Hey gang,
My neighbor has a P&C brokerage and does no life insurance at all. How does one typically structure an arrangement where I market life insurance to his clients?
Before any discussion about a JV, I spend a great deal of time doing due diligence and determining if this is the right partner. I've turned down most, and have only taken on a select few. A great deal of your potential success is contingent upon picking the right JV partner.
If they are the right partner, then I would start off any JV discussion with your "why" so to speak. Then the "what" are you trying, hoping, etc., to accomplish. Increase revenue/profit is the easy answer. Aside from that? What are you willing to do and what is he/she willing to do? What is your vision for this JV and what is his/hers? I would also make sure both of you are willing to do what it takes -- everything it takes -- for this JV to be successful.
That said, if you are talking about comp/split, there's a lot out there and it's all over the board. Every life case has different components. For certain JV work, I come from a place where, a typical case might look like this:
1) Opening the case is 20%
2) Taking data is 20%
3) Designing the case is 20%
4) Presenting the case is 20%
5) Servicing the case/client is 20%
If you are talking simply about a very favorable introduction, then it's a different story. I've seen 80/20 and 70/30, but I think it's case specific. There's a difference between supplying a name and supplying a meeting (on a very favorable basis). Good luck!
