EF Fall 07.indd - National Association of Professional Allstate ...
EF Fall 07.indd - National Association of Professional Allstate ... EF Fall 07.indd - National Association of Professional Allstate ...
Smaller agencieshave a more difficult timestaying afloat.sell insurance.NAPAA has only started to scratchthe surface of these secondary businesses.What we are looking for are bonafide business opportunities that involveminimal paperwork and don’t requireadditional office space. We started bylooking at three such opportunities and,of the three, we are recommending oneof them at this time. The other two arestill under consideration. Our first recommendationis International CardEstablishment (866-423-2491 ext 571).“ICE” is in the payment processing industry.Nearly any business that acceptscredit cards is a prospect. When one ofyour referrals signs up with ICE you getpaid. Better yet, you’ll also receive anongoing stream of residual payments aslong as your referrals continue to processcredit card payments through them. Youwill find my letter of recommendation inthis issue of Exclusivefocus magazine.The other opportunities we are lookingat as possible secondary businessopportunities for Allstate agents are aPay-As-You-Go payroll processing andWorker’s Compensation plan for businessesand a travel business that wouldallow agents to start an online travelagency for an initial investment of lessthan $500.National CMServices (877-292-7460), the Pay-As-You-Go plan, is anotherreferral business. Like the ICEopportunity, agents simply refer theirbusiness acquaintances to NationalCMServices and they are paid on newand renewal gross payroll volume. So,once again, as long as your referral continuesto process with the Pay-As-YouGo plan, you will receive residual payments,just like your insurance renewals.The travel business is especially intriguingto me personally. I may decideto sign up just for the travel perks and thepotential tax advantages. For now, I havedubbed this opportunity “OYOTA” untilI’ve had a chance to investigate it further.With all the personal contacts agents andtheir staffs have, this opportunity seemslike a no-brainer. After all, who doesn’tlike to travel?Change is not something new for Allstateagents. Just when you think thingsare going well, something or someonecomes along and kicks over the anthill.This year it means more out of pocketexpenses for technology and E&O coverage,finding affordable health insuranceand learning how to sell policies ina tough environment. Next year it willbe something new and different. Howyou adapt to these new realities will determineif you will sink or swim. Startinga secondary business can increasecash flow and reduce stress. Think of asecondary business as a means of adaptingto the circumstances over which youhave no control. While some may argueto the contrary, Allstate classifies you asa self employed, independent contractor.As such, this status allows you some entrepreneurialfreedom and the ability tocontrol your own destiny. When Allstateis competitive and going great guns, asecondary business is unnecessary, butwhen it pulls in its horns, pulls out ofmarkets and shifts more expenses to you,then it may be time to consider a supplementalsource of income.When all’s said and done and the dusthas cleared, NAPAA wants your agencyto be one of those still standing.14 — Exclusivefocus Fall 2007
featureSowing Seeds for the FutureBY JOHNNY LEIGH, NAPAA BOARD MEMBERLet me begin by saying that Allstateagency owners have a pretty good dealgoing. Despite some of the more obviousdrawbacks of being a captive agent, Allstateagents enjoy more brand recognition andhigher book of business values than otherinsurance agencies. While independentagencies have to build their own identities,becoming an Allstate agency offers newagents instant name recognition. Imagineopening an independent agency fromscratch and trying to attract new prospects,especially when your portfolio of carriersdoesn’t include any nationally recognizedcompanies. There is no doubt that it can bedone, but it would take a lot of painstakingwork to turn your agency into a familiarhousehold brand.As newer Allstate agencies hone theirsales and marketing skills, however, it is awise move for the agency to build its owndistinct name recognition, outside of theAllstate brand. This process is called“sowing seeds for the future.”Let’s face it; Allstate has been in astate of flux for the past several years asit tries to position itself for the future.Many of the changes introduced in thepast seven years have been detrimental tothe average agent. To be sure, there willbe many more in the future.Smart business owners keep their optionsopen, looking for new and