Abram Interstate Insurance Services, Inc., CMGA

Helping Independent Insurance Agents Since 1996

The Importance of Agency Goals

Published on April 17, 2013

Even though this agency concentrates on surplus lines insurance and interstate insurance lines, we try to add a personal touch. Our major goal in the insurance business is to provide the scope of coverage needed for our clients as well as attention to detail.

Insurance agencies need goals. The agency principals should set these goals with input from sales. A balanced book of business with the varieties of businesses, real estate, and personal property available in your area not only provides a steady source of income, but also prevents total loss from natural disasters.

Unfortunately, goals such as “make more money” or “increase business by 20%” are too vague for you and your sales force to reach. Some research needs to be done on the local business environment. Use free resources available on the Internet to help focus on the types of insurance that can be written in your area.

• The goals you set should be clear and specific. Plan on how much value you want to add to your book of business

• Decide how you are going to measure your goals. Number and value of policies? Income-generating possibilities? Commissions?

• Make sure you can achieve set goals. It’s great to say that you’re going to increase the value of the agency by 200% – but is that attainable considering the economy and location?

• Are the strategies relevant to your area?

• Give yourself and your sales staff a reasonable amount of time to achieve the goals. A year is a good time frame because it allows you to re-evaluate goals annually.

• Plan for meaningful training in areas of business for your focus. .

An area that is neglected by many producers is agri-business insurance. Somehow they have the impression that agri-business is not very profitable. It is time to rethink this type of coverage because agriculture has truly become big business. Think in terms of insurance:

The client needs everything:

• Property insurance

• Liability coverage

• Workers Compensation insurance.

• Automobile property and liability coverage

• Crop insurance

• Specialty coverage such as flood insurance

Our agency can provide this type of coverage in more than one state and for varying types of agri-businesses: ethanol production, seed production, hybridized planting, live plants and seedlings, and food products such as melons, tomatoes, cucumbers, lettuce and all the other agriculture-related businesses that are prevalent in our huge, productive, country.

Interstate insurance as well as agri-business insurance needs a special expertise from knowledgeable agents. You should contact us with questions, comments, and ideas in these areas.