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... the contribution that personal lines can make to the overall success of the agency. This process has to start with the agency principals who must begin to view personal lines as a viable and integral part of the firm's future. Thanks to the depth and longevity of the commercial soft market, this change in attitude is well on its way. In most general lines agencies that have not yet conducted major surgery on small commercial business, an account review will show that the top third of personal lines accounts produce more in commissions than the bottom third of the commercial accounts. A detailed analysis of the origin of profit-sharing dollars will frequently reveal that personal lines has contributed proportionately more to that income than commercial has. And although insurance companies may have reduced commission rates for auto and homeowners during the past 10 ... over the long term, it will happen. A half-hearted attempt to beef up a lackluster personal lines operation, however, will undoubtedly fail. In most cases, it will be necessary to alter the agency's way of doing business completely in personal lines. It may mean getting rid of long-term employees, drastically cutting the compensation of existing producers, changing account assignments, instituting 800 numbers or company service centers, eliminating a number of insurance companies, or contracting with a direct writer. Unless the agency principals are all willing to make whatever changes are indicated and to give the effort a solid three-year commitment, focus on some other means of achieving your growth objectives. Designing the System While there are thousands of ways to structure and manage a personal lines department, most of the successful operations have four ...

...that have not yet conducted major surgery on small commercial business, an acc...ds? If you are using company service centers, do you have enough business with...