Question I want to become an American Family insurance agent?
Any comments from Am Fam agents on whether or not this is a good move? I am 44 years old and want to try my hand at this. Is the money good? I have all my insurance with Am Fam now and would love to have my own business. HELP!!
AnswerDear Greg,
I am an attorney, so have no idea whatsoever whether or not the income matches the work effort one would have to put in to succeed as an independent contractor insurance agent. I can pass along some observations, however, regarding what I know of agents who built successful practices in a small-to-medium size county (240,000).
I am also a veteran of starting small businesses, so I can pass along how I would go about making my decision if it were me.
I would consider the following five factors.
STABILITY AND GROWTH OF INDUSTRY
The insurance industry is the wealthiest in America, and growth will continue with population increases. Aside from zones for hurricanes and earthquakes, the future looks bright. PLUS factor here.
QUALITY OF COMPANY
I had only two experiences with American Family in presenting and settling personal injury claims, and both of those were good. That does not mean "good" in terms of getting all that I asked for; instead it means that they acted as a quality company and gave a good representation while making an amicable settlement. PLUS factor here.
I did a little research for you and found that this is a strong company with a good history and a large asset base. You could do more research. Probably a PLUS.
RESIDUAL INCOME PLAN
You should do some checking to see how other insurance companies work. The advantage of selling insurance is that once you have me as your client, I am unlikely to jump ship and go with some other company.
BUT, watch out for all the internet ads and media ads inasmuch as those are going to cut into that relationship between the agent and the customer.
Bottom line, residual income is GOOD STUFF: you join a service club and participate for a year. One member out of the blue brings up insurance. He will be your client. What work you did to land him initally will produce residual income for many years as he renews and renews. Probably a PLUS.
YOUR HISTORICAL "SELF-STARTER" PERFORMANCE
You have to be the judge of this. Be honest. Your work habits are what they are. And there is no doubt that being a "self-starter" is essential to success in this business.
YOUR PERSONAL FINANCIAL SITUATION
How long can you go without pay? If the agent is 100% commission, is there any chance of making an advance draw to live on?
I trust that this information has been of value to you and thus I would respecfully request that you find the feedback form on this website and leave some feedback for me.
Best Wishes,
Dr. Settlement, J.D.
www.SettlementCentral.Com
