What if You KNEW Your Competitors Rates VS Prospects

[todd02]

So to be generic but get an understanding...

Let's use Texas as an Example simply because that's all I know.

In Texas we use consumer credit scoring as a huge aspect of their overall rate. Also I work for a captive (Farmers) who would never tell us agents which zip code we are currently most competitive in. Since agents would oversaturate a zip code causing adverse risk. However, I say "currently competitive in," because rates are constantly fluctuating...

What if you had a sales tool that said, "Hey Todd, today based on market information, zip code 12345 has the best rates for Farmers, with the highest closing ratio.

How much is that information worth? This is the main question.

 

[nyc2phi]

So to be generic but get an understanding... Let's use Texas as an Example simply because that's all I know. In Texas we use consumer credit scoring as a huge aspect of their overall rate. Also I work for a captive (Farmers) who would never tell us agents which zip code we are currently most competitive in. Since agents would oversaturate a zip code causing adverse risk. However, I say "currently competitive in," because rates are constantly fluctuating... What if you had a sales tool that said, "Hey Todd, today based on market information, zip code 12345 has the best rates for Farmers, with the highest closing ratio. How much is that information worth? This is the main question.

Really not worth much at all. If you're biggest rating factor is credit, you won't need a list to tell you where you're most competitive. Just market to areas where individuals and family's are well off.

Liberty Mutual is big on credit as well I did well focusing on focusing on the highly preferred clients. Bought the most preferred leads, lead with the homeowners insurance since homeowners generally have good credit, mailed to the good neighborhoods, etc.

 

[F150]

I just ask, my carriers provide the closing ratios in zip codes...

 

[todd02]

I just ask, my carriers provide the closing ratios in zip codes...

Your personal lines carriers provide closing ratios?

Anyone else get this from their carriers...? I've always been told this is TOP secret information so that zip codes aren't targeted and overwhelmed with new business causing adverse risk if a hail storm rolls through...

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Really not worth much at all. If you're biggest rating factor is credit, you won't need a list to tell you where you're most competitive. Just market to areas where individuals and family's are well off.

Liberty Mutual is big on credit as well I did well focusing on focusing on the highly preferred clients. Bought the most preferred leads, lead with the homeowners insurance since homeowners generally have good credit, mailed to the good neighborhoods, etc.

Maybe I didn't explain well enough.

For instance: Farmers has three client segments... Non-standard, standard, Preferred... Lets say zipcode 12345, I know that I beat Allstate customers in the Non-standard only market... Well non-standard customers bring in 2-3 times the premium and are only rated Nonstandard due to credit scoring... It doesn't necesarilly mean low profitability... Knowing this kind of info wouldn't be extremely valuable? Knowing how to target the highest profit producing customers vs. specific carriers???

 

[VolAgent]

Maybe I didn't explain well enough.

For instance: Farmers has three client segments... Non-standard, standard, Preferred... Lets say zipcode 12345, I know that I beat Allstate customers in the Non-standard only market... Well non-standard customers bring in 2-3 times the premium and are only rated Nonstandard due to credit scoring... It doesn't necesarilly mean low profitability... Knowing this kind of info wouldn't be extremely valuable? Knowing how to target the highest profit producing customers vs. specific carriers???

So, why couldn't you do the same? If you know you do well with non-standard and zip code XXXXX is full of non-standard prospects, market to that zip code.

 

[F150]

yes, all I have to do is ask. received it many times....

The difference is, as an IA, the carriers want to help me grow, you, with farmers, they dont want you to succeed nor do they want to grow...

 

[Texasproducer]

This thread is dysfunctional. I'd say that experience usually leads you to know which carriers are going to be competitive in a specific circumstance. With credit scoring being so heavy, it's more about the specific individual over the geographic location. Running into Farmers so much in DFW I could tell you where they are competitive.

 

[todd02]

yes, all I have to do is ask. received it many times....

The difference is, as an IA, the carriers want to help me grow, you, with farmers, they dont want you to succeed nor do they want to grow...

F150.... Were you on crack when writing that statement? Or are you one of those disgruntled Ex Farmers agents... Either way, that is a foolish statement...


I'm surprised this info about closing ratios/competition isn't as valuable as you guys are saying. There are HUGE advantages that you can use the info on from a marketing aspect. If I know closing ratios vs other companies in certain zip codes then I can target market through other avenues that are more specific increasing closing ratios and lowering my cost per client acquisition...

Anyone else have an opinion?

 

[insurance1822]

So to be generic but get an understanding...

Let's use Texas as an Example simply because that's all I know.

In Texas we use consumer credit scoring as a huge aspect of their overall rate. Also I work for a captive (Farmers) who would never tell us agents which zip code we are currently most competitive in. Since agents would oversaturate a zip code causing adverse risk. However, I say "currently competitive in," because rates are constantly fluctuating...

What if you had a sales tool that said, "Hey Todd, today based on market information, zip code 12345 has the best rates for Farmers, with the highest closing ratio.

How much is that information worth? This is the main question.

In my state I'm pretty sure that all carrier filings are available from the DOI. Those rules/rates manuals are extensively tricky to read & understand but it may be an option. Call the DOI & see what info is available.