You are in Florida... That makes sense. Average home policy for us is $700. From what I hear, it's 4 times that in Florida.
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To crack the top 100 in IJ is 8.3 million. Looks like we will see you on there is a few years. You rock star you.
Agency Cluster Questions
- Thread starter Shane Eastman
- Start date
You are in Florida... That makes sense. Average home policy for us is $700. From what I hear, it's 4 times that in Florida.
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To crack the top 100 in IJ is 8.3 million. Looks like we will see you on there is a few years. You rock star you.
You are in Florida... That makes sense. Average home policy for us is $700. From what I hear, it's 4 times that in Florida.
True and not true. Sure, some parts of Florida such as South Florida and some Coastal counties the premiums can be high but once you go inland such as Central and North Florida the premiums are low. To this point just this morning I bound a home in Kissimmee for $612 yearly premium so it is not the entire State of Florida that has high premiums.
Secondly, before moving to Florida from Connecticut 9 years ago on the agency I used to work for in Connecticut producers were expected to produce 100k of new business premiums every month. If you averaged 80K per month they would leave you alone but if consistently your production fell below 80K you would find yourself in the "Principal's" office.
To crack the top 100 in IJ is 8.3 million. Looks like we will see you on there is a few years. You rock star you.
You do realize the 8.3 million that that agency ranked number 100th is reporting is REVENUE/NET COMMISSIONS correct?
Which would mean that their BOB is probably around 85 million in premium.
Which would also mean their income from net commissions is about $692,000 per month, or $173,000 per week, or $25,000 per day, or $1,041 per hour, or $17.35 per minute, or .29 cents per second.
Or looking at the number one agency on that list, their BOB must be around 8 billion - more than my calculator can handle.
Just looking at these numbers makes me realize I am nothing but a spec in this industry so no, I am no rock star - at least not yet
.You are in Florida... That makes sense. Average home policy for us is $700. From what I hear, it's 4 times that in Florida.
True and not true. Sure, some parts of Florida such as South Florida and some Coastal counties the premiums can be high but once you go inland such as Central and North Florida the premiums are low. To this point just this morning I bound a home in Kissimmee for $612 yearly premium so it is not the entire State of Florida that has high premiums.
Secondly, before moving to Florida from Connecticut 9 years ago on the agency I used to work for in Connecticut producers were expected to produce 100k of new business premiums every month. If you averaged 80K per month they would leave you alone but if consistently your production fell below 80K you would find yourself in the "Principal's" office.
To crack the top 100 in IJ is 8.3 million. Looks like we will see you on there is a few years. You rock star you.
You do realize the 8.3 million that that agency ranked number 100th is reporting is REVENUE/NET COMMISSIONS correct?
Which would mean that their BOB is probably around 85 million in premium.
Which would also mean their income from net commissions is about $692,000 per month, or $173,000 per week, or $25,000 per day, or $1,041 per hour, or $17.35 per minute, or .29 cents per second.
Or looking at the number one agency on that list, their BOB must be around 8 billion - more than my calculator can handle.
Just looking at these numbers makes me realize I am nothing but a spec in this industry so no, I am no rock star - at least not yet
you are a rock star and you can do math as well... NICE!. 100K a month is new business.. damn, you need to teach me your ways.
If you can write 100K of new business a month. I'm telling you, where I am. The carriers will be begging to give you an appointment.
Well, I'm glad SIAA has worked out for you. It's not for me. I have spoken w/ dozens of other agency owners that are part of SIAA and they are all on the same page as I am.
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FLins: im assuming this is all business you are doing personaly, not including any producers under you, correct? Sounds pretty incredible. Are you doing mostly commercial to hit 100k new business every month (plus servicing your existing book)? Or what percent of this is commercial and what is personal lines?
