Direct appointment or cluster?

[mikem2015]

I am looking at purchasing a book of business with a dozen or so carriers. do you think it is better to get direct appointment to each carrier or go though a cluster. I assume the cons with the cluster is your sharing some profit with them.
Any suggestions or thoughts would be greatly appreciated.

 

[whatyouwantfinally]

I am looking at purchasing a book of business with a dozen or so carriers. do you think it is better to get direct appointment to each carrier or go though a cluster. I assume the cons with the cluster is your sharing some profit with them.
Any suggestions or thoughts would be greatly appreciated.

Better to go direct, but unless you've got a big book and a bunch of appointments already, you won't be able to.

Unless you're getting a super great deal I wouldn't even consider it right now.

 

[marindependent]

I assume this is P&C?
What State?
Commercial or Personal Lines? [at least which one is the focus]
What is the area of focus?

I think you will want to do LOTS of research on this before you pull any triggers as there are lots of carriers changes going on throughout the country. More in some states.

Its not always easy or even possible to get direct appointments with some insurers.

 

[mikem2015]

Marine it would be in California P&C most personal lines some commercial. I have though about purchasing in Florida and the sunbelt also.

 

[marindependent]

I would be pretty cautious jumping into the CA market right now.

Its hard to get appointments and even if you can - many of the name brand carriers do not want any new business.

Lastly - its totally possible we experience another shock change and everything we know is thrown up in the air again. Who Knows.

 

[ehall2]

Wow, you picked the two worst states. Companies are withdrawing from both of these states. I'm in Georgia and even here there aren't any companies making new appointments. Even the non standard auto companies aren't making any new appointments. If you go through a cluster they are having the same problems. No new appointments and most don't want in new business. I would be very cautious buying a book of business

 

[mikem2015]

Wow, you picked the two worst states. Companies are withdrawing from both of these states. I'm in Georgia and even here there aren't any companies making new appointments. Even the non standard auto companies aren't making any new appointments. If you go through a cluster they are having the same problems. No new appointments and most don't want in new business. I would be very cautious buying a book of business

Thanks for the advice I am currently in California. It's not that bad for Allstate While most of the carriers are getting adjusted out here in pricing. I was just thinking of seeing her later going independent. I know a few that have independent books of business with existing carrier and doing great. But I think I might have to wait a year till it gets better and I can get appointments.

 

[mikem2015]

I would be pretty cautious jumping into the CA market right now.

Its hard to get appointments and even if you can - many of the name brand carriers do not want any new business.

Lastly - its totally possible we experience another shock change and everything we know is thrown up in the air again. Who Knows.

Yeah I'm currently in California. With Allstate it's not that bad we're getting a lot of homes and condos. Not too much Auto because of the market. I have been thinking about going independent in a year . And looking to purchase a book of business I know a few independent agents but they've had existing books appointed for 5 or 10 years. I don't know if my experience with Allstate would help getting appointments I know Allstate right now is not allowing new agents