The Next Step...

Ferman2011

New Member
1
Hello Everyone!

I am new to the forum and I hope to learn as much as possible for your experiences. I wanted to share with you all a little about me, I have reached a crossroad in my life and I would like as much info as possible before I take the next step.

I've been a licensed agent since 2006. I've worked with mostly independent brokers since I started so my experiences consists of working with Standard/Non-standard co's and clients.
I am P&C licensed in almost all states. I dont have my Life&Health license but am currently studying for it. Presently I am working for a huge Carrier as an agent in auto/renters in a call center. I have been there for about a year, Its ok but moving up the ladder there isn't something that I am willing to do. I know my potential, and ultimately I would want to use all of it for my own goals and dreams.
I was contacted by a Farmers agent/recruiter and was presented with an opp to become my own agent. From my past expirences, I have never dealt with commission, residual income, renewals, losses, etc. I've been a w2 employee and my biggest concern has been my paycheck. The recruiter informed me that Farmers is growing and look to double by 2020 in AZ. Prerequisites are that first i need my Life&Health License then from there I would need to go thru a trial or "tough love" as the agent put it. I would need 40 units consisting of auto/home/life before I can start to get a base pay + commission. My main concern is not knowing how they do business and the unknowns that lie ahead with this type of venture, I have a steady paycheck and steady bills that follow and unfortunately the savings aren't there to cover my monthly expenses while I start...
I am super excited! I have always wanted to become my own agent and my own boss but have never had the mentor/employer to help facilitate my goals. Promises include very good commissions, leads, tools, to become successful and to one day have my own office. I am super grateful to have found this site, and I thank you in advance for any info/advice you might have for me.
 
I would find a company other than Farmers to go with.
 
The most important thing you can know about going with Farmers is that there is no "base pay". It is a LOAN that you will have to PAY BACK if you don't succeed. Keep this in mind before you sign anything. Farmers does not do a good enough job of making this clear to it's recruits in my opinion.

I would need 40 units consisting of auto/home/life before I can start to get a base pay + commission.
 
I am a Farmers agent and find it interesting that someone posted that they would find another agency to go with but didn't say why.

I started in insurance for a larger broker and was like you, recognized the fact that I wasn't realizing my potential. I went to work for a Farmers agent as a sales person and worked like that for about a year before I decided whether or not owning my own agency was for me. You might want to consider doing that first - that way you can test the waters before you jump in with both feet. So here's what I suggest:

Work for an agent who owns his/her own business and negotiate at least a 75% payout...there's no reason for them not to do this as long as you're paying for your own marketing. After all, you're putting policies in THEIR book AND they're keeping 25% of your commissions. After you've done that for 9-12 months and are SURE SURE SURE that you can meet Farmers quotas, then I would give the career choice further consideration.

Furthermore, I find this to be an important exercise because of all the "quirks" that you'll need to learn and trust me, when you're in the position of running/owning your own agency you do NOT want to have to learn those things then. Learn them ahead of time if you can. Farmers billing system is better than it used to be but is still a little complicated and lots of clients complain about it - you really have to know your way around it. They also have some things inside of their quoting system that you need to be aware of...like if you say a home is 100% brick on the exterior, the system automatically fills the interior walls as brick too and it makes the RC skyrocket...unless you know what you're looking for, or know that it does that, you can lose business. These are just a couple of examples.

Also, Farmers does NOT have a great life product. It is very, very difficult to sell and once you do sell it, the prospect has to fit Farmers criteria or they won't write it. Farmers has 2 contracts for you to choose from when you sign your career agreement and with both of them you have to have 4 life policies PAID and ISSUED within that quarter or they will suspend your subsidy. If that happens 2 quarters in a row, they pull your contract and you're done.

Same with home and auto (which I personally have no problem selling, but some people do), if you don't meet your quota, they suspend your subsidy and if that happens 2 quarters in a row, they pull your contract.

Like I said, if you can work for another agent and give it a "trial run", you'd get a better feel for whether or not you're ready for a 100% commission job and not have to risk paying Farmers back if you end up losing your contract (did they tell you if for any reason you fail you owe them $$?)

Some other things they may not have told you - if and when your state runs out of marketing money, you won't get reimbursed for your leads. Make sure you nail them down to where these leads are coming from that they are promising you. If they say 21st Century, ask them at what point you are eligible for them.

Last but not least, once you convert to career, Farmers takes a good amount of $$ out of your subsidy every month for things like E&O, MVR's, certain types of leads, FEPAC (which is a state fund), marketing dollars, etc., etc., and it varies by state and district. Ask them to show you the deductions from a couple of agents so you can see for yourself - I'd be glad to show you mine if you'd like - there's no secrets - everyone knows everyone's business anyway.

