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Insurance Business Plan Template

Written by Dave Lavinsky

Business Plan Outline

  • Insurance Business Plan Home
  • 1. Executive Summary
  • 2. Company Overview
  • 3. Industry Analysis
  • 4. Customer Analysis
  • 5. Competitive Analysis
  • 6. Marketing Plan
  • 7. Operations Plan
  • 8. Management Team
  • 9. Financial Plan

Insurance Agency Business Plan

You’ve come to the right place to create your own business plan.

We have helped over 100,000 entrepreneurs and business owners create business plans and many have used them to start or grow their insurance companies.

Essential Components of a Business Plan For an Insurance Agency

Below we describe what should be included in each section of a business plan for a successful insurance agency and links to a sample of each section:

  • Executive Summary – In the Executive Summary, you will provide a high-level overview of your business plan. It should include your agency’s mission statement, as well as information on the products or services you offer, your target market, and your insurance agency’s goals and objectives.
  • Company Overview – This section provides an in-depth company description, including information on your insurance agency’s history, ownership structure, and management team.
  • Industry Analysis – Also called the Market Analysis, in this section, you will provide an overview of the industry in which your insurance agency will operate. You will discuss trends affecting the insurance industry, as well as your target market’s needs and buying habits.
  • Customer Analysis – In this section, you will describe your target market and explain how you intend to reach them. You will also provide information on your customers’ needs and buying habits.
  • Competitive Analysis – This section will provide an overview of your competition, including their strengths and weaknesses. It will also discuss your competitive advantage and how you intend to differentiate your insurance agency from the competition.
  • Marketing Plan – In this section, you will detail your marketing strategy, including your advertising and promotion plans. You will also discuss your pricing strategy and how you intend to position your insurance agency in the market.
  • Operations Plan – This section will provide an overview of your agency’s operations, including your office location, hours of operation, and staff. You will also discuss your business processes and procedures.
  • Management Team – In this section, you will provide information on your insurance agency’s management team, including their experience and qualifications.
  • Financial Plan – This section will detail your insurance agency’s financial statements, including your profit and loss statement, balance sheet, and cash flow statement. It will also include information on your funding requirements and how you intend to use the funds.

Next Section: Executive Summary >

Insurance Agency Business Plan FAQs

What is an insurance agency business plan.

An insurance agency business plan is a plan to start and/or grow your insurance business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your insurance agency business plan using our Insurance Agency Business Plan Template here .

What Are the Main Types of Insurance Companies?

There are a few types of insurance agencies. Most companies provide life and health insurance for individuals and/or households. There are also agencies that specialize strictly in auto and home insurance. Other agencies focus strictly on businesses and provide a variety of liability insurance products to protect their operations. 

What Are the Main Sources of Revenue and Expenses for an Insurance Agency Business?

The primary source of revenue for insurance agencies are the fees and commissions paid by the client for the insurance products they choose.

The key expenses for an insurance agency business are the cost of purchasing the insurance, licensing, permitting, and payroll for the office staff. Other expenses are the overhead expenses for the business office, utilities, website maintenance, and any marketing or advertising fees. 

How Do You Get Funding for Your Insurance Agency Business Plan?

Insurance agency businesses are most likely to receive funding from banks. Typically you will find a local bank and present your business plan to them. Other options for funding are outside investors, angel investors, and crowdfunding sources. This is true for a business plan for insurance agent or an insurance company business plan.

What are the Steps To Start an Insurance Business?

Starting an insurance business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop An Insurance Business Plan - The first step in starting a business is to create a detailed insurance business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your insurance business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your insurance business is in compliance with local laws.

3. Register Your Insurance Business - Once you have chosen a legal structure, the next step is to register your insurance business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws. 

4. Identify Financing Options - It’s likely that you’ll need some capital to start your insurance business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Insurance Equipment & Supplies - In order to start your insurance business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your insurance business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising. 

Learn more about how to start a successful insurance business:

  • How to Start an Insurance Business

Where Can I Get an Insurance Business Plan PDF?

You can download our free insurance business plan template PDF here . This is a sample insurance business plan template you can use in PDF format.

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April 20, 2020

How to create a business plan for your insurance agency, 12 min read.

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Topic: Insurance Marketing Insurance Agency Management sales Start an Agency Grow an Agency

“What’s the plan?”

That’s the question my wife and I ask each other every day about 3:00 in the afternoon. We have pretty busy lives with multiple businesses, children, hobbies, and activities to manage. So, probably just like you, we need a plan to get it all done!

If a plan is important for getting a family through the day, how much more important is a plan for an insurance agency with customers to serve, sales to make, companies to satisfy, and employees to manage?

It’s critical.

But who has time to plan with all that going on?

That’s a great and valid question. The other one for the typical Type A insurance business owner is, “Can I get someone else to do it for me?” and, “What’s the minimum planning that will yield the most impact?” 

Assuming you have goals to meet and would like every day to be something other than crisis management, let’s take a look at this from a high level. 

Getting Started With Your Business Plan

Creating a business plan sounds like work, doesn’t it? It doesn’t have to be. Really, this process is as simple as putting on paper your three-to-five-year goals and general means to achieve them. 

For example, this is a super-simple plan template:

What are sales going to be each year for 3 years?

Net profits? What do you want your balance sheet to look like? 

What is your ideal business mix? What products and services do you want to sell the most of?

What kind of customers do you want to serve? What do they look like demographically (i.e. target market)?

How many employees does it take to get this done? 

A plan can be a whole lot more complicated, and potentially more valuable, but if you have lots to do, this takes a couple of minutes and it’s a great start.

Consider This Question To Help You Focus:

During lunch with a successful entrepreneur in a business completely unrelated to mine, he asked me this wonderful and powerful question during our meal.

“What are the best opportunities in front of you right now?”

That question really focuses the mind.

I was able to give him an immediate answer and listed for him four priorities for myself and my team. We have more than four opportunities in front of us, so I was interested in my own immediate reaction. You see, like most entrepreneurs and small business owners, I am constantly seeing opportunities and weighing my capabilities and interests.

I answered my friend with four things and a quick note as to why they were important and valuable for our business. It didn’t take a lengthy market analysis or sales forecasting - the question really helped me to focus, prioritize, and verbalize what I want to capitalize on out of many choices. It happened in an instant and will now guide us as we plan for the next year or two - this is the simplest version of an executive summary and it will guide our sales strategy.

OAA Highlight - How to Create A Business Plan

Most successful business owners are highly focused people, who don’t pursue every single business idea that runs through their heads. They understand that resources like time, capital, and people are limited. Regardless of their relative level of optimism (an absolute requirement and one of the main keys to success opportunities, but the more successful they become, the more realistic actual opportunities are for them.

So, as they go about building a bigger and bigger future, choosing which opportunities to pursue every year of operation becomes an ever more important task.

As we face the future and the demands of many others who want us to focus on their priorities (opportunities!), choosing which things we will concentrate our efforts on becomes a critical decision for every insurance agent and businessperson.

What about you? What are the best opportunities in front of you right now? Those are the ones to focus your planning.

Let’s Do Some Thinking

Everyone, and every business, is different. I start planning for the next year in the fourth quarter of the year before. Your timing may be different than mine. But you do set aside time to think about the business and plan for the coming year, don’t you? Or do you just let it happen?

This is a great time to be honest with ourselves about this! Let me suggest that if you don’t do annual thinking that you consider it. It’s not hard. It doesn’t have to take a long time but is really important in sustaining growth .

Here are some of the things I think about.

What can we accomplish?

What is a revenue goal that is achievable within our current capabilities? As I think about this I ponder the knowns about what the market is doing and which insurance products are more likely to sell.

Are rates up or down? Has the weather this year been good or bad?

What can we expect from Profit Sharing and PMSF (you do get PMSF, don’t you?)

What kind of activity and results are our current marketing efforts producing? How is our market share?

What is going to happen to overhead next year? 

Do we have rent increases, automation increases, or other overhead cost increases coming?

What about employee benefits and payroll?

Do we need additional employees to manage the expected normal growth?

Do we have a place for them to work? Equipment to use?

When do we need them?

Now comes the fun part! 

What could we do if we really stretched ourselves? 

If we are to do that, what else must we do?

Do we need to increase marketing investment?

Are there any potential investors we should talk to?

Hire additional people? Modify compensation strategies?

Open another office or expand this one?

Add a CRM program?

These and endless other things can and should be considered.

We can’t develop a plan for our business until we spend time thinking about it. Perhaps you do this ad hoc from time to time, but now is the time to organize your thinking and your thoughts and start putting things in written form, even if it’s just a few paragraphs. It’s time to think!

Now, Let’s Do Some Planning

I’ve described the thinking process that I use during the early fall to begin to get ready for a productive, growing period in the coming year. The results of the current year are beginning to take shape and the business environment is more clearly understood. After the thinking process comes planning.

Relax! This doesn’t have to be, nor should it be, complicated or time-consuming for a growing agency. Let me encourage you to make a plan that can be put on one sheet of paper. Two at the most. 

If you can’t describe your plans for a year in that space you probably can’t do it all either.

How I Do It

What I do is take the things I’ve uncovered in my thinking process and first use them to create a simple budget:

I increase current year results by what I think is the “steady as she goes” growth and expected rate, profit sharing, PMSF and other revenue changes should produce and put that in a month by month spreadsheet.

Then I take the overhead thinking I’ve done and put that into the expense ledger. Now I’ve got a simple budget. Is the result of that budget what I want it to be based on my goal setting? Or not? If not, I begin to tweak.

Once the budget is all tweaked up I turn to the thinking about the growth goals I want. What does that do to income? What expense increases are required? Those go down on paper and I work on this until I’m satisfied.

This is still not planning! This is budgeting. Now comes the plan:

  • What will be required to get the results we are forecasting? (See the next section!)
  • When and how will we market ?
  • What changes to our website, social media , phone program, referral program, etc. do we need to make?
  • Do we need more employees , insurance companies, cell phones, or other tools? When and where do we plan to acquire them?
  • What else do we need to schedule to do to make the budget work out?

This is planning! See, it’s not hard. It’s really easy when you think about it first!

Now that you’ve done the thinking and planning, next year will be easy. And if you execute on the simple plan you’ve built, tweaking as you go, you’ll get wherever it is you want to go!

More Things to Consider for Your Business Plan

How much activity do you need to get the results you want.

The “Silver Bullet” to agency growth is activity. One of the natural questions is how much? How much activity will it take to get x results? Really, the question is what do I need to do? What do I need to plan for? 

Great questions!

To answer your questions I need a little more information. So, here are my questions to you:

What is your growth goal?

What is your average sale?

What is your closing ratio?

How do you get prospects?

Let’s assume I want to add $25,000 in commission revenue to my agency (growth goal). And let’s assume my average sale nets me $450 (note: this is commission, not premium). 

Let’s also assume I’m an average salesperson and my closing ratio is 35%. Lastly, let’s assume I get my prospects from a direct mail campaign and my response rate is 1.5% of pieces mailed. 

From these assumptions “how much” becomes very clear. 

  • I need 56 sales! ($25,000 goal divided by $450 average sale).
  • I need 160 prospects! (56 sales divided by 35%).
  • I need to mail 10,650 mail pieces (160 prospects divided by 1.5%)

Don’t get hung up on whether you think direct mail is the best way to advertise, or whether you think my closing ratio is good or bad. That’s not the point. The point is, if you know some very basic numbers, you can figure out very easily how much activity you need to reach your goal!

Everyone has a different idea about the best way to sell insurance. We all have different goals, talents, resources, and abilities. But we can all achieve our goals with the appropriate amount of activity. 

Success is simple. Figure out “how much”. Then go do it!

Pay the Business First

One of our Agency Development team recently met with one of our agencies to work with them on business planning. This is a great thing, because without a plan it is virtually impossible to grow rapidly. This particular agent is my favorite kind of person: a dreamer with big dreams! They are ambitious, hard-working, and highly motivated

In their discussions, the agent and our Development Specialist talked about the agent's desire to hire producers and to build their own office building. Both are potentially great ideas. However, there is a small problem: money.

Our agent owner didn't have any…

When we start our businesses, we entrepreneurs usually need every nickel we can find, right? Every dollar that isn't nailed down often finds its way into gasoline, rent, or shoes for the kids. This is normal. But as the business begins to prosper there is a choice to be made: buy nicer stuff, or feed the business.

OAA Highlight - How to Create A Business Plan

We often see agencies with little or no working capital, and without working capital, you simply can't expand, because you can't fund a producer. What bank is going to lend you money on a building when you haven't got any? None. Those days are gone forever.

My partner and I started our agency in 1996, and we didn't take a profit out of the business - not even to pay taxes - until 2003! We were reinvesting all our money in the business.

This is what you must do if you want to keep growing. That doesn't mean you can't take money to improve your family's situation - you can. Do that by increasing your salary over time.

