Insurance Journal Forums

Please take a moment to become educated about this profitable and cost effective market.

I am a nationwide Professional Employer Organization/employee leasing broker. I contract with insurance agents, financial advisors, accounts, and individual sales reps all over the country to give them one point of entry into the PEO/employee leasing market. We have markets for almost all workers compensation class codes but, specialize in the higher risk class codes, temporary and staffing companies, and clients with poor loss histories. USL & H and asbestos removal are the only industries that we do not have a market for at this time. Through the various companies that we broker for we have access to nationwide health care plans, 401k, IRA's and many other supplement products. All of these products are available and allow the small business client to offer fortune 500 benefits to their employees which they could not offer to them independently due to their size. The volume buying power of the employee leasing company creates economies of scale for the small and large business client allowing them to offer more to their employees as well as focus on growing their business. Keep in mind that workers compensation & payroll are the minimum requirement of the client and that all other benefits are available as needed. Also all of the health, life and other supplemental products are interchangeable. The client may use their existing benefits, or any that you the agent, may have acquired on their behalf. This gives you the opportunity to increase your individual agency income in addition to selling the products that you are currently representing.

We typically figure in 2.5% of the client's gross payroll as our commission. We split the total commissions with you 50/50 for the first 200 lives brought on and after the 200 lives mark the split shifts to 80/20 in your favor giving you more room to negotiate with anyone contracted to bring you clients.

These are lifetime vested commissions.

Please follow this link to our website and click on "Crum Services Overview"

I used to work for a guy in CA that was trying to put together a similar type operation. Maybe you know him - Gary Rimler? Burned several reinsurance companies and numerous people until the PEO that actually owned the insurance agency bounced him out.

This sounds almost too good to be true.

I don't know the individual you referenced specifically, however it is not terribly surprising to hear that. There are bad apples in all industries, which I will not argue at all. In just as true a sense there are bad employee leasing companies as well.

There are plenty of people that have been burned by the PEO relationships they have gotten into, whether it is commissions not being paid, or the ultimate down fall, a client ending up with a leasing company that goes under and the loss of faith in their agent for putting them there.

We have continuously grown over the years by making sure that these things don't happen to us, our agents, or their clients.

This past year has been our slowest growth year at 31% adding an approximate $600,000 in additional revenue.

This has not occurred through rocket scientist techniques, but through honesty, and integrity in the relationships we create.

Please feel free to call to talk more.