I personally love Farmers. I do not love their life product but they have your back and while they do have their drawbacks, so does everyone else.

Oh, and one more thing - make ABSOLUTELY POSITIVELY 100% SURE that you have a good district manager because without that, you are barking up the wrong tree.

Feel free to email me with anymore questions. In short, I do like running my own Farmers' agency, but there are lots of things to consider and be aware of. [email protected]
 
Farmers wants to double in size in AZ, HAHHHAHAHAHA

The funny thing is, I am doubling MY IA by writing Farmers Policies......

If you still need a normal paycheck, I would try Country Companies, it might be Country Financial now, I do believe they give you a smaller paycheck and some commission,
 
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Hello Everyone!

I am new to the forum and I hope to learn as much as possible for your experiences. I wanted to share with you all a little about me, I have reached a crossroad in my life and I would like as much info as possible before I take the next step.

I've been a licensed agent since 2006. I've worked with mostly independent brokers since I started so my experiences consists of working with Standard/Non-standard co's and clients.
I am P&C licensed in almost all states. I dont have my Life&Health license but am currently studying for it. Presently I am working for a huge Carrier as an agent in auto/renters in a call center. I have been there for about a year, Its ok but moving up the ladder there isn't something that I am willing to do. I know my potential, and ultimately I would want to use all of it for my own goals and dreams.
I was contacted by a Farmers agent/recruiter and was presented with an opp to become my own agent. From my past expirences, I have never dealt with commission, residual income, renewals, losses, etc. I've been a w2 employee and my biggest concern has been my paycheck. The recruiter informed me that Farmers is growing and look to double by 2020 in AZ. Prerequisites are that first i need my Life&Health License then from there I would need to go thru a trial or "tough love" as the agent put it. I would need 40 units consisting of auto/home/life before I can start to get a base pay + commission. My main concern is not knowing how they do business and the unknowns that lie ahead with this type of venture, I have a steady paycheck and steady bills that follow and unfortunately the savings aren't there to cover my monthly expenses while I start...
I am super excited! I have always wanted to become my own agent and my own boss but have never had the mentor/employer to help facilitate my goals. Promises include very good commissions, leads, tools, to become successful and to one day have my own office. I am super grateful to have found this site, and I thank you in advance for any info/advice you might have for me.

GO TO: Farmers Insurance Group Sucks

Let me tell you a little about my experience with Farmers.....I put my resume online and got a call from the "District Manager" the very next day. Got interviewed and hired on the spot to be a "Reserve Agent". They don't pay you during that time when you are considered a reserve agent, and the DM lied to me and told me I would start getting a "salary" as soon as I became a "Contract Agent" which wolud be after I sold 44 p&C and life policies. After doing some research online I found out that this "salary" is not a salary at all, it's a LOAN which you will have to PAY BACK if you don't sell the exact amount of policies they require you to sell in a two year period. This means that if you choose the $2500 a month subsidy option X 24 months and you dont meet quota, you'll have to pay that back, usually at the highest interest allowed in your state. OH and did the recruiter mention that you don't actually own your book of business? THEY OWN IT, and when they decide to fire you, they keep and they will pay you whatever they think it's worth. SOOO after you've spent all your money in leasing an office, paying staff (they want you to hire people right away), paying for marketing and all kinds of crap, you will actually be in DEBT when they decide they don't want/need you. Did the recruiter also mention that Farmers has just about the worst rates in the country?? I was quoting prospects and just couldn't compete because farmers rates are about 30%to 40% HIGHER than ALL the competition! They will tell you in the training that you're selling value over price and what not. Bottom line is this: THE PRICE WILL ALWAYS MATTER to the prospect and they aren't going to buy a policy that will cost them an extra $600 per car just because you're nice. OH and the training is DUMB. They look you in the eye and flat out lie to you, saying things like "you WILL succeed" and that the other agents that were "let go" were "just lazy". The life sales trainer was STALKING my every move to make sure I sold the 4 stupid OVERPRICED life policies so I could become a career agent, she said she would pay me $250 if I bought a life policy for my husband even after I had told her MANY times that he doesn't need/want one because he has one through his work. They want you to sell those initial 44 policies to all your family and friends. AND the reason why the DM or Recruiter will be so nice to you is because they are going to get a huge bonus (about $5,000 or more) when you sign the devil contract ! I was there for a month and resigned. Think twice........:no:

Sorry about the rant.........but this company is out to get you.
 
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I am a Farmers agent and find it interesting that someone posted that they would find another agency to go with but didn't say why...................

Do you want to know why? Read the post above. There are dozens of posts on this forum like this. I have a very good friend who was with Farmers a number of years. He was successful with Farmers and was about to strave to death until he went INDY.
 
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