But if you want to keep growing, give the business a raise before you give yourself one. 

Our method was to decide each year what the business was going to make in net profits. Until that number was satisfied we didn't get paid and we didn't get a raise either. This method allowed the business to have the money - its lifeblood! - that it needed to keep expanding.

Look around at the successful people you know. The businesses you admire. Very few of them got where they are except by following this little principle:

Pay The Business First!

Make sure your hours match your business plan .

The world is changing. Technology is taking customers away from us. The new world demands a higher level of service and availability from anyone who wants to sell anything.

If, as an independent agent, personal service is the competitive advantage that will help you reach your goals, why aren’t you open more?

I was at the office on a Saturday morning, and I received a nice note from one of our new members about one of our great team members (thanks Natalie!). I fired off a quick “thank you” to the member and said, “Glad to see another entrepreneur working on a Saturday!”

What was interesting was his response, which I quote verbatim:

“Yep. Many can only come in on Saturday. Plus set up apt to sign two Travelers app issued via Access Plus. And doing an auto and home app for Safeco.”

Why was he working on a Saturday?

Because that was the only time prospects and customers can come to see him.

It seems obvious that anyone trying to sell anything would go where the customers are when they are there.

So, why are almost all insurance agencies only open Monday through Friday from 8:00 am to 5:00 pm? By now, even banks have figured out for a couple of decades now that they need to be open past 5 o’clock and be open on Saturday. 

Mom and Pop businesses all across America have wrung their hands while they went bankrupt when Walmart came to town. They complained they couldn’t compete on price.

I think it’s much more than that. They refused to compete on service. They weren’t there when the customer needed them.

When will insurance agencies get the message? Before for or after bankruptcy?

Build Your Business Plan for the Long Term

“you must prepare for the future if you want one.”.

Plant acorns.

Tyler Asher, President of Safeco Insurance Company, made this headline statement in a speech to an SIAA semi-annual meeting in Boston. His comment was made in the context of a list of things his company is working on to sustain their growth and prepare for a future insurance market, much different from today’s.

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If you just take the statement at face value it makes a lot of sense, doesn’t it? Of course, we must all prepare for a bigger future if we want one, and oak is a great symbol of strength and stability. I was immediately captivated by the idea.

But, where the analogy breaks down for me is that it takes a long time to grow oak trees, and the future is coming upon us with breathtaking speed. Do we really have time to grow oak trees?

Then I thought again about a Jeff Bezos quote I wrote about where he says he is more concerned about what stays the same in the next 10 years than about what changes. 

I’ve decided that it’s the intersection of Asher and Bezos where we, as independent agency owners, need to focus.

For example, it’s estimated that 60% of the employees in our industry will retire in the next seven years, and if you believe “Outliers” author, Malcolm Gladwell, it takes at least five years (10,000 hours) to train an expert in anything. 

I believe, channeling Bezos, that customer service and person-to-person selling will be as important to agency success in the future as it is now. So, how are we going to replace the oak trees (people) in our industry fast enough to secure our future?

I don’t have an answer. But, it’s an incredibly important question for anyone who plans to continue to make this industry their career in the decade ahead.

In our organization, we are creating a streamlined training curriculum, coupled with third party courses and old fashioned apprenticeship, to meet our needs for new blood. Frankly, it’s expensive to do this. But the only other options are to hire other’s problems (which is getting harder and more expensive to do) or go out of business.

The need to invest in new people comes while commission compression and new competition (in the form of online sellers) are beginning to stress some agency income statements. As Tyler Asher points out, you must prepare for the future if you want one. 

Viewed in this way, spending on new employees is an investment, not a cost, and the promise of the future is a profitable business built for the long term.

The UnCaptive Agent

Tony Caldwell

Tony Caldwell is a modern “renaissance man,” who is not only immensely successful in the field of insurance, but is also a writer, children’s advocate, mentor and even a licensed pilot. Always keen on helping others make their dreams come true, Tony and his team have helped independent agents grow into more than 250 independent agencies. This has made OAA the number one ranked Strategic Master Agency of SIAA for the last 5 years, and one of Oklahoma's 25 Best Companies to Work for. Tony loves to share his knowledge, insight and wisdom through his bestselling books as well as in free mediums including podcasts and blogs. Tony and his family are members of Crossings Community Church, and he is very active in community initiatives: he’s chairman of It’s My Community Initiative, Inc., a nonprofit working with disadvantaged people in Oklahoma City; and chairman of the Oklahoma Board of Juvenile Affairs., and he has served through many other organizations including the Salvation Army, Last Frontier Council of the Boy Scouts of America, and the Rotary Club. In his spare time, Tony enjoys time with his family. He’s also an active outdoorsman and instrument-rated commercial pilot.

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How To Write an Insurance Agency Business Plan + Template

Creating a business plan is essential for any business, but it can be especially helpful for insurance agencies that want to improve their strategy and/or raise funding.

A well-crafted business plan not only outlines the vision for your company, but also documents a step-by-step roadmap of how you are going to accomplish it. In order to create an effective business plan, you must first understand the components that are essential to its success.

This article provides an overview of the key elements that every insurance agency owner should include in their business plan.

Download the Ultimate Insurance Business Plan Template

What is an Insurance Agency Business Plan?

An insurance agency business plan is a formal written document that describes your company’s business strategy and its feasibility. It documents the reasons you will be successful, your areas of competitive advantage, and it includes information about your team members. Your business plan is a key document that will convince investors and lenders (if needed) that you are positioned to become a successful venture.

Why Write an Insurance Agency Business Plan?

An insurance agency business plan is required for banks and investors. The document is a clear and concise guide of your business idea and the steps you will take to make it profitable.

Entrepreneurs can also use this as a roadmap when starting their new company or venture, especially if they are inexperienced in starting a business.

Writing an Effective Insurance Agency Business Plan

The following are the key components of a successful insurance agency business plan:

Executive Summary

The executive summary of an insurance agency business plan is a one to two page overview of your entire business plan. It should summarize the main points, which will be presented in full in the rest of your business plan.

  • Start with a one-line description of your insurance agency
  • Provide a short summary of the key points in each section of your business plan, which includes information about your company’s management team, industry analysis, competitive analysis, and financial forecast among others.

Company Description

This section should include a brief history of your company. Include a short description of how your company started, and provide a timeline of milestones your company has achieved.

If you are just starting your insurance agency business, you may not have a long company history. Instead, you can include information about your professional experience in this industry and how and why you conceived your new venture. If you have worked for a similar company before or have been involved in an entrepreneurial venture before starting your insurance agency firm, mention this.

You will also include information about your chosen insurance agency business model and how, if applicable, it is different from other companies in your industry.

Industry Analysis

The industry or market analysis is an important component of an insurance agency business plan. Conduct thorough market research to determine industry trends and document the size of your market. 

Questions to answer include:

  • What part of the insurance agency industry are you targeting?
  • How big is the market?
  • What trends are happening in the industry right now (and if applicable, how do these trends support the success of your company)?

You should also include sources for the information you provide, such as published research reports and expert opinions.

Customer Analysis

This section should include a list of your target audience(s) with demographic and psychographic profiles (e.g., age, gender, income level, profession, job titles, interests). You will need to provide a profile of each customer segment separately, including their needs and wants.

For example, customers of an insurance agency may include individuals, families and small businesses.

You can include information about how your customers make the decision to buy from you as well as what keeps them buying from you.

Develop a strategy for targeting those customers who are most likely to buy from you, as well as those that might be influenced to buy your products or insurance agency services with the right marketing.

Competitive Analysis

The competitive analysis helps you determine how your product or service will be different from competitors, and what your unique selling proposition (USP) might be that will set you apart in this industry.

For each competitor, list their strengths and weaknesses. Next, determine your areas of competitive differentiation and/or advantage; that is, in what ways are you different from and ideally better than your competitors.

Below are sample competitive advantages your insurance agency may have:

  • In-depth knowledge of the insurance industry
  • Broad product offering
  • Customer focus and commitment to service
  • Well-trained and experienced team
  • Proven track record

Marketing Plan

This part of the business plan is where you determine and document your marketing plan. . Your plan should be clearly laid out, including the following 4 Ps.

  • Product/Service : Detail your product/service offerings here. Document their features and benefits.
  • Price : Document your pricing strategy here. In addition to stating the prices for your products/services, mention how your pricing compares to your competition.
  • Place : Where will your customers find you? What channels of distribution (e.g., partnerships) will you use to reach them if applicable?
  • Promotion : How will you reach your target customers? For example, you may use social media, write blog posts, create an email marketing campaign, use pay-per-click advertising, launch a direct mail campaign. 
  • Or, you may promote your insurance agency via a mix of all the channels listed.  

Operations Plan

This part of your insurance agency business plan should include the following information:

  • How will you deliver your product/service to customers? For example, will you do it in person or over the phone only?
  • What infrastructure, equipment, and resources are needed to operate successfully? How can you meet those requirements within budget constraints?

The operations plan is where you also need to include your company’s business policies. You will want to establish policies related to everything from customer service to pricing, to the overall brand image you are trying to present.

Finally, and most importantly, in your Operations Plan, you will lay out the milestones your company hopes to achieve within the next five years. Create a chart that shows the key milestone(s) you hope to achieve each quarter for the next four quarters, and then each year for the following four years. Examples of milestones for an insurance agency include reaching $X in sales. Other examples include signing up a certain number of customers, expanding to a new location, or launching a new product or service.

Management Team

List your team members here including their names and titles, as well as their expertise and experience relevant to your specific insurance industry. Include brief biography sketches for each team member.

Particularly if you are seeking funding, the goal of this section is to convince investors and lenders that your team has the expertise and experience to execute on your plan. If you are missing key team members, document the roles and responsibilities you plan to hire for in the future.

Financial Plan

Here you will include a summary of your complete and detailed financial plan (your full financial projections go in the Appendix). 

This includes the following three financial statements:

Income Statement

Your income statement should include:

  • Revenue : how much revenue you generate.
  • Cost of Goods Sold : These are your direct costs associated with generating revenue. This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering.
  • Net Income (or loss) : Once expenses and revenue are totaled and deducted from each other, this is the net income or loss.

Sample Income Statement for a Startup Insurance Agency

Balance sheet.

Include a balance sheet that shows your assets, liabilities, and equity. Your balance sheet should include:

  • Assets : All of the things you own (including cash).
  • Liabilities : This is what you owe against your company’s assets, such as accounts payable or loans.
  • Equity : The worth of your business after all liabilities and assets are totaled and deducted from each other.

Sample Balance Sheet for a Startup Insurance Agency

Cash flow statement.

Include a cash flow statement showing how much cash comes in, how much cash goes out and a net cash flow for each year. The cash flow statement should include:

  • Cash Flow From Operations
  • Cash Flow From Investments
  • Cash Flow From Financing

Below is a sample of a projected cash flow statement for a startup insurance agency .

Sample Cash Flow Statement for a Startup Insurance Agency

You will also want to include an appendix section which will include:

  • Your complete financial projections
  • A complete list of your company’s business policies and procedures related to the rest of the business plan (marketing, operations, etc.)
  • Any other documentation which supports what you included in the body of your business plan.

Writing a good business plan gives you the advantage of being fully prepared to launch and/or grow your insurance agency . It not only outlines your business vision, but also provides a step-by-step process of how you are going to accomplish it. All in all, a business plan is a key to the success of any business.  

Finish Your Insurance Agency Business Plan in 1 Day!

Insurance Agency Business Plan Guide + Free Example

sample business plan for an insurance agency

July 6, 2023

Adam Hoeksema

The insurance agency industry offers substantial potential for growth and success. While some may perceive managing an insurance agency as a simple task, involving only policy sales and customer interactions, it actually requires careful planning and precise execution to thrive. Therefore, having a well-structured business plan is crucial for achieving success in this industry.

Our primary expertise lies in creating insurance agency financial projections . However, we understand that some of our clients seek comprehensive business plans. That's why we've taken the initiative to delve into this topic and cover the following aspects in our comprehensive insurance agency business plan guide and sample plan: 

Why write a business plan for an insurance agency?

What to include in an insurance agency business plan, insurance agency business plan outline, what type of insurance agency to start, how to analyze the competition for an insurance agency, how to create financial projections for an insurance agency, example insurance agency business plan, insurance agency business plan faqs.

Creating a well-structured business plan is crucial for insurance agency owners seeking financial support from investors, banks, or financial institutions. This plan should encompass a comprehensive evaluation of the insurance market, a clear and strategic approach, and a thoughtful assessment of potential risks and rewards. By showcasing your in-depth understanding of the insurance industry, your growth strategies, and your capability to navigate challenges, a robust business plan increases the likelihood of attracting the necessary funding for your insurance agency venture.

