Comments on: Yes, you can .. make money as an insurance agent that is.

By: pws

pws — Sat, 29 May 2010 20:32:20 +0000

To badvegan …

Your points are all focused on Personal Insurance and possiblely Term Life Insurance.

Commercial Insurance is virtually impossible for the lay person to purchase themselves. The complexity and options require an agent’s involvement to ensure the business is properly covered and getting the best value(price).

Your simple demographic references fail to recognize the market that successful brokers target. Those of us that have succeeded in this industry definately are not spending our time pursueing young families for their personal insurance needs. We have moved well beyond that.

Do some more research.

By: bri

bri — Mon, 17 May 2010 20:37:46 +0000

also remember a broker represents the clients interest, a company csr is rep ing companies interest…. ie. broker saves you money!

By: bri

bri — Mon, 17 May 2010 20:30:05 +0000

exactly. online services not very good in underwriting and placing risk.. underwriting is too complicated, with too much information required which is specific to type of company being insured. do you think the questions carrier is going to ask will be the same with a food manufacturer compared to a contractor. do you think the insured has much of an idea as too what an insurer needs in order to underwrite a specific risk. i think not. long live human interaction, which is required in underwriting risk, provideing coverages, and saving people money, especially as it pertains to the business owner. people with expertise can explain how changing deductables can affect rates, or that one can tweek with co insurance requirements which will also affect rates. or how much liability is required with regards to the state you live in. or that liability losses cannot affect premium increases where prop losses do. or that insurers would rather pay out nuisance claims as opposed to defending in order to save money, which can effect. you think a csr for geico is going to explain this, and or save you money. my agent always ends up saving me money because she knows what she is doing, and can provide me specific benefits to suit my needs

By: Ernesto

Ernesto — Tue, 06 Apr 2010 12:22:29 +0000

Thanks Badvegan.

It’s funny, some colleagues of mine were discussing how the on-line insurance companies have flat-lined; Progressive hasn’t grown premium in years. GEICO is about to hit their peak. Other companies have managed to expand by moving into more and more states. At this point, Progressive & GEICO are SO desperate to write premium, they’re moving into Massachusetts (that’s DESPERATE! (and really stupid)).

If you’re looking for property coverage or commercial insurance, good luck finding it online. Why? Because insurance companies need to SEE what they’re insuring. Thet need boots on the ground, and few companies have developed a reliable method of field underwriting risks without using agents.

Last thing: the 18-35 age group? Can’t drive worth a squat, GEICO is welcome to them. Call an agency when you’re 40 and are done having accidents

By: badvegan

badvegan — Tue, 06 Apr 2010 05:06:30 +0000

Add to all the above the fact that most Americans no longer use an independent insurance agent. Think about yourself and the last time you took out a car insurance policy, did you use the internet? I can guarantee that that gecko and his friends are not handing out commission checks to your local independent insurance agent. The independent local insurance agent is dead, he might still have a few years, but these are the lean years as those people who are not internet savvy catch up to the curve or die off. One of the largest concerns that i see for the independent agent is the fact that much of their business is targeted at the young family. The age group and market of the young family today are of people who are very well acquainted with the internet, according to amazon 68% of married couples ages 18 - 35 who make between $35,000 and $65,000 annually have purchased a product or service online in the last 24 months. This is the same bread and butter personal market that insurance agents have relied on for years. Add to this the move of small business to use insurance from their professional organizations and what you really have is a recipe for a doomed career. If you don’t believe that an online agency could provide the same service for a better price and that it will not hurt the income of the local insurance agent, maybe you should go talk to your local travel agent. If you can find one. The same move happened sooner in travel agency because of the industry being less regulated, however the same 10 year collapse will occur with insurance and has already started to some degree.

I personally believe that most people that are within 5 years of retirement should be good staying in this industry. If you are farther off from retirement than that i would suggest you take a serious look at your marketable skills. There will soon come a time when your 20th century sales skills will become as antiquated as those Zig Ziegler tapes and YES YOU CAN SELL books. If your only marketable skill is selling you might be out there with the car salesmen, the real estate agents, and the travel agents, knocking door to door trying to sell a vacuum cleaner.

By: Ernesto

Ernesto — Thu, 11 Jun 2009 02:24:56 +0000

Well, if your licensing and appointments are in order, I’d say there is nothing quite like experience. Get started meeting people and writing business. Sales is a numbers game, you quote a percentage of the people you meet, you sell a percentage of the customers you quote. You’ll need to figure out how to meet enough people.

Make sure you learn to use your father and brothers for what they have: experience and credibility. Some grey hair goes a long way in this business. Remember, a split of some commission is better than 100% of no commission

As a captive or semi-captive agent, an important concept I learned when I was new was this:

Sell policies your companies want to you to sell, don’t chase business your companies don’t want. I wasted alot of time trying to write business my companies where not interested in.

Next, learn good business practices from the get go. Insurance polices are legal contracts; if your paperwork is not spot on, you’re flirting with trouble. Do it right and don’t cut corners. I’ve never met a 30 year agent with sloppy paperwork.

Finally, follow good, successful (and positive) people around and see what they’re doing. After you’ve seen successful people do their thing, don’t be afraid to incorporate what works for you and make it your style. Be creative in your approaches, use what works and discard what doesn’t. Find your own groove in marketing and sales.

Good luck, and take some joy in your work.

By: Joe S.

Joe S. — Tue, 09 Jun 2009 21:56:15 +0000

I’m fresh out of college and I come from a family of three active Farmer’s Insurance agents. I’m currently working as a producer under my father. What next few steps are entirely crucial for me? Also, how can I learn the quickest? I’m currently working under a roof off all three agencies, but feel as though I’m not learning enough as quickly as I’d like to. I’m extremely determined to build a rock-solid foundation of my own cliental as soon as possible.

By: Randy

Randy — Thu, 16 Apr 2009 04:15:26 +0000

Who would you reccomend buying the leads from? Would you target P&C or Health?

Looking at starting my own agency in WI through a broker. No Ins. Sales but 20 years of outside B2B sales.

Thanks,
Randy