As JD would say, she probably just doesn't know what she doesn't know!
Lincoln just axed one of the bigger telesales agency’s
- Thread starter DonP
- Start date
- 19,812
If you want to make money for the pimps then sign up for that crap.
If you want to make money for yourself then avoid that crap like the plague.
If you want to make money for yourself then avoid that crap like the plague.
- 6,340
To pay reduced comp in exchange for unlimited free leads I can see.
But to take the agents renewals for yourself and leave the agents with no residual income?
Immoral.
- 19,812
And assign commissions to boot.
Dumbest move I ever made in this business was assigning commissions.
Mine was even worse in who I assigned to. But it's a lesson well learned and never repeated.
- 17,129
People that take that deal are not comparing it to other insurance jobs. They are comparing it to working the drive through window at Wendy's.
And Wendy's doesn't pay renewals either.
- 4,149
exactly
- 26,563
Dang it, now a want a loaded baked potato with chili.
- 6,340
That doesn't make it right, newby.
Look, leads are expensive these days. Would I take a reduced comp for some sort of subsidized or "free" lead program? Possibly for a telesales set up (never, or almost never for F2F).
But to take the comp down to 20%, max at 70% if someone manages to write $50K in two weeks time, only to reset them to 20% at the beginning of the next "pay period?"
The only thing worse would be to offer a "financed" lead program where the company reports lead debt (as opposed to charge-back debt) to vector.
- 19,812
- 17,129
No I'm not saying it's right. But that is what they are comparing it to when they sign up. Jobs that they can easily get outside of the insurance industry.
When an agent first told me about the 20%, I really couldn't believe it. But I assume what was happening was they were paying out around 50% in the past and the agent had to stand good for chargebacks. But the agents would often be gone and out of the industry by the time the chargebacks hit so they were often uncollectible. So I'm assuming what happened is he just built the chargebacks into the commission grid and covers them himself.
I don't know that to be a fact, I'm making assumptions.
