Are captive insurance agents allowed to work a side business?
…or are they exclusively bound to the insurance company?
Most will not allow you to have side business (especially if it is in direct competition with your main companies products or services). If you are in a band on the weekends, they might not have a problem with it, but would not like it as they want you to be selling their stuff fulltime.
One exception would be if the captive agents company declines the client of coverage, most will allow the agent to place the business elsewhere if another company will approve them.
Depends on the insurance company they do business with.
Most of the captive agents are allowed to work a side business, but it is HIGHLY discouraged. And this is assuming you are a well established agent, forget it if you are a new captive agent. They have to work the business completely separate from their captive agency. I knew a few captive agents (from State Farm and Allstate) that had separate businesses and their respective companies requested that the agents not so much as carry business cards when on insurance sales calls.
They allow side businesses, but they are going to watch you very carefully. They still want to make sure that you are meeting your quota and meeting the minimum expectations. If they suspect that your side business is interfering with the insurance agency, they will come knocking.
References :
Worked as a captive for a brief period of time
Depends on what the side business is and the contract they signed with the insurance company.
References :
No company can stop you from having a second job. You have to eat and pay bills. The courts will have a field day with any large business that lets you go because you had a second job that was not in conflict with insurance.
The insurance company will watch you and require you to meet the standards of the company. Quotas are a must, meetings and time at work will be their focus. Insurance company expect 8 to 10 hours minimum, but they will tell you 8 is good.
If you business is after hours, late at night and professional. They will not have a problem. If it meets these guidelines they are probably getting business from your other job as well.
References :
Worked for a captive company for 3 years.
Most will not allow you to have side business (especially if it is in direct competition with your main companies products or services). If you are in a band on the weekends, they might not have a problem with it, but would not like it as they want you to be selling their stuff fulltime.
One exception would be if the captive agents company declines the client of coverage, most will allow the agent to place the business elsewhere if another company will approve them.
References :
Former captive agent with a couple companies, now an independent broker (FAR better way to go as an agent!)
The advantages of having a captive are many; pricing and cash flow management are only two of the major advantages. This is evidenced by the continued formation of new captives each year – even in ‘soft’ markets.