SIAA Alliance for Independent Insurance Agents

[pzerarka]

May we deal directly with SIAA or do we have to go through one of the Master Agencies in the area?

Yes you do need to contact your local Master Agency (MA). I am in AZ, NV, and NM. If you do not know the contact of your local MA, go online to SIAA and request info, or just connect with me. at [email protected] 602-885-6115

 

[FLInsa]

First for full disclosure let me say that I don't know nor have ever spoken with Patrick. And yes, I am an IA in Florida that has been using SIAA since I opened my agency in December 2011.

Whenever I check the forum to see what is going on with other fellow agents I am always amazed to see the misinformation that is being dished out to newbies looking to open their agency - so let give you my "real life experience" with SIAA that may help:

1. Is SIAA expensive?
Well, it depends on who you're asking. Some people think BMW and Mercedes are expensive and some think they are not. To me SIAA was not "expensive" because I had planned ahead financially to open my agency and based on everything that SIAA was offering at that time and has offered me throughout these last two years - quite honestly when I look back all I can say is wow, what an awesome investment that was!

2. Is there a fee for wanting out of the SIAA contract?
Of course! Do you know of any company offering what SIAA offers that does not? That is a given! That's why when signing an agreement with SIAA (or anyone else for that matter) you really want to make sure you KNOW 150% what you are signing and the LONG TERM COMMITMENT that you are making to yourself that your agency will succeed no matter what. Because if your agency succeeds then the fee for getting out of the contract isn't really a big deal - IMHO.

3. Do some agents not read the SIAA contract?
I am sure there are some that don't but to be brutally honest more than likely these are the agents that fail and shouldn't be in business to begin with because if you as an agent are not reading a long term contract that you're about to sign, how then could a client trust you to read his/her policy and make coverages recommendations - doesn't make sense right?

Now that I helped address some of the misinformation on this thread, let me tell you what SIAA has done for me (as always though YMMV):

1. Access to carriers
Even though I had 15+ years of P&C experience as a producer, there was ABSOLUTELY no way that any of the top hitter carriers (Nationwide, Liberty Mutual, Travelers and etc...) would appoint me as a brand new agency (at least in Florida) period. With SIAA I immediately had access to most of the top hitters.

2. Binding authority
With SIAA I can quote and bind anytime of the day that I want to. No waiting for this that or the other. This was important to me since life in the P&C business happens quickly.

3. Not a franchisee
Being independent was very important to me so the fact that SIAA never "messes" with my business and/or how I run my agency is huge to me. I get to see my SIAA rep maybe once per year so they do their thing and I do mine and me "likeS" that!

4. Direct appointments
With SIAA after you have produced a certain amount of premium you now get your own direct appointments with the carriers. So based on production I am just about ready to pick up my direct appointment with Liberty Mutual for commercial and Safeco for personal and appointments with Nationwide and Travelers are not that far off. So the question you as an agent have to ask yourself is how much are these DIRECT appointments worth? To me and my agency, they're truly priceless!

5. Ability to hit the ground running
I opened my agency 12/14/2011 and to date (in two years) my BOB total PREMIUM is $1,709,212. If I didn't have access to the SIAA carriers though I would probably be right around $1,000,000 in premium so having access to the big carriers was and continues to be a CRITICAL part of my agency. Plus, in the P&C environment today, an agency that does not have access to the top carriers will struggle for sure.

In conclusion, is SIAA right for everyone? NO! There are some other good options out there but you have to do your due diligence as an entrepreneur to determine what is right for you/your agency.

The only other advice I can leave you with is this, if you are opening an agency today have at the very MINIMUM $100,000 liquid CASH, have a very strong marketing plan, and align you/your agency with an outlet that will give you access to the big carriers.

PS* I hope Patrick I didn't divulge any proprietary information here as I was trying to be as general as possible. Hopefully this will help a newbie trying to decide which way to go when opening his/her agency. My marketing rep in Florida is Terrie Franco (love her!).