An insurance agency business plan should present persuasive reasons why clients will choose your agency's services, demonstrate why you or your team are the ideal operators for the insurance agency, and provide a robust financial projection to assure potential investors and lenders of the investment's viability. Below is a comprehensive outline of our complimentary insurance agency business plan template.

We suggest the following sections for your Insurance Agency business plan:

Executive Summary

Company Description

Market Analysis

Product and Service Offerings

Marketing Plan & Customer Acquisition

Operating Plan

Financial Plan

Choosing the right type of insurance agency will depend on your interests, expertise, and the market demand in your area. Here are some common types of insurance agencies you could consider starting:

General Insurance Agency:

A general insurance agency deals with a wide range of insurance products, including auto insurance, home insurance, business insurance, liability insurance, and more. This type of agency offers a diverse portfolio of insurance products to cater to a broad customer base.

Specialized Insurance Agency:

Instead of offering a wide range of insurance products, you can focus on a specific niche or industry. For example, you could start a health insurance agency, life insurance agency, or a commercial property insurance agency. Specializing can allow you to become an expert in a particular area and build strong relationships with clients in that niche.

Independent Insurance Agency:

Independent agencies work with multiple insurance carriers, giving them the flexibility to offer a variety of insurance products from different companies. This model allows you to compare coverage options and find the best policies for your clients' needs.

Captive Insurance Agency:

A captive agency represents a single insurance company and sells only that company's policies. While you have less flexibility in terms of product offerings, captive agencies often benefit from the support and training provided by the parent insurance company.

Online Insurance Agency:

With the rise of digital technology, you could consider starting an online insurance agency. This model allows you to reach a broader audience and provide insurance services through a website or app. It can be a cost-effective way to start and operate an agency.

Insurance Brokerage Firm:

Instead of focusing on selling insurance policies directly to clients, you could start an insurance brokerage firm. As a broker, you would act as an intermediary between clients and insurance companies, helping clients find the best coverage at competitive rates.

Before deciding on the type of insurance agency to start, conduct thorough market research to assess the demand for different types of insurance in your area. Also, consider your own skills, knowledge, and passion for specific insurance sectors. Having a clear understanding of your target market and your own expertise will guide you in making the right decision for your insurance agency. Additionally, make sure to comply with all legal and licensing requirements for insurance agencies in your region.

When it comes to analyzing the competition in the insurance agency industry, there are a few valuable tools you can use, with one of the most useful being Ahrefs.

Ahrefs is a powerful SEO tool that enables you to research and dissect your competitor insurance agencies' online presence. By inputting a competitor's website into Ahrefs, you can gain valuable insights into their organic traffic and the specific keywords responsible for driving that traffic.  For example, in Indianapolis we can see that Carson Insurance Agency is receiving roughly 100 monthly visitors from organic traffic.  

sample business plan for an insurance agency

The tool provides valuable data on your competitor's organic traffic and highlights the keywords that are leading visitors to their website.

sample business plan for an insurance agency

By understanding the keywords and SEO strategies employed by your insurance agency competitors, you can tailor your content and marketing strategies to effectively compete in the same areas or identify niche segments that may be underserved. This knowledge can help enhance your insurance agency's online visibility, attract more customers through search engines, and position your business for success in the competitive insurance industry.

SWOT Analysis: While not a digital tool SWOT analysis can be incredibly helpful in analyzing competition. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. By comparing these aspects between your agency and your competitors, you can identify areas where you might have a competitive edge or areas where you need to improve. Many business websites and educational institutions offer free SWOT analysis templates and guides that can be easily adapted for an insurance agency.

In the insurance agency industry, financial projections are influenced by distinct factors such as client acquisition rates, policy pricing, seasonal demand, and operational expenses. Using an insurance agency financial projection template can simplify the process and boost your confidence. However, accurate financial projections serve a greater purpose than just showcasing revenue potential; they paint a clear picture of the path to profitability and the achievement of your insurance business goals. By considering these crucial elements, you can create a solid financial plan that guides your agency towards success and ensures the realization of your objectives.

To create precise projections, follow these key steps:

Estimate startup costs for your insurance agency, including office space, technology infrastructure, licensing and certifications, marketing, and initial staff training.

Forecast revenue based on projected client acquisition rates, average policy premiums, and potential growth in your customer base.

Project ongoing operational costs , such as staff salaries, rent, technology maintenance, marketing expenses, and administrative overhead.

Estimate costs related to providing insurance policies and services, such as commission payouts to agents, underwriting expenses, and claims management.

Calculate the capital needed to launch and sustain your insurance agency, covering initial expenses and providing working capital for continued growth.

While financial projections are essential for your insurance agency's business plan, seek guidance from experienced professionals in the insurance industry. Adapt your projections based on real-world insights, leverage industry resources, and stay informed about insurance market trends and evolving customer preferences to ensure your financial plan aligns with your goals and positions your insurance agency for long-term success.

Explore our comprehensive Insurance Agency Business Plan below. For your convenience, a downloadable Google Doc version of this insurance agency business plan template is available, allowing you to personalize and tailor it to your specific needs. Additionally, a helpful video walkthrough is provided, guiding you through the process of customizing the business plan to perfectly align with your unique insurance agency concept.

Table of Contents

1. executive summary.

1.1 Organization Overview

1.2. Objectives

1.3. Mission Statement

2. Organization Description

2.1. Organization History

2.2. Legal Structure

2.3. Unique Value Proposition

2.4. Target Beneficiaries

3. Market Analysis

3.1. industry overview.

3.2. Collaborator and Competitor Identification

3.3. Target Beneficiaries

Key Point  1

4. Marketing and Fundraising

4.1. Strategic Plan

4.2. Program or Service Offerings:

4.4. Distribution Channels

4.5. Promotions and Fundraising

Key Point  2

5. Organizational Structure and Management

5.1. Organization’s Facility & Location

5.2. Staffing Plan and Volunteer Management

5.3. Governance, Financial Management, and Accountability

Key Point  3

6. financial plan.

6.1. Startup Costs

6.3. Expense Projections

6.4. profit and loss statement, 6.5. cash flow projections, 6.6. break-even analysis, 7. appendix.

7.1. Supporting Documents

7.2. Glossary of Term

7.3. References and Resources

Key Point  5

 1.1. company overview.

Briefly introduce the company's background, products or services, and target market.

      -  Example: SecureRide Auto Insurance Agency is a leading provider of auto insurance solutions in Atlanta, Georgia. We specialize in offering comprehensive coverage options tailored to meet the unique needs of drivers in the area.

   1.2. Objectives

Outlines the company's short-term and long-term goals.

        - Example: Establish SecureRide as the go-to auto insurance agency in Atlanta, capturing a significant market share and achieving a 40% increase in policyholders within the first year. 

        - Example: Long-term: Expand our presence in Georgia and neighboring states while maintaining a high level of customer satisfaction.

  1.3. Mission Statement

 Describes the company's purpose and core values.

        - Example: At SecureRide, our mission is to provide reliable and affordable auto insurance coverage to drivers in Atlanta. We are committed to ensuring our customers have the peace of mind they deserve on the road by delivering exceptional service and tailored insurance solutions.

  1.4. Keys to Success

Highlights the factors that will contribute to the company's growth and success.

        - Example: Delivering competitive pricing and flexible coverage options tailored to our customer's needs. We prioritize superior customer service, ensuring responsiveness, transparency, and personalized support

2. Company Description

   2.1. company history.

Provides context on the company's background and founding story.

        - Example: SecureRide Auto Insurance Agency was established by Mark and Emily Roberts, who have a combined experience of over 20 years in the insurance industry. Mark brings expertise in risk assessment and underwriting, while Emily has a strong background in sales and customer relations.

   2.2. Legal Structure

 Describes the company's legal structure (e.g., sole proprietorship, partnership, LLC, corporation).

        - Example: SecureRide Auto Insurance Agency operates as a limited liability corporation (LLC)

 2.3. Unique Selling Proposition

  Emphasizes the company's competitive advantage or unique offerings.

        - Example: SecureRide sets itself apart by offering customizable auto insurance coverage tailored to each client's specific needs. Our advanced technology allows for quick and accurate quotes, efficient claims processing, and a seamless customer experience.

  2.4. Target Market

Defines the company's ideal customer base.

        - Example: Focuses on serving the residents of Atlanta, Georgia, and its surrounding areas. Our primary target market includes drivers of all ages and backgrounds who seek reliable, affordable, and comprehensive auto insurance coverage.

  Presents a general overview of the industry, its trends, and growth potential.

        - Example: The auto insurance industry in Atlanta, Georgia, is a thriving and competitive market, driven by the high number of vehicles on the road and the state's insurance requirements. With a growing population and an increasing emphasis on vehicle safety, the demand for reliable auto insurance coverage is expected to continue rising.

3.2. Competitor Analysis

 Evaluates the company's direct and indirect competitors, as well as their strengths and weaknesses.

        - Example: Direct competitors: Atlanta Auto Insurance Company: A national insurance company with a branch in Atlanta, providing a wide range of auto insurance policies. 

        - Example: Indirect competitors:  EasyInsure Online: An online insurance platform that allows customers to compare and purchase auto insurance policies from various providers. 

3.3. Target Market Analysis

Explores the company's target customers, their demographics, preferences, and pain points.

        - Example: SecureRide’s target market in Atlanta, Georgia consists of young professionals, families and homeowners, commuters and business professionals, high-value vehicle owners, and retirees and seniors. 

3.4. Market Opportunities

Identifies potential opportunities for the company to grow within the market.

        - Example: SecureRide can seize market opportunities by leveraging digital marketing strategies to reach a broader audience, offering innovative coverage options such as usage-based insurance, and establishing partnerships with local car dealerships and auto repair shops. 

sample business plan for an insurance agency

  • Example 1: Conduct a survey among Atlanta residents to assess their knowledge of auto insurance providers and their satisfaction with existing options. This will help identify gaps in the market and potential opportunities for SecureRide. (e.g., 65% of surveyed residents are unaware of any specialized auto insurance agencies in Atlanta, indicating a potential market niche)
  • Example 2: Analyze the market share and customer satisfaction ratings of established auto insurance companies in Atlanta to understand the competitive landscape and areas for differentiation. (e.g., Company X holds a 30% market share but receives consistently low customer ratings for claims handling, suggesting an opportunity for SecureRide to excel in customer service)
  • Example 3: Keyword search volume to see growth in demand or specific types of boutique insurance needs

4. Marketing and Sales Strategy

4.1. product or service offerings: .

Describes the company's products or services in detail.

        - Example: SecureRide offers a comprehensive range of auto insurance coverage options, including liability insurance, collision coverage, comprehensive coverage, uninsured/underinsured motorist coverage, and additional specialized coverage for high-value vehicles or specific driver profiles.

4.2. Pricing Strategy

 Outlines the company's approach to pricing its products or services.

        - Example: SecureRide adopts a competitive pricing strategy based on market analysis, offering affordable premiums and flexible payment options to ensure accessibility and value for customers.

4.3. Sales Strategy

  Explains how the company plans to generate sales and build

customer relationships.

        - Example: SecureRide will leverage a multi-channel sales approach, utilizing a combination of online platforms, direct sales efforts, and strategic partnerships with car dealerships and automotive service providers.

 Describes the methods through which the company will deliver its products or services to customers.

        - Example: SecureRide primarily operates through its physical office location in Atlanta, Georgia. Additionally, the company will have an online presence through a user-friendly website and mobile app allowing customers to conveniently access information, request quotes, and manage their policies.

4.5. Promotions and Advertising

 Details the company's promotional efforts and advertising strategies.

        - Example: SecureRide will implement targeted digital advertising campaigns, including search engine marketing, social media advertising, and online display ads, to increase brand visibility and attract potential customers.

sample business plan for an insurance agency

  • Example 1: Develop partnerships with local car dealerships and auto repair shops to offer exclusive discounts on insurance policies to their customers. This can generate initial traction and referrals. (e.g., SecureRide establishes partnerships with three prominent car dealerships, resulting in 50 policy sales within the first month)
  • Example 2: Launch a targeted digital marketing campaign that emphasizes SecureRide's competitive rates, personalized customer service, and quick claims processing. This can attract potential customers seeking a more customer-centric auto insurance experience. (e.g., The campaign generates 500 leads and converts 20% of them into policyholders within the first quarter)
  • Example 3: Build a social following or Youtube channel that simplifies auto insurance for everyday people that can serve as a possible customer base when the business launches.

5. Operations and Management

5.1. facility location and layout.

 Specify the agency’s physical business location and refers to the internal arrangement and organization of the space.

        - Example: SecureRide is strategically located in a prime area of Atlanta, Georgia, ensuring easy accessibility for clients and proximity to major transportation routes. The facility is designed with a customer-centric approach, providing a welcoming reception area, private consultation rooms, and a well-organized layout that promotes efficient workflow and privacy for sensitive discussions

5.2. Staffing and Expertise: 

Ensures the agency can effectively serve its clients and provide comprehensive insurance solutions.

