Starting out in P&C

Billy T · 11-03-2008, 07:02 PM

I have some questions about getting started. I just finished the 220 course. The company I may go to work for wants to know what I am looking for as far as pay goes. Is it better to go to work as salary for awhile or to just go for it on the commision side. I don't think the salary will be that good so I am considering commision. Any thoughts on the subject wood be great.

Thanks, Billy

djs · 11-03-2008, 08:49 PM

I'm not sure what the 220 course is, though I assume that is the insurance licensing course in some state (Florida perhaps?)

Starting out, salary is far more stable, but probably very limited. Commission can be very limited initially, but better opportunity to grow.

My advice, if it's an option, is a split, a smaller salary with a commission. Of course, if you can survive a few months, go for the commission only.

Dan

warnerins · 11-03-2008, 10:58 PM

Ahh safe is boring... As a new agent (years ago) I always found it more exciting to be motivated by fear.

Gets the blood pumping and gets you out of bed (hours early) to get you started with the day. I would sign up for the commission pay and negotiate that commission schedule based on activity along with premium (if possible).

Get yourself situated and bone up your product knowledge second to none. Keep your eyes and ears open for the first week and then.....

Walk into the leading producers office - the agent that you would like to emulate - the one that is making all of the money and has what you want and offer that agent an hour of your time every morning.

Offer to file his files, run his proposals, get him coffee, clean up his mess and shine his shoes (maybe I've gone to far) in exchange for an un-interupted hour of his time each week to tell you what you are doing right, what you are doing wrong, what you need to change and how most effectively to do all of this.

You will not only create a mentor/mentee relationship. But, you will have somebody that is very successful in this business take a personal interest to make sure that you are too (no reason to do this on your own).

Now, if there is no one in the company that you can honestly look up to or strive to be. then you are at the wrong company.

Just my opinion

Billy T · 11-04-2008, 11:31 AM

Dan & Tim,
Thank you for your insight, Dan yes the 220 is Florida P&C course. What would you guys say is a good commision split when you are just starting out. I eventually want to start my own agency so is it unreasonable to ask to keep my book of business so when I go out on my own.

SpeedAgent · 11-04-2008, 11:41 AM

I would have to say it all depends on your current situation. Are you married? Do you have a house? Do you have kids? What are your monthly financial obligations?

When I first entered into the insurance industry I was lucky to be working for one of the largest companies in the US and I was paid a salary plus commission. The commission was much less than what an average agent can make if just going straight commission, but it would have been impossible for me to have done that.

If you are young, not married or have few obligations and are without kids I would give the straight commisssion a shot-depending on what the rate is. If you are getting less than 25% then I'm not so sure.

Good luck,
Chris