 

[xrac]

First for full disclosure let me say that I don't know nor have ever spoken with Patrick. And yes, I am an IA in Florida that has been using SIAA since I opened my agency in December 2011.

Whenever I check the forum to see what is going on with other fellow agents I am always amazed to see the misinformation that is being dished out to newbies looking to open their agency - so let give you my "real life experience" with SIAA that may help:

1. Is SIAA expensive?
Well, it depends on who you're asking. Some people think BMW and Mercedes are expensive and some think they are not. To me SIAA was not "expensive" because I had planned ahead financially to open my agency and based on everything that SIAA was offering at that time and has offered me throughout these last two years - quite honestly when I look back all I can say is wow, what an awesome investment that was!

2. Is there a fee for wanting out of the SIAA contract?
Of course! Do you know of any company offering what SIAA offers that does not? That is a given! That's why when signing an agreement with SIAA (or anyone else for that matter) you really want to make sure you KNOW 150% what you are signing and the LONG TERM COMMITMENT that you are making to yourself that your agency will succeed no matter what. Because if your agency succeeds then the fee for getting out of the contract isn't really a big deal - IMHO.

3. Do some agents not read the SIAA contract?
I am sure there are some that don't but to be brutally honest more than likely these are the agents that fail and shouldn't be in business to begin with because if you as an agent are not reading a long term contract that you're about to sign, how then could a client trust you to read his/her policy and make coverages recommendations - doesn't make sense right?

Now that I helped address some of the misinformation on this thread, let me tell you what SIAA has done for me (as always though YMMV):

1. Access to carriers
Even though I had 15+ years of P&C experience as a producer, there was ABSOLUTELY no way that any of the top hitter carriers (Nationwide, Liberty Mutual, Travelers and etc...) would appoint me as a brand new agency (at least in Florida) period. With SIAA I immediately had access to most of the top hitters.

2. Binding authority
With SIAA I can quote and bind anytime of the day that I want to. No waiting for this that or the other. This was important to me since life in the P&C business happens quickly.

3. Not a franchisee
Being independent was very important to me so the fact that SIAA never "messes" with my business and/or how I run my agency is huge to me. I get to see my SIAA rep maybe once per year so they do their thing and I do mine and me "likeS" that!

4. Direct appointments
With SIAA after you have produced a certain amount of premium you now get your own direct appointments with the carriers. So based on production I am just about ready to pick up my direct appointment with Liberty Mutual for commercial and Safeco for personal and appointments with Nationwide and Travelers are not that far off. So the question you as an agent have to ask yourself is how much are these DIRECT appointments worth? To me and my agency, they're truly priceless!

5. Ability to hit the ground running
I opened my agency 12/14/2011 and to date (in two years) my BOB total PREMIUM is $1,709,212. If I didn't have access to the SIAA carriers though I would probably be right around $1,000,000 in premium so having access to the big carriers was and continues to be a CRITICAL part of my agency. Plus, in the P&C environment today, an agency that does not have access to the top carriers will struggle for sure.

In conclusion, is SIAA right for everyone? NO! There are some other good options out there but you have to do your due diligence as an entrepreneur to determine what is right for you/your agency.

The only other advice I can leave you with is this, if you are opening an agency today have at the very MINIMUM $100,000 liquid CASH, have a very strong marketing plan, and align you/your agency with an outlet that will give you access to the big carriers.

PS* I hope Patrick I didn't divulge any proprietary information here as I was trying to be as general as possible. Hopefully this will help a newbie trying to decide which way to go when opening his/her agency. My marketing rep in Florida is Terrie Franco (love her!).

FLInsa, you sound like a satisfied customer.

 

[Milkman1265]

Patrick, can you explain how the process works? Or provide some insight as to how MA operate?

I have applied on the main SIAA website 3 times once each year. As well as contacting the regional MA.

First year, I have contacted the MA that is responsible for my region. After multiple voicemails and emails, i get 1 response that they will be in touch next year as this year they are not interested in my area. Then in the insurance magazine, i see that they announce they signed up an agency about 5 blocks away from me. I know the area very well and there was no agency in that area, so i am assuming it is a scratch agency.

