Thinking about taking a State Farm Insurance sales/service team member position....should I?

-I would like a little info from someone already in this line of work. The pay, the end-of -the-year bonus', benefits....etc. How is this company to work for? Reall would like to know the pros and cons of someone who knows!!! HELP!I am not a State Farm agent, but I have been in the Financial Planning business for over 30 years. I also know a number of State Farm Agents.



I am not sure if you mean you are deciding to work for someone who already owns a SF office, or you are thinking of opening one yourself. There is a big difference.



If you are thinking of starting your own office, here is what you should consider.



1. You will need money to get started. You need to become an "Approved Candidate." You accomplish this by completing a paid internship program. Once you get through this you become a 12 month independent contractor. This is where they watch your production levels.

2. You are responsible for all business expenses. State Farm will provide you with furniture and equipment at a low monthly price, loans to help with start up costs, and computers and phones at little or no cost. You are opening your own business, so the market you are in will dictate what kind of startup costs you will have.

3. There are all kinds of ways to get paid. Almost all are production driven. This means SF has production levels, that if reached, entitle you to extra incentive compensation. If you don't hit the company numbers, you get nothing and most likely will be asked to step down if below par production continues.

4. You need to be a good communicator. You need to like to talk to and meet people. You should belong to as many community organizations as possible.

5. You need tons of knowledge. Not just the knowledge that SF gives you, but knowledge of the financial planning process. There are a lot of SF agencies in the market place. You need to be able to offer services above what others are offering in order to give people a reason to come to your agency. I have found SF agents very knowledgeable about auto and homeowners insurance, but very weak in personal insurance and financial planning.



If you are going to work for an existing SF office, the costs will be much less. But, you will still have production goals to meet.



Going into the insurance business can be very rewarding, both financially and intellectually. But, the failure rate is also very high. For every 100 people who start a career in insurance, only 25 are still around after four years. If you do well, the company will love you, if you don't do well, you will be lucky if they remember your name.
MB is correct. Each office is independently owned. So, there is not one answer for your question. You would have to ask the agent that hires you. You work for the agent and not State Farm. And, Ginger is right too. You never know what can happen when you accept a position. Don't turn down an opportunity. It may lead to something else.
State Farm agents are independently owned contractors, that work exclusively with State Farm. Any bonuses, benefits, salaries, are up to the individual agent.