How does carrier assignment work with IMOs?

[TheAnnuityExpert]

I've just started exploring making some changes and using other IMO/FMOs.

My question is....

If I let an IMO list/assign some carriers to me with them, does that mean any business I write with that carrier(s) HAS to be credited through them?

In other words...if i use more than one IMO/FMO I can't duplicate any carriers with each?

2nd question:
If I already have a direct carrier(s) relationship - how would that work if I write something with that carrier?

I work with an annuity FMO.

You don't have to write business if you get contracted.

Frankly you shouldn't get contracted until you have a piece of business anyways.

I rep 40+ companies, and I'm not aware of any annuity companies that allow dual contracting anymore.

The 6 month transfer rule is still in place. The release advice in this thread was solid.

Midland National is the only major annuity company I know of that will allow you to get directly contracted for annuities.

Every FMO has "Exclusive or Semi-Exclusive" products including the IMO I work with. It's a ploy for recruiting efforts.

Wait until you have a case, call a few IMOs. Choose the best rated company with the best results for your client, and go from there.

Always ask what your comp is too. Sometime, you might get cheated on that as well.

 

[TomZack]

Thank you AnnuityExpert!

That is a clear and solid answer to pretty much all of what I was asking - at least regarding the annuity arena. It is much appreciated.

"Frankly you shouldn't get contracted until you have a piece of business anyways."

That is what I am deducing. And also about doing my shopping as well to find the best scenario for each client's situation. Only contract at that time. Guessing/hoping it works that way for life products as well.

Only issue clouding that, is some IMO/FMOs require contracting with them to be able to their proprietary marketing tools and custom seminar systems - some of which look pretty good for some one like me.

As for life insurance, it it also hard to judge which ones (if any) are more effective than others. The concept of "in house underwriting" to help with troublesome or borderline health cases has been used as a selling point to attract agents by some groups.

Levinson already has now and is coming out with what looks like some new awesome marketing initiatives for agents and seems to have a wide mix of strengths.

I am looking at a number of IMO/FMOs and just gets too hard to tell which might be better for a 'newer' agent who is still trying to make the turn into full time. So many bells and whistles and no way to know which ones will actually care about a newer/small time producer.

Anyway, thanks to all for the advice.

 

[Travis Price]

I agree with using IMO tools. I would contract with one company (although I currently have a few carriers that I'm contracted with) until your marketing starts taking off.

 

[TheAnnuityExpert]

Thank you AnnuityExpert!

That is a clear and solid answer to pretty much all of what I was asking - at least regarding the annuity arena. It is much appreciated.

"Frankly you shouldn't get contracted until you have a piece of business anyways."

That is what I am deducing. And also about doing my shopping as well to find the best scenario for each client's situation. Only contract at that time. Guessing/hoping it works that way for life products as well.

Only issue clouding that, is some IMO/FMOs require contracting with them to be able to their proprietary marketing tools and custom seminar systems - some of which look pretty good for some one like me.

As for life insurance, it it also hard to judge which ones (if any) are more effective than others. The concept of "in house underwriting" to help with troublesome or borderline health cases has been used as a selling point to attract agents by some groups.

Levinson already has now and is coming out with what looks like some new awesome marketing initiatives for agents and seems to have a wide mix of strengths.

I am looking at a number of IMO/FMOs and just gets too hard to tell which might be better for a 'newer' agent who is still trying to make the turn into full time. So many bells and whistles and no way to know which ones will actually care about a newer/small time producer.

Anyway, thanks to all for the advice.

Here's my advice on IMO/FMO...whatever "MO"....

....And yes this is coming from an annuity FMO Wholesaler....

I would steer away from larger FMOs that does more than $1 Billion a Year in Annuity Production.

The reason, they don't or won't spend their bandwidth on you, and there's nothing wrong with that. It is what it is.

I would avoid FMOs that sell you bells and whistles rather than what's best for your client and FMOs that are wholly owned by annuity companies. They'll shove that specific annuity company's product on you on every case regardless if it generates the best result or not. In some cases, the wholesaler is an actual employee of that same annuity company.

As far as tools and programs go, most FMOs use the same vendors including the one I work with. Most use Annuity Rate Watch or Super Agent Tools for product comparison.

It really comes down to a matter of how much money you want to spend, and which programs truly work. Most insurance vendors blow smoke so don't buy into any hype.

The only way I know what works is talking to other producers, and their current (not past) experience.

You'll also want to consider your work environment as a factor when choosing a marketing program.

If you have an office, most programs will do however if you don't, and you go to prospect's homes, some programs won't work.

If I was a new agent, I'd look outside the FMO and insurance world, and find more traditional marketing....local SEO, radio commercials, online ads, etc.


And lastly, my biggest piece of advice, don't go all into a marketing program especially if it's gonna cost you an arm and a leg.

In this day and age, you should be able "dip your toes" into a new program, test the results, and adjust until you find your rhythm.

P.S. - Find out if the FMO or insurance company offers a marketing reimbursement program to help out with your marketing efforts.

 

[TomZack]

Ok, Thanks. Good things to consider. While I am willing to test, I'm not investing any significant $ until I see that it is worth it.