Market Research Q: Can Agents Sell Non-Insurance Products?

[dennisfassett]

Hi - I'm working on a tech startup that will be used by owners and managers of apartment buildings and rental house portfolios, primarily in the student housing space at least to start.

We're in the process of creating our sales strategy. As the owner of apartment buildings and rental houses myself, it occurred to me that commercial insurance agents already have established relationships with the folks that we need to talk to.

My question is, can agents sell non-insurance products? We're looking at a similar residual commission strategy already, so conceptually it would appear to be a good fit. But I don't know if this is even possible.

I'd appreciate your thoughts/comments/feedback on this.

Thanks -
Dennis Fassett

[gregcw]

My question is, can agents sell non-insurance products? We're looking at a similar residual commission strategy already, so conceptually it would appear to be a good fit. But I don't know if this is even possible.

I'd appreciate your thoughts/comments/feedback on this.

Thanks -
Dennis Fassett

Dennis,

You're really not clear on what this product does. I assume that it has something to do with managing the property(ies). With that assumption you would incur some General Liability exposure which should be covered under your GL but may be necessary to list as an exposure there. If it is screening tenants you would also be opening a new Personal Injury exposure.

My only suggestion on this is to check your E&O policy and with your E&O U/W to verify that the activity would be covered because you are creating both a GL and an E&O exposure.

This appears to be similar to the Pre-Paid Legal contracts, which a number of agencies offer, but which is also an excluded exposure on many E&O Policies.