What would it take for a P&C agent to work with a Long Term Care Specialist to offer LTC to your book at a 40/60 split. The 60 going to the P&C agent?
Especially for commercial producers with bigger clients with 50+ and 500- employees for group ltc.
I'm just curious, so please don't rip my head off if this is a stupid idea, thanks. lolol.
f2c
What would it take...?
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d's insurance store
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My 2 cents
Are you the LTC agent or the P&C agent?
If you're the LTC person, then I'll give you points for trying to expand your business, but speaking only for myself, it would take a lot of trust for me to open up my P&C book to anyone not completely under my control for fear that if you screw up, then it's my P&C client who is at risk.
I took the training for California LTC a bunch of years ago and it's pretty damn specialized. Also, it has a great deal of uncertainty about underwriting the prospect...so, if I let you talk to my clients, and their expectations are raised about being able to qualify, and those expectations are dashed, then it's my business on the line.
If you're the P&C agent thinking of expanding into LTC because you've got a good base to prospect from, then I'd probably affiliate with an LTC company that has in house agents/underwriters, and I'd be quick to stress to any clients that I've endorsed the product and the agency doing the work, but by no means do I guarantee an outcome favorable to the applicant.
LTC is a funny product. When I took my training, the person teaching was convinced this was the product that was going to make everyone in the room rich beyond their wildest dreams because of the demographic shifts in society. But, with admittedly limited prospecting with my own P&C book, I found that those who really needed the LTC couldn't qualify at reasonable rates, and those who were young enough to qualify didn't want to spend the monies necessary to properly fund a decent policy. Add to that the resulting turnover in companies that professed to be in the game for the 'long term' and then withdrew from the market and the continued cost increases in LTC caregivers where the policy benefits didn't keep up, and I concluded my efforts were better spent elsewhere.
I leave it up to the few agent/experts who devote their entire practice to the product. LTC applications in the hands of part timers or amateurs is asking for trouble.
There, I didn't rip your head off, did I???
If you're the LTC person, then I'll give you points for trying to expand your business, but speaking only for myself, it would take a lot of trust for me to open up my P&C book to anyone not completely under my control for fear that if you screw up, then it's my P&C client who is at risk.
I took the training for California LTC a bunch of years ago and it's pretty damn specialized. Also, it has a great deal of uncertainty about underwriting the prospect...so, if I let you talk to my clients, and their expectations are raised about being able to qualify, and those expectations are dashed, then it's my business on the line.
If you're the P&C agent thinking of expanding into LTC because you've got a good base to prospect from, then I'd probably affiliate with an LTC company that has in house agents/underwriters, and I'd be quick to stress to any clients that I've endorsed the product and the agency doing the work, but by no means do I guarantee an outcome favorable to the applicant.
LTC is a funny product. When I took my training, the person teaching was convinced this was the product that was going to make everyone in the room rich beyond their wildest dreams because of the demographic shifts in society. But, with admittedly limited prospecting with my own P&C book, I found that those who really needed the LTC couldn't qualify at reasonable rates, and those who were young enough to qualify didn't want to spend the monies necessary to properly fund a decent policy. Add to that the resulting turnover in companies that professed to be in the game for the 'long term' and then withdrew from the market and the continued cost increases in LTC caregivers where the policy benefits didn't keep up, and I concluded my efforts were better spent elsewhere.
I leave it up to the few agent/experts who devote their entire practice to the product. LTC applications in the hands of part timers or amateurs is asking for trouble.
There, I didn't rip your head off, did I???