Progressive Appointments - Anything to Be Wary of in Contract?

[the mayor]

Re: Progressive Appointments - Anything to Be Wary of in Contract

In some cases...Progressive Direct will give the client a lower price.
You write a client....and they go online and get a lower price for the same coverage....much lower.
Try explaining that to a client.
Yes...I know that's not the perfect client to have....but it has happened to me and it will only get worse.

 

[VolAgent]

Re: Progressive Appointments - Anything to Be Wary of in Contract

In some cases...Progressive Direct will give the client a lower price.
You write a client....and they go online and get a lower price for the same coverage....much lower.
Try explaining that to a client.
Yes...I know that's not the perfect client to have....but it has happened to me and it will only get worse.

How is that the client's fault? The blame is all Progressive's. The channel in which I bought it should not make a difference. I shouldn't be able to buy a Big Mac from one McDonalds for one price, and a different price two blocks down the road. The client has every right to be mad about it too, they just don't know that the anger should be directed at Progressive and not the agent.

 

[Insurance-Guy]

Re: Progressive Appointments - Anything to Be Wary of in Contract

How is that the client's fault? The blame is all Progressive's. The channel in which I bought it should not make a difference. I shouldn't be able to buy a Big Mac from one McDonalds for one price, and a different price two blocks down the road. The client has every right to be mad about it too, they just don't know that the anger should be directed at Progressive and not the agent.

This is exactly how I feel. I have expressed this to the upper management at Progressive and the reply I have gotten back is that Progressive Direct and Progressive for agents are two separate companies. This is why you cannot even process an agent change with a person who is insured with Progressive direct. The policy has to be re written as customer leaving Progressive Direct. I have actually seen some that I am able to beat the Progressive Direct Rate this way with Progressive and obviously there are those that it would be cheaper if the purchased direct. They also have some little tricks that they use for buying online...that will put a credit on the policy the 1st term and then it is removed at renewal that competes directly with their agents. The bulk of their entire advertising is focused on the direct channel however they expect their agency force to continue to issue business with them and to remain loyal? They do have extremely easy software for issuing new business and policy service.

I seriously just use Progressive when I can't find another company that I can place the business...but they have some commercial auto rates that are extremely hard to beat for some risk so we have to use them. I know of a couple of agents around me that are doing book rollovers of their Progressive books. To be honest I wonder if a large group of agents all got together and book rolled the SH!T out of their Progressive Books if it would get their attention and maybe cause them to get their act together...​

 

[the mayor]

Re: Progressive Appointments - Anything to Be Wary of in Contract

How is that the client's fault? The blame is all Progressive's. The channel in which I bought it should not make a difference. I shouldn't be able to buy a Big Mac from one McDonalds for one price, and a different price two blocks down the road. The client has every right to be mad about it too, they just don't know that the anger should be directed at Progressive and not the agent.

It's not the client's fault...nor did I say that.
It is Progressive's fault.....and they could care less.
But there is no way of explaining it to the customer....and they think the agent is ripping them off.

 

[BTFuzz]

Re: Progressive Appointments - Anything to Be Wary of in Contract

It's not the client's fault...nor did I say that.
It is Progressive's fault.....and they could care less.
But there is no way of explaining it to the customer....and they think the agent is ripping them off.

I agree, this sux...I like Progressive for sub standard and motorcycles only. So I typically don't give a rip if they get p1ssed about the different rate. If I used them more for auto, I would probably care more. But for the little we use them, their technology trumps their lacking in other areas.

 

[VolAgent]

Re: Progressive Appointments - Anything to Be Wary of in Contract

It's not the client's fault...nor did I say that.
It is Progressive's fault.....and they could care less.
But there is no way of explaining it to the customer....and they think the agent is ripping them off.

You said its not the perfect client to have. Forgive me, but that seems to imply something is wrong with the client.

 

[the mayor]

Re: Progressive Appointments - Anything to Be Wary of in Contract

You said its not the perfect client to have. Forgive me, but that seems to imply something is wrong with the client.

As I said...it's not the client's fault that Prog is stiffing agents.
But...most of the time...we put a client in Progressive because of driving issues, cancellations or a cheaper car. And after you have done the marketing for the customer from what you have to offer.....they are out internet shopping...you are just a stop over until they find a better deal or get canceled. At which point...you, the agent , suck because they found a better deal or got cancelled.

 

[VolAgent]

Re: Progressive Appointments - Anything to Be Wary of in Contract

As I said...it's not the client's fault that Prog is stiffing agents.
But...most of the time...we put a client in Progressive because of driving issues, cancellations or a cheaper car. And after you have done the marketing for the customer from what you have to offer.....they are out internet shopping...you are just a stop over until they find a better deal or get canceled. At which point...you, the agent , suck because they found a better deal or got cancelled.

I'm not a P&C agent, I wasn't aware Progressive was strictly for substandard risks. I apologize, I thought you were referring to the clients shopping, not their risk.

People shopping you after buying isn't always a bad thing. Often they are just looking for validation they made a good choice. They just want to feel comfortable with you. What sucks is when the exact same company gives them a lower rate on the internet than what you did in your office.

 

[Guest]

Re: Progressive Appointments - Anything to Be Wary of in Contract

Progressive is NOT only for sub-standard, they also have a preferred classification now, the system will tell you and at the bottom of one of their quote screems, it will tell you if it is preferred or not.

 

[the mayor]

Re: Progressive Appointments - Anything to Be Wary of in Contract

I'm not a P&C agent, I wasn't aware Progressive was strictly for substandard risks. I apologize, I thought you were referring to the clients shopping, not their risk.

People shopping you after buying isn't always a bad thing. Often they are just looking for validation they made a good choice. They just want to feel comfortable with you. What sucks is when the exact same company gives them a lower rate on the internet than what you did in your office.

This is one of the reasons I do not do personal lines (although I am licensed to...). I am strictly commercial.

It was very easy to see the writing on the wall as far as online p/l..
Prog has good programs for motorcycles( which I refer to the p/l dept in the agency) and a few niches. But for the most part, at least where I am....it is the single car walk in that ends up there.

So Joe walks in....owns nothing but a mid level car. The agency puts him in a 6 month Prog policy. 3 months in he calls and says he can get it online cheaper...WTF???? He is pissed...but in the big picture...wasn't planning on being around for long anyways. This, sadly, is a good size and growing segment of p/l

A better customer is some one with house and vehicles that can be grouped for discounts.
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Progressive is NOT only for sub-standard, they also have a preferred classification now, the system will tell you and at the bottom of one of their quote screems, it will tell you if it is preferred or not.

And I will bet you that that preferred class is cheaper online direct than what you will be able to sell.