Setting Up a New Agency

[VetteBlue]

I wish there were an Allstate agency for sale where I live. I would love to purchase a small book rather than starting a scratch agency.

 

[amctyre]

Study your market well! Have a strong business plan! Know exactly how you will market and make sure you have a plan B, C and D!

But most importantly, know how you will set yourself apart from the other agents in the area. If you can't put into words what makes you better than the next guy down the street, you'll be fighting an uphill battle.

 

[Ray Dr]

Thank you all for the input. I have been doing the requisite research. Part of what I have done is run the total number of households in my market against the Allstate market share (per State of CO numbers for 2008). Based on those numbers for Life, Homeowners, and Auto I would have to close 1% per month of potential market share to hit a comfortable income. I know it will take time to establish myself (I am also making plans on how to speed that process) but my question; is 1% a reasonable number if I have a plan and work the plan? I have been managing sales people (and myself) for twenty years so I have a good feeling for developing marketing plans. It sounds very do-able to me but I would be interested in your thoughts.

Thanks

 

[babajideoloko45]

Get the necessary approval from the appropriate authority.
Get your lawyers to advice on the nitty gritty of registering your firm.
Build your firm to at least medium player in the insdustry before capitalization.

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Get your customer to understand the different between your proposal and other insurance agent proposal and why your offer stand out to be unique.
define your unique selling proposition and stick to it.
then ask yourselves some honest question which your customer are likely to ask you and answer it honestly. like what makes you different from other agent and why should i buy your insurance policy.

 

[xrac]

For those of you who want to build an agency here is how:

Building an Agency - Practice Management - Agent's Sales Journal

Building an Agency: How to Do It, From Those Who Have - Practice Management - Agent's Sales Journal

 

[flsupraguy]

Join NAPAA

 

[planB]

I am considering setting up a new Allstate agency in rural Colorado. My biggest concern is market size and its ability to handle "another" insurance company (no Allstate competition). Does anyone have advice on questions for Allstate and/or do's and don'ts from their experience?

Don't. Independent is the only way to go.

 

[bree4479]

Do you have a book yet? Are you going captive with Allstate, if so I would look to go independent if you really want to have options? If you are start up look at Grange or Erie, see f they are in your state, booth let you start independent agencies. Plus Allstate is not that great. Google your in bad hand with Allstate. Do your home work.

Don;t worry about market size worry about market share and if you can only quote one insurance company your going to be in trouble. Especially if you build a book and they take rate increase.

 

[TheKoenigGroup]

I am considering setting up a new Allstate agency in rural Colorado. My biggest concern is market size and its ability to handle "another" insurance company (no Allstate competition). Does anyone have advice on questions for Allstate and/or do's and don'ts from their experience?

I am in a city close to Fort Lauderdale, and an Allstate just shut down, but they are flooded here in Florida, I would say go for it, if you have done your market research and it is not saturated.