Placing an Agent in an Auto Dealership

LDG

Expert
50
I've spoken to a few agents who market heavily to auto dealers including one who parks an agent at a dealership and partners with them.

Does anyone have experiences to share with partnering with a dealership and staffing the dealership with an agent? It's something that i'm considering and would like some advice.

Intuitively I would think it's hard to capture the preferred business leaving only no prior customers and poor risks.

Can anyone share their experiences?
 
I'm a team member with State Farm. It's a great way to generate quick business. I'm not sure if its creates the best business as lot of these customers do not pay or cancel prior to 6 months. But there are good customers as well. I always try to have them call them come down to office to try to gain other business.

If you market dealerships you gotta be available for late nights/weekends that's the main value you can bring them.

I work 5 dealerships probably gain on average 40 households a month from them. I go to the dealerships on a weekly basis bring them lunch/breakfast to build relationships with them.

I imagine I could write more business through other companies as State Farm is pretty strict...I'm a point where im wondering what the best companies to work for to get even more customers through dealerships as it is pretty easy way to get leads....
 
I'm a team member with State Farm. It's a great way to generate quick business. I'm not sure if its creates the best business as lot of these customers do not pay or cancel prior to 6 months. But there are good customers as well. I always try to have them call them come down to office to try to gain other business.

If you market dealerships you gotta be available for late nights/weekends that's the main value you can bring them.

I work 5 dealerships probably gain on average 40 households a month from them. I go to the dealerships on a weekly basis bring them lunch/breakfast to build relationships with them.

I imagine I could write more business through other companies as State Farm is pretty strict...I'm a point where im wondering what the best companies to work for to get even more customers through dealerships as it is pretty easy way to get leads....

A friend of mine owns 5 Ford dealerships located in small towns in Florida.

I'm working on a pitch and considering offering an agent at one of the dealerships who would quote business for all of the dealerships.

Or perhaps my auto agent could be contacted via text and the sales deal emailed for quoting.

I am an indépendant agent so I have Travelers, Foremost, Hartford, Progressive and a handful of non standard carriers. I'm working on a AutoOwners appointment.

So I should be able to offer good pricing to most any risk.
 
Goodluck on the AO appointment. They act like their sh*t doesn't stink. Is your agency located in Florida?

A lot of the dealership networks around me have started in-house agencies...Cadillac, land rover Mercedes, etc. They don't care as much about getting the deal right away but they have all the info already and a lot of those people are preferred and own homes. A lot more leases are coming out of these dealerships so they are getting the 100/300 biz.
 
Goodluck on the AO appointment. They act like their sh*t doesn't stink. Is your agency located in Florida?

A lot of the dealership networks around me have started in-house agencies...Cadillac, land rover Mercedes, etc. They don't care as much about getting the deal right away but they have all the info already and a lot of those people are preferred and own homes. A lot more leases are coming out of these dealerships so they are getting the 100/300 biz.

Yes, I'm in Florida.

I'm not looking to get appointed by AutoOwners I'm looking to purchase an agency that is already appointed with them.

I'm meeting with my friend who owners dealerships for lunch on Friday and want to have some general parameters and concepts of what I'm pitching.

Either I'll pitch partnering and opening an insurance agency with the dealer or figure out some renumeration and put a branch of my agency into their dealership.

Not sure if there is enough net profit to designate 1 agent just to the dealership business.
 
A friend of mine owns 5 Ford dealerships located in small towns in Florida.

I'm working on a pitch and considering offering an agent at one of the dealerships who would quote business for all of the dealerships.

Or perhaps my auto agent could be contacted via text and the sales deal emailed for quoting.

I am an indépendant agent so I have Travelers, Foremost, Hartford, Progressive and a handful of non standard carriers. I'm working on a AutoOwners appointment.

So I should be able to offer good pricing to most any risk.

You're not gonna need that Auto Owners appointment for people who walk into a Ford dealership who don't already have a policy. I interviewed a guy last year who works at a fancy dealership in FL that decided they needed an insurance agency. Jaguar dealer or something like that. He isn't selling anything. At best he's jamming some nonstandard dude who just inherited money into a carrier who doesn't want him. The dealership owner is perplexed why someone buying a 80k car already has a policy. I'd go with the text or referral idea. And all you'll need is your nonstandard carriers 90% of the time.
 
I setup in a dealership who "spotted their cars". If the contract wasn't accepted by any of the lenders they would bring the car back. They thought they would "puppy dog" the client, so they would come up with more money to help get the deal bought. Only problem, customer wants a refund that you've already sent to the company. Not an ideal place for business. Now Geico pays under the table. Been told, you've got to pay to play. Owners haven't a clue why the salesmen are always putting the client on the phone with Geico. See my other posts about this. Please if you can, let someone who can do something about it, know about it. Good luck! It ain't easy. I wish you well. And the other post is right...not very good retention.
 
You would have to do some research on this, but I'd venture to guess that certain vehicles see less claims, and certain vehicles also and to see higher retention. Perhaps it's the same type of vehicle. My guess would be higher end economy cars. But some time spent on research, could be very valuable. Then, you could target dealerships that sell those vehicles.
 
Worked in a dealership program for one of the major carriers, ( not Geico). Most, if not all customers in new car sales had coverage. Local military installation seemed to have area locked down with USAA. Customers in used cars were covered at about 75% and driving records disqualified many for an insurance switch. Work week was 7 days, 9-9 PM, unless deal was in works and went past 10 PM. Best place for in-dealership agent would be very busy used car, higher price, low mileage shop with in-house financing. Even a high volume dealership only sells 10 cars a day. How many already have coverage? Most!
 
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