Exclusivefocus Summer 2012.pdf - National Association of ...

two years. I finally responded with profanitylaced emails. It seems idiotic thatthese recruiters would send out emails toa person’s CareerBuilder résumé.Then yesterday, I received a voice messagefrom a recruiter, which I promptlycalled back. As I listened to him explainthe opportunity and hear him say “Wehad to get rid of a lot of agents and needednew blood…” then he said, “Well whatdo you know, you used to be with us.....”I proceeded to tell him what I thoughtof him and the company in general.I may have mentioned to you beforethat the manager who recruited me aswell as terminated me, came in for aninterview at my new employer. Managementcame to get me to identify her andthen brought her to my office after theinterview. Interestingly enough, all shecould do was cry and talk about what Allstatedid to her. Without saying anythingmore, I simply told her look at what theyhave done to PEOPLE. That is whathappens when you decide to work for thedevil and ignore the decision. I made afew other statements to her that were notpersonal but very direct. When we werefinished, I escorted her downstairs viathe freight elevator as she did not wantanyone to see her makeup smeared...Jim, I continue to commend you on yourgood work and I hope at some point therewill be light at the end of the tunnel forall the effort you and Nancy have made.I do believe that God will ultimately havethe last say on all of this. I read some ofthe postings on ALLBlue Blog and whatamazes me is how everyone wants to benefitfrom somebody else sticking theirnecks out and complain. Then they won’teven join NAAPA... incredible…Editor’s response: Good to hear from youand “kudos” to you for putting those FSLs intheir place. I also appreciate your commentsabout Nancy, me and NAPAA.Is the new variable compensation programbeing challenged in court?The Variable Compensation will requireagents to meet certain behaviorsin order to earn back the 10% commissionswe are losing. These behaviors arenot revenue producing, but revenue depleting.Hence, a commission percenthas been removed and replaced withnon-revenue producing behaviors suchas Good Hands Certification, minimumstaffing, local presence assessments, andcustomer experience survey results.Editor’s response: We discussed your question,and find nothing in the agent contractthat precludes Allstate from doing whateverit wants regarding agent commissions. Infact, they could simply reduce the commissionwithout giving agents an opportunityto replace it. Nothing in the contract offersthe agent any protection from this.Notwithstanding any breach of the contractualagreement between Allstate and itsagents, the only other way to get into courtwould be if they somehow violated a state orfederal law. Our attorneys have not foundany laws governing the relationship of independentcontractors with regards to themethod of compensation for work.If your question is referring to the age-oldargument – which we still believe to be the case– that Allstate agents are not really independentcontractors, then yes, it could be added tothe list of other independent contractor vs. employeeinfractions. But getting a day in courthas not been easy. We have consulted withnumerous law firms over the past five yearsand we have not found one that is interestedin taking the case on a full contingency basis.There was a firm that was willing to take thecase, but asked agents for $2,000 upfront, butthere was not enough agent participation.I am located in a Midwestern state andI am thinking of going independent. Doyou have any recommendations regardingthe independent agent cluster groups thatadvertise in Exclusivefocus? The one that Ihave in mind is Couri Insurance Associates.Would you happen to have any informationabout them before I call them?Thanks for writing. For a couple of reasons,NAPAA cannot make recommendations.Besides the differences between agencycontracts, there are liability issues to worryabout. We always recommend that agentsget copies of the contracts for the group theyare considering, read them thoroughly andconsult an attorney, if necessary. That said,I can say that we get very few complaintsabout any of the groups that advertise inour publications. I am familiar with CouriInsurance because they are headquarteredin Wisconsin where I was an agent for 28years. You might want to contact Couri andany other agent network groups you’re interestedin, and ask them for some referencesfrom ex-Allstate agents.I’m retiring mostly due to the fact mypartner was forced to sell his agency. Wewere one of the last 2-man offices inthe country. When he left, my expensesdoubled and with the capital gains lawspossibly changing soon and I turn 66 thissummer. I know these are weak excuses,but the money just isn’t there. This companyhas changed in ways I could havenever imagined and I don’t see a solidfuture in the cards. I pray to God thatmy buyer has the fortitude to make it inthis increasingly toxic atmosphere. I haveenjoyed my relationship with you guys.Thanks for all your help and good luck.Nancy: You’re the most generous andsupportive person I have ever run into,and I sincerely thank you for your advice.My very best regards to both you and Jim.After 20 years, I am no longer an Allstateagent and am very happy about it,as are many other Allstate agents whohave parted ways with Allstate. I wantto take this opportunity to thank youand NAPAA’s Board of Directors for thewonderful work you’re doing to keep Allstate’smanagement honest and, of course,for your wonderful advice during my decision-makingprocess when I was thinkingof leaving Allstate. Your support wasmuch appreciated. I wasn’t sure if the timewas right for me to leave, but now I knowthat I made the right decision.I also have to admit that I was oneof lucky ones in that I was able to sellmy book of business for a great priceand with little interference. Allstate inSummer 2012 Exclusivefocus — 57