Benefits of Membership

EXPLANATION OF BENEFITS

RETAINED OWNERSHIP – Even though all company contracts are through the alliance, the agency is still owned by you.

INCREASED MARKETS – Through the alliance we are able to represent several times more companies by spreading the production requirements.

INCREASED CONTINGENCIES – By having all the alliance agencies’ premium volumes count toward the contingencies, the percentages paid by the companies are significantly higher.

EXAMPLE:

If an agency has a contract with XYZ Company and has a book of $100,000 with a loss ration of 35% (plus 15% commission), that agency would receive a contingency of $2,250. If that agency belonged to an alliance with a book of $750,000, that same agency would receive $5,500 (less the alliance percentage of 10%).

MORE STABLE CONTINGENCIES – By having a larger premium volume with a company, the large shock loss will not have as dramatic effect on the loss ratio.

REDUCED FEAR OF LOSING A COMPANY – When an agency has only a few hundred thousand dollars of business with a company and suffers a few bad years of losses, whether they are shock losses or not, the company usually does not hesitate to cancel that contract. If an alliance that has several million dollars of business has the same couple bad years, the companies are much more accommodating. There is also not the fear of losing a company due to lack of production.

PREFERRED AGENCY CONTRACTS – An agency that only has a few hundred thousand dollars of business with a company has no choice but to accept a company’s standard contract. An alliance that has a million dollars or more of business with company has the power to negotiate different contracts. This can result in better commission and contingency levels, as well as other benefits. Underwriting considerations are also more likely for these agents.

COMPARATIVE RATING PROGRAM – A state of the art comparative rating program is provided. This program will rate up to 33 different companies and over 100 plans for both auto and homeowners, with a BOP comparison coming soon.

THE LATEST IN MARKETING IDEAS – We have proven results in developing personal and commercial marketing ideas. We are also in constant contact with agencies around the country to monitor what works, and just as importantly, what does not. We coordinate this information with our agents.

REDUCED COST OF MANAGEMENT SYSTEM – The savings we are able to offer on the purchase of one of the most sophisticated management programs available would pay the alliance joining fee by itself.

PROVEN AGENT TRAINING – With the management experience of the people in the alliance, we have trained people to become successful agents.

NEW AGENT FINANCING – From either company sponsored programs or from within the alliance, there are several different ways for us to assist in making your agency grow.

PERPETUATION PLANNING AND FINANCING – At the time you wish to move on or get out of the business, we are able to assist in finding a buyer as well as getting the needed financing for the prospective buyer.

COMPANY SPONSORED TRIPS – Any agency that qualifies for a company sponsored trip would have the first choice to attend it. In the event that a company only allows one trip to be earned for the alliance, the agency that qualified first would receive the trip.

SERVICE CENTER OPTION – For the agency that wishes to hand off the service of personal lines and/or commercial lines we have a full service support department. Your customers can either call your phone number that is forwarded to the service center or they can call our 800 service center number. In either case the phone is answered generically that your customer will believe they are speaking with your agency locally.