I have a life and health insurance agency with about 40 group insurance and 150 individual medical clients.
I would like to expand my agency with a p&c producer or two. How do I get started?
Starting P&C Agency
Moderators: Josh, independent guy
Re: Starting P&C Agency
If it's your intent to build a multi-line agency from scratch, good luck. Finding carriers willing to help you succeed is tough when you do have experience!
If you are in a decent metro area I'd suggest finding a locally owned P/C agency that does no, or very little Life & Health sales. Team up with the principals there and you will find the synergy of the relationship will be really rewarding.
There are many agencies looking for market line expansion (just like you are). Joining agencies will be the best for all.
Good luck.
Swymmer
If you are in a decent metro area I'd suggest finding a locally owned P/C agency that does no, or very little Life & Health sales. Team up with the principals there and you will find the synergy of the relationship will be really rewarding.
There are many agencies looking for market line expansion (just like you are). Joining agencies will be the best for all.
Good luck.
Swymmer
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GanisConsulting
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Re: Starting P&C Agency
You have a few different options here.
One is to join forces/share leads with a non-competing agency as was already suggested. They can become the P&C "sister agency" for your clients and you can become the Life/Health "sister agency" for their clients. Ultimately though, that other agency will own any P&C business written for your clients/leads even though they share commission with you, and that doesn't get you any further down the road of establishing a P&C presence in your own agency.
Attracting a P&C producer will be difficult. Producers want to be where the action and opportunity is and right now there are only about 150 inidividual prospects from your health book of business who a producer could potentially write other lines for. You don't mention the size of your 40 group accounts, but if they averaged 20 members in the group, and you had access to solicit all of the members, then that does open the possibility of another 800 prospects for an incoming producer. But a producer needs both prospects AND markets and right now, you don't have a lot of the first and none of the latter.
As for getting appointed with P&C markets, it will be difficult for you because companies, like producers, want to be where the action and opportunity is. And since you write no P&C now, there will be little interest in appointing your agency.
You don't mention what state you are in, but many states have agent associations that can provide access to some key carriers through a general agency type of relationship (e.g. The American Agents Alliance in California). Your commission is lower, but you will have your own producer code so once you start to build a book of business you could approach the carriers and ask for a direct appointment based on your track record through the association/G.A. The same holds true for any relationship with other wholesalers...you can get started with little experience and no volume requirements, but you have your own code so you can track progress and you own all of the business written.
Good luck.
One is to join forces/share leads with a non-competing agency as was already suggested. They can become the P&C "sister agency" for your clients and you can become the Life/Health "sister agency" for their clients. Ultimately though, that other agency will own any P&C business written for your clients/leads even though they share commission with you, and that doesn't get you any further down the road of establishing a P&C presence in your own agency.
Attracting a P&C producer will be difficult. Producers want to be where the action and opportunity is and right now there are only about 150 inidividual prospects from your health book of business who a producer could potentially write other lines for. You don't mention the size of your 40 group accounts, but if they averaged 20 members in the group, and you had access to solicit all of the members, then that does open the possibility of another 800 prospects for an incoming producer. But a producer needs both prospects AND markets and right now, you don't have a lot of the first and none of the latter.
As for getting appointed with P&C markets, it will be difficult for you because companies, like producers, want to be where the action and opportunity is. And since you write no P&C now, there will be little interest in appointing your agency.
You don't mention what state you are in, but many states have agent associations that can provide access to some key carriers through a general agency type of relationship (e.g. The American Agents Alliance in California). Your commission is lower, but you will have your own producer code so once you start to build a book of business you could approach the carriers and ask for a direct appointment based on your track record through the association/G.A. The same holds true for any relationship with other wholesalers...you can get started with little experience and no volume requirements, but you have your own code so you can track progress and you own all of the business written.
Good luck.
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robertgjones10
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Re: Starting P&C Agency
I have over 20 years experience as a retail agent and business owner. Please check our web site www.instrategygroup.com for some targeted information. Happy to discuss how our firm may assist with your business strategy. Bob Jones
Re: Starting P&C Agency
To DJ Burke,
How did you get the health clients?
I'm curious about how new agents get clients. Do those buy leads companies work? Do you start with family and friends and fan out from there? These questions apply once you are appointed of course.
I like the idea of hooking up with a P&C agency. Makes sense.
How did you get the health clients?
I'm curious about how new agents get clients. Do those buy leads companies work? Do you start with family and friends and fan out from there? These questions apply once you are appointed of course.
I like the idea of hooking up with a P&C agency. Makes sense.
Re: Starting P&C Agency
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Express Premium Finance has designed a premium finance program tailored to fit your needs. Competition and inefficiencies affect your production and profitability. We understand these challenges and are proud to offer you a premium finance program that delivers:
Personalized customer service and quick turnaround
Creative structuring-to help you write more business
competitive rates
Online software accessible anywhere in the world 24/7
A little information about myself is that I have been in the insurance industry since 1981. I am a licensed insurance agent and I have worked with insurance agencies both commercial and personal lines and I have also worked for US Risk as a Senior Underwriter Assistant for 5 years.
Mary Coovert Holeman
Senior Regional Vice President
Express Premium Finance Co
mary@expresspremium.com
Phone: 832-766-7977