Hello, about Progressive insurance

Apr 24, 2019

  1. Selenge
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    Selenge New Member

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    Hello, all members!

    I am so happy to found this community. I am very new in this industry (P&C) and trying to figure out where I should start. I am wondering if there is any way to sell progressive insurance without opening independent agency. Any information would be very important for me. Thank you for your time! By the way I am in IL, Chicago.
     
    Selenge, Apr 24, 2019
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  2. ConradG
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    ConradG New Member

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    I'm not sure what you mean. You could go through a wholesaler or mga, but is there a reason you wouldnt go direct? Its not difficult to get setup and go direct?
     
    ConradG, Apr 24, 2019
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  3. Selenge
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    Selenge New Member

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    Thanks, I mean even I am more interested in independent agent however opening an agency sounds little complicated. When I try to fill the progressive application for appointed agent, it required me to put an agency information. Would you mind to give me some tips to Become independent agent in Wholesaler or mga?
     
    Selenge, Apr 24, 2019
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  4. ConradG
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    ConradG New Member

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    Starting an independent agency is easy, keeping it is hard.

    The super basics are in the article that I have below. If you are brand new I would not recommend starting your own agency yet. Look up what independent insurance agencies are in your area and ask them if they have any openings for a commission only position. They will be able to guide you through what you need to know. Don't start out all on your own, you will make some costly mistakes.
    How to Start an Insurance Agency | Insureon Solutions
     
    ConradG, Apr 24, 2019
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  5. Selenge
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    Selenge New Member

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    Thank you so much for thw good information. I also agree, keeping it in good standing with right partner is important. Thank you.
     
    Selenge, Apr 25, 2019
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  6. BADTROUT
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    BADTROUT Guru

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    Starting out as an Indy certainly can be tough without a safety net... and not everyone is the "right" person to run an agency. You can be great at insurance and bad at business or vice versa. The best will do both well. Doing research like this is a great first step!

    You can directly contract with carriers but getting a good mix of contracts from scratch can be difficult without an agency network. Make no mistake, you CAN do it without a network and this is coming from a guy that founded a network. A network just takes the edge off of the processes, helps with carrier relationships, and in many cases can maximize your bonus potential far earlier than you would on your own.

    When choosing an access provider, there isn't a perfect fit for everyone and there are MANY different ways networks work. Here are some great questions to ask when looking for a cluster/aggregator for your agency.

    1. Do you have a good carrier mix across the lines of business I want to use in my agency?
    2. Do you have any production requirements?
    3. Do you provide an agency management system?
    4. Do you provide comparative raters?
    5. Do you have a non-compete or non-solicitation if I decide your network isn't for me? If so... why?
    6. Do you have any exit fees?
    7. Can I sell my agency at some point?
    8. HOW do I access the carriers... do I submit everything to you, or do I get DIRECT access to the carrier?
    9. How long is my contract for, and do I get ownership right away, or over time?
    10. What are the startup fees and are you willing to work with me?
    11. What is the commission rate?
    12. What share do I get of the contingency bonuses?
    13. Do you offer guidance and training during the startup phase of my agency?
    14. Are you open to me contacting some of your member agencies?

    There are more, but I think the MOST important thing someone can do other than reading the contracts of many networks, speaks to the owner/president of each network to get a feel for the culture. Let's face it, some people you like the minute you meet them, and then there are others that make your skin crawl...

    There are many great organizations out there, and there is an opportunity for you to do this even without a network. If you are going to work your tail off, you ought to be working for you! The network I started doesn't currently have any plans to be in Illinois for the next couple years, so when you get to the point of choosing a partner, please feel free to reach out and I can help you evaluate your options with an unbiased opinion.

    Best of luck @Selenge !
     
    BADTROUT, Apr 25, 2019
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  7. garzawin
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    garzawin Expert

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    garzawin, May 21, 2019
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