Captured Agent Selling Outside the Captured Agency

[wwdl]

I have about one year in the business working for a captured agency that has an ok weekly salary and somewhat menial bonus structure.

Why can't I appoint with a non-related carrier under another agency just to write some business away from the captured agency, where I can get paid the actual percentages on those policies I write outside the captured agency?

How would my captured agency ever find out that I was writing a few away outside of them?

Just wondering...any help is appreciated

David

 

[WCMason]

They could see the names of the other companies you're appointed with on your state's DOI website if the DOI publicizes that information.

 

[wwdl]

Thanks for the quick reply...yes they do here, forgot about that.

But, how would they know to even check? They have 10 captured agents, does someone from the office sit there and go thru the DOI website each week or month to check? Seems a little counter-productive really if they do!

Comments?

David

 

[timamr]

I am a captive agent as well. With that said, besides what the other poster said about seeing you on ur state DOI appointments....I have no clue how they figure it out but they do, and from what I have heard, they figure it out rather quickly! Tread easy my friend!

 

[DWilly]

Thanks for the quick reply...yes they do here, forgot about that.

But, how would they know to even check? They have 10 captured agents, does someone from the office sit there and go thru the DOI website each week or month to check? Seems a little counter-productive really if they do!

Comments?

David

It's pretty easy to check that info on the DOI website. I've checked it many times for agents I know. It can probably be automated pretty easily too. If you feel like you are being held back or shortchanged, whatever the case may be, make a plan and a timeline to go indy. The sky is the limit then.
Definitely tread easy otherwise.

 

[Newby]

A better plan is to just leave and go independent. Sneaking around is never the good plan.

 

[Norwayguy]

Also remember if you a registered rep you are required to disclose and recieve approval from your B/D prior to begining outside business activities.

Most captive carriers have someone in the home office checking the DOI sites frequently and may also do a Google search for things your doing on the net.

 

[scagnt83]

But, how would they know to even check? They have 10 captured agents, does someone from the office sit there and go thru the DOI website each week or month to check? Seems a little counter-productive really if they do!

Comments?

David

NYL would do it for every Captive agent once per year. If you had contracts that were not allowed then you had to drop them or you would be let go.

Other Captive agencies do the same.

For 10 agents it would take about 30min tops to run a check on all of them... not real hard or time consuming....


As far as counter productive, I would disagree.
If you are writing outside biz then you are not only in violation of your contract, but you are costing them revenue that contractually should be going to them!

 

[DHK]

I have about one year in the business working for a captured agency that has an ok weekly salary and somewhat menial bonus structure.

Why can't I appoint with a non-related carrier under another agency just to write some business away from the captured agency, where I can get paid the actual percentages on those policies I write outside the captured agency?

How would my captured agency ever find out that I was writing a few away outside of them?

Just wondering...any help is appreciated

David

Two problems with your strategy.
1) Other posters have talked about compliance and hiring agents checking the DOI for current company appointments.

2) Conflict of interest on where your time, effort, and attention are.

Conflict of interest - Wikipedia, the free encyclopedia

In addition, if you even *think* about selling your agency's existing clients a policy outside their business lines... that would be grounds for termination.

Would you be using "company time" to sell your policies? Service them? If you are... that's an ethical violation of where your time, effort, and attention should be.

Tread carefully.

 

[wwdl]

Thanks for the input, that certainly sheds some light on what I really need to do with my insurance career!