IMO/FMOs: What's the Rationale...

[TwiLight]

We have not even breached the carriers that refuse to change IMO's after so many changes..... aka Foresters 3 and done policy implemented in 2011.

If you move to another IMO and it is the third time you are done, you have landed at that IMO for Life. Foresters issues a new ID number per IMO and they implemented a policy that only allows a maximum of 3 ID numbers in their system.

I have been doing this business now for over 25 years and I understand carriers reluctance to move IMO's. This system was established to eliminate the direct contracts and slide the Bad Debt to an IMO instead of Home Office and also to aide in distribution, not to mention the extra paperwork involved in switching IMO's

Agents have become too dependent on an IMO for their success and blame them for the lack of it. Most agents (never mind the carrier) submit directly to the carrier, get status updates and handle most issues and commission balances direct with the carrier. The IMO (as the carrier looks at it) is the marketing and training arm of the products the carrier is pushing through IMO's. Not whether or not leads systems stink or the agent did not get the training he wanted. (still asking for Street Level by the way), etc, etc.

Switching IMO's should be a choice of convenience, product diversity and increased opportunity with an agent. If you have no debt, the IMO should release. However, it is usually the agent's own shortfalls in their career choice that prompts the request.

Just one man's opinion...... Let 'er rip

 

[CALTCAgent]

That's a shame you had that situation. We actually had an agent contracted with us and taught him about a great product that he was never aware of until he came to us. He chose to try and switch to another FMO because a friend of his started one. Technically he was tied to that carrier through us for 6 months but we released him because our philosophy was (like someone said in this discussion), if they don't want to be here why would we make them stay. It's only for another 6 months and why would you create bad feelings. His friends outfit might not work out and hopefully he would consider us again. However I will say we might have reconsidered if there was a large debit balance or the possibility of it, but we would have explained that as the reason.
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Oops....shame for Insurance Gem, that is

If someone asked to see your release policy in writing, would you provide it?

 

[Crabcake Johnny]

Blaming your lack of success on your agency is a bit like opening a restaurant and blaming your lack of success on your supplier.

If you need a lot of training and a lot of hand holding I'd heavily recommend a salaried position. When you go "independent" you are making a choice to be self-employed.

Let's call it what it is. Most agents fail due to:

1) Not being geared towards self-employment. If you added up the hours they actually worked it would be 2 a day.

2) No passion for the insurance industry. They think getting licensed is a quick fix for a career. No real passion leads to a "meh" attitude of "listen, I read the brochure and know the product."

3) Not willing to execute a realistic marketing plan which largely involves cold calling to get off the ground.

And let's call is more of what it actually is - that most agents were recruited into this business under the promise of "six figure" commissions. The people who are the most prone to fall for pitches like that are the people who are the least likely to actually work to achieve it.

This industry attracts an inordinate amount of "I deserve to make a ton of money just because I'm me" people for some odd reason. They are mainly people who perform poorly at previous jobs.

If anything has changed lately - from what I've seen - is that more agents coming into this business want to be salesman and not build a loyal block of clients. It's a "kill it and grill it" mentality.

If I speak with 10 agents who just got into this business, 7 should back out without even going an inch further.

There are obvious exceptions - agentd who love this business and are committed to learn and grow. Those are the successful ones and they certainly don't blame external factors for their issues.

 

[warrenins]

Sure we would CAL. Something else we would show you is the actual commission grids we get from our Carriers that show our gross agency commission. Our agents are our clients, they are the ones that make us successful. Start out on the right foot and hopefully all goes well from there.

 

[moonlightandmargaritas]

if you are an fmo please contact me today at [email protected] about contract

Man, are you coming off as desperate...

 

[TwiLight]

Man, are you coming off as desperate...