FMO and Agent Relationship

[jm31md]

Hello,

I'm very new to the industry and also new to the forum. I've had my Life license for 3 years via Primerica before leaving them more than a year ago. I used that to what I thought was my advantage and acquired my health license with brighter hopes of entering the health industry. Being a newbie obviously has it's own unique obstacles and I met my first major obstacle in Jan 08. Contracted with an FMO that within a month or so of starting I quickly recognized the lack of communication was present, lack of organization, and lack of direction. So being a "newbie" I thought I could back out of my contract without any major issues since I refused to write any business with them. I tried contracting with another FMO and of course the first FMO refused to release me despite my refusal to write any business. The way they treated me was unlike any other. They treated me as if I committed a crime or a carnal sin. I ended up sitting a whole year out before making any type of transition with the new FMO. Ok...I think I'm venting or rambling right now.

So back to my question above.....what is the structural relationship between an FMO and New Agent suppose to be? Do FMO's have any responsibility to the new agent at all as it pertains to laying that foundation for competency...via trainings, field appts, etc.?

Thanks and sorry for the ramble.
</IMG>

 

[Newby]

Hello,

I'm very new to the industry and also new to the forum. I've had my Life license for 3 years via Primerica before leaving them more than a year ago. I used that to what I thought was my advantage and acquired my health license with brighter hopes of entering the health industry. Being a newbie obviously has it's own unique obstacles and I met my first major obstacle in Jan 08. Contracted with an FMO that within a month or so of starting I quickly recognized the lack of communication was present, lack of organization, and lack of direction. So being a "newbie" I thought I could back out of my contract without any major issues since I refused to write any business with them. I tried contracting with another FMO and of course the first FMO refused to release me despite my refusal to write any business. The way they treated me was unlike any other. They treated me as if I committed a crime or a carnal sin. I ended up sitting a whole year out before making any type of transition with the new FMO. Ok...I think I'm venting or rambling right now.

So back to my question above.....what is the structural relationship between an FMO and New Agent suppose to be? Do FMO's have any responsibility to the new agent at all as it pertains to laying that foundation for competency...via trainings, field appts, etc.?

Thanks and sorry for the ramble.
</IMG>

You establish that in the beginning. Talking about releases is a big issue here on the forum.

I've never really understood why it is such a big issue. There are so many companies to choose from that offer basically the same products just sign up with a different company.

I guess it may be more of a problem with health companies.

I recommend NOT putting all your contracts through the same FMO. That way you are not trapped and you can figure out the good ones from the bad ones.

 

[somarco]

FMO's exist to benefit themselves, not the agent. The contracts are always written in their favor. This is why I never use them or suggest others use them either.

If you want to use another FMO, read the contract all the way through and highlight anything you do not like or understand. Then ask questions, in writing, and get answers, in writing, before proceeding.
- - - - - - - - - - - - - - - - - -

I recommend NOT putting all your contracts through the same FMO.

Great advice.

 

[Josh]

FMO's exist to benefit themselves, not the agent. The contracts are always written in their favor. This is why I never use them or suggest others use them either.

If you want to use another FMO, read the contract all the way through and highlight anything you do not like or understand. Then ask questions, in writing, and get answers, in writing, before proceeding.
- - - - - - - - - - - - - - - - - -


Great advice.

Not all FMO's are created equal. I strongly suggest going through one FMO on all products, but you need to make sure it's a solid FMO. Most solid FMO's are really a place where experienced agents can get access to products, good commissions (or sometimes great commissions), sometime get advances, sometimes get bonuses, etc. Another advantage to having an FMO is that if you do have a problem with a carrier they care a LOT more about what the FMO thinks than what an individual agent thinks. If you're looking for training and support what you need is a GA and GA's are much more likely to give you a lousy contract that is completely in their favor.

Depending on your contract with them you'll have to either wait it out not producing (maybe 6 months) in order to jump ship OR if you're a LOA agent and assigned the commissions to the FMO then it could be 18 months plus. Feel free to e-mail me with the name of the FMO and what area you're in and I can try to get you hooked up with an organization that'll do right by you. Asking for a release is something they should try to persuade you out of, but not get nasty about it.

Hope this helps.

 

[Guest]

Feel free to e-mail me with the name of the FMO and what area you're in and I can try to get you hooked up with an organization that'll do right by you.
Hope this helps.

Your advice is good, but on your website there is not one iota of who you are and where you are. I looked on Manta and it seems as if you are in Lakeland, FL or Tampa, FL but doing a "whois" your domain is owned by someone called Senior Resources.

If you want people to trust you, you need to instill trust in them.

Al
Preserve your memories

 

[somarco]

if you do have a problem with a carrier they care a LOT more about what the FMO thinks than what an individual agent thinks.

Nice sound bite, but unless the FMO cares about you as an agent, and most don't unless you are writing a buttload of business, then you are in the same boat..

way out not producing

"Weigh" out makes a better impression.

 

[Josh]

Nice sound bite, but unless the FMO cares about you as an agent, and most don't unless you are writing a buttload of business, then you are in the same boat.

I don't know what type of FMO's you work with but I'm sad to hear that's been your experience. Most will at least mention the issue to the carrier and they usually at least have a contact that would be able to handle it and make a good faith attempt at fixing it. Usually an agent has a hard time even contacting the right person/department in order to get problems fixed.

 

[somarco]

I have had no problems getting issues resolved through my carrier contacts. Dealing with FMO's in the past is just another layer of incompetence to go through to actually get the problem solved.

Perhaps your operation is different, and if so, then fine. I have worked through several different FMO/IMO in the past have found all of them to have both thumbs up their a$$ and useful as tit's on a boar.

 

[Josh]

Your advice is good, but on your website there is not one iota of who you are and where you are. I looked on Manta and it seems as if you are in Lakeland, FL or Tampa, FL but doing a "whois" your domain is owned by someone called Senior Resources.

If you want people to trust you, you need to instill trust in them.

Al
Preserve your memories

I appreciate the kudos on my advice and thanks for taking the time to visit my website. To answer your first question, I'm not based out of FL. My business is based in NY and I'm currently in the process of incorporating. I'm also still working on upgrading my phone system, potentially using new office space, etc, so when that is done I'll be adding the the new contact info. The website was also intentionally launched ahead of schedule so that the search engines would index the sites by the time I was ready to go fully operational. Posting on here with my URL on my signature has also been a way of helping with SEO.

Hopefully while you were browsing my site you learned that my services are for Medicare Advantage companies. Most of what I do is lease software, outsourced broker managing, competitive intelligence, and sales model consulting. I've previously been doing this on a more informal basis and since it's been growing I'm investing more in marketing it.

If I do help someone get contracted with an FMO or GA all I'll usually get is a thank you. I mostly offer to help agents get pointed in the right direction because I hate to see dishonest FMO's take advantage of inexperienced agents, especially when there are great FMO's and GA's to work with.

 

[insuranceexec]

Welcome to the forum. We are glad to have you here.