Today's Viewpoint: A MarshBerry Publication

From Pitch to Partnership: Winning Carrier Appointments

As insurance companies loosen the reins on new appointments, insurance agencies are lining up for limited appointments, but competition will be fierce. Those insurance brokerage firms who can show a history of success and a plan for the future will stand out from the pack.

The insurance market has experienced some dramatic changes in the last few years. Securing a contract with an insurance company has never been more challenging for agencies. Carriers are looking for firms with years of experience, a track record of success, and methods of expanding into new markets, like certain industries or in a targeted geographic area. It’s vital to not just secure a new insurance company contract but also to maintain existing relationships with current carrier partners. Here are five ways firms seeking carrier contracts can help themselves rise to the top of the list.  

1. Inventory a firm’s strengths 

Past experience predicts future success, so firms should be prepared to tell their story and what the business has achieved. Examples include how teams use data to identify trends and improve on underwriting results, customer service retention initiatives, and cross selling efforts. Most importantly, agencies should be prepared to show that they’ve honored commitments with carriers in the past and how they will help carriers be profitable in limited or challenging markets.  

2. Showcase a unique value proposition 

Successful firms create a specific framework for their agency to highlight expertise in niche markets and the company’s specialization areas that align with the company’s underwriting appetite. This should include the types of clients serviced (e.g., small business, high net worth clients, specific industries) and how the agency provides tailored solutions. Showing a substantial book of business in their geographical area, with a high retention rate, and good loss ratios, demonstrates an ability to handle the volume the carrier demands. 

3. Demonstrate a commitment to growth 

One of the most important things to show carriers is whether the appointment will meet not only the carrier’s needs but also the firm’s objectives. Major carriers prefer to work with agencies that have clearly defined and attainable revenue goals, proven ability to meet sales quotas and retain existing business, all while remaining profitable. Present a clear strategy for growth, including marketing, staffing, and specific sales projections. 

4. Prepare a comprehensive application 

Carriers are bombarded with appointment requests, so submitting complete and detailed submissions can differentiate a firm from the less-prepared businesses. Include all required documents upfront, such as licenses, Errors and Omissions documentation, and a business plan. Describe specifically how producers and other staff will achieve the growth plans mentioned above. What methods does the firm use to educate and prepare producers? How do data and analytics drive more strategic decisions? This will ensure a smoother process and help the business to look professional and informed. 

5. Invest in technology 

Insurance brokerage owners should be prepared to show their firm’s technology platforms and capabilities, particularly those systems that enhance customer experience, such as agency portals and mobile apps, as well as any enhancement or automation plans for the future. Adoption of tools like comparative raters, CRM systems, and the use of AI to streamline operations is also well-regarded by carriers. Embracing digitalization enables better reach, enhances accuracy of claims, drives efficiency, and most importantly, builds mutually beneficial relationships between brokers and carriers. (See this ViewPoint article for more information on adopting and deploying new technology.)  Agencies that can demonstrate their strengths and abilities are better positioned to secure appointments with carriers, in turn driving opportunities for agency growth and success. With a wider, more diverse range of appointments, firms can then better address the unique needs of their clients. This can be a daunting process, but working with a network like FirstChoice, a MarshBerry company, can offer company contracts with lesser premium commitments, coaching assistance, benchmarking insights, and other resources to help you plan for the future, no matter what the future holds

Contact Diane Wagner
If you have questions about Today's ViewPoint, or would like to learn more about how MarshBerry can help your firm determine its path forward, please email or call Diane Wagner, Vice President, Education & Strategic Planning , at 704.831.8715.

MarshBerry is a global leader in investment banking and consulting services, specializing in the insurance brokerage and wealth management sectors. If your firm seeks expert advisory guidance to refine your business strategies, drive sustainable growth, or facilitate a sale, MarshBerry is the ideal partner to support you in making these critical business decisions. Collaborating with a trusted advisor who deeply understands your business and the industry can help you maximize value at every stage of ownership.