Average Yearly Premium -- Allstate

[dainsuranceboy]

Currently accepted a role as a licensed sales producer with a company that rhymes with CallState which gives a good salary (between 25-35K) + 10% on commission after you make the monthly salary number (between 25000-35000 monthly premium).

[[don't want to get too specific]]

My role will be cross selling/up selling the current book of business as well as developing new personal lines business. I also have experience in commercial insurance (non selling) which we plan to leverage into leading a commercial effort with nearby businesses.

HOW much yearly premium would be able to be expected from an average/above average producer? Assuming either rates are competitive or slightly above, with the personal & possible commercial P&C as well as maybe some commercial exposure?

Trying to get an idea what to expect. Obviously I'm going to go in with a monthly sales goal probably 2-3X what is average (shoot for the stars, land on the moon).

Not scared to work as hard as I have to. Also any and all tips/websites/blogs to follow on insurance sales would be awesome and preferable.

Thanks ahead of time for helping out a budding new agent.

 

[AZDave]

Currently accepted a role as a licensed sales producer with a company that rhymes with CallState which gives a good salary (between 25-35K) + 10% on commission after you make the monthly salary number (between 25000-35000 monthly premium).

So, you shoot the moon and write $60,000 in total premium, $30K over your quota. Are you saying you will get 10% of the $30k's total commission? If 10% total commission = 3,000, then you get $300? No way it is the full commission....

60,000 in premium = 3,000/day, working a 5 day week. What is the average home and auto premium in your area? do the math, how many apps per day.

Forget about writing commercial lines with your company, they are not a player.

You may be in a good place to start and learn, but you will soon be wishing to be working for an IA.

Good Luck.

Dave

 

[dainsuranceboy]

Currently accepted a role as a licensed sales producer with a company that rhymes with CallState which gives a good salary (between 25-35K) + 10% on commission after you make the monthly salary number (between 25000-35000 monthly premium).

So, you shoot the moon and write $60,000 in total premium, $30K over your quota. Are you saying you will get 10% of the $30k's total commission? If 10% total commission = 3,000, then you get $300? No way it is the full commission....

60,000 in premium = 3,000/day, working a 5 day week. What is the average home and auto premium in your area? do the math, how many apps per day.

Forget about writing commercial lines with your company, they are not a player.

You may be in a good place to start and learn, but you will soon be wishing to be working for an IA.

Good Luck.

Dave

Thanks Dave.

It actually is 10% of the new business premium (including cross selling) however there are no renewal/residuals. Therefore, it's pretty much the entire commission (minus 1-3% percentage points).

If I write 40,000 in premium a month. My take home will be 4,000. The salary + the 10% of premium over.

Would you say that it is a good compensation plan? It's more of an aggressive new business oriented feel and building a large book for the owner (perfect for a young 20's sales position).

My question is whether it's possible to write upwards of 30-40,000 a month in premium routinely. What does an average producer bring in, premium wise first year? Average home premiums range from 1200-2000 with differences that swing from street to street. Auto is similar with probably an average around 1400 a year.

Is 60,000 a month premium relatively possible? I'd say that I'm rather prepared in a sales skills and product knowledge way, but more worried about upside potential. (i.e. leaving a small tier insurance consulting job for a local firm)

 

[AZDave]

Sounds like a generous offer, especially if they furnish the leads and give you the call in and if you have no service after the sale. Can you write 3 apps a day? Should be easy once you get prospects ramped up.

After a year, you are going to wish you had a 60/40 split, or 70/30. Renewals are the secret to this business.

 

[dainsuranceboy]

Sounds like a generous offer, especially if they furnish the leads and give you the call in and if you have no service after the sale. Can you write 3 apps a day? Should be easy once you get prospects ramped up.

After a year, you are going to wish you had a 60/40 split, or 70/30. Renewals are the secret to this business.

Dave,

Thanks a lot for your advice.
Honestly it's more of a short term situation (think less than 2 years) so its even more attractive to me; but I didn't realize if it was truly a great deal.

 

[indienoise]

Dave,

Thanks a lot for your advice.
Honestly it's more of a short term situation (think less than 2 years) so its even more attractive to me; but I didn't realize if it was truly a great deal.

If you don't plan to stay for the long haul, then dont write your friends and family insurance. Wait til you're settled.

 

[dainsuranceboy]

If you don't plan to stay for the long haul, then dont write your friends and family insurance. Wait til you're settled.

Well the goal is to work full time next two years while attending school, graduate and find a position in tech sales or at a top 10 commercial brokerage.

Its a great position to learn some sales experience, put a well known name on my resume, build a large network as well as I have prior experience in agencies and an insurance consulting firm. Therefore I dont mind writing my friends and families.

 

[indienoise]

Well the goal is to work full time next two years while attending school, graduate and find a position in tech sales or at a top 10 commercial brokerage.

Its a great position to learn some sales experience, put a well known name on my resume, build a large network as well as I have prior experience in agencies and an insurance consulting firm. Therefore I dont mind writing my friends and families.

Gotcha. If you're not staying in the industry, by sll means do. Just make sure you're not tying up their business in a non compete if you were to change agencies.

 

[trevleffingwell]

I've been offered this same deal twice. Felt too captive to me, but good luck to you. Keep your options open as well; you're a licensed producer, not an easy feat to accomplish.