Your relationship with your upline is crucial for growing your health insurance business. Your FMO might not require as stringent of vetting as your next (or last!) romantic partner, but there are more than a few things you'll want to know about how they do business -- and how they can help you grow yours. Consider these pointers and questions before you sign on the dotted line.
Cruise the website first
First impressions matter. Does your prospective FMO have a website? Is it accessible? Once you clear that low bar, can you find information on their carriers, contracting process, and internal staff?
Once you've confirmed that these table stakes are in place, you'll want to check out the blog. The best FMOs invest in content that helps agents grow their business. If you cannot find that content or it has gone unupdated for a year, they may struggle with consistency. And, that inconsistency may leak into other aspects of the business, too.
Granted, blog content may not be as vital to you as back-office support. But, their ability to organize content creation can speak volumes about how they approach other services.
Talk to staff
If both the website and other content pass muster, take some time to reach out to their staff. Every FMO will name the role differently, but you'll likely want to look for Broker Sales Managers, Account Managers, or even Marketing Managers. Whatever the organization calls them, they'll be well-versed in how the FMO works, and what it offers its agents.
Whether you start an email thread, reach someone by phone, or visit their office, here's 10 ideas for what you should ask.
1) What type(s) of insurance do you specialize in?
If you're a Medicare broker, you want to align with an FMO that works well in that niche. If you're focused on employee benefits, you'll want someone who can help you navigate that labyrinth-- and maybe even fight off a compliance Minotaur along the way. This is true for all lines of insurance.
Want to know if the FMO is really putting muscle into supporting an insurance line? Visit their staff page. On ours, you'll see eight people ready and willing to support you with under 65 and Medicare business. You'll see another nine geared up to get you through group business. And beyond that? A good mix of support staff to put both teams in a place to help you succeed.
2) How will you help me quote?
Every marketing organization will have a quoting platform for you. And, ideally, that quoting platform will fit its insurance niches quite well. And, if they're proud of their solution, they'll be happy to demonstrate just how it will make your life easier.
For example, we offer CoverageForOne, powered by SunFire and Stride Health to help agents shop carriers and plans in the Medicare and Marketplace spaces. CoverageForCompanies is your home for shopping and servicing group plans from Blue Cross Blue Shield of Michigan and Blue Care Network.
Not keen on electronic quoting? Just send the information along to our individual or group teams, and they'll prepare the proposals for you.
3) What does customer service for agents look like?
Every FMO will tell you they excel at customer service. And they should. But it never hurts to press them for concrete examples. That will help you get a taste of some of the issues they've solved for other agents -- and what they'll be able to do for you.
We pride ourselves on making insurance sales easier. Debbie Brown does it by knowing Medicare Supplement underwriting inside and out -- and which carriers will accept what conditions. Jessica Schmaltz does it by knowing every nook and cranny of Marketplace policy. Paula Nixon and Colleen Ferrara will help you shepherd any common control group through Blue Cross. And every other member of our services teams has their own areas of expertise, too.
4) What's your release policy?
When you sign, some FMOs lock you into a year(s)-long commitment. Some refuse to release your business altogether. To understand why, you have to consider it from their side: it took time, money, and effort to earn your business. They want to see a return on their investment, whether or not you're happy with what they provide.
We don't take that approach.
Instead, we'll grant you an unconditional release whenever you like, so long as you're not in a carrier blackout window. There's no risk in partnering with Action Benefits. And we're so confident in our service and support, that we're not sure you'll ever want to leave.
5) What training do you provide?
Even seasoned agents can see benefits for their business from a vast training library. And if you're new to the business, adding new insurance carriers, or adding a new product line, you'll absolutely want someone to show you the ropes.
It should be easy to get a sense of what the organization offers. Look for a training or event calendar on their webpage and a spot to access any previous training. You'll also want to look out for other online resources- a knowledge base, job aids, or something else that gives you on-demand access to the insurance industry knowledge you need.
Look no further than our training calendar, YouTube channel, and Ensurability platform to get the support you need to sell insurance.
6) What's the commission structure?
Insurance is a business. And, you'll get a keen sense of how an FMO will treat yours when you ask this question. Some insurance FMOs will take a percentage of what their writing agents earn. Hopefully, they take this cut to reinvest in their services.
Other FMOs simply pass commissions through from the carrier to the agent.
We don't get involved. You are always paid directly by the carrier on an as-earned basis.
7) Do you offer a lead program?
We'll be frank. We've never seen great value in a lead program. At best, the leads you get from a lead vendor are decent. At worst, they're non-exclusive, cold, and a poor investment of time and money. And what's more -- many FMOs either make you pay for them outright, or take a slice off your commission to fund this service.
We much prefer that you earn everything you're entitled to, allowing you to build your business as you see fit. And we'll be with you each step of the way as you build marketing materials, design your campaigns, and build your agency.
8) What makes you different from every other FMO?
Those first seven questions will give you a good picture of what to expect. But if you're still not sure, listen to how they handle this question.
You may get stock answers like "Your success is our success, we're here when you need us," or "we have competitive commissions." And you'll know right away that nothing makes this FMO stand out from others.
That's not a bad thing, necessarily. It's hard for FMOs to differentiate themselves because carrier rules and government regulations are hemming them in.
So, ultimately, what may make the difference is how you feel after working with the FMO. Are you getting marketing support? Is the customer service everything you were expecting? Do you feel comfortable that they can advocate for your business?
If you're new to the industry, there's nothing wrong with splitting your business among a few FMOs for the first several months. Then, after you've gotten a taste for the quality of their support, you can bring all business under your favorite.
Finding a good fit
FMOs offer a variety of support to independent insurance agents. But, the quality of that support will vary greatly. Before you begin contracting, take some time to interview FMO candidates. Informed decisions are better decisions, and when your business is in the balance, you'll want to make the best decision you can.
Action Benefits : May 13, 2024
Action Benefits