Many Agencies that specialize in Personal Lines Insurance Coverage are trying to break into the Commercial Insurance Market. A few challenges when breaking into Commercial is learning all the coverage’s, forms, terminology, marketing to businesses and obtaining competitive carriers.
Finding a niche makes it easier to learn, market and ultimately succeed in Commercial Lines Insurance. We have clients that now specialize in lines of business such as; Commercial Trucking, Restaurants, Office Buildings, Apartments, E&O and a variety of other coverage’s. By focusing on a niche not only is it easier to learn the coverage’s, apps and other forms but it’s also easier to market to a specific group.
For example, if you’re interested in selling Commercial Auto to Plumbers, you can join the local Plumbers Association, advertise in their publications and become the Plumbing Insurance Expert in your town or city. By focusing on one specific profession or type of business you can market more effectively which will result in writing more business. Once you learn the business, you can cross sell GL, Work Comp, Auto and even Personal Lines products.
Another good way to research your niche is to check with carriers you’re already appointed with and ask for their appetite list. Every Commercial Carrier has an appetite list which will give you an indication to which businesses they’ll be most competitive.
If you’re already writing Personal Lines, make sure you let your exisiting clients know you’re offering Commercial Lines and include it in all of your marketing material. (Website, mailers, quote mailers, business cards, renewal notices, flyers, etc)
Finding direct markets can be challenging initially but with all of the aggregators and wholesalers in the market today, you can be as competitive as you need to be.
Lastly, make sure writing Commercial Lines isn’t just a dream but a goal. Put a plan together on paper and set goals for education, training, marketing, obtaining markets and stick to it. Many insurance agents will try writing Commercial Lines and give up after a few weeks or months because there’s no immediate result. Give it time, focus on the big picture and you can dramatically increase your income by diversifying your book.
If you need any help breaking into the Commercial Market or have any questions, please contact us for a free consultation.
