This is an Odd Comparison but Its on the Table

Apr 19, 2016

  1. Advisor06

    Advisor06 Guru

    Likes Received:
    What is your thoughts between NYLife or Liberty Mutual? I know it is P&C vs Life but as overall career opportunities for the short and long term success. I have experience in the life business over the last 10 years but I worked as a captive and still need assistance on how to build a book.

    Any shared experience would be great, thanks!
  2. Derrick

    Derrick Super Genius

    Likes Received:
    Go independent. Have ownership in your book. Under the captive mode, you have no REAL ownership, and it's always cut cut cut. They may throw a nut here and there, but otherwise they put their thumb down. You said you've been doing it for 10 years so obviously you know how to sell.

    In the indy world, I have a whole slew of products to choose from. I would say the 2nd most important thing than a fact-finder for life insurance, is recommending a life product that specifically meets the needs of said prospect. If NYLife doesn't have a rider or feature that would really help the prospects unique situation, are you just going to refer them elsewhere? Probably not. So then are you going to fit them into a life product that doesn't really fit their needs, at least not as well as it could others? Being independent, you can have access to 10-20 different top-rated life and health companies.

    Also lets talk about captive P&C, and Liberty Mutual. They inherently have a very defined market because they can't accept any and every type of risk but you can only do business for them. For auto and home, people only budge so far no matter how good of an agent you are. And if your rates are uncompetitive? You're SOL. Also, if LM cuts your commission rates, or benefits, what can you do?

    I went from captive L&H to independent P&C/L&H. Best decision I have ever made. If an independent insurance company wants to cut my rates, I either stop doing business with them or even worse, I send them junk business. It really does keep them honest. If someone has a good "insurance score" but a bad driving record, I can put them in a market that will take their home at a great rate because of their insurance score, and then put their vehicles with a non-standard carrier. That is an option that your captives just don't have.
    Derrick, Apr 20, 2016