Do I go with Allstate or my friends Independent agency?

by Guest » Mon Oct 26, 2009 12:49 pm
Guest

So here is the deal I have been in corporate america for the past 4-5 years on the customer service end of life insurance. I have my Personal lines and my life and health here in CT. I have a good friend that owns his own independent agency for the past few years. He is about an hour away so if I did anything with him I would work from home with most likley no salary buy prob 40-60% comission on new sales and a little less on renewals. I would also get renewals with him.

On the other end I interviewed with an Allstate (open since 2004) agent who offered me 30k salary plus comission on any sales over $15,000 a month in premium dollars. Anything over that 15k a month I would get the full 10% comission. He also offered me 2-3% on renewals. He obviously expects me to sell which I can do since I have a few years of P&C experience with another agency and I did very well at it.

Here in CT along with other parts of the country the job market sucks. I have been laid-off from 2 different life companies this past year which is why I want to go back to P&C sales. I was making mid 40's salary on the life customer service side but I am tired of answering to 4-5 diff people and fearing my job each day.

Since you guys have been in the business longer then me do you feel this Allstate opportunity is a good one? Is there potential for me to do well and possibly make what I was making?

Total Comments: 5

Posted: Mon Oct 26, 2009 09:01 pm Post Subject:

Will you be servicing your business and the agent's yourself if you go with allstate? I think you may end up working long, long hours and still struggling to sell much more than $15,000 per month if you have to perform daily CSR type duties as well. Still, a $30,000 salary (or is this draw against comisions?) in the hand may be worth more than unlimited comissions in the bush. Just a thought. 15,000 is a pretty good PC new business month for me running a P&C and life agency on my own.

Posted: Mon Oct 26, 2009 09:43 pm Post Subject:

The agent states I will not have to service my own policies however if someone calls and its something I can handle then I would need to take care of it. The 30k as I see it appears to be a draw but his main focus for me would be to sell. He claims his office now does 25-30k in premium sales currently.

Regarding my friend who owns his own agency he "claims" to do 2 million in premium a year with alot of renewals and 3 total agent. He has been in business for 8+ years. He does a 50% comission new and renewal with his current agents and pays for their health insurance. Straight comission though...

Posted: Tue Oct 27, 2009 05:22 am Post Subject:

Your friend is not too new to this insurance industry. He's tasted the different phases of success and failures. You could give it a try considering the lucrative offer.

On the other hand, though Allstate products may have a steady market in the current global scenario, but if the targets are stiff then you're bound to find it tougher gradually.

Working with an independent agent would probably open up multiple selling opportunities for you. I'd go in with your friend.

Posted: Wed Oct 28, 2009 06:06 pm Post Subject:

Thank you for the info I am still debating both senario's.

Posted: Thu Dec 31, 2009 01:19 pm Post Subject:

So I have finally found after four months of being laid off the agency that I am going to work for. I am super excited as its an independent agent who has been in business for 20+ years. I am also excited that I am going to be getting salary plus comission which is pretty rare in the insurance world. I will be a W-2 employee and the salary is not bad at all its just as good as a corporate job. I wanted to let you all know that I persued this agency and its all going to work out for the best. Hope everyone has a great 2010.

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