Insurance Journal Forums

Hi All -

I am a start up Agency trying to determine if I should sign up with insurance noodle or just go the MGA route. What I like about insurance noodle is they for the most part have all the major players in one spot, I can submit info all at once and receive quotes back instantly from multiple carriers. I've worked with them before when I worked for a captive so I know this to be true. In reading through their contract I noticed they have a clause stating; if you obtain a direct carrier appointment with one of their carriers, you can not place any business written with them through that carrier with out terminating your contract with them first. Then you have to wait 2 years to be able to place the coverage with that carrier as the Agent of record. Oh and once you terminate the contract they stop paying you commission on the policy. My question is how are Agencies getting around this with out losing their clients to the Noodle? As you all are very well aware, it is next to impossible for a start up to get a direct appointment especially in this market. I don't want to shoot myself in the foot by signing up with Noodle, putting my policies through one of their very competitive markets (for example The Hartford) then in 3 years when I am established enough to have a direct appointment with a carrier not be able to bring the business over and let Noodle take commission on it for 2 years until I can take it back..

Any advice you may have with this is greatly appreciated. Or any advice you have for a new agency is appreciated as well!

Thanks!

I think Insurance Noodle provides a great service, but there are many other organization who do the same. They key is to review their contract and the language as it relates to leaving. One size does not fit all, there are over 100 of these organizations and growing, you can search for these organizations by state by going to:
https://www.agencyequity.com/listings/i ... -alliances