Switching carriers within agency

[amandaturton]

I am into my second year at an independent agency. I requote every renewal. I have found savings for some insureds, presented the offer, and switched them. Is it common to flip an insured every year? Does this have an impact on their insurance score? I am still learning and want to do what is best for the insured.

 

[shawnmwalker]

That is a lot of work. Draw a line in the sand and make it an agency practice to rewrite anyone that has had a rate increase larger than ___%. Set your Management system to alert you of those increases, send out a form email that touts the benefits of being insured with an Indy and have them contact you if they are interested in a new quote.


As your agency grows how will you have time to requote every client every year and maintain growth significant enough to out pace the natural attrition. Better to draw a line I the sand, contact the client, and have them dictate if they want the work done. Frees up the time to go get more new business.

Good luck.

 

[VolAgent]

I'm with Shawn on this one. From both perspectives.

As you grow, you won't have time remarket every account each renewal. Two, this would be beyond annoying as an insured. I can't imagine my agent coming to me to change every year. Particularly if the savings are rather small. After 2 or 3 times of this, they may just go find a captive agent and not have to deal with a constantly changing insurance company.

Finally, I doubt your carriers would care for a constant turnover in your book. Sure, it should all wash out in the end, but that is a lot of working for underwriting and new business to effectively keep the same premium as last year.

You are churning your book and no one is really benefiting from it.