by JS Horne » Thu May 01, 2008 10:34 pm
for Life ,Health and VA in Florida. I have been trying to do some general research before making a decision on which direction I want to go in as an agent. I received several "opportunities" after posting my resume' on monster. I attended a few presentations which is how I decided to pursue a career in L&H.
I have not committed to anyone, but I am planning to work with an independent agency that primarily sells US Health Group and targets small businesses. I met them on a fluke and rather than give me a dog and pony show he invited me to his business meeting and had me speak to his agents directly to make sure this was for me. It just seemed a lot more above board than the captive agent positions I was presented.
I have a background in management, sales and business ownership primarily in construction. I am ok with commission only compensation, and my family is not going to starve or miss any bills if I don't earn a certain amount for the next few months. I am in this as a long term career. So my questions are ...
If you were in my position, knowing what you know now, what would you do as your next step?
What type of compensation would you expect?
What questions should I be asking agencies?
Thanks in advance,
JS
I have not committed to anyone, but I am planning to work with an independent agency that primarily sells US Health Group and targets small businesses. I met them on a fluke and rather than give me a dog and pony show he invited me to his business meeting and had me speak to his agents directly to make sure this was for me. It just seemed a lot more above board than the captive agent positions I was presented.
I have a background in management, sales and business ownership primarily in construction. I am ok with commission only compensation, and my family is not going to starve or miss any bills if I don't earn a certain amount for the next few months. I am in this as a long term career. So my questions are ...
If you were in my position, knowing what you know now, what would you do as your next step?
What type of compensation would you expect?
What questions should I be asking agencies?
Thanks in advance,
JS
Posted: Fri May 02, 2008 01:18 am Post Subject:
Hello JS
From what I have been able to find out it sounds to me like USHealthgroup primarily markets through its captive agencies so this might be the case at the agency you are looking at. I took a look at their policies and they seem to have HSAs and catastrophic plans, both with add on benefits like preventative, life and cancer plans. These are the way to go in the health insurance market, I would advise you to stay away from companies pushing limited benefit plans or discount plans.
They might be a captive but for a new agent this is not a bad thing as long as the insurance carrier is reputable. Captive agencies tend to have training provided, supply leads for you to prospect, a lot of times will co-op with you for advertising, and your manager/GA usually gets a little bigger percentage on overides for policies you sell so they should have a bigger interest in you doing well. As long as this is the feeling you get from them and experienced agents there have told you this is the case you should be fine.
To find out if this is also a captive agency just ask if they allow you to be appointed with anyone else for similar products.
If it is a captive situation ask what kinds of leads you could expect, (quantity and quality}. Also ask if they will provide you with a mentor for a few weeks to help you get started right and to help you get your sales presentation down.
As far as compensation that all depends on your determination and ability.
It sounds like you have planned ahead financially to get this off the ground, just make sure to budget for gas and any type of lead generation you want to do above and beyond what the agency is doing for you.
If I can help you any way or need advice about any other company out there dont hesitate to ask or PM me.
Mac
Posted: Fri May 02, 2008 01:22 am Post Subject:
Sorry, I wasnt logged in when I wrote the post above.
Let me know how things go.
Mac
Posted: Fri May 02, 2008 12:03 pm Post Subject:
If you were in my position, knowing what you know now, what would you do as your next step?
Its something thats long been discussed across these forums!
I believe, working as a captive agent has it own benefits towards learning. The new agents do get an opportunity to gain in terms of a target oriented approach as well as obtain a few tips from the more experienced ones. 2-3 successful years of working as a captive agent could truly help you in the long run. On the other hand I'd recommend an initial break as an independent agent for those who already started off their career with a pretty good network of personal contacts that helps them create valuable databases from day one.
Posted: Fri May 02, 2008 06:27 pm Post Subject:
Hi JS Horne and Welcome!
I have not committed to anyone, but I am planning to work with an independent agency that primarily sells US Health Group and targets small businesses.
Working with an already established independent agent obviously gives you an advantage in that you have prospects to see from the list of the agent's current customers. Will this agent allow you to call on his existing customers, without any limitations?
