56% of New Producer Hires Are Successful, According to New Study

[AlTheGud1sRtakn]

56% of new producer hires are successful, according to new study
Insurance Forums | 56% of new producer hires are successful, according to new study, infographic

This is incredibly misleading. The study also mentions that 55% of the hires are not actually new agents, they're transferring from another firm.

If you're hiring 55% people who are already successful and 56% of the people you hire are successful, I'd argue that those are terrible numbers.

 

[unic.consulting]

The question is if this includes the "churn and burn" agencies. Their success rate is extremely low, but that's how the company makes a profit.

 

[AlTheGud1sRtakn]

The question is if this includes the "churn and burn" agencies. Their success rate is extremely low, but that's how the company makes a profit.

It looks like it includes every type of agency but these numbers seem optimistic if that's the case. That or they have a more liberal definition of successful than I do. It also looks like, as a general rule, most people get hired by a churn and burn agency, a small handful stay for some strange reason, most quit or are fired, and then a decent amount get hired by a better agency and stay there. I'm in the last category, and from what I understand many others on here are as well.

 

[goillini52]

56% of new producer hires are successful, according to new study
Insurance Forums | 56% of new producer hires are successful, according to new study, infographic

This is incredibly misleading. The study also mentions that 55% of the hires are not actually new agents, they're transferring from another firm.

If you're hiring 55% people who are already successful and 56% of the people you hire are successful, I'd argue that those are terrible numbers.

Just glancing over the article, looks like it doesn't include Life and Health agents. I've always heard the success rate is 10%.

"It’s 53% in employee benefits, 56% in commercial lines, and 59% in personal lines according to the Reagan Consulting Producer Recruiting & Development (PR&D) study, released at the end of 2014."

 

[Agent12345]

What are you calling a "Churn and Burn" agency?

 

[unic.consulting]

What are you calling a "Churn and Burn" agency?

Any agency that hires many (usually green) recruits, encourages them to bring in as many policies as quick as possible, then puts the recruit into debt with their company, wears them out so they quit, and/or releases them for non-productivity and keeps their book of business without compensation. I did that sort of job once a long time ago before I started in insurance. I know they're out there in every sales field.