How to Make It Work? Building My Own P&C Business Using Existing LIFE Leads.

[KillerWhale]

Dear Colleagues

My situation is somewhat unique.

I work for a small insurance agency and all we do is sell term life using INET leads.

We do well, however; my company does not offer other lines of insurance such as P&C AND we don’t have any referral relationships with anybody who does sell P&C.

In other words, they buy INET lead, we sell them Term Life and this is the end of it. I feel like I am missing business opportunity here.

Moreover, I specifically asked my bosses about the possibility to sell life clients P&C after we are done with life. I was told that we don’t do that, but as long as my LIFE sales are OK they don’t care what I do next with my life clients.

Here is what I’d like to know:

1) How do I go about using the info I have to build my own P&C book of business?
2) How do I make sure I keep residual income from my P&C business?
3) What would be the best insurance company to go with?
4) How do I structure my relationship with the company/agent to make sure this book of business is mine?

I am licensed in 48 states.

Thanks for any constructive recommendation.

 

[SCLady]

Are you licensed in 48 states for P&C also, or just for L&H? You will need to get P&C contracts, which are harder to obtain for newly licensed, individual P&C agencies. If your agency is P&C licensed, it will be much easier to obtain the licenses. Do you use a quoting engine to quote your customers? You will need one to quote multiple P&C customers to avoid a lot of inputting information manually multiple times.

 

[KillerWhale]

Thanks for your input.

I am only licensed in 48 states as L&H, since my company only sells life and no other products.

My idea is to go back to my "Life" clients right after I am done with Life policy and solicit them for Homeowners or Auto insurance or both.

Something like:"... your life insurance policy went in force today, it was a pleasure doing business with you, and by the way, how much are you paying for your home insurance/car insurance?"

I LOVE the idea of residual income, but I have no idea how to organize it. This is where I need some guidance.

It looks like I will need to hook up with existing P&C agent, preferably licensed in all states.

But how do I make sure I get my residuals AND most important, how I make sure I control my book of business?

I would appreciate your thoughts on this.

Thanks.

 

[LGilmore]

I have had similar thoughts over the years. What I found is the P&C side is a different kettle of fish than life. Life companies will scramble to get one app from you. A P&C company won't give you the time of day without 2-300 accounts ready to be pulled over at a minimum.

It was disappointing to see that the P&C side doesn't want agencies that want to grow. They want grown agencies.

A life company will give you a chance. P&C not so much.
Good luck.

 

[KillerWhale]

Thanks LGilmore

If I was an owner of the agency I would grab as much business as I could. Somebody tells me he/she will bring in 10 accounts per month I would say "welcome and bring all your colleagues to me"

Anyhow, what in your mind would be the best way to go? Should I approach existing P&C agency and talk to them?

Thanks again.

 

[Guest]

killerwhale - Get you P&C license in your state. Don;t bother trying to go direct with a P&C insurer at first. AS other people have said they want the big boys. But, you can look for a P&C indy in your area for your state only. Cut a deal with him for a % of your business for 'your state only' with an exit agreement if you two end up not liking like each other. While you're doing that start getting licensed for P&C in other states. Once your licensed in other states cut deals with other P&C indy's or start contacting the insurers direct at that point. You usually need a book of business first with P& C insurers. A year down the road you'll have it and be able to call your own shots Who knows, maybe your partners will work out and you'll want to stay with them. If not you'll be free to go off on your own.

 

[KillerWhale]

Thanks for your input.

What is "indy"?
Thanks again

 

[Guest]

Thanks for your input.

What is "indy"?
Thanks again

indy - independent agent/broker. i.e., non-captive/career agent

 

[FL P&C Broker]

Aren't there P&C wholesalers that will allow a small producer to write auto and homeowners?

 

[WiseFS]

Re: How to Make It Work? Building My Own P&C Business Using Exis

I just wanted to mention that there's an agent in my office who did the same thing your planning on doing and he became extremely successful-- simply because he was the only one P&C licensed. And eventually he got his Health Lic too and saw similar success.

I wish you the best!