So you have taken your insurance exam and got a license to sell insurance. Now, you want to start selling insurance? Before you do, you need to get an insurance carrier appointment. And nobody mentions that this is one of the most difficult processes.
What is an insurance carrier appointment?
Insurance carrier appointment means an insurance company is giving you the authorization to sell their insurance product. They will authorize you in states where you are licensed and the corresponding line of business.
Direct Carrier appointments
If an insurance company is appointing you as their agent to sell an insurance product then it is referred to as a direct carrier appointment.
How to get a direct insurance carrier appointment as a new agent?
- Differentiate yourself: Make it your goal to show how you are different from everyone else. You maybe using specific marketing techniques or technology or something else which makes you different.
- Business plan : Have a real business plan with details about marketing, team , financials and long term vision.
- Research before applying: Do your research on what that carrier’s appetite is & be sure it aligns with you, if it does relay that message.
- Build your brand: Build your brand so they know you before you walk in the door. Have a website with good design, logo and your brand.
How long does it take to get appointed with an insurance company?
From the time you first contact an insurance carrier it may take anywhere between 2 to 6 months to get appointed by an insurance company.
Below we have provided inputs from experts in insurance agency space.
“1. Make it your goal to show how you are different from everyone else 2. Have a real business plan. 3. Do your research on what that carrier’s appetite is & be sure it aligns with you, if it does relay that message. 4. Build your brand so they know you before you walk in the door”. Bradley Flowers -@Bradleyflowers7
“As a carrier I’d take a chance on someone who came to me with a solid plan, value prop and helped me understand how they were planning to help me too.” BeckyMonfre – @BeckyMonfre
“keep working the relationships took me a long time but you cant quit and be persistent” Paradiso Insurance:@paradisoins
“When I started a scratch agency 17 years ago, I put an appointment getting 3-ring binder together, who I am, who my staff was, our projections, our financials, how we do business…..10 tabs in all. Got 5 out-of-5 appointments. One ins. company president was on his desk!
By-the-way, when Peerless was a great company, the marketing rep., commercial underwriter, personal lines underwriter all 3 in my office, all with my binder….appointment ON THE SPOT!”
Thomas Larsen : @Insurance716
“Be willing to say no today and store data/relationships for later
Accept that you won’t write everything & that’s ok” BillyVJ ; @BillyJura
“Accept that you won’t write everything & that’s ok”
This concept is very important… Ryan Hanley @RyanHanley_Com
10 Smart ways to generate insurance leads online in 2020
Insurance Market Access Provider
If you are not able to get a direct appointment from insurance carriers then you can get started by working with insurance market access providers. Market access providers generally have direct appointments with multiple insurance carriers. You are appointed or contracted with a market access provider and they charge you a monthly fee or percentage commission or both.
Benefits of Insurance Market Access providers
1.Faster time to market:
Generally, it’s faster to get onboarded and you can start selling insurance.
2.More Options:
With market access providers you may get access to multiple insurance carriers at once. Signing up with say 20 carriers may take you one year but with an insurance market access provider, you may get access to 20 (or more) carriers at once. The number of carriers who are part of each insurance market access provider is different for each state/line of business, hence you should check this before signing up.
3.Tools and technology :
Many insurance market access providers offer different tools and technology to their agents. It may be related to quoting , policy administration, lead management etc. When you are starting out it is good to have these available at one place. Also, some of these tools may be free or at a discounted rate.
List of Insurance market access providers
Below we have mentioned some of the market access providers. Please let you know if we missed any major one. Also if you have worked with any of these then we would love to hear your feedback on their service.
1.Other Insurance Agency:
Yes, you can work with an established insurance agency in your state and work on a commission split structure. This is one of the easiest ways to get started and many new agents are not aware of the same. Each agency will have different terms but you can negotiate on them. You can get added to their Errors and Omission coverage and save money.
2.Superior Access (P&C and Commercial insurance)
Superior access has multiple carriers across the United States. They will charge you a fixed monthly fees and you will get around 7-8% commission (please check their website for an accurate number) on each policy you write. You need to buy your own Errors and omission coverage. They can also help you in purchasing Errors and omission coverage.
3.Agent Support Network of America (ASNOA)
ASNOA is good for those who have prior experience in selling insurance as they will ask you for your sales history. If you were an insurance agent with some agency or you were a captive insurance carrier then it may be a good option.
“We work with aggregate and have access to over 20 carriers. HIGHLY recommend them. Lookup @_ASNOA_ on here. They have affiliates all over the country and a proven track record. Check them out.” Allegiance Insurance Services :@myallegianceins
4.GoIndium
Indium provides market access for both personal and commercial carriers that cover a wide range of risks.
5.Attune insurance (Small commercial)
They are an admitted small commercial market made to get business off your desk and on the books hassle-free.
“@AttuneInsurance is a great option. There are some incredible wholesalers as well that can help get you started. “ Ryan Hanley @RyanHanley_Com
6.CoverWallet for Agents ( Commercial Insurance)
With Coverwallet you just need license and Errors and omission coverage to get started on their platform. There are no monthly fees, they will keep 30% of the commission and you keep 70% commission to yourself.
7.Clearcover for Agents (Auto Insurance)
Clearcover is a technology-based auto insurance provider. They use AI and technology to make the car insurance process easy .
8.Quotacy (Life Insurance)
Quotacy helps insurance agents get access to multiple life insurance carriers. Quotacy for Advisors program offers commission to licensed agents, support, and resources, and is free to join with no monthly charges and no minimum sales requirements.
“Clearcover, Openly and Hippo will let just about anyone with a license sign up to sell for them. Coverwallet for Agents is another insurtech with market access. I’d prefer the routes the experts above have outlined but if the incumbents don’t let you in the game use the insurtech.” Pat (The Shopper) West @hedgequote
If you need more new business for FREE then join https://coverclan.com/
Hopefully, this article was useful to you and helped in learning something new. Please share it with anyone who may benefit from it.
If your business needs help with digital marketing and/or with Chatbot then please connect with us via messenger 🙂 or set up a quick demo via the link below.
Set up your free Success call with our team and figure out how you can take your Insurance Agency to the next level.
