Direct has never had very good rates in Texas. I’ve never lost a customer to them, and I’ve never come across anyone that has had them. Unitrin is ok, but not great. It’s a non-issue here.
I am sure the 16,000 agents/brokers that represent Kemper and Unitrin Specialty are happy to see the CEO articulate the company’s commitment to the direct channel.
So long as the direct channel distribution does not undercut the independent agency channel price point, what’s the harm?
There will always be those individuals who are not interested in forming relationships with insurance agents (engineers and military officers tend to strike a superior knowledge pose), so, for that segment of the marketplace the agency distribution model isn’t a consideration.
This book of business began as an agency – Robert S. Weiss & Co. When Weiss burned through all his carriers and couldn’t get any more appointments, he started Connecticut Life & Casualty as a direct writer. They were screwie policies, with 6 month terms for auto, hoem and umbrella.
When CL&C hit the plateau, realizing that underwriting was a necessary evil to growth and profitability, they sold the book to Response Direct of NY, and sold the home renewals to Plymouth Rock.
If the rates continue they will prove to be fairly competitive, though I have taken away a fair amount of this business (CL&C) with Kemper Auto & Home.
I’ve personally seen trends heading back to agencies. Many E this and .com that companies are not what consumers are looking for. I take a lot of business out of direct channels. As long as prices are similar or even slightly higher on the agency side I have no issues.
along the same lines as MR. Solvent, we have found so far that if a direct writer (the 2 we have here) is lower, in most cases if we can get close the customer will stay with us.
This was the worse acquisition ever. We all lost our jobs and the entire site closed I mean people that had been there for years. But I guess that happens when another company take over. They layoff all the other workers because they got their own. I miss Direct Response and all the wonderful people that I worked with there.
Direct has never had very good rates in Texas. I’ve never lost a customer to them, and I’ve never come across anyone that has had them. Unitrin is ok, but not great. It’s a non-issue here.
I am sure the 16,000 agents/brokers that represent Kemper and Unitrin Specialty are happy to see the CEO articulate the company’s commitment to the direct channel.
So long as the direct channel distribution does not undercut the independent agency channel price point, what’s the harm?
There will always be those individuals who are not interested in forming relationships with insurance agents (engineers and military officers tend to strike a superior knowledge pose), so, for that segment of the marketplace the agency distribution model isn’t a consideration.
No harm, no foul.
This book of business began as an agency – Robert S. Weiss & Co. When Weiss burned through all his carriers and couldn’t get any more appointments, he started Connecticut Life & Casualty as a direct writer. They were screwie policies, with 6 month terms for auto, hoem and umbrella.
When CL&C hit the plateau, realizing that underwriting was a necessary evil to growth and profitability, they sold the book to Response Direct of NY, and sold the home renewals to Plymouth Rock.
If the rates continue they will prove to be fairly competitive, though I have taken away a fair amount of this business (CL&C) with Kemper Auto & Home.
I’ve personally seen trends heading back to agencies. Many E this and .com that companies are not what consumers are looking for. I take a lot of business out of direct channels. As long as prices are similar or even slightly higher on the agency side I have no issues.
along the same lines as MR. Solvent, we have found so far that if a direct writer (the 2 we have here) is lower, in most cases if we can get close the customer will stay with us.
Boston I’m glad that MASS is starting to open up a little bit. It’s good for the consumers and in the end will be great for the agents.
As the directs start to gain market share, you need aggressively go after the clients that leave and sell your value as an agent.
There’s a reason why in Florida the lizard’s company is opening local offices.
This was the worse acquisition ever. We all lost our jobs and the entire site closed I mean people that had been there for years. But I guess that happens when another company take over. They layoff all the other workers because they got their own. I miss Direct Response and all the wonderful people that I worked with there.