto insurer in Pennsylvania.
  • Erie Family Life ranks as the 119th largest life insurance company based on admitted assets, and the 123rd largest life insurance company based on net premiums.

Financial Stability
  • ERIE’s property/casualty companies are rated A+ (Superior) by A.M. Best Company, the leading authority on insurance companies.
  • The Erie Family Life Insurance Company is rated A (Excellent) rating by A.M. Best Company.
  • Erie Insurance is included in Ward Group’s 2010 national list of Top 50 Performing Property/Casualty insurers for financial stability, consistency and performance.
 
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One thing Dwayne missed, maybe because I've been with them so long, when the market finally hardens up...Erie has a history of holding the line on pricing. Being that the last hard market was quite a while ago things make have changed a bit. Past history was that we/Erie "slaughtered" the competition in a hard market.

I also agree with him on underwriting, if Erie "wants" the business they will normally "get" the business. We don't have many auto owners agents here in Pa yet so I haven't seen how aggressive they can be. Although I am in discussions with them about licensing my agency....best way to beat that threat:1laugh:
 
I met with the District Manager last week I'm officially being appointed as soon as home office receives my licenses, E&O, and final business plan. The productions requirements aren't too bad and the loan program is a plus.

The accelerated commissions seemed to have disappeard unless they aren't offering it to me or I confused what he was saying. If you sell 75 auto you get 15/15 commission but he didn't say anything about the accelerated commission other than that.

I'll update this thread in a few months after I've been selling but thanks to the Erie vets for your help.
 
captive...I have an Erie agency for approx 10 years. Great company! Your relationship with them will be fantastic if you write profitable business with them, trust me.

But I would definitely make sure you get other carriers in your office to offset what Erie doesnt want and so you have a place to put both "boarder line" business and commercial risks that they don't want.

I have companies like Progressive for standard/substandard auto, Formost for "iffy" homes and a few commercial companies to place certain risks that Erie doesn't want or isn't good at.

Good luck starting scratch, you'll need it
 
Thanks Fuzz! I'm appointed with Progressive now sold 3 policies with them last week but their commission is horrible. Foremost "lost" my paperwork but I'll be appointed with them in a few weeks.

What commercial companies do you suggest? I was thinking about joining Appalachian Underwriters.
 
Thanks Fuzz! I'm appointed with Progressive now sold 3 policies with them last week but their commission is horrible. Foremost "lost" my paperwork but I'll be appointed with them in a few weeks.

What commercial companies do you suggest? I was thinking about joining Appalachian Underwriters.

depends on what type of business you are going after. I would definately have outlets for workers comp though.
 
Hi Everyone. I am a New ERIE Agency as well. As of April 1. Erie is the best company to work with. I have been writing with them for six years through another agency. I could use some expertise as well to help me in my new venture.
 
Hi Everyone. I am a New ERIE Agency as well. As of April 1. Erie is the best company to work with. I have been writing with them for six years through another agency. I could use some expertise as well to help me in my new venture.

Congrats I will officially be appointed May 1. I've only heard good things about working with ERIE. Long appointment process but I know it will be well worth it.
 
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