- 14,808
That would indeed be the FMO taking on that liability. If they went to GR direct they'd be denied advances if they were going for a KB contract.
Bad Credit and Getting Licensed
- Thread starter msinsurance
- Start date
- 6,026
What does it matter "who" as long as the agent gets the advance?
The advance is on business written for that carrier.
The OP asked if they could sell insurance with bad credit, and some agents typed that they probably wouldn't get advanced - but that wasn't a factual statement.
Just have to know where to look 'eh . . .
Tom
p.s. - John been meaning to strike a deal with your Association to provide your Members with a special discount on my leads - call me sometime . . .
The advance is on business written for that carrier.
The OP asked if they could sell insurance with bad credit, and some agents typed that they probably wouldn't get advanced - but that wasn't a factual statement.
Just have to know where to look 'eh . . .
Tom
p.s. - John been meaning to strike a deal with your Association to provide your Members with a special discount on my leads - call me sometime . . .
- 7,790
Tom, if they owe an insurance company money as you stated above, the chances are that they have been listed on Vector. With that appearing on their background it is highly doubtful that most insurance companies would appoint them. In fact, you even stated, "...so long as they weren't criminal or vectored...."
- 14,808
What does it matter "who?" That's a bit of a naive question. For example, one of my association members left the biz after writing advances for 5 months.
The agency that advanced them demanded that their "debt" be paid within 30 days which for this agent was around $15,000. They considered all advances to be "debt" and the contract had no provision to allow the policies to stay on the books for the advanced to be earned.
After the debt was paid, if the policies stayed on the books the agency would cut them a check...after 12 months.
Turns out a clause in his contact with that agency called for all debt to be "due" upon leaving the agency - that agent is now fighting collections.
- Thread starter
- #15
msinsurance
New Member
- 5
I'm not particularly interested in advances at all, so if I'm even appointed and earn as I go, I'm happy.
My main concern is getting licensed since I've read that in MN there is risk of a denial of licensure, which is when the Commerce dept refuses to issue a new license to someone who has previously done something that would have been considered an act worthy of disciplinary action if they had been licensed when they did it. Then on the list of acts that are worthy of disciplinary action is: demonstrating untrustworthiness, incompetence or financial irresponsibility.
I guess I'm wondering if they go through a credit check at the time of licensure or what?
And no, no money owed to an insurance co, no felonies, no bankruptcies, no crimes. Not even a speeding ticket! ;>)
Just a run of a hard time a few years back that I'm trying to clear up. The unpaid judgments are what worry me the most about this situation. But some of this is old and falling off my report finally, though I'm still working on paying the J's.
Any MN agents who have had credit issues and were licensed without problems?
My main concern is getting licensed since I've read that in MN there is risk of a denial of licensure, which is when the Commerce dept refuses to issue a new license to someone who has previously done something that would have been considered an act worthy of disciplinary action if they had been licensed when they did it. Then on the list of acts that are worthy of disciplinary action is: demonstrating untrustworthiness, incompetence or financial irresponsibility.
I guess I'm wondering if they go through a credit check at the time of licensure or what?
And no, no money owed to an insurance co, no felonies, no bankruptcies, no crimes. Not even a speeding ticket! ;>)
Just a run of a hard time a few years back that I'm trying to clear up. The unpaid judgments are what worry me the most about this situation. But some of this is old and falling off my report finally, though I'm still working on paying the J's.
Any MN agents who have had credit issues and were licensed without problems?
- 14,808
I've never heard of an agent denied a license due to bad credit - only issues obtaining appointments mainly from captive companies.
- Thread starter
- #17
msinsurance
New Member
- 5
Thanks HealthAgent and all who replied. I feel a little better about going forward.
If I were to get E&O through your organization, HealthAgent, as someone suggested, do you see that going through with few problems?
If I were to get E&O through your organization, HealthAgent, as someone suggested, do you see that going through with few problems?
- 14,808
I'd like to give you an answer but it's impossible - that's up to CNA.
- 6,026
Now - getting E&O may be a different story will damaged credit.
All they can say is approved or not approved.
Go for it . . .
Tom
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