        - Example: SecureRide has a team of experienced insurance professionals who possess in-depth knowledge of the auto insurance industry, including underwriting, claims processing, risk assessment, and customer service. 

5.3. Customer Service:

 Involves the process of providing support to policyholders and potential customers throughout their insurance journey.

        - Example: Customer satisfaction and retention are key objectives for SecureRide. The agency strives to deliver personalized assistance to clients, addressing their insurance needs, offering guidance in policy selection, and providing prompt and efficient claims assistance. 

sample business plan for an insurance agency

  • Example: SecureRide's founding team brings a wealth of industry experience, ensuring a deep understanding of the auto insurance landscape and customer needs. For example, Mark Roberts, the CEO, has over 15 years of experience in the insurance industry, specializing in auto insurance. Sarah Roberts, the COO, has a background in risk management and claims handling, ensuring efficient operations and superior customer service.

5.4. Technology and Systems:

Refers to the utilization of advanced technological tools, software systems, and digital platforms .

        - Example: SecureRide leverages advanced insurance management systems and technology solutions to streamline operations, enhance efficiency, and improve customer experience. These systems enable seamless policy management, online quoting and applications, secure data storage, claims processing, and effective communication with clients. 

All of the unique Insurance Agency projections you see here were generated using ProjectionHub’s Insurance Agency Facility Financial Projection Template . Use PH20BP to enjoy a 20% discount on the template. 

   6.1. Startup Costs

  Provide a detailed breakdown of the total startup costs requirements, and where you plan for those funds to come from. You will also want to breakdown how the startup costs will be used including working capital to cover losses before the business breaks even.

        - Example: Creating a solid financial plan is crucial, and we are taking the necessary steps to ensure the success of SecureRide. We estimate needing around $190,000 to cover our startup costs as well as cover losses until we become cash flow positive. $90,000 will come from personal investment & a small equity investment from another partner, and then we are seeking a $100,000 business loan.

sample business plan for an insurance agency

6.2. Revenue Projections

Provides an estimate of the company's future revenue based on market research and assumptions.

        - Example:  SecureRide projects $359,000 in revenue in the first year. The company anticipates steady growth in revenue over the initial five-year period.

sample business plan for an insurance agency

 Estimates the company's future expenses, including fixed and variable costs.

        - Example: SecureRide's expenses include property lease, accounting, advertising, commissions, utilities, and software costs.

sample business plan for an insurance agency

Summarizes the company's revenue, expenses, and net income over a specific period.

        - Example: SecureRide’s expects to achieve profitability within the first few years of operation.

sample business plan for an insurance agency

 Outlines the company's projected cash inflows and outflows.

        - Example: SecureRide cash flow projections account for fluctuations & onboarding additional agents.

sample business plan for an insurance agency

  Determines the point at which the company's revenue equals its expenses.

        - Example: SecureRide anticipates reaching its break-even point in year 3 but the industry is very low margin.

sample business plan for an insurance agency

Watch how to create financial projections for your Insurance Agency

sample business plan for an insurance agency

Key Point  4 

sample business plan for an insurance agency

  • Example 1: Benchmark SecureRide's projected premium rates against industry averages and adjust accordingly to remain competitive while ensuring profitability. (e.g., SecureRide's projected average premium rate aligns with the industry average, indicating a realistic pricing strategy)
  • Example 2: Conduct a thorough analysis of loss ratios and claim settlement ratios in the auto insurance industry to estimate SecureRide's potential expenses for claims payouts. (e.g., SecureRide projects a 70% claim settlement ratio, based on industry benchmarks, to ensure adequate reserves for potential claims)
  • Example 3: Evaluate potential risks and their financial implications, such as increased competition, supply chain disruptions, or changing market conditions. (e.g., A 5% increase in the price of coffee beans could lead to a 2% decrease in CozyCorner's net profit margin)

   7.1. Supporting Documents

 Includes any relevant documentation that supports the information presented in the business plan, such as resumes, financial projections, market research data, and permits or licenses.

   7.2. Glossary of Term

 Provides definitions for industry-specific terms used throughout the business plan to ensure reader comprehension.

   7.3. References and Resources

Lists any sources or resources referenced during the preparation of the business plan, including industry reports, market research data, and relevant publications.

sample business plan for an insurance agency

  • Example: SecureRide's founders demonstrate their commitment to the business by investing a significant portion of their personal funds into the company's initial capital. They are also willing to personally guarantee loans and secure necessary insurance licenses and certifications, showcasing their dedication and belief in SecureRide's success.

How do I start an insurance agency?

To start an insurance agency, you'll need to obtain the necessary licenses and certifications, develop relationships with insurance carriers, determine your target market and insurance specialties, establish an office or online presence, create a marketing strategy, and hire and train staff.

How can I attract clients to my insurance agency?

To attract clients, develop a strong online presence and professional website, network with other professionals and businesses in related industries, offer valuable content through blog posts or educational resources, utilize social media platforms, and provide exceptional customer service.

What types of insurance should my agency offer?

The types of insurance your agency should offer may vary based on your target market and expertise. Consider offering common insurance lines such as auto, home, life, health, business, and specialty coverages based on the specific needs of your clients.

How can I stay updated with the latest insurance trends and regulations?

Stay updated with the latest insurance trends and regulations by joining industry associations, attending relevant conferences or seminars, participating in continuing education programs, subscribing to industry publications, and actively engaging with insurance carriers and professional networks.

How can I build trust and credibility as an insurance agency?

Build trust and credibility by providing transparent and reliable insurance information, maintaining strong relationships with reputable insurance carriers, offering personalized coverage recommendations, being responsive to client needs and inquiries, and being actively involved in the community you serve.

About the Author

Adam is the Co-founder of ProjectionHub which helps entrepreneurs create financial projections for potential investors, lenders and internal business planning. Since 2012, over 50,000 entrepreneurs from around the world have used ProjectionHub to help create financial projections.

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Article Index:

2.0 Company Description

3.0 products, 4.0 market analysis, 5.0 marketing strategy and implementation, 6.0 organization and management, 7.0 financial plan, 1.0 executive summary.

Convenient Insurance will be the newest and brightest independent insurance agency to The Woodlands, (Northern Houston), Texas. The owners Greg and Maria Bell have a combined 20 years experience and previously operated a captive insurance agency in downtown Houston. Desiring to offer a broader depth of products to better serve their clients’ needs, the Bells have closed their Houston office and are opening a new office closer to their home and neighbors in the master planned community known as the Woodlands. The Bells came up with the name Convenient Insurance – not just because of its location closer to their home, but also because this independent agency will offer convenience unparalleled to even the closest competitors. Convenient Insurance can meet client’s insurance needs at their home, place of business, or online. And with the latest technology available, customers can utilize the latest apps to setup reminders, make payments or view policies. Convenient Insurance is a member of The Independent Insurance Agents of Texas (“IIAT”) a proud member of the Trusted Choice Insurance Carriers. This affiliation with over 100 carriers covers virtually any and every life situation and life stage.

What really sets Convenient Insurance apart from its competitors are its people. The owners, Greg and Maria Bell are both Certified Financial Planners (“CFPs”). This designation is a professional certification mark for financial planners. CFP candidates must meet education, examination, experience, and ethics requirements. At Convenient Insurance, all customers will be required to take a needs based test to determine what, if any, insurance products are needed. Customers can rest assured that they will purchase only products that truly meet their needs and are legitimately warranted.

1.1 Business Objectives

Convenient Insurance believes that in order to provide the broadest (and best!) selection of insurance services the company must continue to grow. In order to grow the business, Convenient Insurance must meet the following objectives:

  • Increase revenues 10% annually – thus capturing market share
  • Attain direct appointments (explained in Section 3.3) by Year 4 – thus reducing annual expense. Reduced expenses in turn can allow for increased cash flow.

1.2 Mission Statement

Convenience Insurance wants to raise the bar in the insurance industry by providing excellence and the utilizing the highest principles and standards to every aspect of the business. Convenient Insurance wants to empower its clients, employees and community and urge them to employ these practices as well. Because when we all do our personal best, the payoff is always a win/win.

1.1 Guiding Principles

Convenient Insurance believes in honesty, integrity and transparency in an industry that is not known for these merits. Convenient Insurance believes:

  • Honesty is the best policy. Convenient Insurance agents / staff will operate in a fair and equitable manner. For example, if a family that recently had a baby came into the office and wanted to buy that “new college savings account for baby which is also a life insurance policy”, Convenient Insurance would not sell this product because other products are much more cost efficient and specifically designed for saving for college. A life insurance policy is a life insurance policy. Period.
  • Always be Consistent. Most agents chant the mantra “ABC” short for “Always Be Closing”. At Convenient Insurance, they believe in “Always Be Consistent”. Consistency in life is a good habit and one Convenient Insurance believes in. Consistency at Convenient Insurance means that each person/business is treated individually, with the greatest attention to detail. A satisfied customer is a happy person and in turn makes this world a little bit better place. (Also a happy customer will hopefully generate annual repeat business and referrals).
  • A commitment to people. Without Convenient Insurance’s staff – well there is no Convenient Insurance. Convenient Insurance will work closely to hand select its team. All members will receive ongoing education which not only benefits the business but helps them grow as individuals as well. Convenient Insurance believes this holds true with its customers, vendors, and its community and Convenient Insurance will be just as passionate and committed to them as well.

1.2 Keys to Success

Everyone is familiar with the Golden Rule: Treat others how you would want to be treated. At Convenient Insurance, they take this one step further – – Treat others better than you would treat yourself! Convenient Insurance wants to be known as the agency of choice, with a vast selection of products designed to meet every need, delivered by trained professionals, selling only need-based products, in a technologically savvy environment. In order to accomplish these, Convenient Insurance believes the following are the Keys to Success:

  • Committed to its clients. By keeping a membership/affiliation with Trusted Choice, by providing professional service, keeping a great credit rating, and by meeting/exceeding the annual hurdles required to continue to keep the Trusted Choice affiliation. The 100+ carriers provide options to meet every client insurance needs.
  • A commitment to its staff. Convenient Insurance will offer continuing education classes beginning in month 6 and continuing semi-annually to all employees. Providing tools and training ensures employees are knowledgeable and promotes personal and professional best.
  • Investment in technology. Today’s insurance agencies rely more and more on cutting edge technology to meet all their servicing requirements and eliminate human error and / or paper waste. Convenient Insurance is committed to keeping current with technology and has an ongoing technology expense line item built into its budget.

Convenient Insurance (“Convenient Insurance”) is a local independent insurance agency specializing in personal and commercial insurance offerings. Convenient Insurance gets to know their clients based on the details the clients are willing to share so then Convenient Insurance can offer target insurance coverages that fit their specific needs. Convenient Insurance is dedicated to creating strong relationships with its customers, insurance carriers, and employees. As an independent agent, Convenient Insurance can partner with the best insurance carriers and provide more than one option. Convenient Insurance can tailor a program to fit client’s needs by placing them with one insurance carrier that covers all their needs, or place coverage with separate carriers. It’s all about options.

Convenient Insurance will be conveniently located in The Woodlands, Texas, in suburban north Houston along the I-45 corridor. Convenient Insurance clients will have the option to select from ‘big city’ insurance options without the hassles associated with driving to downtown Houston. The Texas economy is robust and the local Woodlands market rife with new businesses, established businesses, strong demographics, and an excellent local target market with unmet insurance needs.

2.1 Ownership

Greg and Maria Bell, husband and wife team, bring a combined 20+ years experience to the business. Greg, a graduate of UT, began his career at Mutual of Texas, where he first worked as a claims analyst at the call center in Dallas, moving into the Plan Administration Department then out in the field, selling health insurance, disability, dental and vision insurance to local businesses. At the end of his first year selling, he was recognized as the top salesman for the Southwest region. Greg continued his successful sales career and opened a Mutual of Texas (captive office) in 2010. Greg closed this office in 2011 because of the limited offerings and began steps required to open an independent agency.

Maria Bell, a graduate of Texas A&M, was a top producer for State Barn, selling home, life and auto for over twelve years.

Both Greg and Maria are designated (“CFP”) Certified Financial Planners. This designation is a professional certification mark for financial planners conferred by the Certified Financial Planner Board of Standards. CFP candidates must meet education, examination, experience and ethics requirements, and pay an ongoing certification fee. The owners of Convenient Insurance are excited to have this designation and know this standard of excellence will set them apart from their traditional insurance competitors.

Together, the couple has a vast network in the greater Houston area, and realized that over time, as independents, they could provide a greater selection of offerings to their customers better meet their needs.

