I don’t really care what the CEO’s cash payout is as long as I’m happy with how much I am personally compensated for the amount of work I do. However, since I work enough for two people and get paid for one, such a huge pay gap between leadership and employees frustrates me. For how long can such a large pay gap be sustainable?
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Why would you think online would be 10%-15% cheaper? Actually, between the policy center and corresponding staffing that channel may be more expensive, especially in the near term. And anytime I hear someone say “all customers want self service” I know they are uninformed.
If half our business moves to online 10-15% less and the other half stays with agency the farm will be happy with that model. Customers don’t want relationship anymore it’s about the $$$. Direct and customer self serve is cheaper why do u think they are building the policyholder center. Don’t u have huddle meetings.
When you have Warren Buffet extolling the virtues of SF at his annual meeting I don’t think you will see a direct only model in the future. Customers prefer choices, they will drive each channel volume. Different customers have different levels of need and service requirements. They should make the decision not the Company. And contrary to urban myth an exclusive direct channel is not necessarily cheaper than an agent channel.
Alliances are cr-p, we as agents have rode this train before and it always ends up in the same place ( company discontinues ) company bread and butter is auto, fire , life as it has always been, not pet insurance. Not sure how you think they can give 15% discount for direct when they currently pay agents much less than that. Nope, agency as it now exists will be around for the foreseeable future, you want to know why scooter? Simple , it works.
Unfortunately the strategy with State Farm going direct and letting customers pay 10-15% less is real and has been planned. Agents will need to make the agency attractive to customers, offering the alliances and full array of financial services to make the relationship worth the additional 10-15% on the P&C. State Farm has to adapt to a changing world and it’s changing fast.
Operations employee here. I work and know a lot of agents. Most are not broke and living above their means. Most are hard working, committed to their customers and many are pillars in their communities-especially small and medium sized towns. Are some a pain in the ar-e sure, but so are some employees.
@2yxe…..as if you have a personal relationship with any agents, and any knowledge of their finances or lifestyle.
Who is this clown agent. Most agents are broke living way above there means. Its funny to hear them gloating, usually when one gloats they really don’t have anything.
Hang in there champ Home Depot hiring better yet waste management Ha Ha
Most tenured agents probably wouldn’t be hired in this day and age or for that matter even at Walmart. Reality sucks but renewal compensation is changing, other carriers are making the change the farm won’t be to far behind, especially with Johnny nickel and dime at the helm. Hi road and pay as you go concepts will replace agents. Similar what happen to travel agents don’t see them anymore. Long term agents will be obsolete soon, especially if they sit around and add a few cars a week and keep telling yourself I’m doing a good job. Good luck
Duh, of course agents are sales reps, And some are better than others and thus earn more. Then again, this pretty much applies to every job. Eventually you will make exactly what you were worth. You do understand that concept, correct?
Agents are glorified sales reps. Majority of them barely make 100k. Most Sales Leader have an over inflated ego and couldn’t make it as an agent. Who goes to an agent anymore except for old people? In another 5-10 years many of you will be scrambling for work.
Working in claims means you are likely underpaid. I've heard new CS's start at about $50K these days, so if you're only making $60K after 8 years it sounds like you need to get active in the review process. Show them why you should be making more and hold them accountable. I've been a CS over 33 years, I'm a level 3 (new level 7) and base pay is $109.6K, with bonus and OT I've made $128-$132 the last several years. I hate my job and I feel underpaid but I'm outta here with a pension in 2 years. I'd never do it again. My advice to young people who aren't happy here is break the rusty cage and run.
OP. Your concern is justified. Despite the HR mantra that they are based on other company name other industry. Clearly the whole organization lacks a sense of reality and integrity. Paid way way more than they are with it for what they actually do. Nepotism runs deep as well as the money network and flow. They make it all sounds so humanitarian and good for community. The do gooder Public Relations and communication strategy is hard to stomach for mist smart folks with half a brain.
All at others expense calling it great leadership. Yuck
All good critical thinking points you made!
What my expenses should tell you, is that I have a paid off office building, I don’t do any of the company BS marketing, and I’m down to two full timers and one part timer who I pay pretty well to do a good job servicing my book of business. So yeah, I’m riding this horse into the sunset.
Hey, we worked the same 16 to 18 hour a day schedules, for years to build our book of business. The difference here, is that we did not get paid overtime to do it, in fact a lot of times we didn’t get paid at all except the promise that one day our book would be big enough that we could do whatever the heck we want to do.
It would not surprise me if State Farm had to increase the agent comp percentages, it ain’t that easy of a gig, and they are having a very difficult time replacing the tenured agents who are retiring.
Most clients after being on hold and having to deal with the jag off at the CCC will gladly pay an extra 10% for an agent. And yeah I know whathard work is, my book of business did not grow itself. Don’t be all jealous though, there’s plenty of agency openings available across the country. In fact, there’s never been a better time to be an agent. You’re just one of those individuals that prefer to sit around and gripe about how bad things are because you don’t have the courage to step up and try and change your life. So now that the facts are on the table just deal with it dude, you do you, and I’ll do me.
@1kdw We've been seeing "agent comp structure changes coming" on here for at least 10 years. And most agents keep expecting them, but the more customers deal with CCC, the more State Farm realizes they still need agents. Long time agents are ready for the changes if they ever happen. Some have plans to stay, and some have plans to leave. Newer agents are already acclimated to an all sales and no service philosophy, so they'll be OK too. The only people worried about a change in agent contracts are the employees who want to pretend agents are worried about a change in contracts.
New agent comp structure coming, they aren’t pushing all these alliances for nothing. Looking more like 5% P&C renewal comp on horizon. Can’t keep paying agents the same. It’s about the future you know. Also customer choice call center for 10% less just like Allstate, wait until you see policyholder jettison there agents HaHa, There’s going to be some sad faces.
Hard work....yeah right. The people that keep the promises you make don't make near what you make and don't give me the line they don't work as hard as you do. Your expenses speak volumes. Hard work I don't know about. That's laughable! In my day many jumped claims to become agents because they couldn't handle the pressure cooker. I remember many 16 to 20 hour days. So stuff your hard work comment. 99% of those making big bucks @SF don't know what hard work is PERIOD!
Nope, started with a very small book from a retired agent, actually only a part of his book and built it from there. No relatives with the company or inside help either. It’s something I’m sure you are unfamiliar with, it’s called hard work.
@qvj. So whose A S S did you kiss? I bet a VPA.
Agent, just under $500k w $120k of expenses, should be considerable higher this year w rate increases. I feel I am underpaid also, discussed forming a union w my fellow agents, they beat the sht out of me.
Capitalist workers are not socialists!
I am an injury CS, with the company 8 years, making $60,000 , not including the bonus. How much is everyone one else making ?
Socialists on lunch break I see.
It can't until they are brought to their knees and consider their employees assets and NOT expenses.