Linking ≠ endorsement. Enjoy and share:
- IA Magazine – Fate of Independent Agent Not as Dire as McKinsey Suggests
… the report does not distinguish between the impacts of these trends on exclusive agents vs. independent agents, and McKinsey & Company does not even mention an important recent trend: More exclusive agents are moving to become independent agents in order to better position themselves to offer their clients a broader array of markets.
And while “Agents of the Future” anticipates the local agency population waning in coming years, the report observes that “these trends have not yet led to significant change in the local insurance agent landscape.” In fact, the Big “I” [“I” for Independent] Agency Universe Study found that the number of independent agencies has actually grown from 37,500 to 38,500 between 2010 and 2012, for the first time in several years.
The continuing strength of the agency force results from two factors that McKinsey & Company fails to acknowledge in its report: the continuing importance of personal relationships in insurance (agents have them; most carriers don’t), and the greater trust consumers place in individuals they personally know and do business with [emphasis added], as compared to large institutions.
We are independent. We are an insurance brokerage. We work for our clients (landlords), not the carriers, even though we have very good working relations with many, many insurance carriers.