Need Advice on Career Path/change!!

[Insurance-Guy]

I have a few producers that work for
me. This is what I do and it seems to work. If the producer needs a base salary it is $300.00 week plus benefits and a 50% NB 25% Renewal CXM. Now if it is straight CXM and I have a 60% NB and 30% Renewals Health 50-50 split. I pay all expenses, CPU, desk office phones Advertising E and O etc. I also have a few Salary based comericial lines producers/csrs that get 25% on NB and RN.

I worked for 9 hrs before I bought the agency on a 50 NB 25 RN split and had a base of 350 week with benefits and made 75k my 2nd year and was making 100k a year after that.

 

[mrjohntiney]

That would be awesome compared to what I get now! Which is nothing. I make 40% cxm. Supplemental is a tough sell now a days. But I write enough to get by. Thanks for the help.

 

[Insurance-Guy]

I meant I worked for 9 years not 9 hrs damn iPhone.

 

[Frank Stastny]

I meant I worked for 9 years not 9 hrs damn iPhone.

I was going to get an iPhone but if it makes those kind of mistakes I think I will pass.

 

[Insurance-Guy]

Wasn't the iphone's fault it was operator error! Trying to type to fast on it. Or it auto corrected my misspelled word!

 

[mrjohntiney]

Well it looks like it's going to around 80% on NB and 50% on renewals. Does that sound like a good deal? I will be using their office and they do supply everything needed for me to work and get started. They will train me and pay for my E & O. I have to get licensed on my own before I can get started though. No biggy. Just a couple hundred bucks to get all that done.

I have a pretty good sized account base with Aflac and getting started making money will be no problem. I have clients all the time wanting me to do their auto or home or their business coverage. They were kinda excited about me coming on board. Looks like I may have some leverage in negotiating my commission. Does the above sound good or what are you guys recommendations? Thanks for the help.

 

[Insurance-Guy]

Sounds good...any base? Benefits?

One thing you need to keep in mind about P&C is you are looking at much more business to generate the same commissions as a decent life case. Take a 1000 auto policy at 15% is 150 then your 80% is down to 120.

So it will take longer to get yourself making good money but don't get discouraged once you get a base built up and your renewals start rolling in you should be ok. Just keep your eye on your cancelations when you are first starting out the chargebacks can kill you.

I also think 80% NB is great and 50% RN is a great contract...I don't think I would offer anything like that unless someone was bringing a load of business with them.

 

[xrac]

Well it looks like it's going to around 80% on NB and 50% on renewals. Does that sound like a good deal? I will be using their office and they do supply everything needed for me to work and get started. They will train me and pay for my E & O. I have to get licensed on my own before I can get started though. No biggy. Just a couple hundred bucks to get all that done.

I have a pretty good sized account base with Aflac and getting started making money will be no problem. I have clients all the time wanting me to do their auto or home or their business coverage. They were kinda excited about me coming on board. Looks like I may have some leverage in negotiating my commission. Does the above sound good or what are you guys recommendations? Thanks for the help.

That is more than fair.

 

[mrjohntiney]

There is no base or benefits. But I'm use to that. I've had my own BC/BS for the last 2 years anyways. I pay less for my major med than most people pay through their jobs. So I'm ok with that. He is gonna supply the training and office space and that sorta stuff.

I guess because I have so much that I can write the day after I get my license is why they want me so bad. Plus I'm very good at sales anyways. I can sell crap on a stick if there was a market for it.

Are there any other suggestions or anything I should know before I take the 80% NB and 50% RN agreement?

 

[CaptiveGuy]

There is no base or benefits. But I'm use to that. I've had my own BC/BS for the last 2 years anyways. I pay less for my major med than most people pay through their jobs. So I'm ok with that. He is gonna supply the training and office space and that sorta stuff.

I guess because I have so much that I can write the day after I get my license is why they want me so bad. Plus I'm very good at sales anyways. I can sell crap on a stick if there was a market for it.

Are there any other suggestions or anything I should know before I take the 80% NB and 50% RN agreement?

Will you own your block of business? Is their a non-compete if you leave or start your own agency?

The commission split looks nice though see if you can work in some additional bonuses for hitting a certain premium amount