Would You Join Farmers

Is Farmers rates competitive? They seem to advertise a lot .

The worst opportunities in this business are the places that advertise a lot: Farmers, AFLAC, Bankers, American Income, NAA, etc. :idea:
 
Last edited:
Farmers, like most captive companies, have niches where they are competitive. In general though, they can be pretty easily beaten.

For instance, in my area, on new homes, nobody comes close to Farmers rates. They are crazy cheap. On autos though, they are twice the price of everyone else. On homes that are 20+ years old, they start getting pretty high.

Pretty narrow niche they are after, with many Farmers agents chasing it.

Dan
 
I produce for a Farmer's agent and we seem to be pretty competitive for higher income, higher limit, good credit, nice neighborhoods. M1 and M2 I think they're called (still learning the lingo). I've been saving those people a lot of money, but they're harder to market to. Seem to be more loyal to their agent that they've had for decades. I have been really high for all of my friends. Poor credit, low limits, no assets, etc...

I'm not an agent, but the agent that I work for says it was hell getting through the first three years and that they are constantly looking for reasons to kick you out and give your book to a bigger agency. Constantly hassling people over stupid stuff, and that their rates in certain areas are ridiculously high.

We do write businesses here and there though so maybe that's a plus if you know how to work that market.
 
There are two problems with being only competitive on the best risk clients:

1) Everyone is

2) They don't care about price as much as other people, so are less likely to switch just for a lower price.

On the other hand, when you get them they tend to stay with you a long time as long as you give them good service.

To answer the original question:

No.
 
If you are going to join Farmers I suggest you read "So you want to become an insurance agent" by Jeff Hastings

He was a farmers DM and has a ton of good insight in that book. Even if you don't join Farmers, its still a great read for any p&c guy.
 
Back
Top