more rewardingyet less stressful opportunities.Thinking within the Allstate box couldlimit your businesses success. Buildingyour own brand can be accomplishedsimultaneously as you build your Allstateagency. Since co-op dollars are slimpickins these days, why not advertise the“Joe Smith Agency” instead of Allstate?By doing so, you are building your ownbrand that will give you a leg up if youshould ever open an independent agencyor another business.As an independent contractor workingon commissions, your income potential islimited only by the amount of product youare able to sell. If you are in a market whereauto and property is a tough sell, the Allstatealternative is to sell more life and financial. Idon’t know about you, but I was always partialto selling P&C. Life was not my forte.The great thing about being an independentcontractor is that you can own other businesses.When times are slow in the P&Cbusiness, why not consider a side businessin which you and your staff can participate?If you work it right, your earning potentialwill increase dramatically. There are a greatmany Allstate agents who operate otherbusinesses. These businesses include real estate,restaurants and mortgage companies.The key to financial success is diversification.It is true for investments and it istrue in business. Financial advisors cautioninvestors not to invest too much in anyone stock. Entrepreneurs who have theability to branch out into other businessesshould also avoid putting all their eggsin one basket. Getting involved in otherbusinesses should not scare you. Once youunderstand the business and how it works,you can hire someone to run it for you,similar to what many agents do with theirAllstate agencies. Remember, entrepreneursare the brains, not the brawn.This past June, I attended the NAPAAbusiness conference. There were more thana dozen vendors offering products and servicesof value for Allstate agents. A few ofthem were offering some very promisingincome opportunities for Allstate agents.The beauty of these opportunities is thatthey are not meant to detract from yourAllstate business, but to enhance it. Youwill find more information about these opportunitieselsewhere in this magazine.Allstate agency owners own the rightsto their agency’s economic value. Notonly can an agent build a good cash flowbut grow the agency’s economic value atthe same time. As an entrepreneur, youcan turn the vast majority of the day today functions of your agency over to yourstaff as you look for ways to write moreP&C business and meet your ExpectedResults. But, in reality, this does not haveto be a full time job. By properly trainingyour staff and then empowering them,your involvement can be minimal, as itshould be. Once you get to that point,you’ll have a lot of time on your hands.But instead of heading to the golf courseor to the lake, why not start another businessthat can make you richer quicker.Growing your Allstate business and thengrowing a side business or two is a winwinfor you and for Allstate.Working the system has its rewards.Fighting the system is not productive. Asa lone agent, you will not change Allstateor its system. Attempting to change thesystem is better left up to your agent association.NAPAA advocates for agencyowner rights through legislation andother means, but its primary goal is toensure your success as an Allstate agent.NAPAA’s motto is “Your Success isOur Business.” Just what does this mean?First, it’s important that we understandthe meaning of success. To most, it involvesat least some degree of financialindependence, but others may place family,church or community above businessachievements. In other words, there is noright or wrong definition of success. Successis the achievement of an individual’sgoals in life. NAPAA wants to help agentsachieve success in business and in life. Formost agents, financial independence rankspretty high on the ladder of success.Let NAPAA help you learn how towork within the system to make the systemwork for you. Many of our NAPAA membersand leadership have done just that.Take advantage of NAPAA as a valuableresource by joining today. Call HQ todayat 877-627-2248. The call is free. Or, fillout our membership form in this NAPAApublication and fax it to NAPAA.Fall 2007 Exclusivefocus — 15
- Page 1: ExclusivefocusFall 2007An Official
- Page 4 and 5: AAs you read through this issue of
- Page 6 and 7: to find quality vendors who offer a
- Page 8 and 9: I want to congratulate you all on a
- Page 10 and 11: and stay involved. Come up with som
- Page 12 and 13: featureWill Your AgencySink or Swim
- Page 16 and 17: featureIs the Grass Really Greenero
- Page 18 and 19: association benefitsIndustry Leadin
