Farmers Agent "selling" Policies to Independent
- Thread starter ColoradoIns
- Start date
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If the guy is asking for 8k a month. Ask him to produce a list of accounts that are generating that for him.
Maybe this is legit and if he's doing the footwork and selling and your uncle was getting a cut for basically running the apps through his agency. Well, take a genuine look before you decide to tell him to pound sand.
Maybe this is legit and if he's doing the footwork and selling and your uncle was getting a cut for basically running the apps through his agency. Well, take a genuine look before you decide to tell him to pound sand.
Seems like they were just cobrokering. Not uncommon in our industry.
If he invoiced you he probably supplied you with a list of your mutual clients. Review and make sure its accurate. Typically the agent (you) writing the business sends the broker (farmers) a list of commissionable accounts each month along with a check. Your agency probably hasn't done that since you uncle died and the poor broker is just looking for his money.
I wouldn't start throwing around terms like unethical and illegal just yet.
You may be able to get out of paying him if you get an attorney or rat him out to Farmers home office but that would just make you an unethical greedy dick.
Seems legit to me. Just do you homework or find someone that knows the industry.
If he invoiced you he probably supplied you with a list of your mutual clients. Review and make sure its accurate. Typically the agent (you) writing the business sends the broker (farmers) a list of commissionable accounts each month along with a check. Your agency probably hasn't done that since you uncle died and the poor broker is just looking for his money.
I wouldn't start throwing around terms like unethical and illegal just yet.
You may be able to get out of paying him if you get an attorney or rat him out to Farmers home office but that would just make you an unethical greedy dick.
Seems legit to me. Just do you homework or find someone that knows the industry.
Whether or not they had something official written down, verbal contracts are enforceable in most states.
If he and your uncle had an agreement, it's in your best interest to honor the agreement, negotiate an alternative, or hire an attorney.
This EXACT THING happened when my dad passed and I inherited the agency; he cobrokered a lot of group health with another broker who called me up two weeks after my dad's passing and said, "hey kid, your dad and I had a good run, but I'm pulling the agreement. Let me know if you want to write business in the future."
It wasn't until the statute of limitations had passed did I realize I could have sued his pants off. At least I BOR'd most of my clients back because he was a useless sack of flesh that nobody liked.
If he and your uncle had an agreement, it's in your best interest to honor the agreement, negotiate an alternative, or hire an attorney.
This EXACT THING happened when my dad passed and I inherited the agency; he cobrokered a lot of group health with another broker who called me up two weeks after my dad's passing and said, "hey kid, your dad and I had a good run, but I'm pulling the agreement. Let me know if you want to write business in the future."
It wasn't until the statute of limitations had passed did I realize I could have sued his pants off. At least I BOR'd most of my clients back because he was a useless sack of flesh that nobody liked.
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