How Many Independent Agents Want an Exclusive Contract with a Cluster?

Jan 5, 2016

  1. sam816
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    sam816 Super Genius

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    A few of the well-known clusters are offering exclusive contracts, what are the pros and cons of signing this type of contract? Would you take one?

    TIA.
     
    sam816, Jan 5, 2016
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  2. indienoise
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    indienoise Guru

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    Pardon me if I'm misinterpreting the question, but no, I wouldn't want an exclusive contract with a cluster.

    That would mean you're captive to the cluster, you can't get appointments outside what they offer, you're stuck with them.

    I mean, if you just love you group that much then sure go wild, but that's not something I'd sign up for.
     
  3. insurance1822
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    insurance1822 Guru

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    ya not sure I follow this here?
     
  4. sam816
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    sam816 Super Genius

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    What I meant by "exclusive" was one can only get all his appointments through the cluster, and is not allowed to pursue direct appointment with any carrier if it is not offered by the cluster.
     
    sam816, Jan 5, 2016
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  5. insurance1822
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    insurance1822 Guru

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    I am not familiar w/ that. Which clusters? My group which is SIAA does allow outside appointments. You're supposed to get approval before doing so (which I have always done..) but many agents don't bother. The theory is you should want to put your business w/ those partner companies to maximize revenues as a whole. When I pursued my own direct appointments, it was for gaps that I needed filled & the group didn't have a powerful player there.

    I don't like the way it sounds unless they have carriers for every single market you need & then some others.
     
  6. agentinsouth
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    agentinsouth Guru

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    That would be the stupidest thing I could think of doing as an independent agent.
     
  7. cgreene
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    cgreene Guru

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    Negotiate you own contract with the cluster group. Every agency is different and will be treated differently.
     
    cgreene, Jan 5, 2016
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  8. indienoise
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    indienoise Guru

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    Why are you considering such a thing? Isn't the point of being independent to actually own your business?

    The clusters who required an exclusive contract are the ones I took the least seriously. As far as I'm concerned, they exist only to get rich off your efforts, not to help you thrive and be a real partner to you.
     
  9. insurance1822
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    insurance1822 Guru

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    ^ You know what...you seem all grown up now. Nice looking website w/ a hot chick....no longer drinking the Nationwide koolaid. Apparently not only surviving, but growing in the IA world. Getting direct appointments & moving up...

    Touche
     
  10. indienoise
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    indienoise Guru

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    Ssshhhh...don't let my hot chick secret out.

    Don't want everybody knowing how I do it.

    Also, I'm official as of today. First preferred appointment, done.
     
    Last edited: Jan 6, 2016
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