Hi Folks, I'm entertaining buying into an existing book of business and starting out as an Independent Agent with AllState. I have over 20 years of sales and marketing experience but no insurance related experience at all. So I'd be starting from scratch licensing and all.
Can anyone give me their opinion of this opportunity, company what I should watch out for?
IMO being an AllState agent certainly has some advantages. But, just hang tight, mate. the experienced agents of this board will soon rush to your help.
Starting as an independent agent without any prior experience in the insurance industry may pose some difficulties before the aspirant. Selling insurance is not similar to the other sales jobs. The understanding of the local market along with the product knowledge is very important to achieve success as an agent. I'd request you to evaluate all the aspects carefully before embarking on the new path.
You must understand this fact very clearly that as an independent agent, you'll not receive any fixed remuneration, but commission. And for that you have to keep-on generating sufficient business, otherwise you may lose the agency status. However, the advantage of being an independent agent is that, there is no limit for earning, if you're good you can magnify your earning to any extent. Best of luck!!
Your sales and marketing experience will help you for sure. But you will still need training on insurance and marketing support.
Ask questions about the amount and type of training that Allstate will provide.
It would not hurt to interview at a few other companies so you can judge the different options. You are making a big decision so it is good to be able to compare opportunities.
The disadvantage to signing up with a company like Allstate (or State Farm, Farmers, etc) is that you can only offer thier products. I was an agent before I became an independent broker and it always bothered me that I could only offer one company's product. But the experience and training as an agent helped me quite a bit as a broker.
A couple of important things to consider are: How much do you have to invest? How restrictive is the contract if you decide to leave AllState? Will you be given clients and how much income can you make from that?
Feel free to ask questions here. I'll do my best to help and I'm sure others will offer thier experience as well. _________________ I am an insurance broker from Ontario licensed for all types of insurance.
Posted: Sun Aug 24, 2008 1:17 am Post subject: starting a exclusive agency
I have also entertained the idea of starting an Allstate agency , I have licenses in place and have over 10 years experience. The reason I want to be an Allstate agent is the opputunity to own my own business and unlimited earning potential.Also they have education,training and office support provided. I'm just worried the goals that will placed will be overwhelming. I did some research over the internet and read about some scare tactics used by Allstate in other states. Can someone advise ?? _________________ Register Now to have your Insurance queries solved.
IMO it is best to get the knowledge and training in the insurance industry before purchasing a agency. I too have over 15 years of sales in the financial industry. I am working for a capitve agency now and there is alot to learn. I am gaining all the knowledge and training I can.
I know my boss has high goals in each product that must be met to maintain her status and receive certain marketing money.
I love the work, I love sales but the insurance industry is a whole new world.
I am an Allstate agent and would be more than willing to answer any questions anyone has. I can do it here or via private message.
I looked into several companies, and independent, before making my choice to go with Allstate. Every company has "requirements" but the advantage I found with Allstate was that theirs were quite reasonable. You have to work hard - but that is just how it is - doesn't matter who you work for.
Computers, phones, internet connection is all provided by the company. You simply can't beat the advertising support either. You are also allowed to do advertising on top of what the company provides.
The list goes on and on.
Ask anything you want and I will do the best I can to answer. _________________ Life moves pretty fast. If you don't stop and look around once in a while, you could miss it. - Ferris Bueller
I am captive..chose to be that way. I purchased an existing book so I began "making money" immediately. Of course, there are bills to pay but...there was incoming cash flow from the first month on. _________________ Life moves pretty fast. If you don't stop and look around once in a while, you could miss it. - Ferris Bueller
I was asking because some of the Allstates in my area write for progessive, farmers also.
I guess I was trying to figure which is better, Allstate, State farm or Nationwide.
What would you say a normal 1st year salary would be for a agent?
There are independent agents who write for Allstate - and other companies. Many times you will find this in smaller towns (but not necessarily limited to that).
Normal first year salary? That depends on too many things. If you start "scratch" (do not purchase a book of business - zero accounts/policies when you open the door) - there is a good possibility you won't have much of a salary the first year. But that also depends on how much business you can bring in. Buying a book of business will produce more initial income, but you have more expenses too.
You will definitely make more if you buy a book of business than if you start scratch. _________________ Life moves pretty fast. If you don't stop and look around once in a while, you could miss it. - Ferris Bueller
I see, I am looking at a book of business now and I'm not sure if it is a reasonable deal.
Both him and his wife have an Allstate business and they are combining it and he is selling his book of business.
The book of business consists of about 1400 clients.
PM to me: Annual premium, retention, loss ratio, how much of book is personal lines compared to commercial lines.
Also, have you already been approved by Allstate? _________________ Life moves pretty fast. If you don't stop and look around once in a while, you could miss it. - Ferris Bueller
Posted: Tue Nov 25, 2008 2:45 pm Post subject: buying an existing allstate agency
looking into an est agency with about $1.4mm in premiums, 51% lr and 86% retention. I think he's asking $350,000 which i think is too much---started agency about 6 years ago and built it up. Thoughts? _________________ Register Now to have your Insurance queries solved.
