Independent agents need to strengthen partnerships with their insurance carriers and bridge a generation gap with younger producers at their firms, Bob Fulwider, chairman of the Independent Insurance Agents and Brokers of America, declared last week.

In separate appearances during IIABA's annual legislative conference and convention here, Mr. Fulwider stressed the need to improve communication and cooperation with carriers as well as younger agents.

In meetings with members around the country, he said he has learned that a number of agents do not enjoy easy, productive relationships with all of their carrier partners.

“Not all agencies face this dilemma, but we must recognize a growing concern among those who do,” he said during his state of the association speech at the conference's general session, citing three major problems:

o Agents are doing more work for the same or less compensation.

o Some carriers refuse to update their proprietary Web sites, which do not support real-time transactions and single-entry interface, and thus are inefficient and costly.

o There is a lack of joint planning between carriers and agents–a complaint he called the “most disappointing” because the company misses out on the benefit of ideas that can help both partners.

He said there needs to be a closer relationship between carriers and agents through greater utilization of real-time transactions and the streamlining of agent licensing with support of legislation in Congress to revive the National Association of Registered Agents and Brokers concept, which would create a national agent licensing system.

Mr. Fulwider also called for the wider embrace of IIABA's “Trusted Choice” branding campaign by both agents and carriers. “We want to compete. We want growth. We want to drive your numbers up,” he said, addressing carriers. He added that by working together the industry can show that “independent agents are the best distribution channel in the industry.”

“We remain the bridge between the company and the consumer, and our girders are strong, but they can be even stronger,” he observed.

“Please join us in that pursuit to continue that public confidence and partner for the benefit of all,” said Mr. Fulwider. “When we can accomplish that, mighty goals are achieved. It is not about me but all of us collectively, together.”

Earlier in the conference, Mr. Fulwider–principal and executive vice president of the Ray Wuestenberg Agency Inc. in West Liberty, Iowa; principal and executive vice president of the Fulwider Agency Inc., in West Branch, Iowa; and president of Bob Fulwider and Associates, a life and health financial planning agency in Eastern Iowa–addressed an internal problem at many agencies.

Citing a widening generation gap, Mr. Fulwider said agency owners need to improve communication to address the aims of young agents working for them.

He said the expectations of principals and young agents are not aligned–an unhealthy situation that must be rectified for both agency and company growth goals to be met.

During a leadership panel discussion at a breakfast meeting for the IIABA Young Agents group, Mr. Fulwider asked how many younger agents in attendance were more concerned about sales than agency operations. Most raised their hands to signal sales were their chief concern.

“Look around, principals. I think there's a real disconnect here that still exists among us in the independent agency system. Many of our young agents are trying to establish [themselves] and make a living,” Mr. Fulwider noted. “And we all have to realize that is their primary interest–that, 'I want a check at the end of the week, and I want it for a job well done.'”

Referring to the four company senior executives appearing with him, he added that “our job as principals…is to assist in what you folks on this stage are saying is important to you for young agents.”

“Now, I'm not saying we need to baby-sit them. But what I am saying is that there are a lot of things we as principals are neglecting with our young agency operation,” Mr. Fulwider said.

To emphasize his point about the generation gap, he asked how many young agents have had a heart-to-heart talk with their principal owners in the last 90 days. Only a few signaled they had. “It's a disconnect, but it's not intentional,” he observed, adding that principals must “think through the process about what is going to be best for the agency in the long run.”

Young agents will need to address an industry that is going through constant transformation, according to Neal S. Wolin, president and chief operating officer of property and casualty operations at The Hartford, at the Young Agents breakfast.

He said changes will be taking place at an increasingly rapid rate, and one of the objectives for young agents will be to get ahead of these shifts so they may anticipate, recognize and capitalize on emerging opportunities.

For example, the traditional approach to prospecting for clients is undergoing significant alteration, noted John A. Barbagallo, president of the commercial lines group at Progressive Insurance.

In the past, prospects were secured via referrals and by going through the Yellow Pages, but today, more and more business is coming in through the Internet, he noted.

Mr. Barbagallo said there will be a growing need on the part of agents to align their Web sites with these interests, making them interactive and reachable by the major search engines.

He said this is one major area that independent agents are in danger of yielding to captive agents, adding this should not be the case, because of the quality of service and choice of markets independent agents have to offer customers.

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.