What Are My Options for P&C in CA?

[MikeM.]

Came upon this website recently and I wanted to know what are my options in entering the P&C market in California?

I've been looking around for options and it seems there aren't much besides Farmers Insurance. I would like to take my 52 hours soon and take my test but I don't know what my options are. I have no problem and actually prefer doing sub contracts/1099. I know that it will be impossible to just get contracts directly from companies so this is the reason why I'm asking. Any help would be deeply appreciated.

 

[sgriswold]

I wouldn't recommend Farmers to start out. They have a "throw stuff at the wall and see what sticks" mentality for their new agents; you're basically on your own until you prove yourself. Also it seems they've worsened their contract (read: made their agents strictly captive) in recent times.

I'd recommend either cutting your teeth with a veteran State Farm agent until you figure things out, or work for a good independent agency that can start you off with enough training and income to prevent you from starving.

 

[VolAgent]

Have you considered contacting independent agencies in your area and seeing if they will bring you on as a producer?

 

[MikeM.]

Thank you for responding to my posts. So far, no such luck in finding someone to work with in my area. I've contacted a few agencies who have posted on craigslist but received no response from them when I emailed them as requested by them.

I need 1099 contract because P&C is not the only thing I will be focusing on and I don't want to be tied down to one employer/agency selling only what their agency have to offer.

Last year, I had an old friend who is with Nationwide approached me and he wanted me to be a producer for him but that is not the market I want to focus in. I need a P&C just to cross sell and earn some extra money on the side. It's not going to be the "main focus" of my business. The majority of my capital will be used in marketing for FE and mortgage life protection.

 

[VolAgent]

FYI, you can be captive and 1099. Always read the contract.

 

[MikeM.]

FYI, you can be captive and 1099. Always read the contract.

You are correct. Thank you.

If I can find contracts. Does any one know how much money should I put aside to run a P&C agency for the first year? $20K, $30K?, $50K? It will just be me doing all the work.

 

[Bertolinoins]

There is more service work in P&C than most other lines, doing P&C on the side rarely works. Just my 02 cents.

 

[MikeM.]

There is more service work in P&C than most other lines, doing P&C on the side rarely works. Just my 02 cents.

Thank you for your input. Since my original post, it seems that if I can find contracts with a P&C cluster, I'm going to go all in with P&C as the main focus instead.

Now, I just have to find contracts and figure out how much money needed to set aside to run a P&C agency full time.

 

[OCinsurance]

Mike, where in CA are you located?

 

[MikeM.]

Mike, where in CA are you located?

I'm located in Sacramento, CA.