Farmers' or independent agent? Advice needed

[Crazy Rick]

Re: Farmers' or independent agent? Advice needed.

Yeah, I know, your agency, your bills. Things add up quickly to the point they get out of hand quickly. This is what the new guy must understand. If he doesn't mind working with Miss Daily Period and attempting to reach unobtainable goals every week, then he's cut out for captive. He doesn't want rules and wants to open his office when he feels and take vacations when he feels and has the backing, then indy's the way to go. Unfortunately there's no magic answer and nowadays, financially, everything's a crapshoot. I tried to explain that to him. Like that stupid box of chocolates, you really don't know what you're going to get being an indy, but you can assume, most people will not give him a working phone number and will be shopping.

 

[LGilmore]

Re: Farmers' or independent agent? Advice needed.

The insurance business.. it sucks and it's the greatest business in the world.. just depends on what day or time it is.

I totally understand Rick's situation and I understand some others. This business has been unusually kind to me as well as harsh.

Ya just try and maintain a balance, not too up or down.

If you are brandnew, I would suggest going captive at first. It is probably the best way to learn the business if you're paying attiention. We learn from good and bad experiences.

Then after a few years (or what ever your time table is) decide if you want to go it alone, or stay inhouse. The good and bad experiences you have as a captive will help you become a better independent if that is your desire. However, I would caution starting out that way.

Use the house(captive) to learn as much as you can. Often the good companies Pay for your training. As an idependent, that becomes your bill. I knowledge I gained in my decade as a captive still helps me a decade later as an idependent.

All that said, you know yourself better than anybody here. Personalities matter sometimes more than company names...

I absolutely hated my first two managers as they were dirty, dirty business people ethics wise. By the time my name carrier got a good manager inplace, I was damaged goods. I no longer trusted the house and when trust is gone it is extremely hard to build it back.

 

[Crazy Rick]

Re: Farmers' or independent agent? Advice needed.

Damn, well said Gilmore! Couldn't have said it better.
Trying to maintain..... You should be a regular voice of reason.

 

[RayGroupInsurance]

Re: Farmers' or independent agent? Advice needed.

Rick, I didn't mean to offend you, I just didn't want the new guy to think that this industry totally sucks. There are good and bad days, but overall I love the freedom I have.

New Guy, you definitely need to look into the bonuses that Farmers offers you because I think that if you don't hit your goals that you have to pay them back to the company. If that is the case than I would stay away. I got out of Farmers just before my 1 year mark when I would have graduated to an official agent. I can't remember the names they use but I was the agent in training so I didn't get any bonuses when I was with them.

Rick, I think that going indy is probably the smarter idea if you can bankroll it. I don't have the money right now that's why I chose to finance an Allstate agency. If I stay on target though, my agency will be worth about $150k after 3 years and my loan should be paid off. My plan is to start looking for an indy office that I can buy with that money and get out of the captive game at that point.

As a captive, it does suck having all of your goals shoved down your throat, especially when they want you to sell something (life, commercial, health, etc.) that you don't want to sell. I focus on the home and auto because that's what makes me the most money. They want me to sell more financial stuff because that makes them the most. I can't complain though, I chose to come here and like I said, this job has given me a ton of freedom. You will have to hire a secretary if you want to take vacations though, the companies don't like you closing up shop.

 

[patch36]

Re: Farmers' or independent agent? Advice needed.

I think it is a 5 year program to become a full fledged Farmers agent and have your loan subsidies repaid if you hit the run to daylight numbers consistently.

I quit well before then and paid the advances and loans back out of my first quarter earnings as an independent.

You will starve at Farmers for at least the first 5 years unless your dad subsidizes you and lets you work his book of business....

 

[Soaringagent]

Farm town might be good to learn the ropes and get good training.

 

[strefins]

1o years ago when I started in this business I sat in a room full of, at least 20, recent life insurance exam grads ready to be recruited by Mass Mutual and made into selling machines. Our "motivational" speaker that day made a comment; "In a month there will be only half of you left. In a year, only a handful." He was right.
This industry is not for everyone. It has a lot of great benefits but, I believe, you have to sacrifice to succeed. I enjoy the independent lifestyle. My quotas are set by me. If I don't perform, I don't get paid. I did struggle in the beginning and during that struggle I learned.
Crazy Rick....it's probably about time to get a new job or start selling P&C. That is the beauty of this business. You have so many options. If one side of the industry is not doing well for you, try the other side. Once you are fully licensed then you can offer so much more.

 

[xrac]

The current economic situation is far from completely played out. When it is all said and done none of us know what the landscape will look like or what will happen in the meantime. In this environment a lot of people are going to lose jobs, lose investments, lose homes and a lot of businesses will fail. The next few months or years may be more difficult ones for all of us. Some agents may fail because of where they are at and how badly the local area is hit. My point is we all need to prepare for the worst, expect the best, work harder than we ever have, and be very wise in our planning and expenditures. If we are changing careers or going from captive to INDY we need to be very through in our preparation and conservative in our financial projections. Now is the not the time for wild hair planning.

 

[MoonCrowe]

The Farmer's subsidy program is 2 years. The goals are easily hit. If you are an independent, you need to sell more than these goals to survive.

Yes, it isn't for everybody. Yes, being an independent has it's good sides. But if Farmer's is sooo bad, how is it that they are the second largest provider of Auto and Homeonwer's in the country?

Training is what you make of it. Even as an independent you have incentives for production with different companies.

I loved being an independent. Now as I rejoin the market, I find that captive provides me with some things I don't get as an independent, National advertising, a shrinking agency base, Name recognition and a method to sell my book at retirement that is measurable.

 

[Crazy Rick]

I see. I understand all the factors now. I'm planning way too far into the future. I've been a conservative spender my whole life, now isn't any different. Farmers I think is huge because most people recognize the name. I've been with Amica since '94, I don't want to change, that's why Farmer's is so huge: this mind set. I see now that their goals aren't as difficult to achieve as I thought but I still don't have a liking to a regimented lifestyle; this comes from 20 years working for others and not really earning much and just dealing with it.

I was going to try my hand at Health and Whole Life now until I get my P&C -I'm stuck on some Commercial General Liability areas.

Things aren't as bad as they seem now that I look at it. Time to brush up on my Group plans and maybe that'll work for me too. We'll see.

I know that I like supervising people and I have a record of getting my subordinates motivated to do whatever it is that they do. I know that I want to be in charge of an office or a book of business and to call the shots and have people come to me when they need answers.

It appears I have a long road ahead regarding owning the Farmer's sign and building my team and getting like-minded producers and other personnel on board if this is the direction I take and if it'll work for me. In time I guess.

Too bad these life-changing decisions can't be figured out overnight: I can't stand wasting my time. We'll see though.

Once more unto the breach dear friends. We push on.