2.2 Legal Form

Convenient Insurance will be organized as a Limited Liability Company (LLC) formed in the State of Texas. Convenient Insurance chose this type of entity because they will have the legal protection of a corporation, but can enjoy the lower tax treatment as if they were in a partnership.

2.3 Start-Up Summary

Prior to opening the doors of Convenient Insurance for business the Bells had several tasks to accomplish – many of these Milestones will be addressed later in this business plan.

  • Legal costs: Initially, the company had to file for LLC status with the State of Texas and obtain their Tax ID number.
  • Convenient Insurance is a member of the Independent Insurance Agents of Texas (“IIAT”). As members, now are affiliated with the coveted “Trusted Choice” logo (stamp of approval) and partnerships with over 100 insurance carriers nationwide.
  • Licenses: Convenient Insurance had to obtain State of Texas business license plus their Insurance Agency License.
  • Purchased Insurance: surety bond ($300) and Errors and Omissions (“E&O”) coverage ($3,000).
  • Purchased agency management software. The software has a cost of $4,000 (for start-up agencies) and monthly fees of $250. This system will allow for digital entries and avoid costly duplication / moving paper. This startup expense is by far one of the most crucial in this line of business.
  • Rent and security deposit.

Pior to opening for business, Convenient Insurance must still do the following:

  • Purchase Office computers, printers, file servers
  • Purchase Office Furniture
  • Meet Staffing Requirements: – Hire Administrative Personnel and Sales Associates
  • Provide Continuing Education
  • Convenient Insurance will also have working capital requirements as well as operating expenses and overhead

Over the last two months, the owners have come out of pocket approximately $50,000 covering the sunk costs associated with establishing an office. The owners are currently seeking lender financing to provide the remainder of funding required to start the business.

The owners are requesting two credit facilities: a $100,000 commercial term loan to cover costs associated with purchasing furnishings, computers and costs associated with building the initial book of business. The estimated costs are $140,000 and the loan will be fully collateralized by all UCC filings on furniture, fixtures and assets. The owners are requesting a 5 year fully amortizing loan.

The second credit facility will be utilized to meet liquidity and operating capital needs. This $17,300 note will be secured by UCC filing on all assets and receivables. The loan will have a 3 year term and will be fully amortizing.

The owners will personally guaranty each business loan.

2.4 Location and Facilities

Convenient Insurance’s office is located near the heart of the thriving master-planned community of The Woodlands, Texas. The office is only minutes away from the following: The Woodlands Mall, Town Center, Research Forest, Cynthia Woods Mitchell Pavilion and the Woodlands Resort and Conference Center.

3.1 Products/Services Descriptions

Convenient Insurance will offer the following lines:

Personal Insurance:

  • Home Insurance
  • Primary Residence
  • Rental Dwelling
  • Vacation Homes
  • Condo Insurance
  • Flood Insurance
  • Umbrella Insurance

Auto Insurance

  • Personal Auto
  • Off Road Vehicle Insurance
  • Watercraft Insurance
  • Recreational Vehicle Insurance
  • Travel Trailer Insurance

Business Insurance

  • Property Liability
  • General Liability
  • Inland Marine
  • Workers Compensation Insurance
  • Commercial Vehicle Insurance
  • Commercial Flood
  • Self Storage

Health and Life Insurance

  • Individual Health
  • Medical Insurance
  • Medicare Advantage
  • Long Term Care
  • Life Insurance

3.2 Competitive Comparison

The local $4.7 million market is comprised primarily of captive agencies. These agencies can directly compete with Convenient Insurance based on the public’s perception and known name recognition. The majority of these agencies are limited to selling only products and services provided by their captive agency.

For the detailed competitive findings please refer to Section 4.1.3 of this business plan.

3.3 Product/Service Sourcing

In the independent insurance business, there are three conduits to secure product offerings:

  • Direct Appointment
  • Indirect Markets (Wholesalers / Managing General Agencies (“MGA”)
  • Market Aggregators

Following is a brief description of each:

Direct Appointments Market commitments that come directly to the agency are known as Direct Appointments. These types of commitments are hard to come by for start-ups and are usually reserved for established agencies with a minimum 3 year track record. Because they come directly to the agency, they represent the lowest overhead and are the most desirable.

Indirect Markets These marketers represent the middle ground. Managing general agents and wholesalers are receptive to working with new agents and have little or no volume commitments. Indirect markets are typically compensated per transaction through policy fees which in turn are passed on to the customer.

Market Aggregators Market aggregators provide assistance to new agents in setting up their first agency office, access to otherwise unattainable markets and niche programs, and provide a chance to share in the profitability. However, aggregators are costly and in return, these networks usually ask agents to pay a percentage of commission, a membership fee, or require them to give up a small stake in the value of the book of business built up through the aggregator.

Convenient Insurance with its IIAT membership will initially rely on IIAT approved Wholesalers and MGAs. By Year Four, Convenient Insurance believes that they will have an established book of business, and a solid track record, making them an ideal candidate for direct appointments.

3.4 Inventory Management

The following is a partial listing of Trusted Choice carriers which Convenient Insurance will be utilizing for its clients:

  • Allied Insurance
  • The Bacon Mutual Insurance Co.
  • Franlin Mutual Insurance
  • The Artford
  • MatLife Auto & Home

3.5 Warehousing and Fulfillment

3.6 future products/services.

By Year Four Convenient Insurance plans to be setup exclusively for direct appointment, which will substantially reduce overhead and provide customers with even more competitive insurance options.

Sheboygan County’s cost of living is lower than the national average and housing costs are much lower than the national average. At the same time, Sheboygan County personal income is greater than the national average. In other words, this community not only has a high demand for organic items, but it can afford them as well.

4.1 Industry Analysis

The US insurance agencies and brokerages industry includes about 135,000 establishments (single-location companies and branches of multi-location companies) with annual revenue of about $100 billion. Large companies include Marsh, Aon, Arthur J Gallagher, and Brown & Brown. Despite the prominence of large companies in the commercial segment, the industry remains highly fragmented: the largest 50 firms only hold 25%of the total market. Many companies that primarily offer insurance products to businesses function mainly as brokers. Captive agencies operate as a sales agent for a single insurer, working on its behalf; independent brokers sell products from several providers.

Demand is related to consumer income and commercial business activity. When the economy grows, so does the demand for personal and business insurance. When the economy contracts, as it did in the late 2000s, demand for insurance falls.

The profitability of individual agencies depends on effective marketing, client referrals, and customer service. Large agencies have advantages in name recognition and connections. First Research

The property/casualty industry remains strongly capitalized, although the events of the past year show that shock events can put some companies – even those considered reasonably strong – off balance overnight. The personal lines sector continues to benefit from improved pricing in 2011, helping it to overcome earlier years of declining premiums. While A.M. Best has maintained its stable rating outlook for the personal lines segment; the rating outlook remains negative for commercial lines insurers given ongoing underwriting pressures and weak economic influences.

  • Life insurers are facing the continued challenge of the low interest rate environment, putting pressure on assets and interest-linked products. A.M. Best’s rating outlook was reaffirmed at stable.
  • Health insurers continue to adapt to economic and regulatory conditions and as such, the rating outlook was recently revised to stable. However, A.M. Best is maintaining a negative view on smaller, more specialized companies operating in individual and small-group health insurance. Over the past year, the overall sector appears to have handled these challenges well—implementing the early requirements from Patient Protection and Affordable Care Act (PPACA), which included numerous benefit changes, as well as the minimum medical loss ratio (MLR) and rate-review process requirements, both of which took effect in 2011. Also, operating earnings have remained favorable for a second year, largely due to a trend of broad-based moderation in utilization. While the industry expected margins to compress, results continued to be favorable for most carriers through late 2011. A.M. Best Company’s 2012 Review and Preview Report

4.1.1 Market Size

The local market is comprised of eight agencies generating $4.7 million annually in revenues. Convenient Insurance’s goal is to capture 2.3% of this market or $110,200 by the of Year 1.

4.1.2 Industry Participants

Competing for Convenient Insurance’s business are other independent agents, and captive agents offering their particular ‘brand’ of products and services (examples are Fall State and State Barn). At an increasing rate, more insurance carriers are enticing newer clients over the web and with new apps – even eliminating the need for traditional behind the desk appointments. These internet based insurance carriers can pose the largest threat to Convenient Insurance if they do meet or keep pace with the technology requirements. Likewise if Convenient Insurance can keep up the pace, the market potential is limitless.

4.1.3 Main Competitors

A recent analysis revealed eight insurance agencies or a $4.7 million market as classified under the NAICS (North American Industry Classification System) code 524210 – Insurance Agencies and Brokerages and SIC code (Standard Industry Classification) 6411001 Insurance Agents, Brokers & Service – within a 5 mile radius of the subject. The eight are listed below in the following chart:

Four of the top eight agencies account for 81% of the market; they are identified (below) for competitive purposes:

Leaf Agency 17 Interstate 45 S Ste 220 Based in College Station, Texas, Leaf Insurance Agency has been operating as an independent agency for 20+ years. This Woodlands office represents 29% of the market, has 11 employees and reported annual revenues in excess of $1.3 million in 2011. The multi line carrier has a good credit rating and offers home and auto policies. Catering primarily to Texas A&M students and alumni, Convenient Insurance plans to partner with this business and offer complementing services to meet life and health needs to these clients.

Temple Insurance Agency 27 Interstate 45 N This multi line agency with $1.1 million in annual revenues in 2011 represents 24% of the target market. The agency has 9 employees, good credit and has been operating since 1986. The agency is a member of Professional Insurance Agents (‘PIA’). Convenient Insurance will target these customers by relying on its affiliation with Trusted Choice, whose product and service offerings are substantially greater than that of PIA. The company’s website is dated and perhaps attention has been lax in providing the most current insurance offerings as well. Also many long time customers may be unaware of current offerings or their needs may have changed since initial underwriting. Part of Convenient Insurance’s marketing blitz campaign will be targeting these customers and offering a complimentary needs test.

Motorcycle Agency 271 Blueberry Hill Dr Ste 31 This insurance agency caters specifically to motorcycles and competes primarily with Gecko, Regressive, and Fall State. Considered an indirect competitor, Convenient Insurance plans to piggyback off this $875,000 agency by offering complementing products such life and health, and homeowners insurance to these clients.

John Smith Fall State Agent 19 Interstate 45 S Ste 270 This captive agency represents $500,000 or 10% of the local market. The Fall State Agency has 4 employees and excellent credit. Convenient Insurance plans to market to this audience by providing a more diversified selection of offerings.

4.1.4 Market Segments

The chart below identities the largest demographics in the target market:

Source: Business Decision Center

The following is a brief description of the target market demographic profile:

Aspiring Young Families: The median age for this demographic is 30.5 years. The median household income is $52,000. Approximately 60% of this demographic are employed in professional, office management or administrative positions. 58% percent have attended college. 51% of these individuals rent while comparatively 47% own their own homes. This age group spends the majority of their discretionary income on baby products, children’s toys, and home furnishings.

The Young and the Restless Approximately 2/3 of this age group are under the age of 35. 56% of this age group are single. The median household income is $46,000. Although this income is below the US median income, only 23% of this demographic have children giving them more disposable income. 69% of this community is in the workforce with 73% in this category are women. The young and the restless are busy pursuing their careers and are technologically savvy. They go online to shop, bank, look for jobs and communicate with friends. Purchasing new cars takes precedence.

Exurbanites Approximately 40% of this demographic group are empty nesters. Half of this group is between the ages of 45-54. The median household income for this age group is $84,000. Because of their life stage, Exurbanites focus on their financial investments. They consult with financial planners regarding their IRA’s. They are interested in long term care and life insurance policies.

Local businesses In Convenient Insurance’s building alone are over 30 tenants, each with varying insurance needs and opportunities.

4.2 Market Tests

Although the target market has independent agencies, the product offerings pale in comparison to the robust offerings and services the Convenient Insurance agency will have. With its affiliation with Trusted Choice, Convenient Insurance has access to 100 carriers compared to their contemporaries with only 50 offerings.

Further by piggybacking off their counterparts, Convenient Insurance will fill unmet needs their counterparts cannot offer. Greg and Maria Bell are currently working with two of their competitors to partner with them for reciprocal sales. The details are being discussed and Convenient Insurance plans to directly market with these businesses when their agency opens for business later this year.

4.3.1 Market Needs

Aspiring Young Families Young families have varying insurance needs, from life insurance policies, homeowners / renters insurance and auto insurance. All prospects will be required to complete a complimentary needs based questionnaire to determine what (if any) insurance needs are warranted.

The Young and the Restless Convenient Insurance will target this group with its competitive auto insurance rates, renters insurance and technology insurance (smart phone devices / computers).

Exurbanites This target market will need help with evaluating life insurance and long term care. Sometimes known as the ‘sandwich’ group because they still have children in college and aging parents to take care of, this group could also benefit from Medicare supplemental insurance and auto insurance for students.

