From Runningclock 2205
Three independent sources one manager from the field and two sources were informed Friday of Tom Wilson’s strategic move to eliminate the bottom 30% of the agency force by year end. The sales field will have additional follow-up meetings within weeks to implement these procedures. They are terminating 30% of agents by year end.
Allstate is going to finance at 5% , 7% and 9% the terminated books of business. They will allow agents to merge the terminated books of business into their books. If they meet the goals of production from the terminated agents they will have loan forgiveness and interest forgiveness of the acquisition cost of the terminated agents. There will be such a glut of books of business on the market that Allstate feels this will be easier for the new agents to purchase as the prices will dramatically fall.
Their goal is to increase or show an increase of APA (Apps Per Agent) by terminating the agents in mass and merging them into larger agencies. This will at least initially not increase production for the company but will look like the APA has increased due to the mergers.
The goal is to convince Wall Street of the increase in Apps Per Agent even if we fall in Policies In Force or Agency count. This will be supplemented by Allstate financing the glut of agencies on the marker at a new all time low on agency values.
Again agents will be rewarded by loan and or interest forgiveness if they grow the terminated agents books of business.
It has also been reported to me that it is Tom Wilson’s intent to further reduce agency bonuses. This is an attempt to reduce net income to between 80k and 100k per year for large agencies. There will also be intimidation used (my opinion) to convince agencies to “invest” 8k plus each month to sustain agency growth.
I was a scratch agent who actually just left in April after starting december 1. I never recevied business cards, never got my financial services guy. Allstate NJ sucks. Chuck Leeds is a liar and so is Monica Ituarte. They are completely clueless. Was an independent agent for 10 years and was sold a line of shit. I placed several quotes to get a comparison prior to opening and the actual rates were nothing compared with the quotes they gave me prior to opening. Chris Frusco is totally incompetent – wouldn’t know an insurance policy from a pile of crap.
I didn’t get my sign on my building until 30 days after opening. My computer system didn’t go online until after a week. I never received any brochures despite ordering them several times online.
DO NOT FALL FOR THEIR SCRATCH AGENT LINE OF BULLSHIT. I KNOW TWO OTHER AGENTS WHO CLOSED THEIR DOORS AS WELL.
ALLSTATE NJ SUCKS
well since you are a inconsiderate piece of shit and doesnt really know what they are talking about you can go on and close your doors because you are a jackass anyway and you dont get the job done… how bout instead of going home and bitching on the computer to people who dont really give a shit, you should start doing your job and getting shit done and quit jerking off and do you your fucking job you dumb piece of shit who will amount to nothing
Tom Wilson, is that you?
I heard that Allstate is changing our contract to only pay 8 percent on new and renewal business is this true?
AllState Insurance is not too big to fail, it’s stock has declined from $34 to 27 per share,its President quit, and their IT is in shambles, their main data center is electric power constained, if you can image that. Right now the company is run by mostly Indians who lack critical thinking that it will take for this company to recover from its bad bets in the CDO markets. It is so bad internally the finance ahd tresury functions have their own IT departments to hide the instablity from the rest of the enterprise.
I attempted to start a 2nd scratch agency in a nearby location to my current agency. I was told by management that Allstate was not interested in starting any small agencies at the present time. I informed management that I was confident I could grow the agency to $1 million in earned premium in threee years. I was told that a $1 million book of business was too small for their future plans, and agencies of that size will most likely be selling to much larger agencies. The reasoning I received was that the larger agencies could employ more staff and therefore provide better service. These people are clueless.