- Thread starter
- #11
New to Commercial Insurance
- Thread starter jemelton
- Start date
- 15,041
- 783
I'm with InsComentary on this one. Jemelton, you need to take some time and learn about the policy your selling and the policy your selling against. Knowledge is power in this game. .
Even easy commercial accounts aren't easy. Lets say a flower shop. Using a carriers standard BOP policy, whats needed to rate it? Pretty simple, just plug in the bpp limits, annual sales and done! Premium = super low! You sell it, spend your commission and on to the next.
Then there is that claim, and maybe the prior policy would have covered the; sewer backup/full damage done to leased building from coffee pot catching fire/computer hack of customers credit card information/delivery driver who killed a pedestrian. But who wants to insure flower shops anyway, they are boring and everyone has the best rate for them.
My agency focus is contractors. Drives me nuts when my competition does not use the same exposures, or misclassifies the risk, or doesn't include all the proper AI's/waivers. Only for that contractor to later have to buy the coverage and have a nasty audit premium due after renewal. Some agents will do whatever it takes to get an account written. My goal is to educate that contractor to know what to look for regardless of where he buys the policy, and, on a level playing field, I will win.
I'm not saying anything wrong about your sale, and atta boy for jumping in to commercial insurance. It usually scares the hell out of most newbies. Sounds like you know enough to get yourself into the quote, and into trouble. Now get some knowledge about what your selling and do it right. Lots of places to learn out there. Believe me, the worst problem to see in this business is an uninsured loss.
Good Selling.
Dave
Even easy commercial accounts aren't easy. Lets say a flower shop. Using a carriers standard BOP policy, whats needed to rate it? Pretty simple, just plug in the bpp limits, annual sales and done! Premium = super low! You sell it, spend your commission and on to the next.
Then there is that claim, and maybe the prior policy would have covered the; sewer backup/full damage done to leased building from coffee pot catching fire/computer hack of customers credit card information/delivery driver who killed a pedestrian. But who wants to insure flower shops anyway, they are boring and everyone has the best rate for them.
My agency focus is contractors. Drives me nuts when my competition does not use the same exposures, or misclassifies the risk, or doesn't include all the proper AI's/waivers. Only for that contractor to later have to buy the coverage and have a nasty audit premium due after renewal. Some agents will do whatever it takes to get an account written. My goal is to educate that contractor to know what to look for regardless of where he buys the policy, and, on a level playing field, I will win.
I'm not saying anything wrong about your sale, and atta boy for jumping in to commercial insurance. It usually scares the hell out of most newbies. Sounds like you know enough to get yourself into the quote, and into trouble. Now get some knowledge about what your selling and do it right. Lots of places to learn out there. Believe me, the worst problem to see in this business is an uninsured loss.
Good Selling.
Dave
- Thread starter
- #14
I'm going to just get them the lowest price with highest commission and just hope they never have any claims. I'm going to tell them to be very careful and never do anything wreckless or dangerous; don't play with matches, text and drive or do anything illegal and I think they will be ok.
WillC
Expert
P&C is an ideal field for the Trusted Advisor selling strategy. It requires that you have a solid line-up of products and enough savvy about the prospect's business to confidently begin with questions rather than answers. Your story is...
- My goal is not to sell you products; it's to earn a long-term relationship.
- My role is something like becoming your defensive coordinator.
- I help you protect today's victories.
- I help you prepare for future growth.
- Specific products may come and go as your needs change, but I'll assure coordination: no gaps, no overlaps, flexibility going forward.
Even if your initial opportunity is a single product, say WC, you can talk about your goal of becoming a trusted advisor...pointing out that it's a classic win-win, in part because of the peace of mind you can provide.
- My goal is not to sell you products; it's to earn a long-term relationship.
- My role is something like becoming your defensive coordinator.
- I help you protect today's victories.
- I help you prepare for future growth.
- Specific products may come and go as your needs change, but I'll assure coordination: no gaps, no overlaps, flexibility going forward.
Even if your initial opportunity is a single product, say WC, you can talk about your goal of becoming a trusted advisor...pointing out that it's a classic win-win, in part because of the peace of mind you can provide.
An agent friend in Missouri gets calls weekly from business owners wanting to see if he can save them money. The majority of the time, once he shows them all the holes in their current insurance program, they leave his office paying at least several hundred dollars more than they were paying. They now better understand their real exposures to loss and have better coverage. Agents that say "everybody" just wants the cheapest possible insurance by and large don't know how to sell, often because they lack the technical knowledge to plead their case.
- 783
One more comment to add: USE A CHECKLIST, HAVE INSURED SIGN IT.
What CHECKLIST source do you use? Or did you just create one for contractors since that is your focus?
- 15,041
Please expand upon this. For all of us newbies to CL, what do you mean?
Think this is what he means: Well can't even post links to other threads here, LOL. So look up the "merry-christmas-you-have-been-served" thread.
I'll be using PL and CL checklists for ALL clients!