Local businesses Small businesses have a myriad of insurance needs, from safe harbor accounts, to key man life insurance policies, umbrella polices and defined benefit and retirement plans for their employees. Convenient Insurance plans to meet each business owner and individually determine their insurance needs and how Convenient Insurance can meet those needs.

The local target market is rife with insurance needs. People at every life stage and customers alike will always have unmet insurance needs.

4.3.2 Market Trends

Like industries across the board, the insurance business is trending to a more technologically efficient environment with apps and internet sites designed for faster turnaround and approval times.

4.3.3 Market Growth

Convenient Insurance plans to grow the agency revenues at an annual rate of 10%. This estimate appears in line when compared to the growth in population of 9.6%.

4.4 Positioning

With its strong business ethics, a desire to carefully select insurance products on a need basis and by offering a variety of products to meet every insurance need, Convenient Insurance will hold itself as the premier insurance issuer in The Woodlands.

With the opportunity to compete in a $4.7 million market, Convenient Insurance has outlined the following SWOT analysis:

5.1 SWOT Analysis

SWOT stands for strengths, weaknesses, opportunities and threats. The following SWOT analysis identifies the internal and external factors that are favorable and unfavorable to Convenient Insurance’s objectives.

5.1.1 Strengths

  • The owners with collectively 20+ years experience have demonstrated the proven ability to run, manage and operate an insurance agency.
  • Convenient Insurance will be operated by trusted CFPs; No products will be sold unless they have passed the needs test.
  • As a Trusted Choice Independent Agency, Convenient Insurance will have over access to 100+ product offerings – enough to cover any insurance need at any life stage.

5.1.2 Weaknesses

  • Although the owners have years of industry experience, this is still considered a startup independent office. Start ups have little preferential treatment with vendors and higher overhead and costs.
  • Success is measured by policies underwritten; the owners will have time constraints initially due to limited staffing. Over time, they can build their office staff and revenues as well.

5.1.3 Opportunities

  • The local Woodlands Market has a wide variety of future opportunities; the target market has diverse demographics with varying needs and a strong local business market to draw from.
  • Partnering with or piggybacking off indirect competitors will provide business opportunity and meet unmet needs.

5.1.4 Threats

  • Economic downturns, regulations, changes in health care reform, and natural disasters all affect the insurance agency’s ability to keep premiums competitive. The recent drought of the summer, Hurricane Sandy, and the presidential election could potentially adversely impact the industry.
  • Technology is key; if Convenient Insurance does not use the latest technological advances, it could quickly slide, losing market share.

5.2 Strategy Pyramid

Strategy Offer a broad range of products and service (in order to capture 2.3% market share.)

Tactics Create awareness that Convenient Insurance is the newest and brightest entrant in the marketplace.

Programs Marketing blitz both online and in the local community to spread the word.

Strategy Convenient Insurance will be known for its honesty and integrity as an insurance provider /good citizen.

Tactics Engage with online services such as Yelp.Com and MerchantCircle.Com – for candid and honest reviews of the products and services provided.

Programs Actively engage with clients by requesting completion of surveys (both online and over the desk). Attend customer service training classes. Sponsor a local school sport – such as a soccer team.

Strategy Grow customer base.

Tactics Create an active pipeline.

Programs Develop reciprocal relationship with complementary vendors; for example partner with the local motorcycle agent and offer free motorcycle safety seminars and offer complementary life insurance evaluations.

5.3 Unique Selling Proposition (USP)

Unlike its competitors, Convenient Insurance will strive to be the low pressure, insurance agency of choice. While it is no secret that insurance agencies make their living off commissions, the owners of Convenient Insurance have adopted their personal views and believe that honesty is the best policy.

The owners are taking their clients’ needs to the next level – by mandating each client be required to take a needs based exam to determine which needs are being met and which are not. This higher level of evaluation is unheard of and the owners of Convenient Insurance are honored to be able to provide what they believe is an invaluable service.

5.4 Competitive Edge

Convenient Insurance stands head and shoulders above its competitors with its broad product and service offering, need-based selling requirements, high tech interfaces and professionalism and integrity.

5.5 Marketing Strategy and Positioning

Convenient Insurance will utilize a product differentiation strategy. Through this type of strategy Convenient Insurance will focus its efforts on holding itself apart from its peers through its broad selection of products and services delivered professionally by Certified Financial Analysts. The agents will only sell services that are needs based. This will eliminate wasteful and (expensive) insurance products and the customer can feel comfortable knowing that his choice to purchase insurance was well worth it. (Unlike their peers, Convenient Insurance will avoid ‘scare’ tactics, which ‘scare’ customers into purchasing excessive, wasteful and expensive insurance products because an overly aggressive agent needed the policy to meet his monthly quota requirements).

5.5.1 Positioning Statement

Convenient Insurance is a full service, independent insurance agency, providing a broad selection of products and services, specifically tailored to the individual needs. All services are based on the individual clients needs and delivered by Certified Financial Planners – all in a low pressure, professional, confidential environment.

5.5.2 Pricing Strategy

Convenient Insurance will utilized competition based pricing – that is pricing based on competitor’s prices – which is standard for the insurance industry.

5.5.3 Promotion and Advertising Strategy

Convenient Insurance will rely on a marketing blitz to get the word out. The owners are members of the local chamber of commerce and will be hosting a grand opening chamber event. Other promotion strategies include:

  • Improve its Google rating by utilizing a media/marketing consulting firm to get Convenient Insurance’s name at the top of the major search engines.
  • Utilize the marketing agency to assist with telemarketing campaigns.
  • Purchase lead lists from local lenders.
  • Online Yellow Pages – Utilize this source to obtain business.
  • Utilize customer ranking websites such as Yelp.com and Merchantcircle.com.
  • Word of mouth – Convenient Insurance loves referrals and will always request referrals.
  • Onsite promotions:
  • Convenient Insurance will sponsor windshield etching events – where the VIN number of a vehicle is etched into the glass on a car. (This reduces auto theft).
  • Collaborate with the local Safety Institute and offer free Baby Seat and Child Safety Seat inspections.
  • Drop off donuts / bagels to apartment managers (renters insurance).
  • From time to time offer free seminars with a focus on health insurance needs, retirement needs, and financial goals.

5.5.4 Website

The website will have the Convenient Insurance address and business hours as well as links to Trusted Choice carriers, daily blogs, and social media including Facebook (personal lines) and LinkedIn (business lines). Customer will have the ability to view their policies, submit questions, and make payments. Weekly/monthly the website will be updated with current insurance news and media links. Customers will be sent surveys/polls for opportunities for constant contact and open the lines of communication.

5.5.5 Marketing Programs

Initially Convenient Insurance will rely largely on its IIAT’s connections. However, marketing is the primary method to solicit new business and Convenient Insurance will rely on its marketing/media consultants to help with the initial marketing blitz. The local campaign (Chamber of Commerce grand opening) and the online blitz (it is expected that Convenient Insurance website will be linked to the top 40 search engines) will be the ideal way to start off the campaign.

In the local community, Convenient Insurance will host semi-annual sponsored events – such as the VIN etching days and safety seat inspections. In addition their commitment to the community will be evidenced by their corporate sponsorship of a local school sports team.

5.6 Sales Strategy

Convenient Insurance has plans to grow revenues 10% in Year 2 and 10% in Year 3. These goals will be met by increases in volume. Additionally volumes are expected to increase with the additions of staff.

The three year hurdle is the minimum requirement prior to being considered for direct appointment. The three year window will demonstrate Convenient Insurance’s proven abilities to run and operate the business. The window will establish a payment and credit history as well. Note: The online business, while appealing, is secondary to the brick and mortar business; the business plan takes a more conservative approach and those incomes have been excluded from the analysis. After the initial 3 years of operations, Convenient Insurance will re-visit this opportunity and possibly include this line item in their financial goals and planning.

5.6.1 Sales Forecast

The financial analysis takes a conservative approach to revenues and assumes revenue and income streams will be derived from 3 primary resources:

  • Personal Auto: 12-15% Commission on New Business, 10-15% on Renewals (say 14% premium per $1,000 in coverage),
  • Homeowners & Flood Insurance: 12-20% (say 18% premium per $1,000 in coverage)
  • All other sources of revenue (health, business insurance, life and renewals) (Say 20% in premium).

This rational is used for two reasons: 1) more conservative and 2) while life insurance, annuities and business lines offer greater premiums, these are the most difficult to attain. The analysis assumes an income growth rate of 10% in Year 2 and 10% in Year 3. The analysis assumes the new agent ramps up revenue, earning 50% by Year 2 and full income streams by Year 3.

Table 5.6.1 Annual Sales Forecast

5.6.2 Sales Programs

As insurance agents, the staff at Convenient Insurance works on commissions. Following are approximate commission amounts for each of the different insurance products:

  • Personal Auto: 12-15% Commission on New Business, 10-15% on Renewals
  • Health Insurance: 15-20% Commission on New Business, 10-20% on Renewals
  • Commercial Insurance: 12-20% Commission on New Business, 10-20% on Renewals
  • Life Insurance: 80-120% Commission on New Business, 2-10% on Renewals
  • Homeowners & Flood Insurance: 12-20%
  • Commission on New Business 12-20% on Renewals

Convenient Insurance has obtained legal advice to make sure that they are not in any violation of any non-compete or any contractually related issues (based on the owners’ history with Mutual of Texas and State Barn). Convenient Insurance was formed as a Limited Liability Company (LLC) in the State of Texas. The entity is wholly owned by its owners Greg and Maria Bell.

Convenient Insurance is registered business with the county and the state. Convenient Insurance has obtained its Federal Identification Number (EIN). Convenient Insurance has also obtained an Insurance Agency License with the state and its Certificate of Good Standing the State.

5.8 Milestones

Please refer to the Chart Below:

Table 5.8 Milestones

5.9 Exit Strategy

Initial debt recourse will first be to Greg and Maria Bell as personal guarantors, the secondary source will be recourse to collateral and tertiary recourse will be the sale and disposal of assets. In the event the company is to be dissolved, all assets will be liquidated. Physical assets will be sold at auction and all policies will rollback to Convenient Insurance’s various independent providers.

At the heart of Convenient Insurance are its people. In its initial years, Convenient Insurance will operate and run by Greg and Maria Bell.

6.1 Organizational Structure

Initially both Greg and Maria will co-manage the agency. Both will actively target the market for new business as well. In Year 1, Convenient Insurance plans to hire a part time bookkeeper to help with the monthly, quarterly and annual filings to their accountant. In Year 2, Convenient Insurance has plans to hire their first agent. The agent will be a CFP candidate as well. Convenient Insurance is committed to its employees and will provide continuing education requirements for the certification. In Year 3, Convenient Insurance has plans to hire a full time administrative position. The administrative position will be more of an office manager role and oversee new and existing bookings, assist in the technical writing of the policies and procedures manual and free up more of the agents’ time to allow them to focus on serving customers. As revenues, grow, staff needs will increase as well.

6.2 Management Team

Convenient Insurance will be wholly owned and operated by the husband and wife team of Greg and Maria Bell.

6.3 Management Team Gaps

Convenient Insurance does not have an Accounting Department at this time. For now, the company will utilize a part-time bookkeeper and rely on their long term relationship with a reputable local CPA in the preparation of annual tax returns.

6.4 Personnel Plan

Following is a summary of the 3 Year Personnel Plan:

Table 6.4 Personnel Plan

6.5 Board of Directors

The following is a summary of the financial plan:

  • Required Cost of Start-Up
  • Profit and Loss
  • Balance Sheet
  • Financial Ratios

7.1 Important Assumptions

Income Assumptions The financial analysis takes a conservative approach to revenues and assumes revenue and income streams will be derived from 3 primary resources:

  • Personal Auto: 12-15% Commission on New Business, 10-15% on Renewals (say 14% premium per $1,000 in coverage)
  • All other sources of revenue (health, business insurance, life and renewals) (Say 20% in premium)

Expense Assumptions

  • During Year 1, the owners will hire a part time bookkeeper. The part time income is expected to be $25,000.
  • Halfway through fiscal Year 2, the owners will hire an insurance associate; annualized salary is expected to be $65,000.
  • During Year 3, the company plans to add a full-time administrative assistant.
  • Initially advertising and marketing expense will be high as Convenient Insurance has several ‘market blitz’ campaigns over the initial years of operations. Over time, it is believed that these expenses will decline, as the book of business builds, the customer base is expanded through word of mouth and referrals, and royalty income streams will replace advertising expenses.

Balance Sheet Assumptions Convenient Insurance anticipates having sufficient liquidity, have reasonable debt, and a solid equity position.

