Agency Acquisition

[dizzyhippy]

Has anyone here purchased a book/agency and if so, how was the transition and what was retention like?

 

[Policy Monkey]

A few years back, the agency I worked for was acquired. The new owner cleaned house and brought in his own people. Last I heard the clients were leaving in droves, although I believe the agency is still open. Not sure if that answers your question.

 

[RickyG]

Has anyone here purchased a book/agency and if so, how was the transition and what was retention like?

Our agency purchased multiple books/agency operations in last 10 years but nothing in last 5 so not sure how accurate this will be in the current environment. That said, generally the retention was lower, 65-70% range on the standard stuff and 40-50% on the nonstandard auto which at the time was pretty much expected on NS anyway. The key to this though is longer term, we grew each time because of the natural increase in referrals, premium increases and cross selling. Just took a few years.