Asked for P&C Appointment, Rejected by Carrier. Is this Typical?

[sam816]

The reason for the rejection is they want your agency to have been in business for at lease one year and have the ability to show production/experience report.

I wrote a dozen policies with this carrier while working for an independent agency.

how much of this has to do with the carrier does not want to ruin the existing relationship with the agency you are working for?

Is this kind of requirement typical with all standard P&C carriers? if it is, then I can only see two ways to start your own independent agency doing P&C unless you can afford to buy one:

1. joining a cluster or
2. start with non-standard carriers that will give you appointments without asking for this and that.

working for another agency is NOT going to get you there.

 

[djs]

Very typical.
In fact, many clusters want this now as well, at least in some areas.

Carriers want someone who will be in business for a while and that won't write garbage policies to pay bills. New agents aren't a good bet, unfortunately.

There are a few you can usually get such as Progressive (though they have tightened up recently) and some non-standards. You can also work through companies like Superior Access that will give you access to some carriers you can't get right away. Just make sure you can roll the business when you get direct appointments.

Good luck. Keep asking, you'll get a few that will take you on. Then it becomes easier to get more.

Dan

 

[benwrigh]

Very typical.
In fact, many clusters want this now as well, at least in some areas.

Carriers want someone who will be in business for a while and that won't write garbage policies to pay bills. New agents aren't a good bet, unfortunately.

There are a few you can usually get such as Progressive (though they have tightened up recently) and some non-standards. You can also work through companies like Superior Access that will give you access to some carriers you can't get right away. Just make sure you can roll the business when you get direct appointments.

Good luck. Keep asking, you'll get a few that will take you on. Then it becomes easier to get more.

Dan

Foremost may be a good option too since they do property.

 

[AgencyEquity]

I affirm the previous answers, no carrier owes anyone an appointment, they have requirements and there is a reason for this. Also keep in mind a carrier can pull your appointment, most especially for things like Loss Ratio or not following underwriting rules. Having an appointment is a privilege, not a right by any stretch. Your best option is becoming a members of some type of Agency Aggregator group, such as a cluster. You can find a list of these by going to:
https://www.agencyequity.com/listings/insurance-agency-clusters-a-alliances

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I affirm the previous answers, no carrier owes anyone an appointment, they have requirements and there is a reason for this. Also keep in mind a carrier can pull your appointment, most especially for things like Loss Ratio or not following underwriting rules. Having an appointment is a privilege, not a right by any stretch. Your best option is becoming a members of some type of Agency Aggregator group, such as a cluster. You can find a list of these by going to:
https://www.agencyequity.com/listings/insurance-agency-clusters-a-alliances