Government Bids for Property/Liability Insurance

[March]

Has anyone had any success or experience placing bids for Government Agencies/Municipalities/Schools etc. If so I imagine there is a massive amount of underwriting for certain risks, such as School Bus Fleets. Please lend me some insight into the customer service work vs. compensation.

 

[the mayor]

It depends on where you are and what you're bidding on....and what you have for carriers.

It can be a lot of work.

It can be a brutal market....plenty of specialty carriers that will blow you out of the water.

If you have to ask on a forum.....you will probably be in over your head.

The only positive may be a chance to network/ face time with people you can work with down the road.

 

[leevena]

I agree wholeheatedly with the mayor, but would like to add one more thing. Most of these bids are now done via a RFP process that has built in controls to eliminate "the good ole boy network" of the past. You may know everyone and their brother a the group but cannot tap into those connections.

I am working on a large one right know. Contract is for 5 years, but the comp is thin. Many have significant penalties for missed performance goals and you could get eaten alive. Of the expected profit, we have about 25%-40% of that at risk. You really need to know who the vendors are and what their true capabilities are and are not.

Good luck.

 

[March]

Thank you.

 

[the mayor]

Good call on the RFP process.

Be very aware of anyone....say, a rogue, blow-hard selectman....who comes to you for quoting.

He is just chest thumping and trying to show the other selectmen how great he is....
It won't work out for anyone in the end.

don't ask me how I know this

 

[robtmccarthy]

How difficult is it to get your foot in the door? seems like just getting into the public sector would be a challenge let alone the headache of dealing with a room full of politicians + a bunch of other brokers if it's an open bid.

Sounds like torture... but it must be worth it, cause people aren't doing it for fun.... lol

 

[the mayor]

How difficult is it to get your foot in the door? seems like just getting into the public sector would be a challenge let alone the headache of dealing with a room full of politicians + a bunch of other brokers if it's an open bid.

Sounds like torture... but it must be worth it, cause people aren't doing it for fun.... lol

It is absolutely brutal.
And for the average agency...slim chance of winning. You play against big dogs and specialty programs/groups.
I did it as a rookie....but would do it again under the right circumstance.
It did connect me to a few influential people who have become clients.

 

[robtmccarthy]

I'm not planning to try any time soon. Marshall & Sterling is in my backyard and they dominate the public sector.

One day, but today isn't that day =)

 

[Bertolinoins]

It's a waste of time unless you have a inside track. The RFP's are a ton of work for a longshot.

 

[Guest]

It's a waste of time unless you have a inside track. The RFP's are a ton of work for a longshot.

^^^^^^^^^^^What he said