Insurance was never something I was even aware of until I was in college working towards my accounting degree and took a summer job helping an insurance agency design and implement an accounting system. By the end of the summer I had decided to drop out of college and become an insurance agent. It freaked out my parents but that was 30 years ago, and I wouldn’t go back and do it any differently.
How an agency gains access to carriers through a network will vary from network to network, so we are going to break this particular blog into 3 Parts: Mastercode, Direct/Sub-Code, and Hybrid. The first access point we will discuss is mastercode access.
I was born in St Louis, Missouri and moved to California when I was five. We were only supposed to stay in California for five years and move back closer to my extended family. We moved to this little town, El Dorado Hills. When we moved here, there was a Raley’s and Community Center. Years later, it has grown into a beautiful community. After five years, our family decided we were staying. After college, I didn’t go far. My husband and I purchased a house here in El Dorado Hills. Funny enough, we just bought a new home in the neighborhood where I grew up. Grandma loves being close to Mr. Eli.
There are many aspects to consider when looking at what network may be the right fit for your agency. One of the most important questions, if not THE most important question you should ask is, “What are the Exit Terms?”
In order to answer this question, I’d first ask you to put yourself in the existing members’ shoes. One of the primary reasons any agency joins a network is to maximize or stabilize their agency’s profit-sharing revenue. The idea is to aggregate the premium of many to better withstand losses that are the nature of this industry.