The business market is a good one, but sometimes a tough one. Many business owners are cutting back on their health insurance programs. My experience has been that when a business owner does buy, he/she usually goes for the "cheapest" quote, with little or no regard to benefits.
I would not shut myself out of the individual/family market.
I am ok with commission only compensation, and my family is not going to starve or miss any bills if I don't earn a certain amount for the next few months. I am in this as a long term career.
You are fortunate and smart that you have a "cushion" to live on while you are building your business. Many people who enter the insurance industry don't have one. This is a crazy business. Your career will turn out to be just what you "expect" it to be. If you start out settling for "minimum" pay, you will always get "minimum" pay. Keep in mind, financial advisors who do basically the same things we do, get over $100 per hour for their services. Many companies will pay you while you are training and building your business.
What type of compensation would you expect?
You should not settle for less than $50,000, your first year in the business.
What questions should I be asking agencies?
That's a good one.
A very important question might be - "Will I have office access anytime I want it? You may want to schedule appointments in your office and you want to do it on your schedule and not someone else's.
How about - Computers? Phone? Fax? Supplies? Business Cards? Marketing Campaigns? Customer databases?
What companies will you be representing and what is their track record?
You have entered a very exciting and rewarding career, but it is not one that we can just "try", because it will try you.
Good Luck.
Maze
Posted: Fri May 02, 2008 11:45 pm Post Subject:
Well I applied as an independent with three companies today through one agency. I considered the option of being captive one more time, but I like the idea of being able to offer other products if I am not comfortable selling these. For me, believing in the product I am selling is imperative to my effectiveness.
They do allow me access to "b" leads and provide "a" leads based on performance after an initial allowance. More leads are purchasable, but the GA said it really isn't a good idea until I get more experience.
They do offer training/mentoring which is definately a must at this point. It's pretty obvious passing the licensing test and selling insurance have very little to do with one another.
Unfortunately, I didn't get an opportunity to read all of the replies before my meeting today. I did not inquire about office access. I do have access to a full office that will work out on a temporary basis. Once things get moving I will be looking for a suite though. I am not a big fan of working from home. I like to go to work, personally I find it hard to focus at home.
I believe where and how I start will be less important in the long run. Even if I learn what not to do, I will learn something with this agency. But so far it seems like a good place to get my feet wet.
I appreciate the responses and look forward to learning more from this site and its members.
Thanks,
JS
Posted: Sun May 04, 2008 10:39 am Post Subject:
JS Horne wrote:
It's pretty obvious passing the licensing test and selling insurance have very little to do with one another.
Exactly correct!
Also, keep in mind that selling insurance is something you do for someone not something you do to someone.
Further, you must understand there are only four (4) reasons why a person doesn't buy any product or service.
#1, No money.
#2, No need.
#3, No hurry.
#4, No confidence.
And a timeless piece of sales advice is.....
It's easier to overcome an objection BEFORE it's stated in the form of an objection. Since there isn't any "new" objections, to be successful you need to overcome any objections BEFORE your client raises them.
Lastly, all buying decisions are made at the emotional level.
Edit:
One additional rule of thumb...
If you wouldn't sell the product or service to your Mother, and/or you personally wouldn't want to be the beneficiary on the product, then don't sell that product to your clients.
Selling insurance is simple, but it's not easy.
Posted: Mon May 05, 2008 12:57 am Post Subject:
Well said...
js horne when you mentioin "b" leads and "a" leads what do you mean exactly it is with NAA?
Posted: Mon May 05, 2008 01:59 pm Post Subject:
The B's are books with past contacts I believe, where as the A's are provided by the GA either through his own marketing or the primary healthcare providers services. Again, I am not positive it was only briefly explained. I hope to learn more this afternoon when I meet with the agency. I will make sure and ask now though.
Thanks,
JS
Posted: Mon May 05, 2008 11:08 pm Post Subject:
Good luck and keep us posted
Posted: Wed May 07, 2008 09:47 pm Post Subject:
I'm just a little confused here, and sometimes that's very easily accomplished.
If you are going to be working with an established independent agent, will this agent not let you work with the established customers?
Why are you being offered "B" leads or "A" leads. Will you have to pay for these leads.
Hope you haven't made a final decision yet.
Maze
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