What strategy are you using to keep your service so efficiently low to not need to hire a CSR? Are you using a service center? I would love to better understand how to make these kinds of sales PLUS service such a large book efficiently all at the same time. Because just doing this high number of new sales volume alone, takes immense time in consultations and analysis with the prospects, let alone the actual binding, processing, and review of the policies once issued. So then you have the service piece of the existing book added on top, which I'd love to hear more. My experience - even so called " low maintenance clients" who don't pay cash (previously mentioned in your post) and do full pay, have umbrellas etc, can require quite a bit of service work such as; Mortage changes and certs for refinances, new cars, change of adress (and needing home policy rewrites), new jewelry for floaters, new investment property purchase (or change of policy from rented to vacant) etc. and thats if they don't ever have any claims, potential claims questions, or coverage questions (like if they go on vacation and want to know if they should buy rental car coverage as one example). Plus, for your existing book, wouldn't you also need time to watch their renewals and make sure their carrier is still the best fit / most competitive every now and then (I came from captive background so that was at least one thing we couldn't do, so saved time there)? I'm not questioning what you say is true at all. I just really want to know so I can be a better agent and more efficient myself once my IA starts! I'd greatly appreciate some more insight into your previous and current operations!
What strategy are you using to keep your service so efficiently low to not need to hire a CSR? Are you using a service center? I would love to better understand how to make these kinds of sales PLUS service such a large book efficiently all at the same time. Because just doing this high number of new sales volume alone, takes immense time in consultations and analysis with the prospects, let alone the actual binding, processing, and review of the policies once issued. So then you have the service piece of the existing book added on top, which I'd love to hear more. My experience - even so called " low maintenance clients" who don't pay cash (previously mentioned in your post) and do full pay, have umbrellas etc, can require quite a bit of service work such as; Mortage changes and certs for refinances, new cars, change of adress (and needing home policy rewrites), new jewelry for floaters, new investment property purchase (or change of policy from rented to vacant) etc. and thats if they don't ever have any claims, potential claims questions, or coverage questions (like if they go on vacation and want to know if they should buy rental car coverage as one example). Plus, for your existing book, wouldn't you also need time to watch their renewals and make sure their carrier is still the best fit / most competitive every now and then (I came from captive background so that was at least one thing we couldn't do, so saved time there)? I'm not questioning what you say is true at all. I just really want to know so I can be a better agent and more efficient myself once my IA starts!
I'd greatly appreciate some more insight into your previous and current operations! FLins: im assuming this is all business you are doing personaly, not including any producers under you, correct? Sounds pretty incredible. Are you doing mostly commercial to hit 100k new business every month (plus servicing your existing book)? Or what percent of this is commercial and what is personal lines? What strategy are you using to keep your service so efficiently low to not need to hire a CSR? Are you using a service center? I would love to better understand how to make these kinds of sales PLUS service such a large book efficiently all at the same time. Because just doing this high number of new sales volume alone, takes immense time in consultations and analysis with the prospects, let alone the actual binding, processing, and review of the policies once issued. So then you have the service piece of the existing book added on top, which I'd love to hear more. My experience - even so called " low maintenance clients" who don't pay cash (previously mentioned in your post) and do full pay, have umbrellas etc, can require quite a bit of service work such as; Mortage changes and certs for refinances, new cars, change of adress (and needing home policy rewrites), new jewelry for floaters, new investment property purchase (or change of policy from rented to vacant) etc. and thats if they don't ever have any claims, potential claims questions, or coverage questions (like if they go on vacation and want to know if they should buy rental car coverage as one example). Plus, for your existing book, wouldn't you also need time to watch their renewals and make sure their carrier is still the best fit / most competitive every now and then (I came from captive background so that was at least one thing we couldn't do, so saved time there)? I'm not questioning what you say is true at all. I just really want to know so I can be a better agent and more efficient myself once my IA starts!
You know he is smoking crack? No one man shop can do 100k a month in new business, while serving, marketing, running the business, etc. I bet he has a 12" dick, looks like Brad Pitt and plays the piano like Billy Joel.
You are in Florida... That makes sense. Average home policy for us is $700. From what I hear, it's 4 times that in Florida.
True and not true. Sure, some parts of Florida such as South Florida and some Coastal counties the premiums can be high but once you go inland such as Central and North Florida the premiums are low. To this point just this morning I bound a home in Kissimmee for $612 yearly premium so it is not the entire State of Florida that has high premiums.
Secondly, before moving to Florida from Connecticut 9 years ago on the agency I used to work for in Connecticut producers were expected to produce 100k of new business premiums every month. If you averaged 80K per month they would leave you alone but if consistently your production fell below 80K you would find yourself in the "Principal's" office.
