How to Analyze Your Insurance Markets
How do you know the insurance carriers you represent are the right ones for your agency? Conducting an annual review of your markets will help determine if your partnership is mutually beneficial. The review process should involve all the individuals who have a relationship with your markets; owners and managers, producers, CSRs, account managers, marketing, and claim staff.
Use a spreadsheet format to organize the variables you are reviewing. Down the left-hand column, list your companies. Across the top, list the variables listed below. Complete the chart and you will have significant information about your companies with which to make important management decisions.
Company analysis factors
- Lines of business they write; Personal, Commercial, Small Commercial, Life, Group Health, etc.
- Do they offer Personal Lines or Commercial Lines Service Centers?
- Billing terms or problem issues – finance charges, etc.
- A. M. Best Rating
- Relationship with automation vendor such as Applied, Vertafore, Hawksoft, EZLynx
- Office location; local or regional – claims, underwriting, marketing
- Local underwriting authority
- Agency underwriting authority
- Claim handling – based on your experience and your client’s experience
- Company adjusters or independent adjusters
- Organizational and management changes
- Agency development support offered – education, co-op advertising, producer training
- Profit sharing program; threshold, lines of business, bonus incentives
- Commissions paid by line of business
- Technology capabilities
- Stability of underwriting market – in and out of classes or stable?
- Professionalism and knowledge of staff
- Elite or VIP agent status program offered; criteria to attain?
Emily Huling Selling Strategies, Inc. P.O. Box 200 Terrell, NC 28682
Phone: 888-309-8802 Mobile 704-516-5114