The Family That Farms Together, Sells Insurance Together

Suydam Agency Firmly Planted in Community It Serves

They could sweep me out of my office and I know that the business would continue just fine. But what am I going to do if I’m not here? I’m not going to work in his flower beds!”

Abe Suydam knows that farming in New Jersey has changed from 50 years ago when he was trying to make a living growing crops and showing cattle –imagine, now they have flower beds!

But even 50 years ago it was difficult raising a family on crops and cattle. The idea of selling insurance came from his mother, who had her own insurance agency and served on the board of Franklin Mutual. Suydam began selling life insurance out of his farmhouse for Occidental Life more than 45 years ago. His first client was a local veterinarian who remains a client.

300 acres
There are only a few farms left in the state. Indeed, the only thing scarcer than a farm in New Jersey (or an insurance company willing to insure one) is an insurance agency located on one.

Today, the good-natured patriarch of the Suydam family can see his sprawling 300 acres, the barns and farm equipment, his own farmhouse and the homes of his children out the windows of his corner office in Somerset. The full-service Suydam Insurance Agency operates from the second floor of a country roadside building, another family property. From his big desk, Suydam can also see the office’s shiny computers, freshly-painted walls and a bustling staff of 15 people, three of whom are his children, Robin, Ryck and Sally.

Triple play
Three of those employees behind the computers are his own children, Robin, Ryck and Sally, who now form the backbone of the family agency.

Robin was the first to join the family agency. That was about 20 years ago after graduating from Bucknell and dabbling in retail food business. “I realized I didn’t want to be pushing cheesecake anymore,” she said.

She started as a customer service representative and today she is managing partner. She oversees operations while also getting out into the community.

Sally, the most recent Suydam recruit, joined the agency two years ago after a successful stint in the hotel industry. She handles the claims department.

New ball game
“I avoided insurance as long as could,” admitted Ryck. A star football player in high school and at the University of Maine, Ryck worked with the Denver Broncos for awhile before returing home. He coaches local sports and works the farm, growing and selling its hay, feed, Christmas trees and other products (now including flowers) in addition to selling insurance to fellow farmers and contractors. Ryck, too, is a partner and director of sales.

“He’s good with truckers and contractors. They trust him for his dirty fingernails,” said his Dad.

Ryck also does his share of community activity with the local farm bureau and the chamber of commerce. But Robin is the real joiner in the clan, serving on the boards of a bank, a seminary and several nonprofits and volunteering for community organizations. Robin serves on the board of Franklin Mutual, extending the family’s ties to this firm that go back generations to the company’s founding.

In their community involvement, the siblings take after their father who has been on the boards of several banks and serves as a trustee of Rutgers University, among other activities.

“It’s a fine art to make all of this community involvement work. There is no doubt that it’s our marketing. We get referrals. Nice, constant referrals,” said Robin.

Robin acknowledged that she can be out drumming up business and Ryck can be farming and meeting up with contractors because Sally and the rest of the staff are in place to back them up. “It’s nice to be able to come back here to a team that we can pass that off to and get it taken care of. We’re better than we’ve ever been at that.”

The agency handles about $7 million premium volume a year, with a 65 percent commercial, 35 percent personal lines split.

Deep community roots
The Suydam family has deep roots in the Somerset area. “We have a name that is known. It’s an old name. Streets here are named after us,” said Robin.

The area has seen an influx of new residents, including many East Indians and Asians, which led to a change in marketing. “The newcomers don’t know our name so now we actually have a sign up on the road after 40 years,” Robin added.

How does a family that lives so close to each other and works together get along?

“We forgive each other a lot,” said Ryck, half-jokingly.

But Abe thinks the real secret to success is the mutual trust that family members bring to the venture.

“The trust is greater than if we were strangers; it’s 100 percent. There are simply no doubts at all. Do I think they are perfect? No. Will they make mistakes? Yes. But can I trust them? Absolutely, yes!”

“We know each other’s strengths and weaknesses. It’s just so intuitive. It’s just, ‘Don’t worry, I can take care of that,'” Robin said.

They cited an example of a recent mistake with a client. “So we brainstormed how to fix it. Ryck said it’s going to cost the agency to patch the hole. And so I said, ‘Well, then, let’s just do it.’ Not a lot of negotiation. Just do it. No blame game,” recalled Robin.

Balance n styles
In terms of their personalities and styles, Ryck and Robin believe they balance each other well to the benefit of the business. They are not beyond poking fun at each other over their differences either.

“Robin is more meticulous than I am. I’m a little more country; she’s more rock ‘n roll. I’m a little more laid back; Robin is more tense. I have more of a sales mentality; I try to find the answer to the problem. Robin says, ‘You already have the answer to the problem, look it up.'”

Meticulous Robin doesn’t dispute Ryck. “We might have a situation and Ryck will go visit the client and he’ll get it all worked out. A week later there’s still not a piece of paper anywhere to document it. I get a little upset because I want us to record it, protect ourselves. In the meantime, the client is totally satisfied.”

Some family agencies find that sibling hirings hinder their recruitment efforts but Abe doesn’t think that’s been the case at Suydam since the arrangement is known upfront..

“I think they know that since it’s a family business that part ownership just isn’t going to happen. If someone is interviewing for a job here and they think that’s what their goal is, this probably isn’t the place for them to work. It’s obvious that the perpetuation plan is in place,” Abe offered.

Ryck noted that since he has almost always worked with family, he does not know how it compares to other situations. But Robin can cite one disadvantage. “There are no snow days when you live across the farm lane from the agency.”

Asked why he didn’t sell off the family farm like so many others, Suydam exclaims, “There’s no fun in that. Then all you have is the money.”

Added Robin, “As my father says, you couldn’t buy this…you can’t buy the stories and the memories.”

“I am the luckiest guy in New Jersey,” Abe contends. “These guys are keeping me going. I get a piece of their work.”

It sure beats working the flower beds.

Topics Mergers & Acquisitions Agribusiness New Jersey