Health Insurance-on My Own or with an Agency?

[insurance gem]

I am a new agent focusing on Medicare Advantage Plans with United Healthcare. Not receiving leads from UHC and generating leads on my own. Currently I'm doing the business from home part-time while holding down a full-time job off-site in a different industry. I have a background in advertising sales and am experienced in sales and marketing to clients.

I met with an insurance agency interested in an agent offering Medicare plans and also selling group health plans. This is an established agency located 100 miles away and opening a new location with 3 agents selling P&C, home, auto and health. They provide office space and phones. Commission split is 40% theirs and 60% to me.

I'm located in a small town where many people retire so Medicare plans make sense. It's a rural area with only small business so not sure about group health.
I'm new to this industry and appreciate any feedback from seasoned agents.
1. What advice can you provide on the pros/cons of staying independent or going with an agency?
2. Is the commission split offered a fair one for health insurance?
3. Can selling group health to small businesses be profitable?

Thanks for your support. It's great to find this forum!

 

[Josh]

What is their primary focus? Most folks are better off indy with Medicare products, but having an agency to help you with group health can be a big plus.

 

[YouGotMyMoney]

I am a new agent focusing on Medicare Advantage Plans with United Healthcare. Not receiving leads from UHC and generating leads on my own. Currently I'm doing the business from home part-time while holding down a full-time job off-site in a different industry. I have a background in advertising sales and am experienced in sales and marketing to clients.

I met with an insurance agency interested in an agent offering Medicare plans and also selling group health plans. This is an established agency located 100 miles away and opening a new location with 3 agents selling P&C, home, auto and health. They provide office space and phones. Commission split is 40% theirs and 60% to me.

I'm located in a small town where many people retire so Medicare plans make sense. It's a rural area with only small business so not sure about group health.
I'm new to this industry and appreciate any feedback from seasoned agents.
1. What advice can you provide on the pros/cons of staying independent or going with an agency?
2. Is the commission split offered a fair one for health insurance?
3. Can selling group health to small businesses be profitable?

Thanks for your support. It's great to find this forum!

If your just going to sell some health and mostly medicare over the phone since it's a rural area, I would say not to give up a huge cut for office space.

 

[insurance gem]

Hi Josh, thanks for your reply. My initial thought was to sell Medicare only. The agency mgr suggested group health. The agency offers life, home, P&C, LTC, and they want a health agent. The previous one went indy.

 

[Josh]

There is probably a reason the previous one went indy, and it probably wasn't a bad one.

P&C agents are great, but typically someone offering you the deal they are *thinks* they're offering you a good deal, but really they're taking way too much off the top. That's especially the case because they probably aren't going to offer anywhere near the training/support to justify their cut. It's nothing against them, I truly believe most P&C shops like that mean well, but it's just not a good deal.

If you're going to sell group health, work with an agency that specializes in group health. If you're going to sell only Medicare, go with a shop that specializes in Medicare or go indy.

 

[insurance gem]

Thanks YouGotMyMoney and Josh. What you advise makes sense. I'll stay independent and work from home.