Are there Territory guidelines? If so, that means i will not even get the contract in the future, right?

2nd year, attempt and 3rd year attempt. I only get transferred to voicemail and no response from email.

Is there a pre-filtering criteria, for selecting someone to work with? At least, if i do not qualify, i would know so. I much rather get told NO because i am too small than string along. I would like to work toward the criteria that fits.

I have reports ready, business plan, marketing plan, etc... ready to discuss but just never had the chance to talk to my regional MA.

Are there any routes around the regional MA or they are my only chance?

 

[blue_wynd]

^ Yeah, what's up with that. The man has been trying to reach out and just want a chance and youse ain't giving it to him. I take back all the good things I said about SIAA. :(

 

[insurance1822]

Joining SIAA was the best decision of my business career & they came through on EVERY SINGLE PROMISE. I could not be happier & never thought I'd be where I am today. I had no clue how profitable & successful the SIAA relationship would be that I signed 2 years & 2 days ago. Our master agency is awesome & this year I'll enjoy over $25,000 of profit sharing that I never would have seen only 2 years in (and if Safeco's rates were adequate you can throw on another $10,000 of profit sharing.)

Everybody is in business to make money & of course alliances/master agencies/clusters are going to get a cut. Who the hell thinks you can just get direct appointments with awesome carriers at top level commissions with profit share right away & no premium requirements (or very little.) LIKE REALLY??? YOU THINK THAT'S GOING TO BE FREE? Our master agency has 65 ISM's and I don't think 1 has parted ways at contract end.

 

[pzerarka]

Patrick, can you explain how the process works? Or provide some insight as to how MA operate?

I have applied on the main SIAA website 3 times once each year. As well as contacting the regional MA.

First year, I have contacted the MA that is responsible for my region. After multiple voicemails and emails, i get 1 response that they will be in touch next year as this year they are not interested in my area. Then in the insurance magazine, i see that they announce they signed up an agency about 5 blocks away from me. I know the area very well and there was no agency in that area, so i am assuming it is a scratch agency.

Are there Territory guidelines? If so, that means i will not even get the contract in the future, right?

2nd year, attempt and 3rd year attempt. I only get transferred to voicemail and no response from email.

Is there a pre-filtering criteria, for selecting someone to work with? At least, if i do not qualify, i would know so. I much rather get told NO because i am too small than string along. I would like to work toward the criteria that fits.

I have reports ready, business plan, marketing plan, etc... ready to discuss but just never had the chance to talk to my regional MA.

Are there any routes around the regional MA or they are my only chance?

Really sorry to hear that, and I sure don't appreciate it myself. I am not sure what happened, but at least you should have been advised as to either you fit or not.

Please private message me directly with your State and location and I would gladly reach out to you and put you in touch. You can also email me directly at [email protected] or call me at 602-885-6115. Glad if I can help!

----------

Joining SIAA was the best decision of my business career & they came through on EVERY SINGLE PROMISE. I could not be happier & never thought I'd be where I am today. I had no clue how profitable & successful the SIAA relationship would be that I signed 2 years & 2 days ago. Our master agency is awesome & this year I'll enjoy over $25,000 of profit sharing that I never would have seen only 2 years in (and if Safeco's rates were adequate you can throw on another $10,000 of profit sharing.)

Everybody is in business to make money & of course alliances/master agencies/clusters are going to get a cut. Who the hell thinks you can just get direct appointments with awesome carriers at top level commissions with profit share right away & no premium requirements (or very little.) LIKE REALLY??? YOU THINK THAT'S GOING TO BE FREE? Our master agency has 65 ISM's and I don't think 1 has parted ways at contract end.

I Couldn't say it better. This is a GREAT opportunity for those that want to grow their book profitably, and prosper in a WIN-WIN business proposal.

 

[Tylerstc]

I signed up with SIAA in February of this year. It was the best business decision I could have made. You need to view the relationship as a long-term commitment, and if you do, I think it would be beneficial for most people. There are a lot of good things about being with them.

