Agencies Overcome Hiring Woes

Patience and training help develop the 'one great producer'

While General Casualty offers its agencies the opportunity to send novices to its classes to learn the industry's basics, the company also assists owners in determining the cost of a new producer.

The Sun Prairie, Wis.-based insurer offers a spreadsheet tool that helps agencies calculate the new producer's salary, benefits, support staff costs, operating expenses and the amount of premium needed to offset those costs.

On the Web at generalcasualty.com, under “News Center,” located at “About Us” on the home page, there is an online article by Roger Kaland, vice president of marketing for the company, where he discusses how agencies can ease their hiring woes, headlined: “New Producer Hiring: How To Ease Your Hiring Woes.”

He recommends that when it comes to new hires, “good planning can take some of the sting out” of the anxiety over the long wait for profitability.

He said the owner should calculate the cost of a new producer before putting the classified ad out–much of which can be determined through the company's spread sheet.

Mr. Kaland advises patience, noting that for the first two-to-three years a new producer will cost the agency more than he or she will generate. He suggests that owners not set their expectations for the new producer too high and put too much pressure on them. Too much pressure can lead to burnout before they hit their stride, he warned.

“To help alleviate these growing pains, a written professional development plan is a must,” he wrote. The plan should define the producer's goals as worked out between management and the employee.

Mr. Kaland strongly suggests the benefit of training, both inside and outside of the agency. Such training can provide a strong foundation for a new producer or staff person and allows the individual to better serve their customer, he noted.

He added that when solid recruitment, screening and training helps an agency develop that one great producer, the long-term payoff can be tremendous.

Callout:

Putting too much pressure on new producers can lead to burnout before they hit their stride.