Starting New AAA Agency?

Feb 23, 2011

  1. DT1970
    Offline

    DT1970 Expert

    Posts:
    57
    Likes Received:
    0
    State:
    Michigan
    AAA found my resume online and sent me a stock recruitment letter to start a new AAA Agency.

    Anyway, there appears to be scant information on AAA and their agency system.

    Is there anyone who can shed light on their process?

    -money involved?
    -how is the training setup?
    -Looks like there are AAA agents on every corner unless I'm not seeing it right
    -They dont' pay residuals or ? How do their agents make money...100% churn?
    -And what is the opinion of going AAA for an agency?

    Thanks
     
    DT1970, Feb 23, 2011
    #1
  2. PrivateEquity
    Offline

    PrivateEquity Expert

    Posts:
    37
    Likes Received:
    1
    Run!!!!!!!!!!!!!!!!!!!!!!!
     
  3. shrops
    Offline

    shrops New Member

    Posts:
    17
    Likes Received:
    0
    State:
    Wisconsin
    With AAA it really does depend where you are based... every state/Region has a different club and insurance works completely different in every state.

    From what I can see, you are in Michigan which would be Auto Club Group which is based in Dearborn. The problem with AAA is that you have people peddling their stuff on every street corner. They have Captives, Independents, a call center that will steal any and everything you do, and what they call Exclusive agents- what you are looking at.

    If you don't have a book of business, run very fast and very far away. Their EA setup is pretty much garenteed failure. They will give you some money to set things up, but with a poor commission structure and saturated market you could do better just about anywhere else. If you wanted to give AAA a try your better off going straight captive... but they problem you have their is an top-heavy management structure that will manage you to death.
     
    shrops, Mar 1, 2011
    #3
  4. DT1970
    Offline

    DT1970 Expert

    Posts:
    57
    Likes Received:
    0
    State:
    Michigan
    Thanks Shrops...great info.
     
    DT1970, Mar 6, 2011
    #4
  5. SSINS
    Offline

    SSINS Expert

    Posts:
    21
    Likes Received:
    0
    State:
    Georgia
    And this is why I love this forum
    - - - - - - - - - - - - - - - - - -
    Is this a captive relationship?
     
    Last edited: Mar 25, 2012
    SSINS, Mar 25, 2012
    #5
  6. AllGold
    Offline

    AllGold Guru

    Posts:
    477
    Likes Received:
    0
    State:
    Michigan
    This thread is about five years old. Anything new on the subject?

    I would hope they've made some improvements to their entrepreneurial agency arrangement since then. If nothing else, it sounds like their 1st year commissions are really good--but that is kind of an introductory thing and after the 1st year the commissions drop back to normal.

    Anyway, I really haven't found anything newer than this thread so I'm very interested to hear some more recent opinions.
     
    AllGold, May 23, 2016
    #6
  7. wfs
    Offline

    wfs Guru

    Posts:
    332
    Likes Received:
    20
    Going captive (for me) was like going temporarily insane. I have recovered and they let me out of the institution... :err:

    Captive can be a good way to learn, as long as you are an employee of the captive agent, not the agent/owner.

    I can't tell you much about AAA, but I imagine all of the stories have one thing in common - you pay out of your pocket for a book that you don't truly own. You are playing in a commodity race, where eventually, your company will be the one that is losing tons of policies.

    It's all part of the cycle.

    Personally, I would RUN not WALK away from any P&C captive shop. Heck, I'd stay away from P&C completely.
     
    wfs, May 23, 2016
    #7
  8. louiefrias
    Offline

    louiefrias Expert

    Posts:
    64
    Likes Received:
    0
    Owning an agency...just starting out can break you...in many ways...don't let a start like that be the reason you walk from an awesome career. If I were you, I'd check out my site in my sig...the careers page. Best wishes!
     
Loading...