  • The company will have less debt and be better capitalized when compared to peers with similar sized revenues and assets. This is primarily due to the owner’s large initial capital infusion of $50,000.
  • The company expects to have good liquidity as evidenced by its current ratio of 1.23 by Year 3.
  • Convenient Insurance expects to have a relatively low leverage position (56.6% total liabilities at Year 1 compared to 97.4% industry average).
  • The company will also be well capitalized. Net worth is expected to be 31.58% of total liabilities and equity at the end of Year 1 compared to industry peers with ratios of 2.6%.

7.2 Start-Up Costs

Over the last 2 months, the owners have come out of pocket approximately $50,000 covering the sunk costs associate with establishing an office.

Start up expenses are $ 27,300 and primarily in the form of working capital requirements totally $20,000.

Start Up assets are comprised primarily of funds available to start the book of business in the amount of $70,000. The owners will use these funds to help seed or start the new business. Other starts up assets include computer hardware, software and redundancy systems, and office furnishings and fixtures.

Table 7.2 Start-Up Costs

7.3 Source and Use of Funds

Table 7.3 Source and Use of Funds

Sources: The owners of Convenient Insurance have spent well over $50,000 to date for start up operations. Additional funding is expected to come from $100,000 commercial loan and a $17,300 working capital loan.

The owners’ equity contribution is substantially higher than industry average when compared to peers. This higher than average equity injection provides some additional cushion and results in a lower LTV (loan to value) ratio for its lenders.

7.4 Break-Even Analysis

Table 7.4 Break-Even Analysis

Note: There are no variable costs (cost of goods sold) with this type of entity (service business).

7.5 Projections

7.5.1 projected profit and loss.

The estimated profit and loss for Convenient Insurance are as follows:

Table 7.5.1 Pro Forma Profit and Loss

7.5.2 Projected Cash Flow

The statement of cash flow shows the incoming and outgoing cash of the business.

Table 7.5.2 Pro Forma Cash Flow

7.5.3 Projected Balance Sheet

The following chart depicts the proforma balance sheet:

Table 7.5.3 Pro Forma Balance Sheet

7.6 Business Ratios

The analysis is based on NAICS (North American Industry Classification System) 524210 Insurance Agencies and Brokerages.

Table 7.6 Ratio Analysis

ProfitableVenture

Insurance Agency Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business ideas » Financial Service Industry » Insurance Agency

Are you about starting an insurance agency ? If YES, here is a complete sample insurance agency business plan template & feasibility study you can use for FREE .

To become an Independent insurance agent means that you have an insurance agency. The agents are also known as insurance sales agents.

These folks are involved in the sale of a variety of insurance and financial products; some of the products they deal in include; property insurance and casualty insurance, life insurance, health insurance, disability insurance, and long-term care insurance.

Insurance agencies sell insurance policies that defend individuals and businesses from financial loss that is brought about as a result of automobile accidents, fire, theft, storms, and other events that can damage property.

This is one of the reasons why many people have become so inclined to insurance that they dare not live without it. Therefore, this is one of the areas where having an insurance agency comes in handy.

A Sample Insurance Agency Business Plan Template

Industry overview.

The insurance industry is wide and global in nature; there are numerous aspects anyone interested in starting an insurance agency could choose to specialize in.

For instance; in the United States of America and even in Canada, pet insurance is one aspect of insurance that is gradually opening up and it is interesting to state that it is a very promising market.

Anyone looking towards starting an insurance agency has the option to choose an area of insurance to specialize in or they could choose to start a general insurance company; an insurance company that is involved in the selling of life insurance policies, health insurance policies, auto/car insurance policy and liability insurance amongst others.

The united states of America have the largest insurance market in the world as indicated by the volume of premium payments.

Statistics show that in 2013 alone, out of the total sum of 4.640 trillion US dollars of gross premiums written on a global scale, 1.274 trillion US dollars which translates to 27% were actually written in the United States of America.

This goes to show how big the insurance industry is in the United States of America. Independent insurance agents characteristically show a lot about insurance companies that meet the needs of their clients.

Running an insurance agency means that insurance agents have to be very well trained and knowledgeable about the difficulties of the insurance market and insurance law.

Getting a hang of this means that an insurance agent is able to advise their clients about appropriate amounts of insurance and insurance coverage for their particular needs.

More often than not, independent insurance agents work hand in hand with insurance mediators, in getting quotes from multiple insurance providers and then they go ahead to license them off to the independent agents.

Working with an insurance intermediary service allows the independent agent to appraise many quotes and offer their clients the best policy options ever.

There are a good number of major trade organizations that back the interests and needs of the independent insurance agent; some of them are Agents for Change, The National Organization of Life and Health Agents (NOLHA), the Independent Insurance Agents & Brokers of America, amongst many others.

Starting an insurance agency is a wonderful idea, but a whole lot has to be in place and it includes; getting an insurance license from the organization regulating the insurance industry like the National Association of Insurance Commissioners that regulates the industry.

No doubt, the process of obtaining an insurance agency license might not come too easy, because of the laid down criteria in which the whole process entails an insurance licensure examination is required if you want to start an insurance agency.

If you are serious and determined, you could write and pass the exam in one sitting, but if not, then you should be ready to take the exams over and over again. The bottom line is that these exams do not come cheap; so you must prove your worth before you can be issued a license.

In some countries trust is one of the key factors that may want to slow down the growth of the insurance agencies. Apart from that, then the insurance agencies just like insurance companies are really growing. The industry is a very profitable one with a lot of room for more prospects.

Executive Summary

May Flora brokers is a general insurance agency and were incorporated under United States law as a private Limited Liability Company. It has plans in the nearest future to transform into a public limited liability company. This is so that we can get listed on the New York Stock Exchange.

We will launch the business in heart of New York City – New York where we will have our headquarters and later spread to other major cities in the United States of America.

May Flora Insurance brokers were established with the sole directive of conducting insurance businesses in a highly professional, ethical, and customer-driven approach. We are aware that businesses these days require diverse and sophisticated approaches, which is why we will offer our clients the very best of deals at all times, and all around the year.

We are glad to find ourselves in a hub like the New York insurance market and this is why we have decided to kick start by dealing in various insurance policy covers such as:

Life and Annuities Insurance, Health/Medical Insurance, Car / Vehicle Insurance, Pet Insurance, Agricultural Insurance, Aviation Insurance, Financial Reinsurance, Guaranteed Asset Protection Insurance, Group Insurance, Inland Marine Insurance/Marine Insurance/Shipping Insurance, Travel Insurance, Liability Insurance/ Professional Liability Insurance and Property and Casualty Insurance, and what have you.

At May Flora Brokers, our client’s best interests come first, and everything we do is guided by our professional ethics. We will ensure that we are committed to competence, integrity, innovation, and excellent customer service. We will also guarantee that we only hire employees who are well experienced to help us drive the business.

We plan to hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely. We will promote a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees, and for our clients.

May Flora is poised at all times to demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.

May Flora brokers were founded by a group of New York-based investors led by Andrew Basher, Andy Ruthless, and Mr. Ruddy Frumpy. The organization will be managed by these three, as well as other partners who will work in the background. Andy Basher graduated from the University of California – Berkley (First Degree), Brock School of Business at Stamford University (MBA), and University of Harvard (PhD.).

He has extensive experience in a senior managerial role with some of the world’s leading insurance companies. He will be bringing his wealth of experience and expertise to help grow May flora Brokers to become a world-class insurance company.

Our Product and Services

May flora Brokers is going to offer varieties of insurance products and services within the scope of the insurance industry in the United States of America.

Our intention in starting our insurance agency is to make profits from the United States market and we will do all that is permitted by the law in the U.S. to achieve our aim and business goals. Our products and service offers are listed below;

  • Life and Annuities Insurance policy cover
  • Health/Medical Insurance policy cover
  • Car/Vehicle Insurance policy cover
  • Pet Insurance policy cover
  • Agricultural Insurance policy cover
  • Aviation Insurance policy cover
  • Financial Reinsurance
  • Guaranteed Asset Protection Insurance policy cover
  • Group Insurance
  • Inland Marine Insurance/Marine Insurance/Shipping Insurance
  • Travel Insurance policy cover
  • Liability Insurance/ Professional Liability Insurance
  • Property and Casualty Insurance policy cover
  • Consulting and Advisory Services (Within the Insurance Business)

Our Mission and Vision Statement

  • Our vision is to be one of the foremost insurance brokers to make available a wide range of insurance products at an affordable price in the United States of America.
  • Our mission is to be listed as amongst the top 20 insurance companies based on revenue generations ( premium collections et al ), trust, and ease of doing business.
  • We will ensure that our clients get their claims as when due without unnecessary delays.

Our Business Structure

We plan to use the best structures to build our insurance agency. This is vital because we want to be known as a standard organization. May flora Brokers will build a solid business structure that can support the growth of our insurance agency. We will leave no stone unturned in seeing that we hire competent hands to help us build the business of our dream.

The fact that we want to become one of the leading insurance agency brands in the industry in the whole of the United States of America makes it highly necessary for our organization to deliberately build a well–structured business from the onset. Below is the business structure that we will build May flora insurance brokers on;

  • Chief Executive Officer

Legal Secretary

Head of Premium Collections

Head of Claims

Admin and HR Manager

  • Marketing Executive
  • Customer Care Officer

Front Desk Officer

Job Roles and Responsibilities

Chief Executive Office – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
  • Responsible for providing direction for the business
  • Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization
  • Reports to the board
  • Responsible for drawing up contracts and other legal documents for the company
  • Produces information by transcribing, formatting, inputting, editing, retrieving, copying, and transmitting text, data, and graphics; coordinating case preparation.
  • Provides historical reference by developing and utilizing filing and retrieval systems; records meeting discussions; maintains transcripts; documents and maintains evidence.
  • Responsible for the collection of premiums for the organization
  • Works with software developers to develop efficient and easy-to-use premium collection software
  • Advises the organization from time to time on how to improve and increase premium collections
  • Collaborates with the head of sales and marketing to ensure that our insurance policies holders do not allow their policies to lapse
  • Follows up on premium payment and send reminders from time to time to our policyholders to pay their premium
  • Responsible for resolving any premium issues with our bank and policyholders.
  • Responsible for the payment of claims to policyholders that files for claims
  • Ensures that proper investigations are carried out before claims are paid
  • Reviews the organizations’ claims policy from to time to time to make it efficient and measure up with best practices in the industry.
  • Keeps proper record of claims that are paid out by the organization
  • Supervises the claims department
  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
  • Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
  • Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
  • Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
  • Defines job positions for recruitment and managing interviewing process
  • Carries out staff induction for new team members
  • Responsible for training, evaluation, and assessment of employees
  • Responsible for arranging travel, meetings, and appointments
  • Oversees the smooth running of daily office activities.

Marketing/Sales Executive

  • Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
  • Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of development projects.
  • Responsible for supervising implementation, advocating for the customer’s needs, and communicating with clients
  • Develops, executes, and evaluates new plans for expanding increase sales
  • Documents all customer contact and information
  • Represents the company in strategic meetings
  • Helps increase sales and growth for the company
  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Provides management with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
  • Responsible for financial forecasting and risk analysis.
  • Performs cash management, general ledger accounting, and financial reporting for one or more properties.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensures compliance with taxation legislation
  • Handles all financial transactions for the organization
  • Serves as an internal auditor for the organization

Client Service Executive

  • Ensures that all contacts with clients (e-mail, walk-In center, SMS, or phone) provide the client with a personalized customer service experience of the highest level
  • Through interaction with students on the phone, uses every opportunity to build client’s interest in the company’s products and services
  • Manages administrative duties assigned by the school coordinator in an effective and timely manner
  • Consistently stays abreast of any new information on the schools’ products, promotional campaigns, etc. to ensure accurate and helpful information is supplied to students when they make inquiries
  • Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
  • Receives parcels/documents for the organization
  • Handles inquiries via e-mail and phone calls
  • Distributes mail in the organization
  • Handles any other duties as assigned by the Admin / HR manager

SWOT Analysis

May flora insurance brokers know that it will be in our best interest to identify our strengths and weaknesses; this is exactly why we engaged the services of a core professional in the area of business consulting and structuring to assist the firm in building a well–structured insurance agency that can favorably compete in the highly competitive insurance industry/market in the United States.

Part of what our team of business consultants did was to work with the management of the organization in conducting a SWOT analysis for May flora insurance brokers. Here is a summary of the result of the SWOT analysis that was conducted on behalf of May flora brokers. Before that, it is important to state that we have taken this really seriously.

It is compulsory for a business to have a record of its core strength. Its core strength lies in the power of our team; our workforce. We have a team that can go all the way to give our clients value for their money. We are well positioned and we know we will attract loads of clients from the first day we open our doors for business. We also have an efficient and effective customized software application that will help carry out seamless insurance activities.

As a new insurance agency in the United States, it might take some time for our organization to break into the market; that is perhaps our major weakness.

