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16 Questions You Need To Ask Before Making a Decision About an In-House Insurance Agency

Please review and give thought to these questions before deciding on an insurance business model and which company to go with when considering installing or replacing an In-Dealership Insurance Agency


  1. Am I dealing with a Captive, or an Independent model agency?
  2. What will my commissions look like years one through five based on my current sales volume?
  3. When they issue an agency to me, am I the owner of the agency, and under what terms?
  4. What if I want to sell my book of business? What does that process entail?
  5. Will I or someone I assign own the book of business?
  6. Is this a virtual, or an in-dealership department with licensed people on my payroll, or the payroll of another company?
  7. How many carriers does this company give my agency access to? How about local carriers, and how many?
  8. What happens if one of my carriers leave my market?
  9. Do I have access to both “Standard” and Non-Standard” carriers?
  10. Does this company I’m dealing with have true access to the carriers as an “MGA” (Managing General Agent) or are they just a middleman piggybacking off another MGA with no real authority to protect my agency, my book of business, or my standing with the carriers?
  11. When I sign a contract, who is it with? How many different companies am I doing business with here, and who holds what liabilities?
  12. What percentage of commissions are they paying out to me as an insurance agency and what is the total commission split?
  13. Are commissions being split between just myself and the MGA, or is there a middleman taking a split as well?
  14. Are there performance bonuses in place and what do they look like?
  15. If the company I sign up with gets additional commissions and annual renewal (retention) bonuses from the carriers do I share in those bonuses, and what is the percentage split?
  16. Will someone come to my dealership and work with my team to ensure the perfect people, perfect process, and perfect productivity is fully operational and maintained during the life of my insurance agency?

After you have reviewed these questions and made some decisions on which direction your dealership might want to proceed, I invite you to call me so we can talk about the pros and cons on the above questions and items.

Thank you for taking the time to read this. And I truly hope you got some value out of this article. If you have any additional questions, please don’t hesitate to call my office directly, or feel free to email me: Kevin@AtlasDealer.com.


©Copyright 2018 All right reserved. By Kevin Bradberry