Independent Agent vs Captive

[Sam]

Stayfit, if you look through all of the negative posts towards UA and UGA, you will find that most of the problem people have had is with the fact that most of their plans suck. As a result, you have to either drink the Koolaid, or sell products that you don't believe in.

Nevertheless, I think everyone agrees that if you are good at sales, you can definitely make a lot of money with these companies. Especially if you stick it out, go to management, and vest, you will be doing very well.

Arguably, it is better to be captive selling overpriced life and financial products than to sell poor quality health plans.

The ethics of selling someone a product that is a good strong product but just isn't the cheapest out there, don't bother me nearly as much as selling health plans with gaping holes in them.

 

[midwestbroker]

I am currently captive, because to sell the plans I wanted to sell in the senior market I had no choice. But I am with a very reputable company with a good product for this market.

If you are new starting out, I would say go captive. You will have the training, support, marketing, leads (should have leads if you are captive) to build a solid book of business. My database has a lot of names (700 or so), not people from a list, but clients, referrals, people from events and seminars, etc. Build up a pipeline then you can go indy with clients, not by yourself.

Mind you I am senior market, and the Medicare market is very different. However, this is what has worked for me.

If I left today, I leave all my renewals behind. However, leaving with a book of business / prospects, gives you leverage if you want to go captive with another company (I have had numerous offers), or leverage with some carriers for marketing (done that too).

 

[Crabcake Johnny]

There is nothing wrong with being captive and I think the consensus on this board is captive is the way to go when you're new. My problem with a lot of captive companies is lack of training, teaching the "friends and family" failed method of getting business, and lacking products. This is not true of all captive outfits. Some provide excellent training, leads and have great products. It's just all about research.

 

[stayfit]

It sounds like your unsure about what the next step should be to take. What is causing you to rethink your strategy with NAA and consider other alternatives?

Correct; I'm unsure. It's tough financially, but I didn't expect to make $250k in the first year. I can't talk to people in my office for obvious bias reasons; or to other agents that are always dropping off, for their opinions. I want to talk to you guys, who have learned from the school of hard knocks, and maybe hope that I can learn from you.

What do you think? Can you do better somewhere else? What "specifically is better? Earning 100,000; 200,000; 500,000 a year? Do you want to work out of your home and not mess with sales meetings and seeing people come and go within your outfit. Can you function 100% w/out daily and/or weekly support from other agents? Do you want to sell life, health, disability insurance, etc. etc.? What are your goals? Once those questions are answered it will make it easier to understand what you want and recommend some possibly solutions.

My situation made clearer: I work out of my home, go into the office every Monday to turn in my apps, and have a meeting once every other Monday. Yes, it's kind of depressing seeing people depressed around me(80%, right?), but only do this once a week. Nothing's perfect.

I would have started out in the same manner I did when I first become licensed. I was able to see the good and the bad about UGA as I stayed with them for about a year. Then I decided to leave because I couldn't force myself to sell those policies any longer. I originally thought about becoming a recruiter and think I would have done very well in that business. Then I went on quite a few interviews and saw the "corporate" world that did not sit well with me at all. Apparently most of the companies who were hiring wanted somebody they could mold (w/out any sales background), and in a nutshell, would be their little bitch. NO THANK YOU!!!!!!!

I'm one of the office's better producing agents, which boggles my mind, because I feel like I'm hardly getting by. But, they leave me alone for the most part, due to my production. I LOVE that! I don't want to be in the corporated world anymore; love self-employment. I get jacked when I leave someone's house, and helped them, when no one else could, and they're thanking me all the way to my car. That, and money is all I want.

I originally spoke with John P. upon finding this board and he, along with Scott, played a huge impact in my decision to go independent.

I think life has thrown me quite a few speed-bumps since I started selling insurance back in 2006. I started my agency back in January and have been fighting ever since. One key ingredient I would have liked to have when I started would have been $10,000-$20,000 in expendable income and expenses saved up for 6-9 months. I had 3 months saved up and $0 in marketing when I started. I do not suggest anybody takes the same path I took unless they have no choice.

I don't have anything close to that saved; maybe 3g's.

This forum, along with the support of my loves ones, has kept me going. I might also add I'm a bit stubborn and don't easily give up but that's' another story. Things have a way of working out so I'm sure whatever decision you make will be the right one. Just count on a 6-9 month learning curve starting out and prepare to do A LOT of reading.........

I'm stubbern also; but I don't want to be stupid. There's a difference between stupidity and ignorance; that's why I'm trying to learn from you guys. I really appreciate your feedback!

 

[stayfit]

Stayfit, if you look through all of the negative posts towards UA and UGA, you will find that most of the problem people have had is with the fact that most of their plans suck. As a result, you have to either drink the Koolaid, or sell products that you don't believe in.

Nevertheless, I think everyone agrees that if you are good at sales, you can definitely make a lot of money with these companies. Especially if you stick it out, go to management, and vest, you will be doing very well.

Arguably, it is better to be captive selling overpriced life and financial products than to sell poor quality health plans.

The ethics of selling someone a product that is a good strong product but just isn't the cheapest out there, don't bother me nearly as much as selling health plans with gaping holes in them.

I agree whole heartedly; UA's coverage is not close to the best out there. But they don't charge for it, either. I always put it like this; "We all want a car with all the bells and whistles, but some of us can't afford that. We just need transport from point A to B. UA's coverage is for the niche of people that are getting ready to drop their Health Insurance period, due to affordability. I can help them with basic coverage. Sure this car doesn't have a CD changer, or electric windows. But these things won't stop you getting to point B. We know you can't file bankruptcy for unpaid medical bills. Our policy will help you to not lose your house when a situation arises. There are companies and plans out there with the CD changers; our company is for those who would rather pay for that out of pocket if they want it, instead of financing it into the loan. That's how I can feel good about helping people out with UA.

 

[Crabcake Johnny]

Wow....posts like that send shivers up my spine remember when I was chugging the Mega Kool Aid. I'm also appointed with UA and can write their plans. Know how many I've had to write? Zero.

 

[stayfit]

Wow....posts like that send shivers up my spine remember when I was chugging the Mega Kool Aid. I'm also appointed with UA and can write their plans. Know how many I've had to write? Zero.

That's exactly why I posted in the first place; I would like to be in your position, where I can "offer" that coverage, but if someone is looking for something else, and can afford it, I can do that, too. If you are willing to spend a little time w/me, to explain how I might be able to do that, fantastic! Who am I going to ask, my manager?

 

[Crabcake Johnny]

410-874-7241.

 

[senior-advisor-indiana]

UA is not any cheaper though is it? Its also more like the car is missing the air bgs, not the cd player

 

[Crabcake Johnny]

A better analogy is UA is like a car without a transmission. It'll start but when you need it to go....