Monday, March 29, 2010

How To Improve Your Auto Insurance Loss Ratio

  • Step 1:
    Check out the area where the individual lives. Although insurance companies know where the highest crime rates occur, these are often in chart form and as averages. You have the advantage because you know your town well. Don't market to these areas.
  • Step 2:
    Use several different companies for quotes. If you find iffy behavior in your client, don't quote companies that offer a bonus for improved loss ratio. You can't refuse to sell insurance, but you don't have to use the same company for every client.
  • Step 3:
    Watch the client's behavior on the cell phone. If it rings constantly while you're interviewing him and he responds, chances are he answers while he drives. This can cause accidents, so use an alternative company for his application.
  • Step 4:
    Direct your marketing list to married men and families, because married men often have fewer accidents than single men the same age. Younger women statistically have fewer accidents and tickets than men the same age, so marketing to women is another option.
  • Step 5:
    Recommend higher deductibles for your clients. Many accidents are fender-benders that don't meet high deductibles or are so close that clients prefer to pay for the damage themselves rather than incur a claim. By recommending a higher deductible, you lower the amount of premium you receive. But that doesn't matter because the potential payouts keep your loss ratio a lot lower.
  • Step 6:
    Secure referrals from clients you know have excellent records. Most people enjoy the company of people similar to them. The maniac driver is seldom included in the carpool-driving list. Ask your clients for names of people they consider good drivers. Explain that the fewer accidents paid by the company, the lower the premium becomes in the future.
  • Step 7:
    Include all the information you can when you're writing an application for clients, and select your marketing list carefully. Ask about any drivers who frequently use the car. A good driver might have a crazy boyfriend or girlfriend who often drives the car. Know your clients well. Include all the information about them on

Tuesday, March 23, 2010

Recruiting Young Producers Can Pay Big Dividends

The article below is from National Underwriter online and is good food for thought for all agency owners.

Recruiting Young Producers Can Pay Big Dividends, Study Finds

Given mentoring and the proper resources, college recruits excel
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Wednesday, March 3, 2010

Tague Alliance - Home Insurance and Auto Insurance Questions

The questions below will prove helpful in determining a client's needs regarding their auto insurance and home insurance.


1. Have you considered increasing your deductible to lower your premiums?
2. Are your liability limits adequate to protect your income and assets from a negligent lawsuit?

3. Do you presently insure all of the vehicles in your household?

4. Are all the licensed drivers in your household listed on your automobile policy?
5. If you own a pickup or a van, does it contain any customized equipment?
6. Do you own any camping or recreational vehicles (including electric or gasoline driven golf cart)?
7. Do you have a non-factory installed stereo system?
8. Do you have a vehicle, not your own, furnished for your use?
9. Do you have rental car coverage in the event your car is damaged in an accident?
10. Have you reviewed your auto insurance in the last two years?
11. Would you like to review the current limits and other coverage's on your vehicles to see if they are still suited to your needs?


1. Do you own any antiques, fine art, or paintings?
2. Do you own any jewelry, furs, or silverware valued over $500?
3. Do you own any guns?
4. Do you have replacement cost contents coverage added to your policy?
5. Do you presently have either a burglar, fire or smoke alarm in your home?
6. Have you remodeled your home recently? Do you plan to in the near future?
7. Would you like an estimate of your home's replacement cost at today's prices?
8. Do you own a second home or any other real property such as a mountain cabin or farm property?
9. Do you conduct any business or give private lessons in your home?
10. Do you own any rental or investment property?
11. Do you have an Excess Liability (umbrella) policy which extends your automobile and homeowners liability coverage to $1,000,000 or more?
12. Would you like us to send a form to assist you in making an inventory of your personal property?
13. Have you reviewed your homeowners coverage in the last 2 years?
14. Do you currently have a photo inventory of your personal property?
15. Would you like a review of your current homeowners coverage?