P&C Agency Ownership -Great Life
- Thread starter insurance1822
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NCSU INS GUY
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I can't for the life of me figure out why people think Erie isn't truly independent or why certain independents hate on Erie. Some of you just seem bitter towards Erie, not sure if it's from losing business to them or not being able to get an appointment with them, but I literally don't understand. They are fantastic to their agent and their policy holders. They offer very good products/coverages and back it up with fantastic claims service. They wouldn't have the loyalty that they do if they weren't what they are. Yes they want to be your top carrier, but that just falls into place without trying in my agency anyway. I have probably 10 other companies and certainly consider myself independent.
I also don't think Erie is the only way or necessarily even the best way to make it, but they certainly are a good way to make it.
Btw started scratch with Erie after leaving Allstate not even 2.5 years ago and am already bringing in close to 150k before ever getting a bonus. So "not going to make it" is not applicable here. Maybe you're in a market where that's true, but it definitely isn't here.
I also don't think Erie is the only way or necessarily even the best way to make it, but they certainly are a good way to make it.
Btw started scratch with Erie after leaving Allstate not even 2.5 years ago and am already bringing in close to 150k before ever getting a bonus. So "not going to make it" is not applicable here. Maybe you're in a market where that's true, but it definitely isn't here.
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Erie has standards that many IA's are not accustomed to. For one...they protect their agents and offer great products/pricing....in return they expect some loyalty and frontline underwriting. Find another carrier that has the growth/persistency of an Erie book.
We also have many major national brands...but Erie seems to earn the business the majority of the time.
We also have many major national brands...but Erie seems to earn the business the majority of the time.
I have always wondered as I have my P&C license, how long it takes to build a decent book of business if you really go out and work. Now I know that is dependent on the person, but in reality, how long did it take some of you to get to the $1,000,000 figure (book of business) if you are there. Can you do it only with personal lines, or do you need Commercial as well?
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I'm 80% personal lines and broke $1M in premium before my second year was over. I had the referral partners and clients from being in the business before going independent though.
Depending on the area you live in $1M may not be the magic number though that's $120-150k in revenue. So depending on cost of living and your overhead you can probably get by on much less.
Thanks for the input. Every once in a while I get a wild hair to actually work more hours, as I don't consider Medicare and Final Expense a full time job, even though it is full time pay.
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Captive guy has me beat. Took me closer to 2.5 yrs. I'd say your average scratch probably takes 4-5 years to make it. It all depends on the person and the companies they can get appointed with as a scratch agency.
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Captive producer for 4.5 years out of college & then opened Indy in wife's name to maintain my income from captive. Leased cheap "desk" space in essentially a ghost office so carriers could see a physical location, but operated out of home. 3 years into the business we were writing exponentially more then I had ever imagined. Also acquired a $900,000 book 2.5 years into the Indy world. Now we're slightly over $3,000,000 w/ 2 locations. Simply made a list of every single agency within 25 miles & cold called to identify acquisition candidates. That paid off within 6 months (although the book we bought wasn't the greatest cross-sold-preferred book...) however we quickly rolled the monoline business into our preferred carriers and are still doing so.
If you're captive I suggest you focus on your organic referrals & corresponding close ratios. Do the arithmetic & put together a plan. When we opened our indy I took a $25,000 pay cut & my conservative plan was to break even year 2 & start increasing income year 3+. Don't "guess" on anything...RUN - THE - NUMBERS, go indy..and kick @$$
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That was the equivalent of a pre game pep talk from a coach in the insurance world. I love it. I'm hyped!
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insurance1822 you are the man. In a world dominated by older agency owners the opportunity for a younger producer/principle is limitless.
Once their book of business gets to a certain point they get fat and lazy. More worried about playing gold then writing new business
Once their book of business gets to a certain point they get fat and lazy. More worried about playing gold then writing new business
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