A lot of people balk at the start-up fee, because other "clusters" don't have them. Below are a few things about the start-up fee that I think help mitigate the negativity towards it:


-I was able to do a favorable payment plan for the start-up fee. They were very flexible, more so if I had needed it.

-The bonuses and special bonuses certain carriers have, more than pay for it.

-The higher initial fee, also comes with lower commission fee's they charge.

-By having an initial fee, that helps weed out a lot of the "tire kicker" agents. They are looking for serious agents that are in it for the long-term. That helps them get in good with the carriers which helps them get agents direct appointments.

-The discount I get with EZlynx, almost pays for my monthly payment.

-I'm not sure exactly, but I think I get higher commission with some carriers than if I were independent. I know for sure I do on renewals with my largest carrier (since I'm under a certain amount of policies in force).



Those are some good things about being with SIAA, but the best part is the access to get direct appointments immediately with good carriers. I came in with 6 months of experience in the Insurance Industry, and they took me on.

I was appointed within the first month with 8 PL carriers. I had no experience with Commercial Insurance, but had a few CL carriers contact me to get me appointed (SIAA didn't even know about it and didn't set it up) just because I was with SIAA.

It sounds like each Master Agency is different, but mine has been great. They don't meddle in your business, but if you want advice and need some help, they are there for you. That's perfect for me, as I want to be my own boss, and don't want anyone looking over me or have stipulations I must meet. I highly recommend.

 

[reedrhoden]

Apparently experiences may vary. Mine was not good. After 2 years in business we had written over 3 million in new business premium and less than 200k was through an appointment that we got from SIAA. Of that 200k, 150k was with travelers and we were told travelers had a 250k first year volume commitment (by our SIAA master agent) and that we couldn't get that on out own. Wrong... We met a travelers rep at an industry event and they told us the first year commitment was 35k. They painted us a lot of pretty pictures and told us about green meadows but they weren't real. This is especially true if you are in a heavily surplus line state like those on the gulf coast. They also claim to offer support. Wrong... My agency had a larger more qualified support staff than my master agent had. A few times I had accounts that I was having trouble placing ad sent to my master agent to see if they could place it for me. It was like a black hole. No one would ever get back to me and when I would call to follow up no one knew who was handling it. Probably because no one was! In my experience they over promise and under deliver. It's also heavily inexperienced agents for the most part. You'll get a smattering of ex captives, ex life and health guys, life and health guys who can't make it selling only life and health, personal lines only shops and bucket shops content to sell progressive auto and mobile home policies all day. Again, looking at some of these responses apparently experience varies depending on master agency but the agents it was not top flight insurance professionals at my master agency.

Sent from my iPhone using InsForums

 

[xrac]

Apparently experiences may vary. Mine was not good. After 2 years in business we had written over 3 million in new business premium and less than 200k was through an appointment that we got from SIAA. Of that 200k, 150k was with travelers and we were told travelers had a 250k first year volume commitment (by our SIAA master agent) and that we couldn't get that on out own. Wrong... We met a travelers rep at an industry event and they told us the first year commitment was 35k. They painted us a lot of pretty pictures and told us about green meadows but they weren't real. This is especially true if you are in a heavily surplus line state like those on the gulf coast. They also claim to offer support. Wrong... My agency had a larger more qualified support staff than my master agent had. A few times I had accounts that I was having trouble placing ad sent to my master agent to see if they could place it for me. It was like a black hole. No one would ever get back to me and when I would call to follow up no one knew who was handling it. Probably because no one was! In my experience they over promise and under deliver. It's also heavily inexperienced agents for the most part. You'll get a smattering of ex captives, ex life and health guys, life and health guys who can't make it selling only life and health, personal lines only shops and bucket shops content to sell progressive auto and mobile home policies all day. Again, looking at some of these responses apparently experience varies depending on master agency but the agents it was not top flight insurance professionals at my master agency. Sent from my iPhone using InsForums

It seems the key is the Master Agency.