What Type Insurance Carries Highest Premiums?

Discussion in 'General Insurance Agent Discussions' started by Woods Rider, Jul 29, 2017.

  1. Woods Rider
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    Woods Rider New Member

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    I've been selling Waterfront Condo Association insurance with a friend. When he got into the business some premiums were over $500,000! One deal would pay him $50k.
    With our deal being a 50/50 split, I got into selling based on my average commissions being $20,000 to $30,00 per sale.

    Now that I'm in the business I learned that rates have declined and my average commission is closer to $5,000 to $10,000 per deal.

    Now he is selling his agency to a larger company which is making me want to look elsewhere for opportunities.

    What commercial insurance carries the highest premiums thus the most potential income per sale? I'm 55 and planning on doing this for another 10-15 years.
     
  2. adjusterjack
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    adjusterjack Guru

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    Insuring Betty Grable's legs and Jimmy Durante's nose comes to mind.
     
  3. GreenSky
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    GreenSky Guru

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    Workers compensation for roofers, salvage divers and those who wear red shirts on Star Trek.

    Rick
     
  4. entrep1776
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    entrep1776 Guru

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    Older sister is Ob/gyn. Her Malpractice insurance was going to be so high in IL that she decided to practice in Indiana. Anyone have any doctor's /hospitals malpractice insurance number$?
     
  5. entrep1776
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    entrep1776 Guru

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    What do you have in your collection right now?
     
  6. jlanier
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    jlanier Super Genius

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    Where are you located?
     
  7. Markthebroker
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    Markthebroker Expert

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    I think the best way to make a lot of money is to focus on high retention clients who are also high premium. Not just high premium. HOA premiums are huge, but also very high turnover and very hard to keep. Very hard to get in the door and get ahold of the decision maker. Lots of politics and back door under the table deals, too. Every HOA has a board of several people that come and go. Each of those people on the board have cousins, spouses, neighbors, etc. that sell insurance. Typically as well the board votes to shop the insurance each year. Very hard to keep on the books.
     
  8. ginniferhadley
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    ginniferhadley Expert

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    I think home and auto insurances.
     
  9. indienoise
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    indienoise Guru

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    The higher the premium, the higher the turnover and the more competitive it can be to acquire and retain. I'd rather find decent sized accounts that I could keep on the books a while. Find a niche you can serve better than the next guy.
     
  10. somarco
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    somarco Guru

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    Situations with the greatest amount at risk generally carry the highest premiums.
     
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