Startup P&C Agency Needs Direction

[bootstraps]

Hello,

I am new to the industry and am in dire need of some basic direction for start-up P&C agencies. I work for a real estate company that is now expanding to sell insurance to its clients and many, many contacts. I have been assigned as the start up guy, to get new business and figure out all the ins and outs of the industry. I have my P&C license and right now we are "co-brokering" any business we get with the insurance agency that has been writing our real estate polices for some years now. We eventually would like to go off on our own, as we build more clients and have more income to support a servicing staff. My questions are:
Are there other agencies that specialize in training and support for start-ups for a commission split, where eventually the start-up will take the book when they get appointments?
If so what is the term used for these types of agencies?
What are the typical splits?

I have also seen some software programs where it looks like any licensed agent can get quotes for P&C, online through what appears to be a wholesaler. Would anyone recommend using these programs and which ones if so?

We are mainly going after commercial business through established contacts and referrals if that helps answer any questions.

Thank you for your time.

 

[mmaedelins]

While I can't speak to your current questions (I've never set up what you are looking to do), I can steer you in the direction of marketing ideas. I just started a new site focusing on commercial lines agents and marketing & prospecting. It's njbusinessinsurancelady

Best of luck to you!

 

[Guest]

Oh good Lord.............

 

[bootstraps]

Oh good Lord.............

What? Is this question in the wrong forum? The questions are pretty specific and I couldn't find them w/ the search feature. Not to say that the answers aren't here somewhere but after you read through 10+ threads that answer other related questions, I think comes the time to start a thread.

Forgive my noobiness kind sir.

 

[FL P&C Broker]

First off, what state are you in?

 

[bootstraps]

First off, what state are you in?

Connecticut..................

 

[Miss Teralyn]

I did EXACTLY what you're doing. I did it 6 years ago and I am still in business so I think I did some things right. What state are you in? Tell me more about your sitaution and I might be able to guide you. There are some things I would have done differently if I could have... at the time I had a business partner (who owned the RE franchise) & he argued every good thing I tried to do, but he's since decided he doesnt understand this industry and I bought him out.

 

[bootstraps]

Ok. Basically we are going after commercial accounts to start, and as we build up accounts on the commercial end and after we start having cash flow to spend on marketing we plan to enter the personal lines end.. We have an extensive rolodex of business and property owners that we do business with on the real estate so that is who we are targeting first.

Just want to know besides going directly to wholesalers, are their specific brokerage firms that will split commissions on sales, while training us etc and what those types of agencies are called..And if these online quoting sites are basically wholesalers or do you have to have an appointment with said carriers to use them? And which ones are best?

I know this is an extremely noobie bunch of questions, but did try to search this first.

Thanks in advance.

 

[Miss Teralyn]

If you tell me what state you're in, I can tell you who may be able to help you. I dont know of an "agency" that does exactly what you're asking and I cant imagine how that would be mutually beneficial to do it exactly as you need them to, but I can tell you that if you start directly appointed with ONE company that the market rep for that company will help you because he/she knows they will get all your business. You need to figure out what the largest chunk of business you are likely to get is. Is it professional offices, it is professional services, is it construction or neither. You've got to figure out what KIND of insurance you are most likely to sell so that you can get the right appointments. Many insurers want you to commit to a certain dollar figure each year... say, $200k in new business, and if you dont meet it they terminate you. You dont want to buddy up with The Hartford for an appointment, and then find out that they wont write your clients line of work. I am sure you have potential clients all over the board but you need to start with a more basic plan to target the most likely future policyholders. A great idea, would be to hire an experienced agent to analyze the plan and put it together. There is something called a General Agent (sometimes called MGA's) that will let you write business through them, then take it back (its complicated) but they wont "train" you so to speak. You kind of have know what ya got going on. InsuranceNoodle is one a friend of mine used for Personal Lines, its easy to get set up and you can take your customers later on. But, you gotta be careful that you dont strew your customers out over 50 different insurers then expect that all 50 will appoint you so that you can take your customers back. With commercial, there are MGA's like Burns & Wilcox, not sure if they're in your state or not though. Abram Interstate is another, again I dont know what state you're in so I cant refer you properly. They'll write for you, but they arent going to take you by the hand and teach you as much as you'd like. Hope that helps... MGA's are the closest to what you're looking for.

 

[bootstraps]

I'm in CT. Thanks for insurance noodle.What are these types of online portals called? We are focusing on real estate owners, but not limiting ourselves to this category. Interested to know what the difference is between MGA and wholesalers are? I have heard that their are agencies that do this type of thing "taking you under their wing" so to speak to give some sort of commission structure and give training for business that you bring in.