Dropping an insured - best way?

[Central Coast Agent]

This is the first time I've had to drop a client in over a decade. But, sometimes circumstances arise where you just have to let a client go. I've already given them the heads up that I'd not be writing their policy verbally a few months back.

My question is regarding documentation regarding the upcoming policy expiration:

They have their GL coming up in 60 days. Its written through an MGA.

Is an email telling them to seek out another broker to assist them with the expiring policy o.k. if that's been our traditional means of communicating?

Do I/Should I notify the MGA or is it really none of their business?

How do you/would you handle this type of situation?

 

[Markthebroker]

I've had to fire a few clients over the years, and believe me, they earned it. I think you may be overthinking this.

I just tell them to go somewhere else for their renewal, whether it's rewritten or bor'd, then I just handle it like any other piece of lost business.

 

[EugeneM]

Email should be fine, more than ample time for them to shop. Not like its 1 week before renewal. Unless its a huge deal the MGA probably doesn't care. Will just process the lost business as usual.

 

[Hawaii Agent]

If I'm to fire a client, I always ask for all future correspondence in writing with them (either email or USPS) so everything can be documented. I explain that we both would agree that I'm not the right agent for them and that upon expiration, I will not be able to service their account. I give a couple of suggestions to the largest agencies in my area and let the insured know that their agents can take over servicing now and I am happy to provide all information they would like.

The funny thing about firing a client is 100% of them have asked to stay with me. I've also told 100% of them that I was not the right agent for them. A lot of times, I hear them threaten to sue or they get too pushy and I'm quick to fire them. It's not worth the risk of lawsuit over any single account. Insureds don't know how little we make per account and they think they deserve royal treatment. Some forget how to be humans...

 

[vic120]

I just don't get it why it's so complicated, I only fire clients if they are a major PIA and its their fault, Or if there is nothing I can do to help a situation like I just had when a client lost his part B for nonpayment and kept calling for me do something to help which I cannot

I mean if someone is a hard case and they are already a client and its not their fault by not returning calls or underwriting call or whatever then I will work hard for them

If I need to fire one Its usually after they are wasting my time several times and are not responding to an instruction having redo work multiple times I mean it would have to be for good reason

I mean the point is by the time it happens they know they are pain or upset with me for some reason they should not be that it's an easy transition

Its only happened l5 or 6 times in the last 9 years, if that much all I have ever said was I am sorry I cannot help you I suggest you find another agent

Not anything in writing nothing complicated just that it and its done

The only one that was difficult was a lady I spoke with her about her meds sent her and app for PDP filled out with return envelop easy peasy she didn't send it back She stopped answering her phone sent her letters she didn't respond to anything and cost me a lot of time during AEP

But then mid year she called me she has no drug coverage and she belives its my fault After I tried to work with her she was so Irate I told her I am sorry you feel that way I suggest you find another agent

She called a bunch more time to cus me out over voice mail then she is gone

But everyone else was easy