Another Newb Asking where to Start!!!

[Stevekobrin]

Welcome! Folks who switch careers into insurance can do very well. You can make very profitable use of your experience, skills, and contacts.

I agree with the idea of remaining independent. If you represent a variety of carriers, you will be able to find the right one for every client.

Also critical: specialize in one product. Better to be a master in one marketplace than average in many. People want to know they are being taken care of by an expert.

Along these lines: make sure the sales system you learn is geared toward quoting a rate at which you are confident your client will be approved. Consumers respect that.

 

[NCScott]

Thanks for all the information. I understand that finding a niche and starting slow is the prudent way to go.

1963 - My suspicions were that out of the recruiters that have contacted me - Mutual of Omaha, USHealth Advisors, Family Heritage and American Income Life - Mutual of Omaha would be the one to go with to start in the business and learn the ropes.

 

[1963]

Thanks for all the information. I understand that finding a niche and starting slow is the prudent way to go.

1963 - My suspicions were that out of the recruiters that have contacted me - Mutual of Omaha, USHealth Advisors, Family Heritage and American Income Life - Mutual of Omaha would be the one to go with to start in the business and learn the ropes.

OK, I see where you are coming from now. Mutual of Omaha would be my choice from this group also. Agent friendly and good training program.

----------

Regardless of the choice you make, you are already prepared for success due to your sales background; you only need to be ready to travel more often, as there won't be many walk-ins. Get a good understanding of the products, and have solid answers for those who ask you questions. Work the niche market overtime, work hard, and develop a relationship with a vet that is willing to offer good advice. I wish you well, and I am pulling for you. Hope this helps some! Good luck!!!

 

[NCScott]

After reading more through the forum, I have narrowed down the companies in my area to start in the industry and learn the ropes.

They are:

Mutual of Omaha - L&H - I am pretty sure at this point that L&H is the route I wish to go.

Liberty Mutual - P&C and Life - Maybe a good introduction to both sides.

New York Life - Great blue chip but believe success more difficult as targeted clientele not in my traveled circles at this point in time.

I believe all three offer great training. I have also read enough on here to know it is the manager at the specific office that can make the difference between success and failure.

Since most of the posts were at least a couple of years old, looking for current thoughts and recommendations. Looking to learn as much as possible for 12 - 24 months and then going indy and make as much as possible for 12 -24 years.

Also curious, not to start anything and completely understanding it can depend on numerous factors, is there any area of insurance that is considered the most lucrative? Not necessarily looking at first year earnings but years 5 and on.

 

[1963]

In my time in the industry, I have learned that life products yield more in short-term situations, but the p&c market is more consistent and profitable in the long haul. For example, a life policy with a $500 AP and 90% commission/5% renewal would pay $450 first year and $25 each year thereafter. A p&c contract with a 10% commission on a $1200 AP pays $120 first year and every year thereafter. At year 5, life contract has earned $550, while the p&c policy has paid $600, and will pay more than the life contract by $95/year from that point forward.

 

[NCScott]

Thanks 1963 for the information. I will be interviewing with Mutual of Omaha and Liberty Mutual the end of this week.

 

[SPUR CITY]

In my time in the industry, I have learned that life products yield more in short-term situations, but the p&c market is more consistent and profitable in the long haul. For example, a life policy with a $500 AP and 90% commission/5% renewal would pay $450 first year and $25 each year thereafter. A p&c contract with a 10% commission on a $1200 AP pays $120 first year and every year thereafter. At year 5, life contract has earned $550, while the p&c policy has paid $600, and will pay more than the life contract by $95/year from that point forward.

You are forgetting to include the time value of money. A dollar today is worth more than a dollar tomorrow. Give me more money up front so I can decide what I want to do with it.

I have a couple of VERY GOOD friends that have VERY successful P & C agencies. Although they are doing very well I do NOT envy the service work they constantly have to provide. High stress sweat shops is what it looks like to me EVERY time I go to visit them in their work environment. We ALL live in nice gated communities BUT the difference is I seem to have more free-time than BOTH of them combined.

Just my thoughts...and yes I am Life AND P & C licensed.

 

[DHK]

I am not P&C licensed, but if a policyholder has a denied claim - for whatever reason - they are more likely to take their entire relationship elsewhere.

 

[Tahoe Ray]

You are forgetting to include the time value of money. A dollar today is worth more than a dollar tomorrow. Give me more money up front so I can decide what I want to do with it.

I have a couple of VERY GOOD friends that have VERY successful P & C agencies. Although they are doing very well I do NOT envy the service work they constantly have to provide. High stress sweat shops is what it looks like to me EVERY time I go to visit them in their work environment. We ALL live in nice gated communities BUT the difference is I seem to have more free-time than BOTH of them combined.

Just my thoughts...and yes I am Life AND P & C licensed.

I guess that this is different for everyone depending on their situation...I work with a couple of high end P&C shops...those guys have more time to golf and play than what's in a day. Granted, their offices do look like sweat shops, it's just that they're not doing the sweating.

The same thing with my FAs...they get enough AUM and it's easy street. Why cross sell life when they make a great living and don't have to work hard (their response, not my opinion).

It's the old: "Work 5 years like nobody else wants to work, live the rest of your life like no one else can" mentality.

Also, regarding the TVM, 450 w/ 25 annually @ 7% is $2766 over 20 years. 120 w/ 120 annually is $5383...I know that premium amounts are very different so if they're integrated, than this exercise is irrelevant. It is also pointless if the persistency is not equivalent.

 

[NCScott]

I had my first interview with MoO today. Manager stated he had been with them for 12 years working from call center to underwriter to agent to manager. He had been at this office for two years and claimed to have an 85% retention rate of new agents.

MoO, or at least this office, requires the Project 200 list to be completed by the third interview. Gave the analogy of starting a new business and these are the people to have at your blue ribbon cutting ceremony.

I do not see pushing insurance on family and friends as being a long term career.

I asked about other prospect training and got vague answers.

I will obviously let them know I am starting a new career and get referrals from them but I do not want to sell them insurance.

First interview with LM tomorrow. We'll see how that goes.