WASHINGTON–Insurers need to strengthen partnerships with their independent agents so both can thrive and grow in the future, according to Bob Fulwider, chairman of the Independent Insurance Agents and Brokers of America.
Mr. Fulwider, in his address Friday at the association's Legislative Conference and Convention in Washington, D.C., said that in meetings with members around the country he has learned that a number of agents do not enjoy easy, productive relationships with all of their carrier partners.
"During my years of leadership with you, I have gained a new appreciation for companies that have chosen to do business in my great state of Iowa," said Mr. Fulwider, noting that those his firms deal with are "wonderful partners." But elsewhere, the relationship is strained.
"My point is this: not all agencies face this dilemma, but we must recognize a growing concern among those who do," he said.
He said agents are facing three major problems with their carrier partners: They are doing more work for the same or less compensation; some carriers refuse to update their proprietary Web sites, which are inefficient and do not support real-time transactions; and there is a lack of joint planning between carrier and agents.
He called the last "most disappointing" because the company misses out on the benefit of ideas that can help both carriers and agents.
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 NARAB II.
National Association of Registered Agents and Brokers (NARAB) legislation in Congress would create a nationally recognized agent licensing system.
Mr. Fulwider also called for the embrace of the Trusted Choice branding campaign by both agents and carriers.
"We want to compete. We want growth. We want to drive your numbers up," said Mr. Fulwider, addressing carriers. He added that by working together the industry can show that "independent agents are the best distribution channel in the industry."
He called for new methods of discussion and listening, saying agents can help if carriers listen and "everyone should think outside of the box." He added that the answers to the problems carriers and agents face cannot be found from the outside, but from within.
"We remain the bridge between the company and the consumer, and our girders are strong, but they can be even stronger," he observed.
He asked companies to come together with agents, as they have in the past, to strongly support independent agents and provide a potent base that consumers have grown to trust.
"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."
Mr. Fulwider is the 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.
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