Years ago when I started in the business there were no direct carriers. Today the majority of the business is solicited by direct carriers. MSN, google, twitter, apps, local and national advertising dollars have used these platforms to give the consumers direct access? Does it matter? Is it a better price or value to the consumer? Agencies with physical locations located in your communities are the standard or traditional means to purchase insurance but today billions of dollars are spent by the carrier and not the local agencies.
It really depends on what you see as value. Of course as an owner of an agency I feel agencies should be a vital part of the employment opportunities in your town. They should employ directors, sales representative, administrative assistants, claim processors and local ownership. Creating job for the community to be directly affected. Agencies should be on the top of the philantrophy chain in your local community. Religious affiliations, chamber events, local school projects, food pantries, Go fund me sites and countless other areas in our communities need financial support and agencies should be there for them. In addition don’t overlook the labor or volunteer hours that can be given by the employees of your local agencies. Tax dollars. Tax dollars from employment taxes, vehicle taxes, personal property of the agency taxes, and all of the property taxes of the offices that hold agencies to support and allow your schools to have available dollars to function. Agencies have the obligation and opportunity to impact so many just by being in existence in your community.
Imagine all of the dollars passed down from an agency into a community. Now take a look at direct carriers. What do they do for your community? Geico, Esurant, Liberty, Progressive, etc…… none of the above dollars brought back to the community. The ironic part of the direct is how they have diluted the insurance value to the consumer with humor. Something so important as a fatality in an automobile accident where you may be sued for millions. Your precious home being burnt to the ground or taken away by a storm. A spouse losing their life unexpectingly. The direct carriers portray insurance as funny and whimsical. Is it really funny to have the above incidents happen to you?
We all have a choice whether or not to support where we live. Tax dollars and employment opportunities bring so much to your area and your family’s lifestyle. Unfortunately in society today we view all of these things like pools, water parks, city parks, road, bridges, libraries, as just something that happens. It comes from a vital economic society and agencies should be a large part of this in my opinion.
-Jay Knobbe