By Catherine Oak, CIC, AAI, and William Schoeffler A s consultants to independent insurance agencies across North America, Australia and New Zealand, we have agency owners tell us that the most common problem is that it is difficult to find good producers. Retiring agency owners without a producer to perpetuate their book will have limited options and may not command top dollar in a sale to a third party. Insurance companies should be concerned about their market share if that key producer dies or retires without a backup to retain the accounts.
Youth is also the lifeblood of an industry.
On the basis of our experience, we see very few young producers in our seminars or employed by our clients. The young producers we see in the industry are usually the children of the principals. Young family members getting into the business are usually motivated by the desire to follow their parents and to perpetuate the family business. For those young people with no family ties to the industry, there is little, if any, motivation to get into the industry. As an industry, we need to promote career opportunities to young people.