B. H. Burke & Co., Inc. presented at MAIA\'s Big Event 2011 in Boston. How to find producers, pay them, and what they should be doing (with new technology).
1. Producers – How to find them, pay them, and what they should be doing Everett Shaw, ASA Tom McGraw, CPCU Jason Hoeppner, CIC B. H. Burke & Co., Inc.
And note… that much of what we will have to say applies to finding any type of producer…be it P&C, Benefits or Financial Services but we put this together with an emphasis on P&C producers.
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-Paying first year splits on everything -Paying renewal splits only on accts over certain comm thresholds -Geographically sensitive -Include all policies (commercial & personal)
-If looking to incent producers to write bigger cases, stop paying renewals on smaller accts. -Producer who strives to earn $100k and has a 50 new 50 renew plan will maintain a book of $200k -Producer who strives to earn $100k and is on a 50N/30R plan and only gets renewals on accts over $1,000 of comm’s will generate more biz -Producer with
-Focus here is on the plan that ultimately survives -Comp plans to bring on new producers are all over the place. Do what ya gotta do for a period of time. -For budgeting purposes, 1-2 yrs experience: 35k-45k, 3-4 yrs: 45k-55k, 5-7 yrs: 55k-70k, More than that: What do you need
Exhibit 1 – 40-40 Prod Comp
Exhibit 2 – 50-30 Prod Comp
Everett used a role play of saying…if I bought your agency …he would make sure he had a sound and rewarding producer compensation plan sure you have a compensation structure that works for you and for the producer. We provided an article written by Brian Burke that is a longer version of the next three bullet. Our advice is before you recruit spend time sorting out the three major roles in managing a producer – the administrative piece the mentoring (if needed) and what we think of as traditional management – accountability. It is wrong to believe that ‘a good producer’ finds a way to get it done…or a good producer shouldn’t need management support. They do - so be sure you have your plan for paying and managing them well thought out before you make an offer. I will stop here because I coming close to stepping on Jason’s topic ‘what they should be doing’
… We can’t stress it enough we find that the agencies that have a better than average success rate with producers have a great story to tell a producer. … You need to be willing to talk to ‘as many as it takes’. … .What do I mean by do it right? (next panel summarizes the process).
… We can’t stress it enough we find that the agencies that have a better than average success rate with producers have a great story to tell a producer. … You need to be willing to talk to ‘as many as it takes’. … .What do I mean by do it right? (next panel summarizes the process).
… We can’t stress it enough we find that the agencies that have a better than average success rate with producers have a great story to tell a producer. … You need to be willing to talk to ‘as many as it takes’. … .What do I mean by do it right? (next panel summarizes the process).
What will define success is different for newbie, a PL, a small commercial etc. The key is to spend time on what you want this person to be selling and before you start the recruiting be sure you have identified ‘success’. Know what you are looking for…(CIB handout)
What will define success is different for newbie, a PL, a small commercial etc. The key is to spend time on what you want this person to be selling and before you start the recruiting be sure you have identified ‘success’. Know what you are looking for…(CIB handout)
… We can’t stress it enough we find that the agencies that have a better than average success rate with producers have a great story to tell a producer. … You need to be willing to talk to ‘as many as it takes’. … .What do I mean by do it right? (next panel summarizes the process).
… We can’t stress it enough we find that the agencies that have a better than average success rate with producers have a great story to tell a producer. … You need to be willing to talk to ‘as many as it takes’. … .What do I mean by do it right? (next panel summarizes the process).
(Taken from an expert…) These items will get you past 2 nd base, rounding 3 rd and heading home in any sales situation. Couple of sentences on how to intro Jason. Helping agents understand it, set it up, and what they should be doing with it… but only in the way that makes sense for them. Number of seminars on social media, and we are not going to teach you (here) what or how to be doing the specifics. Questions – What should I expect at a minimum for what my producers should understand about social media. “ How does social media relate to each of these things/actions?” Ask the questions on this panel and speak to each of the what the producers should be doing. None of the agencies in this room will go broke if they are not involved, but they may be walking away from some of business.
Regardless of what the agency may choose to do regarding its use of social media, producers should be given the opportunity to use these tools to enhance their prospecting, sales, and relationship building [funnel, face to face, qualifying]. You let them go to networking events, right?!... Why Am I Stating the Obvious? Because I have watched two individual superstar producers at different agencies go about the above in an ineffective manner… Questions from GG – What value can it bring to my producers and the agency. How much new business will I lose? Which ones will my producers
Do the homework, Tom’s 10 commandments question about social media. Producers’ effective use of social media. Put together a list as a handout. Thou shall not…
View Charlie’s video. What the successful producers show and tell the suspect/prospect. Webpage – What the agency and producer need to keep in mind. Show and Tell (2 columns w/ “&” in between) The customer shows you something about themselves w/website, SM… good producer is learning, observing and using. Tell – buyers of insurance are going to your webpage, SM, etc. Growing every day. What your story?
Fix, notes and keep only blue (and red) bullets. Used with permission from CIB .
May be doing fine with what they are doing… What producers should be doing… filling the pipeline and then converting these prospects into clients. 3 things a successful producer does, building and filling the pipeline, making face to face contact, qualifying the suspect into a prospect (and then a client?)