Why some brokers suck!

[Martian]

I have a business I have been cold calling on and talking with the Human Resources director with for weeks now. He finally stated yesterday that the owner of the business will only buy if it is through the brokerage he deals with. I called the brokerage to see if I can work with them, the guy says he has an agent that works with us already that his life/health agent deals with, thanks for the information I will pass it to him. Effectively giving all my work and negotiation with a 150+ person group to another agent as a referral.

I have done all the work, visited the business, dropped off the material and everything else and his agent, who he couldn't remember the name for since he doesn't work on the life/health side will get the account, the commissions and everything else.

The deal is that his brokerage is under contract with my company and he could easily worked with me for the same commission splits, but wouldn't.

What would you do?

 

[taterpeeler]

grow up and get over it.... another reason i dont sell group

 

[policy doctor]

When you do an investigative call like this, never mention the name of the business/owner initially. You need to talk in general terms and find out first, if this guy is the decision maker, and then if they are using anyone now on the L/H side. Conversation develops from there.

Sounds like you spilled the beans before you brought everyone to the table. Live and Learn.

In the meantime, look around you. bunches of other prospects out there, don't let this get you down.

Hey we've all gave info to a client, and he turns around and buys it from his agent, or worse, another agent.

 

[policy doctor]

Sorry, I should have used the word exploratory, instead of investigative.

Hope the wordsmith police don't ticket me!

 

[Crabcake Johnny]

Nothing works like the truth - as in carefully discussing that you don't want to get into a situation where you do a lot of work, then they turn around and stick with their own broker - after they've forwarded all your work to them.

A lot of real estate agents will have clients sign a contract. This prevents people from dragging an agent around for 2 months and 20 homes later they end up buying a house from their 2nd cousin who they just found out was an agent.

 

[Sam]

It is very hard to get a business owner to sign a contract. They usually know that you need them more than they need you. It is very difficult to defend against this, experience will help you smell them out easier, but in the end, you never really know.

 

[J.R.]

I have a business I have been cold calling on and talking with the Human Resources director with for weeks now. He finally stated yesterday that the owner of the business will only buy if it is through the brokerage he deals with. I called the brokerage to see if I can work with them, the guy says he has an agent that works with us already that his life/health agent deals with, thanks for the information I will pass it to him. Effectively giving all my work and negotiation with a 150+ person group to another agent as a referral.

I have done all the work, visited the business, dropped off the material and everything else and his agent, who he couldn't remember the name for since he doesn't work on the life/health side will get the account, the commissions and everything else.

The deal is that his brokerage is under contract with my company and he could easily worked with me for the same commission splits, but wouldn't.

What would you do?

I'd talk with the HR rep and inform him or her that you are providing a wonderful opportunity to capitalize on the "insert your value pitch here" and explain to the individual what you are prepared to do whatever it takes to earn their business. I like to think that nobody (ethically) can come behind me and recommend a plan because I cover my bases. I assume that you are the same as you put a lot of work into this project. It would seem that if you found a way to reduce costs, increase employee benefits and retention w/out sacrificing anything, you have done a good job and should earn their business.

I don't work the large group market, but one thing that comes to my mind quickly is, "Did you attempt to schedule a meeting with the HR rep and the decision maker?" If not, having the HR rep on your side might help you out if he or she sees the benefit of dealing with you exclusively.

Lastly, I would not give a brokerage any identifying ammunition before talking with them first to find out their guidelines pertaining to working with you. Perhaps Bob or somebody else will illuminate their experiences in dealing with large groups.

 

[Guest]

It is very hard to get a business owner to sign a contract. They usually know that you need them more than they need you. It is very difficult to defend against this, experience will help you smell them out easier, but in the end, you never really know.

How far do you go before getting a BOR?

I do small groups... under 50 lives.... usually 15.

I will do the first meeting (obviously.)

I will get the census and key it in (or give it to a GA to do!).

I will run a set of comprehensive quotes using a GA quote engine.

I will email the quotes.

I won't take a second meeting until there the BOR is done.

What protocol do you follow?

To avoid the BOR mess, I look for groups who have never had coverage and thus, no broker. They are happy as hell to hear from me! Lots of them out there... but in the 6 to 12 life range. You have to do volume. Ten 6-life groups is one 60!

Al

 

[STIBROKER]

Go back and tell the owner you have one more form to sign....a agent of record page.....

 

[Martian]

They wouldn't let me talk to an agent at the brokerage without letting them know who the company was. They have worked with another agent in my company, so they decided to let him have the account, since the business owner would only work through his broker, even though he will still get the same bill and the same prices and policies by going outside of the broker and dealing direct.