Smalltownagent wrote:D's insurance store...at least you have motivational speaking as a natural talent once our industry fails.
I do agree with your comments though, its important to align yourself with the companies that value our work (for the time being, because it can change in a heartbeat). Like yoyowordup mentioned, find yourself a small regional carrier. Our biggest carrier by volume is a small regional carrier (TX only) that we don't ever *knocking on wood* have to worry about competing against directly. They might cut commissions, or profit sharing, or a multitude of other ways...but I don't foresee them ever having the capability to sell directly.
I've been affiliated/appointed with a number of carriers over the years that attempted the direct channel in addition to maintaining the agency connection as well. SAFECO, Unitrin, Arrowhead and Mercury come to mind. In each instance, at least in my opinion, the point of sale underwriting failed miserably and volume was so low that each carrier had to modify or even scrap its attempt to circumvent the retail agency.
So, the desire to cut out agency commission expense exists, but the process and procedure to mimic GEICO and Progressive direct just isn't there.
My short list of reasons why I think the current business model is dying for the small & mid sized retail agency are lack of perceived value in dealing with an agency, rates, a generation raised on technology that can and will access on line vendors of personal lines insurance and ultimately an introduction of self driving cars. Carriers pile on with diminishing commissions, forced agency increased expenses and servicing and just a general lack of appreciation for the field work done on the carrier's behalf.
My agency bank account still fills up each month with legacy commissions, so I'm not immediately going anywhere, but once that checking account dipstick starts to show lower levels of revenue, I'll be ready to make the graceful exit.