2 Year Non Compete

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I wrote a policy on a friend of mine last year while with Monumental life. I can do my friend much better with existing carriers I am appointed with. Better coverage less money. I signed a non compete contract with Monumental when I went to work for them. My question is what's going to happen when I replace this policy.. I'm thinking probably nothing, but wanted to get some more input. Thanks.
 
Posting it on here was probably not the smartest thing you've done. Makes it a little more public. I'd say you should either wait the 2 years if you want the commission or tell him to go with another agent if you just want to save him the cash.
 
Probably not but you know what I did it anyway...

In theory they could pursue for damages, odds they would never find out over one case, it's usually if you're moving your whole book where they would start to nice. It would probably cost them more to take action then they'd ever recover.
 
NYL sent me a letter "reminding" me of my noncompete after I replaced about 10 or 15 policies. But nothing ever happened more than that. I waited until the 1 year mark to replace anything big though, just in case.
 
Are non competes enforceable in Kentucky? Some states won't hold them up in court. What exactly is the non compete at monumental?
 
I wrote a policy on a friend of mine last year while with Monumental life. I can do my friend much better with existing carriers I am appointed with. Better coverage less money. I signed a non compete contract with Monumental when I went to work for them. My question is what's going to happen when I replace this policy.. I'm thinking probably nothing, but wanted to get some more input. Thanks.

If you are married get your wife licensed and rewrite it under her name if it is financially worth the cost. Find a friendly agent and have him write it and split the commission. Some of the guys on here will do that with you.
 
In theory they could pursue for damages, odds they would never find out over one case, it's usually if you're moving your whole book where they would start to nice. It would probably cost them more to take action then they'd ever recover.

He is in Ky. If the client is also in Ky, they will know that he is replacing it as he will have to send in a replacement repost. In Ky, a replacement form must be filled out even if not replacing.

I don't know how Monumental treats these things. A company like LH will make your life hell when you replace one of their's.
 
Did you acquire this friend while working at Monumental? Sounds like this was a friend/client of yours prior to working at monumental. You probably wont have a problem. Normally rule of thumb is: you can tell your clients that you have moved....but you can not solicite them to work with you. It is ultimately the clients decision who they work with. So if you told your friend that you left and your friend asked if he can still work with you then you are ok. If you call your clients and ask them to move there accounts or replace their polices then you will have problems. A lot will depend on how the non-compete was written and state law. I would say you are ok with your friends policy though...as long as your doing whats right for him and not just churning.
 
Did you acquire this friend while working at Monumental? Sounds like this was a friend/client of yours prior to working at monumental. You probably wont have a problem. Normally rule of thumb is: you can tell your clients that you have moved....but you can not solicite them to work with you. It is ultimately the clients decision who they work with. So if you told your friend that you left and your friend asked if he can still work with you then you are ok. If you call your clients and ask them to move there accounts or replace their polices then you will have problems. A lot will depend on how the non-compete was written and state law. I would say you are ok with your friends policy though...as long as your doing whats right for him and not just churning.
This is pretty much the situation. They were my client ie friends before.
 
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