Jeff Writes: "I own a mortgage company and Farmers contacted me about starting a insurance company with them. My wife became a Farmers agent hoping to write home owners polices. After spending several thousands of dollars Farmer told my wife they did not want the mortgage business and she should sell life polices. We close 40 to 50 home loans a month and could only write 1 to 3 polices a month. Farmers called our office and spoke with one of our employees that they were going to take my wife's contract away. That was the last straw, we left Farmers last week."

After Jeff saw our site he also commented: "..wish we saw your web site before we joined Farmers"

Moderator Comment : Farmers Insurance Training specifically told me to team up with Centers of Influence to create what is called a "Home Team". A Center of Influence is essentially a person that is a source of contact of a large number of different potential clients. Examples of a Center of Influence:

• Mortgage Broker - This Center of Influence has constant contact with multiple clients who have an interest of purchasing a home. The Mortgage Broker will seek out the best loan for a particular home buyer and assist them in obtaining the loan. Part of the process of closing on the home is to obtain Homeowners Insurance Coverage. Clients of the Mortgage Broker will obviously have a degree of trust already established in this client relationship and will be open to any suggestions the Broker would have in regards to obtaining a policy. Its a perfect fit to pair an Insurance Agency with a Mortgage Broker.

• Real Estate Agent - A Real Estate Agent is a Center of Influence whom will often be the first point of contact of a client who isnt pre-approved for a loan to buy a home. The Real Estate Agent will assist the potential home buyer or seller with finding or listing a home. This Center of Influence will also be a trusted Agent whom a client would like to get an Insurance Agent Reference from.

• CPA or Accountants - Accountants are another example of a Center of Influence. They are contacted by clients on an ongoing basis for advice on taxes or financial records. An Accountant is defiantly a trusted advisor whom a client would ask about for Insurance Matters.

• Lawyers - A Lawyer is also a Center of Influence because they are the point of contact in legal matters for their clients. Sometimes insurance matters will come into play and clients need to obtain additional coverage such as in the matter of estate planning or to avoid future lawsuits. Lawyers often refer clients to their favorite Insurance Agent.

• Doctors - A Doctor is another Center of Influence because they see clients on an ongoing basis. A client of a Doctor could ask this professional about medical or life insurance advice and this could create a need for the doctor to know an Insurance Agent that he would trust to help his clients.

• Insurance Agent - Insurance Agents are also Centers of Influence. A wide range of circumstances could arise that would cause an Insurance Agents client to need services of all the other Centers of Influence. Clients have accidents and need a Doctor or Lawyer. Clients move into town and find insurance then look for a new home and need a Real Estate Agent or a Mortgage Broker. A client might open an IRA or obtain a life insurance policy or just need general Tax advice and require the services of a CPA

There are more Centers of Influence that I could list but you probably see the point of why these people might need to communicate and know each other to provide a service or recommendation to their clients. Insurance Agents should all have heard about this type of relationship from training received from any Insurance Carrier. This isnt a Farmers Specific thing. It is a natural association of individuals who can collectively assist a common client.

If on one hand Farmers encourages this association and in the next sentence outright refuse or discourage the relationship. This causes a huge concern as to what their real motive is. In this case it reveals itself again. Life Insurance. Why would Farmers want more life policies? Refer to the Farmers Ponzi Scheme article for more thoughts.