Captive Agents Have the Advantage of Building a Book of Business Under Some of the Most Recognized Names in the Industry
The problem is that those names know it. So those large names take advantage of the situation and change contract language, cut commissions and force life insurance sales to maintain profitability. From a commercial lines standpoint aside from a few classes of business the best strategy to service your clients is to refer your business to an independent agent.
Many of the captive agents will have “brokerage” firms they can work with that have been set-up for their use, but are time consuming and limited in what they can do. I have seen most captives initially feel overwhelmed by the choices the independent side offers, but ultimately thrive.
Many captives are more personal lines based by default but have always desired to be more active in the commercial realm. This is a natural fit with our affiliate program as we have the ability to help those agents learn and understand commercial coverages, while working towards rebuilding their business and earning their own sub-coded appointments. While carriers train on the products and appetites, we can help the agents learn the “business” of commercial insurance. We can help in understanding niche coverages, and develop specialists, or give the broad overviews for generalists to competently compete in the market.