A Guide to P&C for New Agents and New Agencies

Discussion in 'Getting Started Selling Insurance' started by NCAgent, Nov 2, 2012.

  1. chadfoxman
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    chadfoxman Member

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    Great Article It helped answer a lot of my questions. I know there will be more and maybe you can answer them in the future.

    Thank You For The Post
     
  2. PhilL
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    PhilL Well-Known Member

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    NCAgent should be seriously applauded for providing such valuable information to agents in need of such knowledge. I have been in the P&C industry for more than forty years and this the most salient information I have seen in one place.
     
  3. MikeM.
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    MikeM. Well-Known Member

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    Thank you. Your post have been very helpful.
     
  4. samj4th
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    samj4th Member

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    this is very helpful wow , i have an agency and i would share this info
     
  5. JosephWilson86
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    JosephWilson86 Well-Known Member

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    Thanks for this post, this is tge second time I've read it.
     
  6. Chevarian113
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    Chevarian113 Well-Known Member

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    NCAgent, thanks so much for putting together such an excellent write up. I am in my research phase of leaving my captive agency as a staff producer to go on my own independent. Through captivity in an area of ever-decreasing eligibility, I've learned quickly that it is certainly to my advantage of having a broadened eligibility being Indy.

    I do, however, have a question I've stumbled across today that might be helpful to others. I have based my assumptions on my past experience in my agency, but I'm curious what a realistic goal is for monthly P&C premium in start up. I realize this will greatly depend on the built referral business and various other marketing strategies (working on that plan as well), not to mention average premiums of your region (home pretty high in my coastal region of VA), but on average, how does a start-up indy agent project their expected monthly premium.

    I came to this question as I had put an expectation in my mind of 30-50k monthly premium focusing primarily on HO with multi-lining opportunities. In my current agency, I've been able to produce 25k in our hay-day or writing in this area, while managing to service roughly 1000 clients myself (my portion of our book). I was discussing this with my current agent today and he feels I'm aiming higher than is realistic, so now it has me guessing, what does a company we propose our business plans to feel would be realistic starting scratch?

    Any thoughts and input is hopefully helpful to more than just me.
     
  7. PhilL
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    PhilL Well-Known Member

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    If you are going to try to make it by focusing on HO only, with only some cross-selling, you are going to have a tough year or so unless you are going after the high-value market heavily.

    For premium planning starters, make it really simple in the beginning and ask yourself how many policies you can realistically write in a day...a week...a month. Then do your projections based on the average HO premiums in your intended marketing territory.

    Check with the PIA and other Independent Agents associations in your State, to see if they can help you project.
     
  8. Chevarian113
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    Chevarian113 Well-Known Member

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    Oh, no, I apologize, I will not necessarily focus on HO with some multi-lining, but my ideal client will own a decent home (in my area $1500-2000/ year premium), a few cars (1000/ 6 mos), and some basic life sales, some term, some WL, etc.

    I think my ability to process and close sales would bring me 30-50k without an issue, but as far as how many people I will get in my door, no clue. I think 30-50k is reasonable (yes, I know broad range), but I don't want to be laughed at by a company that thinks that is totally unachievable and that I'm being naive. Truth is, I just don't know.
     
  9. PhilL
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    PhilL Well-Known Member

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    Chevarian: If I understand you correctly, you are concerned that you don't want to overstate carrier commitments? In what State are you operating?
    Can't help you with L&H, etc. but for P&C, if this will help you, my experience here in Florida is that both the auto and the homeowner carriers are usually content if you will commit to writing 50 polices annually with each of them, especially in the first year. Just ask each of them their average policy premium in your State and then do the simple calculation based on landing about a policy of week with each of them. Of course, you can then project your approximate revenue from these numbers, based on average commissions. Then all you have to do is meet/exceed all the goals with each carrier ! You can do it with a good marketing plan to which you believe and adhere.
    Just don't take on too many commitments early on...
    Hope this is of some help for you.
     
  10. njchula
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    njchula Member

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    ncagent you have been great and very informative. I have a couple questions. I would like to work from home and go indy go you guide me a lithe more in that area, such as websites and quoting systems
     
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