What do you advise a new agent who wants to sell health and

Posted: Wed Aug 18, 2010 01:12 am Post Subject:

And what sales training have you had? What training is your insurance company providing? Or are you starting out all on your own with no support?

You haven't been recruited into World Financial Group, have you?

A little more information about your agency situation would be helpful.

Posted: Wed Aug 18, 2010 02:37 am Post Subject: Answer to question

I haven't got an agency because I am trying to decided between agency and brokers. I have only had travel agent and hotel sales experience meaning selling car, air and hotel reservation as well as cruises. I want a solid company that offers great training to new agents. I am new to this so I am looking at broker because more companies can be offered to clients needs. I am looking at this like the travel industry which you offer more benefits to add value to the customer, but I also want to build a strong customer base and I believe in treating the customer like family and friends and building a strong relationship with them. Is this the wrong ideas and also I don't know who the group was that you mentioned.

Posted: Wed Aug 18, 2010 03:29 am Post Subject:

Ok here's the deal. Most companies that offer training are big names that also use a captive or at the very least semi-captive approach (especially for a new agent). They train you and "teach" you the business (no testament on my behalf as to the quality of this training). They also may offer up a bit of a financing subsidy (money paid even if you don't produce--won't last long so don't get too excited or complacent). Additionally, most of the big names usually have management programs you can try to work your way into after a few years if you aren't really a good agent and want to try to climb the corporate ladder. In return they'll ask for the following:

1. Priority as your insurer of choice. You are working for them, pure and simple. You don't necessarily have to present yourself as an agent of their company, but when it comes to recommendations and your favorite insurance company, you know who to suggest. They may also limit your access to outside companies to a company approved brokerage general agency.

Most of the big names want you to be a financial guy at the same time, so there will be an emphasis on getting your securities license.

2. A portion of your compensation. Some might tell you that they offer up the highest compensation in the industry, but no capitive career outfit will ever be able to compete with contracts found in the independent producer world. Now, let's be careful about how we look at this situation. At this point you've sold just as many insurance policies as Barak Obama, zero. So thinking that being independent is a walk on to the highest payouts in the industry is a dream you're better off not wasting any time on. Those higher payouts mean something, they mean higher production, which starts to require some additional overhead. The beauty behind being independent has more to do with the liberty of building your business the way you want, and not the way someone else feels you should do it. Often times, extra capital is required.

3. Most of the big names have vesting schedules for renewals on the business you write. Depending on these scedules, you may loose your renewals if you leave the company. This wouldn't be something I present to you at this stage in the game as a reason not to work with a big name captive as your production is likely to be at least in the beginning.




This all being said, here's what bothers me most about your post.

I have a new family of six people and I need to make a good income to support them.