There are many benefits to becoming an independent agent, but the biggest is your ability to better serve each client. All clients have individual needs, and your best asset as an independent agent is personalized customer service.
When you are working for a big corporate insurance provider, you are limited to selling the products of that company. Your goal is to sell as much insurance as possible and protect as many people as possible, which sometimes conflicts with your desire to help a customer find the insurance that best fits their needs. It is this conflict of interest that makes many captive agents make the transition to becoming an independent agent.
Personalize client care
When you work as an independent agent, you move much closer to your client base. Working with clients who are your neighbors, fellow entrepreneurs, and business owners that live in the same area as you gives you insight into their life and their needs for insurance beyond what a captive agent can offer.
You will be able to offer your clients choices instead of only being able to offer them the products of one insurance company.
Better access to your clients
When you work as an independent agent, you are going to be involved with your community and your clients. Your clients go to school with your kids, they play soccer and Little League with your kids, they work out at your gym, and they shop at the same farmer’s market. Independent agents are constantly surrounded by potential new clients, so you have limitless opportunities to get to know your clients personally, and to always expand your client base.
However, as wonderful as it is to be able to service all of your friends and neighbors, you also have to be smart about where you focus your energy. It’s important to always be open and available to anyone seeking your advice because you never know where your next big client could turn up, but you can’t spread yourself too thin, providing a little bit of insurance to everyone. We’re not saying you should turn away someone who only needs auto insurance or home insurance, but when you put yourself out there to gain new clients, make sure you are focusing your energy on clients who has the potential to become preferred clients. A client who needs an entire insurance portfolio to protect all of their business, home, family, life, and extras.
Increase client loyalty
Because independent agents become more personally involved with their clients, you become a lifelong partner. You are not just selling a product; you are building a lasting relationship with each client. You are more than an insurance agent; you are their one-stop shop for all of their insurance needs, whether it’s expanding the scope of an existing policy or helping to file insurance claims. You are their guide to the best insurance available, an advocate and a trusted advisor who is always looking out for their best interests.
As you get to know each client and their loyalty to your grows, you’ll have to dedicate less and less time to this client. We’re not saying you forget about them – quite the opposite! – but your preferred client relationship should run like a well-oiled machine, becoming more efficient and taking up less time and effort than new clients to whom you are still having to prove yourself.
Open an independent agency in Colorado, Arizona, and Utah
At Affordable American Insurance, we make it easy for captive agents to start their own agency and become independent agents. We give you a turnkey business model, as well as training technology so your agency can hit the ground running and be a competitive force in the insurance industry.