10 to 1 Success Ratio for Starting Out Indy ?

[squeed]

Through the introduction of a friend, I spoke with a representative for an IMO and shared with him that I was looking to go independent from a completely different industry than insurance.

Because we were speaking candidly and he wasn't trying to recruit me, he told me that out of 10 new starts, 1 will survive the first year, and it's likely that the 1 was a prior agent trained by a larger firm.

Basically he said that if you go independent from scratch with no insurance experience, there is a 99% chance that you will not succeed.

What are your thoughts on this ?

-S

 

[DHK]

I'd have to agree.

Why? Because you'll only see insurance as another expense that you're trying to get people to buy.

You'll fall prey to the "buy term and invest the difference" because it's the easiest way for you to make a sale.

Without real training from a good firm/agency, you won't be able to close larger cases.

What else could you do?
- LUTCF courses from The American College
- Contact MDRT for a mentor in your area
- Attend NAIFA meetings to meet potential mentors

I'd still recommend that you find a company that you can train at for 1-3 years but still be able to take care of your policies when you leave. As far as I know, you'd want to check out your local MassMutual & Guardian agencies because both will let you leave while keeping your clients.

100% payout on a contract with little production may be less than 55% payout with a contract/company with more training available.

Just my thoughts.

 

[Mark]

This is no get rich fast business. Most of the new agents really don't know what they are getting into and are not really into sales. They wont read anything and want you to do all the work for them. They think this business is simple and takes little to no work. They think you just buy these cheap or free leads and the people want to buy when you get there and you make 4 to 5 K a week.

I think that anyone that is willing to put everything they have into this business and really wants it bad enough can make it. You have to have failure in this business to become successful and agents quit when the hard work starts or they don't see a lot of money really fast.

I love asking new agents why do they want to be insurance agents to start with and it is usually I hear they make a lot of money and little to no work. LOL

P.S. I want to become a doctor, but I don't want to go to med school or do anything. You think I can do this?

 

[Marpol]

I agree....99% is about right for new agents. Agents forget that insurance can get very complicated and has a steep learning curve. As DKH said...."buy term and invest the difference" will not cut it with everyone. If your trying to sell a policy for a 1mm in premium to a large company and you say "buy term and invest the difference" you will not make the sale....its a lot harder then a lot of agents think initially.