I have worked for a captive for 9 years (as producer not agent)

Any thoughts on going it alone in the world as an independent property and casualty guy?

I've been a Principal for over 30 years.  

My philosophy has always been that employees or Sales Specialists only leave for two reasons...  They don't like their manager, or they feel some form of unfairness has been perpetrated on them.  I do everything in my power to make sure that neither of those issues ever arise.

I also put "golden handcuffs" on my producers.  They need time off?  They get it.  Need to leave early?  Go ahead.  Have to run an errand?  Go ahead.  And I compensate and bonus he hell out of them. I take their input as to marketing, prospecting, etc....  I give them ownership on many fronts and they embrace it all.  

I'm very clear that if I feel that I'm being taken advantage of, I will address it and will curtail their freedoms.  I've never had to call them out once.  

So...  tell me about your circumstances....  And I'd be happy to offer you an opinion.  Are you Life Insurance only?  Multi-line? Hows your production, etc...   IM me if you're more comfortable.      

OK....   Starting as a true Independent is not an easy proposition.  

Do you have a no-compete?  That could limit you in moving current customers over.

You can go true Independent - which means you'd have to negotiate contracts/licenses with Insurance Companies - and IF they agree to take you on, you have to guaranty them a certain premium volume for the year.  And if you don't meet those production levels, they drop you...  Or, if your loss ratio is poor - they drop you.  Those companies almost always pay higher commission rates.  But...  you'll also be on the hook for your monthly business expenses - rent, utilities, advertising, accounting, technology, marketing, leads, employees, etc....  

Or...  You could sign up with an established Independent Agency - but then you're going to pay them a percentage for the access to their Insurance companies, and for office expenses, etc....  

Working for a captive, you're probably an employee - which is a good gig tax-wise.  If you go on your own, prepare to be loved tenderly by the tax man and handle a lot of accounting processes.  Or, hire a CPA and that's more $$$ out of your commissions.      

Going Independent, there is no salary.  It's 100% commission.  And no renewals for 6 months to a year.  So if you don't write, you don't eat.  

Have you approached your captive insurance company's Regional Manager to look at an Agency career with them?  The captive support system for new Agents is usually quite generous.  

Anyhow..  My offer still stands....  IM me if I can help.

Thanks for the advice. I am working harder and earning less. The bonus structure from the captive is changing so much that what we chase is always changing and the agency has to adjust comp every year to keep up with changes.

Now the quarterly bonus is only paid if the individual agency location (we have three) hits the goal not individual producer results.

I have hit my first and second quarter bonus objectives but the agency location has not because manager has not filled positions and trained so we are low on our overall goal.

I have no control over hiring and agency management yet my money is tied to mangers performance which is lacking.

I don’t like my pocket being picked. I don’t need 6 figures but I Need high 5 based on what I do.

I am p and c and life licensed. I produce commercial for all 3 locations and advise current clients and sell life umbrella etc during annual reviews to existing book for my location.

I don’t think I would want to be naked independent but maybe work for a general agent where I hold myself out on my own but back office e and o and software is run by general agent.

Step 1 -  analyze your non-compete agreement.  Have an attorney look at it for a 1 hour fee, unless you have a good friend for free.
Step 2 -  is it to the benefit of your insureds to be able to move them to a company within the independent Universe?
Step 3a - if not, you are basically starting at zero.


Let me know those answers and then we'll look at Step 4.

PS -  you are getting some great comments already... I am also happy to talk to you via phone if you want...just PM.

They are not my clients and I was paid well to write them in that book. I don’t want to poach ( except for friends or family that want me as their agent).

I would honor that 1 year non solicit against that book.

I have no ill will where I work and am grateful for the opportunity but at the end of the day there is no equity for me and I am not building a renewal mill that pays me.

the captive is the pain. It is a stock company so it is always chasing the next big idea for quarterly stock holder reports. The long steady hand that guided the ship is now bi polar.

The technology upgrades to latest and greatest are failing and they are unwilling to turn back to the stable platform so quoting time is taking forever and underwriting changes are making some commercial stuff take 30 days and 3 underwriters to write. By then it is a dead lead.

Find an independent agency with a good list of companies.

If you have experience and motivated you should have no trouble finding several that would hire you.

Want to move to AR?

That is the short answer (post right above.)

You have already succinctly presented several reasons to leave and join a new agency. You'd make the short-list for sure!

Ever thought about Louisiana?   :)

Join the insurance soup group on Facebook and talk to Taylor about his options with CIA.

I’m captive and have found a way to make the model work for me, but will likely eventually end up going independent.