Getting Under State Farms Skin.....

[RJT Consulting]

I had a current State Farm client come in to have me quote his motorcycle insurance. His current dec page showed he was paying $850/yr for his policy. My rates, for the same coverage, was $160/yr. With the clients permission, I posted his savings on our agency Facebook page. Shortly thereafter, I received a message from the State Farm agent calling me every name in the book as my quote was based upon him being age 25 whereas his $850/yr rate was based upon him being 24. I asked him if his rates had gone down yet or was he still paying the $850/yr. he verified that his rates had not gone down yet but would upon his renewal. He then tried to berate me again stating it was an unfair comparison.

I'm curious what the boards thoughts are. I'm telling him to pound sand as there is no way I can compare rates based upon what they would be since I have no access to that. I can only go off what the dec says.

 

[Norwayguy]

Obviously the agent dropped the ball or the client would have asked the existing agent first and would have gotten the spiel about the decrease.

 

[Mattschmidt]

Tell him to take a walk! Not only did you pick up a new client, but I bet he will refer other motorcycle riders your way...

 

[xrac]

I had a current State Farm client come in to have me quote his motorcycle insurance. His current dec page showed he was paying $850/yr for his policy. My rates, for the same coverage, was $160/yr. With the clients permission, I posted his savings on our agency Facebook page. Shortly thereafter, I received a message from the State Farm agent calling me every name in the book as my quote was based upon him being age 25 whereas his $850/yr rate was based upon him being 24. I asked him if his rates had gone down yet or was he still paying the $850/yr. he verified that his rates had not gone down yet but would upon his renewal. He then tried to berate me again stating it was an unfair comparison.

I'm curious what the boards thoughts are. I'm telling him to pound sand as there is no way I can compare rates based upon what they would be since I have no access to that. I can only go off what the dec says.

The truth can be rather painful.

 

[GreenSky]

I can't help wonder if the comparison is unfair. What would the rate be for both carriers at age 24?

Rick

 

[joshb]

That is a huge difference! Nothing else was different?

 

[RJT Consulting]

Nothing was different. We even requested that the ind bring his dec page in because we did not believe it. Sure enough, benefit for benefit, we were that much less. Neither the client nor I have any way of knowing what the rate was going to go to and I sure wasn't going to call the other agent and find out. I based my rates off of what he was currently paying.

Fwiw, my rates would not have increased by much even had I rated him as age 24 from what I've seen in the past.

 

[Insurance-Guy]

Just keep in mind what goes around comes around. I don't think there is anything wrong with what you did but the next person that he takes from you don't be shocked if he pulls the same thing with you. In my area there are many agencies around both of my offices. We take quite a bit of business from other agencies but I try to keep in mind that I have to live in this area and I try not to make enemies with my competition.

We normally will post something along the line of Joe Blow just switched and save xxxx on his insurance...and he got better coverages too. Call us and see how much you can save. Another thing that has worked well is we will put on our sign in front of our office... Joe from _______ (their neighborhood or development) just saved! This has worked great.

Having said all of this the State Farm agent was a jackass! Grow the F up business is business. It's not your fault his client called you for a quote.

 

[Guest]

I post something to the effect of..........We just saved a new client "this much" from Allstate or State Farm or whoever, how much can we save you?

I get an avg of 3 HH a month from FB

 

[Bertolinoins]

The other agent was captive... he could only sell one product and that product happened to be overpriced. That doesn't make him a bad guy.

I take a different approach with my friendly competitors. I would post that I saved the guy $$$ but I would not call out SF, Farmers, etc. If you befriend those guys they can send you a lot of business that doesn't fit in their wheelhouse. I have had two $100k+ commercial accounts that I wrote in 2003 on the referral of a State Farm agent in my area. He has sent me dozens of commercial clients over the years because he knows I will not try to cross sell them.