Giving Back

Anchorage Insurance AgencyDo you know how we get paid? Have you ever thought about that? Are you reading this but aren’t OUR client? Then you REALLY should pay attention. Insurance brokers are paid a percentage of the premium you pay. Think about that for a minute… The commission rate is set and isn’t typically negotiable with the insurance carriers. For example, for a general liability policy, the typical broker commission is 10%. If the annual premium is $13,000 then the insured will have to pay $13,000 and the insurance broker will receive $1,300 of that $13,000.

Consider this scenario: Lil Rugrats Football Club needs to purchase a general liability policy and finds themselves at May B. Covered Agency asking for help. May B. Covered Agency runs quotes and receives back quotes at $8120, $12,200 and $9,500 from three separate insurance companies.

Which quote do you think May B. Covered Agency is going to present to the Lil Rugrats Football Club? If they are only thinking about their own wallet, they will tell the football club that their general liability premium will be $12,200 for the year. Why? Because May B. Covered Agency will be paid $1,220, rather than $812 if he had sold the lowest premium policy. Now, keep in mind, not all insurance companies are equal. Some are better than others, so there are other factors than JUST price that dictates one quote being recommended over another. All too often, however, when we do free reviews of business insurance policies, we see them falling prey to similar situations.

How does an insurance agency give back to their community? How does an insurance agency gain trust and a great reputation? BY FINDING THE BEST SOLUTIONS AT THE MOST AFFORDABLE PRICES AVAILABLE! We pride ourselves in doing this for our clients! In fact, we CELEBRATE when we have been able to lower premiums for our clients. Yes, this means we are paid less but it all comes around. Happy clients refer their friends which turns into more business in the end.

What is the motive of an insurance broker to find you lower premiums? Well, it should be to help their community in general and to build a trusting relationship with their clients. Padding their own pocket should not be their motive.

At ANI, our goal is to give back to our community. One way we do this is by helping find lower premiums for our clients, if at all possible! We offer FREE policy reviews. Don’t hesitate to take us up on this – it is another way we are giving back!