To crack the top 100 in IJ is 8.3 million. Looks like we will see you on there is a few years. You rock star you.
You do realize the 8.3 million that that agency ranked number 100th is reporting is REVENUE/NET COMMISSIONS correct?
Which would mean that their BOB is probably around 85 million in premium.
Which would also mean their income from net commissions is about $692,000 per month, or $173,000 per week, or $25,000 per day, or $1,041 per hour, or $17.35 per minute, or .29 cents per second.
Or looking at the number one agency on that list, their BOB must be around 8 billion - more than my calculator can handle.
Just looking at these numbers makes me realize I am nothing but a spec in this industry so no, I am no rock star - at least not yet
Also related to my previous post, I'm still bashing my head in trying to figure out how it is possible to not only produce 100k/month, but ALSO service your own book with no CSR help (I think you said your book was currently about 2 M in 1.5 yrs, and obvious growing), AND run the agency (accounting / books, marketing developement, education, etc? The only way I can fathom this possible is if the bulk of the premium is commercial vs personal lines. With new business sales at 100k/month, is think you'd be so busy just from that, how would you respond to the service requests your agency is going to be getting - many who need quick action, or at least same day. What is your attrition? If the larger agencies really expect that sort of growth AND service a large book....are the even looking at or measuring quality of service...or was it all about sell, sell, sell? I guess I am still a newer kid on the block than I thought after 8 yrs being in this biz. Still learning, and still taking classes!
Also related to my previous post, I'm still bashing my head in trying to figure out how it is possible to not only produce 100k/month, but ALSO service your own book with no CSR help (I think you said your book was currently about 2 M in 1.5 yrs, and obvious growing), AND run the agency (accounting / books, marketing developement, education, etc? The only way I can fathom this possible is if the bulk of the premium is commercial vs personal lines. With new business sales at 100k/month, is think you'd be so busy just from that, how would you respond to the service requests your agency is going to be getting - many who need quick action, or at least same day. What is your attrition? If the larger agencies really expect that sort of growth AND service a large book....are the even looking at or measuring quality of service...or was it all about sell, sell, sell? I guess I am still a newer kid on the block than I thought after 8 yrs being in this biz. Still learning, and still taking classes!
Unless he is mostly large commercial.... Not possible to do 100k a month with personal lines and small commercial. My biggest month was 50k and I was busting my ass, working 70 hours a week.
Now if you have a staff of 2-4 people... Maybe be possible. But according to him, he is doing all himself.
The only way I see if possible is if it is larger premium commercial accounts (who aren't contractors or businesses that do work for government agencies who need all the cents and AI endorsements before they are even awarded the work). Or if it isn't primarily commercial, I don't see how this could be sustainable much longer without mass attrition as service would have to be subpar...or at least to what my clients expect (and they are pretty typical I think!). Remember, he said he started this not too long ago, so the lack of quality of service (which I'm assuming MUST be the case u less a service center is being used and the are more stellar than I think) may not have caught up with his book yet, but it ultimately will. But then those agencies who are writing a boat load of new business figure the growth outweighs the losses - and SOME low maintenance clients who never move, refinance, never rent any establishment, or buy anything new.....may never know the difference and may just stick.
My friend is VP for one of the largest agencies in the State. They don't write 100k a month in small business and personal lines.
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Great thing about the internet. You can say anything you want! Hey ladies, give me a call and I will fly you to the moon in my private space ship.
This is my both my experience and observation as well scooter. Although I think if you have efficient systems and client expectations in place from the get go, 2 staff could get it done..,with one having a marketing focus.. And I do have a couple friends who are relatively large IA brokers.....but they are also very particular about service and writing good business (finding the right carrier that has the "right" coverage type for the client. Not to mention the study/investigation time that it takes to REALLY know and understand those polices and their differences, in order to do that!). Running a business that way does take more time, but ultimately your agency's quality and reputation pays off long term. My opinion anyway
But maybe FLins can surprise us and shed some new light I've never seen or thought of before. Ill be curious what he says. Again, I'm still trying to figure out the best IA set up and strategy for myself before I sign anything. And strategy is also related to whichever contract I sign.
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