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... Back Growth-Loaded Producer Compensation 4/30/2013 12:00:00 AM by Al Diamond , CompleteMarkets Editor This content has not been rated yet. Use this plan to give your producers an incentive to target growth, while protecting the agency from financial losses. Everyone is motivated by money to some extent. For some people, money is the source of security, providing funding for home, food, and the necessities of life. For sales people, money is also a way to get things. Things form a sort of scorecard by which many salespeople measure success. The more money they make, the more things they can have. This is not meant as a value judgement. It's just a fact: Money motivates salespeople more than people in other types of careers. Yet in ... Employees Articles Blog Photos Group Connections Reviews IMMS Library Immerse yourself in our stacks. Take some time and browse through our library. We have thousands of articles, checklists, tip sheets, sales letters, and more! Communications Marketing Customer Service Planning Finance/Accounting Risk Management Human Resources Selling Legal and E&O Technology Life/Financial Services Glossaries Management Resources & Links Categories Popular Recent All Back Growth-Loaded Producer Compensation 4/30/2013 12:00:00 AM by Al Diamond , CompleteMarkets Editor This content has not been rated yet. Use this plan to give your producers an incentive to target growth, while protecting the agency from financial losses. Everyone is motivated by money to some extent. For some people, money is the source of security, providing funding for home, food, ...

...urity, providing funding for home, food, and the necessities of life. For sale... from financial losses while giving producers an incentive to target growth wi...

...aces to go on Sunday is the health food store. It has a snack bar, and Roy, th...about vitamins than I do about health food, I conclude that I ought to buy wha...

...arket. You always buy the cheapest food, right? Brands and quality don’t influ...e professionals, such as commercial producers and risk managers? If you have a...

...typically are basic needs, such as food or a place to live. The second categor...

...next level of the pyramid, such as food and shelter, can be pursued. Protectio...hould send a thank-you note. Remind producers that survey forms and checklists...

...nt opens in near-saturated Chinese food market and captures customers with an ...kitchen where customers can watch the food being prepared, and a dining atmosp...

... Joe Average stopped at Happy Fast Food to purchase a hamburger. He ate it, wa...ours more than planned and ran out of food and drinks. The plane finally lande...

... have a responsibility to educate the insurance buying public, one at a time, as they come in to talk to us. But as long as there's somebody on the next corner who has a modicum of credibility and the same license I've got, and will sell a lesser product for a lower price, we're going to lose. And, holding the moral high ground in this situation doesn't put food on the table. You're damned if you do, and damned if you don't. As long as we're paid a percentage of the premium commission, some agents are going to do whatever is required to put food on the table. The solution might be fee-based compensation, but I'm not so sure about that either. This one's a real can of worms. Reproduced, with permission, from ... O exposure is significantly less, and their customers are much better served. FACULTY RESPONSE I'm an expert witness on a case that will make case law if we're successful. Our claim is that there's little if any Personal Goodwill (vs. Business Goodwill) in an insurance agency because, while the sale of insurance is certainly based in the experience, expertise, sales ability, and personality of the producer, its maintenance is primarily that of a commodity product. As long as the agency treats the account well, and the product and the price are competitive in the industry, the accounts will stay. If the accounts aren't treated well, or if the product or price competitiveness deteriorates sufficiently, the account will tend to leave if solicited by an agent with better products and prices (and the ...

... have a responsibility to educate the insurance buying public, one at a time, as they come in to talk to us. But as long as there's somebody on the next corner who has a modicum of credibility and the same license I've got, and will sell a lesser product for a lower price, we're going to lose. And, holding the moral high ground in this situation doesn't put food on the table. You're damned if you do, and damned if you don't. As long as we're paid a percentage of the premium commission, some agents are going to do whatever is required to put food on the table. The solution might be fee-based compensation, but I'm not so sure about that either. This one's a real can of worms. Reproduced, with permission, from ... O exposure is significantly less, and their customers are much better served. FACULTY RESPONSE I'm an expert witness on a case that will make case law if we're successful. Our claim is that there's little if any Personal Goodwill (vs. Business Goodwill) in an insurance agency because, while the sale of insurance is certainly based in the experience, expertise, sales ability, and personality of the producer, its maintenance is primarily that of a commodity product. As long as the agency treats the account well, and the product and the price are competitive in the industry, the accounts will stay. If the accounts aren't treated well, or if the product or price competitiveness deteriorates sufficiently, the account will tend to leave if solicited by an agent with better products and prices (and the ...