- Page 20 and 21: marketingFinding the RightMEDIAf o
- Page 22 and 23: to direct marketing, the EMAF study
- Page 24 and 25: featurePutting Together an Idea Sha
- Page 26 and 27: technologyExclusive Interviewwith M
- Page 28 and 29: That sounds so Lex Luther…AS: Wil
- Page 30 and 31: featureThe Canadian Experiment:a Pr
- Page 32: marketingA Small Business Perspecti
- Page 35 and 36: Looks like a job for AMS 360.Free y
- Page 37 and 38: Hmmm... what could they be chatting
- Page 40 and 41: NAPAA AnouncementDear Agency Owners
- Page 42 and 43: technologyDSL - Reliable, Cost-Effe
- Page 44 and 45: usinessStepping Stones to Purchasin
- Page 46 and 47: technologyAnatomy of aToner Cartrid
- Page 48 and 49: association benefitsAnother Brick i
- Page 50 and 51: technologyManaged ServicesThe next
- Page 52 and 53: technologyProtect Your ElectronicCu
- Page 54 and 55: usinessWhen Your Callers are On Hol
- Page 56 and 57: usiness tipsHow to SuccessfullyBran
- Page 58 and 59: featureSix Keys to a Winning TeamTh
- Page 60 and 61: You should set one, three and fivey
- Page 62 and 63: the NAPAA market placeAgencies for
Smaller agencieshave a more difficult timestaying afloat.sell insurance.NAPAA has only started to scratchthe surface <strong>of</strong> these secondary businesses.What we are looking for are bonafide business opportunities that involveminimal paperwork and don’t requireadditional <strong>of</strong>fice space. We started bylooking at three such opportunities and,<strong>of</strong> the three, we are recommending one<strong>of</strong> them at this time. The other two arestill under consideration. Our first recommendationis International CardEstablishment (866-423-2491 ext 571).“ICE” is in the payment processing industry.Nearly any business that acceptscredit cards is a prospect. When one <strong>of</strong>your referrals signs up with ICE you getpaid. Better yet, you’ll also receive anongoing stream <strong>of</strong> residual payments aslong as your referrals continue to processcredit card payments through them. Youwill find my letter <strong>of</strong> recommendation inthis issue <strong>of</strong> Exclusivefocus magazine.The other opportunities we are lookingat as possible secondary businessopportunities for <strong>Allstate</strong> agents are aPay-As-You-Go payroll processing andWorker’s Compensation plan for businessesand a travel business that wouldallow agents to start an online travelagency for an initial investment <strong>of</strong> lessthan $500.<strong>National</strong> CMServices (877-292-7460), the Pay-As-You-Go plan, is anotherreferral business. Like the ICEopportunity, agents simply refer theirbusiness acquaintances to <strong>National</strong>CMServices and they are paid on newand renewal gross payroll volume. So,once again, as long as your referral continuesto process with the Pay-As-YouGo plan, you will receive residual payments,just like your insurance renewals.The travel business is especially intriguingto me personally. I may decideto sign up just for the travel perks and thepotential tax advantages. For now, I havedubbed this opportunity “OYOTA” untilI’ve had a chance to investigate it further.With all the personal contacts agents andtheir staffs have, this opportunity seemslike a no-brainer. After all, who doesn’tlike to travel?Change is not something new for <strong>Allstate</strong>agents. Just when you think thingsare going well, something or someonecomes along and kicks over the anthill.This year it means more out <strong>of</strong> pocketexpenses for technology and E&O coverage,finding affordable health insuranceand learning how to sell policies ina tough environment. Next year it willbe something new and different. Howyou adapt to these new realities will determineif you will sink or swim. Startinga secondary business can increasecash flow and reduce stress. Think <strong>of</strong> asecondary business as a means <strong>of</strong> adaptingto the circumstances over which youhave no control. While some may argueto the contrary, <strong>Allstate</strong> classifies you asa self employed, independent contractor.As such, this status allows you some entrepreneurialfreedom and the ability tocontrol your own destiny. When <strong>Allstate</strong>is competitive and going great guns, asecondary business is unnecessary, butwhen it pulls in its horns, pulls out <strong>of</strong>markets and shifts more expenses to you,then it may be time to consider a supplementalsource <strong>of</strong> income.When all’s said and done and the dusthas cleared, NAPAA wants your agencyto be one <strong>of</strong> those still standing.14 — Exclusivefocus <strong>Fall</strong> 2007
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