  • Opportunities:

The opportunities in the insurance industry are massive and we are ready to take advantage of any opportunity that comes our way which is why we are going to be offering several insurance policies/packages.

One thing is certain, a weak economy is one major factor that is limiting growth opportunities for the insurance industry. Come to think of it, there is hardly any business or investment opportunity that does not come with its own fair share of threats and challenges. This is why most organizations conduct risk assessments on a regular basis so as to enable them to produce strategies that will help them stay afloat in the industry.

Another major threat and challenge that we are likely going to face when we start our insurance business are, of course, the arrival of other insurance agencies in the same location where ours is located and perhaps selling the same insurance policy covers as we do.

For sure if we have been able to come up with workable and winning strategies that will help us outsmart our competition in the location where our insurance agency is going to be located. With that, we are likely not going to struggle to grow our insurance company and also retain some of the best hands under our employment.

Over and above, just as in any other business and investment vehicle, economic downturn, unstable financial market, natural disasters, and unfavorable government economic policies can hamper the growth and profitability of an insurance company.

MARKET ANALYSIS

  • Market Trends

One common trend is that, in the insurance industry, it is only the smallest insurers that exist as Single corporations. It is the practice in the insurance industry for most major insurance agencies to exist as insurance groups; they usually partner with holding companies.

This practice has loads of benefits and as a matter of fact, insurance groups are known to survive the turbulence in the insurance industry year after year and the survivability of single insurance agencies is pretty low. This is why you may hardly find an insurance broker that is not into the sale of various insurance policy covers ranging from motor vehicle insurance policies to pet insurance policy cover to marine insurance policy covers et al.

Another trend in the insurance industry is the creativity in premium collections. Most insurance agencies know that the survival of their business lies in the regular payment of premiums which is why they have to go all the way to put systems and processes in place that will help the collect premiums from the policies holders with ease.

If you keep tabs on successful insurance companies you will realize that they leverage on technology (internet and software applications et al) in running their business.

Our Target Market

Although May flora insurance brokers will initially serve the small to medium-sized markets in and around New York City – New York, that does not in any way stop us from growing to be able to compete with the leading insurance companies selling our insurance policies in the cities in the United States.

We hope to someday merge or acquire other smaller insurance companies and expand the sales of our insurance products and business beyond the shores of the United States of America.

As a standard insurance company, May flora has a range of insurance policy covers and we will also work hard to continue to add more insurance covers that are on sale in the insurance market in the United States of America hence expanding the scope of our target market from time to time.

Our target market cuts across people of different classes and people from all walks of life, local and international organizations as well. We are coming into the industry with a business concept that will enable us the sale of insurance policies to the highly placed people and companies in the country and at the same to the lowly placed people and smaller businesses.

In other words, our target market is the whole of the United States of America and subsequently other parts of the world. Below is a list of the people and organizations that we have specifically designed our products and services for;

  • Students, Young Adults, The Elderly, and Children et al
  • Businesses and Entrepreneurs
  • Blue Chips Companies
  • Corporate Organizations
  • Manufacturers and Distributors
  • Real Estate Owners, Developers, and Contractors
  • Research and Development Companies
  • The Government (Public Sector)
  • Schools (High Schools, Colleges, and Universities)
  • Sport Organizations
  • Entrepreneurs and Start-Ups

Our competitive advantage

A close study of the insurance industry reveals that the market has become much more intensely competitive over the last decade. As a matter of fact, you have to be highly creative, customer-centric, and proactive if you must survive in the insurance industry. We are aware of the stiffer competition and we are well prepared to compete favorably with other leading insurance companies in the United States.

May flora insurance brokers might be a new entrant into the insurance industry in the United States of America, but the management staff and board members are considered gurus. They are people who are core professionals and licensed and highly qualified insurance practitioners in the United States. These are part of what will count as a competitive advantage for us.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category (startups insurance companies) in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives. We will also give good working conditions and commissions to freelance sales agents that we will recruit from time to time.

SALES AND MARKETING STRATEGY

Starting and running an insurance agency requires aggressive marketing which is why you have insurance salesmen and women who are always on your neck to market/sell one insurance cover or the other especially if you live in the United States of America.

So to stay afloat in the insurance industry, you must be ready to spend good cash on marketing, advertising, and promoting your insurance products. Your marketing and advertising departments must regularly come out with new innovations and products that can catch the attention of your potential clients.

This is why when we were drafting our marketing ideas and sales strategies for our insurance agency, we ensured that we created a compelling personal and company profile that include the profile of our board of directors and management team.

The truth is that if you have honest, trustworthy, and successful professionals on your board, customers can easily trust you with their hard-earned money. In some countries trust is one of the key factors that is hampering the growth of the insurance industry.

Nobody wants to buy insurance policies, pay premiums,s and is not certain if they can get claims when the time comes. Here are some of the platforms we will utilize to market our insurance policies;

  • Introduce our business (insurance policy covers) by sending introductory letters alongside your brochure to individuals, investors, and corporate organizations
  • Advertise our business in relevant business magazines (insurance magazines and business-related magazines) and be available for insurance-related talk shows and interactive sessions on TV and Radio stations)
  • List our insurance company on local directories/yellow pages (both online and offline)
  • Attend expos, seminars, and business fairs to network and sell our insurance policy covers
  • Leverage the internet to promote our insurance business/insurance policy covers
  • Join local chambers of commerce around us with the main aim of networking and marketing our insurance products.
  • Engage the services of marketing executives and sales agents to carry out direct marketing of insurance products.

Sources of Income

May flora Insurance brokers are established with the aim of maximizing profits in the insurance industry and we are going to go all the way to ensure that we do all it takes to sell our insurance products to a wide range of clients and also ensure that we don’t struggle to collect premiums on a regular basis.

May flora Insurance agency will generate income by selling the following insurance policy covers to both individuals and organizations;

  • Liability Insurance/Professional Liability Insurance

Sales Forecast

As long as there are people living in the United States of America and businesses starting and growing in the U.S., they will always purchase one insurance policy cover or the other.

We are well positioned to take on the available market in the U.S. and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operations and grow the business and our clientele base beyond New York City, New York to other states in the U.S. and even the global market.

We have been able to critically examine the insurance market and we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to startups in New York.

Below is the sales projection for Mutual Trust Insurance PLC, it is based on the location of our insurance company and the wide range of insurance products that we will be offering;

  • First Year-: $500,000
  • Second Year-: $1, 500,000
  • Third Year-: $3,000,000

N.B: This projection is done based on what is obtainable in the industry.

  • Our Pricing Strategy

When it comes to pricing products in the insurance industry, there is an established trend and in most cases, it is determined by the risk involved in the products/insurance policy covers. The calculation is usually done by experts.

Despite the fact that there are expected price standards for various insurance policy covers, one of the easiest ways of getting into the market is to sell your insurance products a little bit below the industry average and that is exactly what we are going to do.

  • Payment Options

There is the need to have several payment options. At May flora insurance brokers, our payment policy will be all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

  • Payment by via bank transfer
  • Payment via online bank transfer
  • Payment via check
  • Payment via bank draft
  • Payment with cash
  • Payment via mobile money platforms

In view of the above, we have chosen banking platforms that will help us achieve our plans with little or no itches.

Publicity and Advertising Strategy

The insurance business just like any other business requires media hype to get people to buy into the brand. We are aware that our brand has to do with the way people perceive our organization to be which is why we are going to be deliberate when it comes to communicating and promoting our brand.

In promoting and advertising our brand and insurance products, we are going to leverage both print and electronic media. As a matter of fact, it is cost-effective to use social media platforms to promote our brands, besides it is pretty much effective.

Here are the platforms we will leverage to create brand awareness for your insurance company and to promote our insurance products in the marketplace;

  • We will place adverts on national TV stations, Radio Stations, and Newspapers/Magazines
  • We will run our own special TV program (insurance-based program)
  • We will sponsor relevant community programs
  • We will leverage the internet and social media platforms like; Instagram, Facebook, Badoo, YouTube, Twitter et al to promote and advertise insurance products
  • We will install our Bill Boards in strategic locations all around New York City – New York and other cities in the U.S.
  • We will engage in road shows from time to time to create awareness of our insurance company and to sell our products
  • We will distribute our fliers and handbills to targeted areas from time to time
  • We will send out introductory letters to multinationals, embassies, and diaspora organizations and networks in and around New York City
  • We will encourage the use of word of mouth, especially from loyal customers
  • We will ensure that all our vehicles are branded with our company’s logo

Financial Projections and Costing

When it comes to starting an insurance agency, you should be aware that the cost is two fold; the cost of setting up the office structure (including branches) and of course your capital base/capitalization. In essence, the nature and size of the insurance company you are looking toward starting will determine the amount you are expected to raise.

As regards the cost of setting up the office structure , your concern should be to secure a good office facility in a busy business district; it can be expensive though, but that is one of the factors that will help you position your insurance company to attract the kind of customers you would want to do business with.

These are the key areas we will spend the bulk of our start–up capital on;

  • The Total Fee for incorporating the Business – $750.
  • The budget for insurance policies, permits, and licenses – $10,000
  • The Amount needed to acquire a suitable Office facility in a business district in New York City with 6 months’ rent up–front (Re-Construction of the facility inclusive) – $50,000.
  • The Cost for equipping the office (computers, printers, fax machines, furniture, telephones, filing cabins, safety gadgets, and electronics et al) – $5,000
  • The Cost of Launching our official Website – $600
  • Budget for paying at least 10 employees for 3 months and utility bills – $200,000
  • Additional Expenditure (Business cards, Signage, Adverts, and Promotions et al) – $2,500
  • Capital Base – 1 Million Dollars
  • Miscellaneous – $10,000

Going by the report from the research and feasibility studies conducted, we will need about 1.2 Million U.S. Dollars to set up a small-scale but standard insurance company in the United States of America.

Generating Funding/Startup Capital for May flora Insurance Brokers

Our insurance brokering form is going to start as a private Limited Liability Company but with a plan in the nearest future to transform into a public limited liability company so as to enable us to get listed on the New York Stock Exchange. In essence, the business will be financed by Dr. Wilcox Carrington, Mrs. Ruth Ferguson, and other members of the partnership.

These are the areas we intend to generate our start-up capital;

  • Generate part of the start–up capital from personal savings
  • Source for soft loans from family members and friends
  • Apply for a loan from my Bank

N.B: We have been able to generate about $700,000 (from every member of the partnership with the bulk of the money coming from the lead partners Dr. Wilcox Carrington and Mrs. Ruth Ferguson). We are at the final stages of obtaining a loan facility of $500,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

BUSINESS GROWTH: Sustainability and Expansion Strategy

It is easier for businesses to survive when they have a steady flow of business deals/customers patronizing their products and services. We are aware of this which is why we have decided to sell a wide range of insurance products to both big and small clients, individual clients, and corporate clients as well.

We know that if we continue to sell our insurance products and continue to collect premiums on a regular basis, there will be a steady flow of income for the organization. Our key sustainability and expansion strategy is to ensure that we only hire competent employees, and create a conducive working environment and employee benefits for our staff members.

In the nearest future, we will explore the options of either merging with another insurance companies or acquiring one or more insurance companies in order for us to increase our market share. We know that if we implement our business strategies, we will grow our insurance business beyond New York City, and New York to other states in the U.S in record time.

Check List/Milestone

  • Business Name Availability>Completed
  • Business Incorporation: Completed
  • Application for Insurance License: Completed (Collected)
  • Opening of Corporate Bank Accounts at various banks in the United States: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID:  Completed
  • Application for business license and permit: Completed
  • Purchase of All forms of Insurance for the Business: Completed
  • Conducting Feasibility Studies: Completed
  • Generating part of the start-up capital from the founders: Completed
  • Applications for Loan from our Bankers:  Completed
  • Writing of Business Plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Drafting of Contract Documents:  Completed
  • Design of The Company’s Logo: Completed
  • Graphic Designs and Printing of Packaging Marketing/Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Purchase of the Needed furniture, office equipment, electronic appliances, and facility facelift: In progress
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business (Business PR): In Progress
  • Health and Safety and Fire Safety Arrangement: In Progress
  • Establishing business relationship with key players in the industry: In Progress.

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Insurance Agency Business Plan Sample

DEC.22, 2016

insurance agent business plans

Insurance Agency business plan for starting your own business

If you worry about how to start Insurance services, you must create a detailed Insurance agent business plan. It will not only guide you in the initial phases of your startup but will also help you later. Business plans for Insurance Agency are good instruments to assess the success of the business and track its progress. Insurance agencies require financial expertise and a highly accurate finance business plan . 

Since the insurance industry is classified as a due diligence service, you may be confused about how to start independent Insurance Agency. You can refer to this template set out for a firm called Lifelong Insurance for detailed guidance.

Executive Summary

Lifelong Insurance will be located in Texas. The business will provide life, health, travel, and vehicle insurance to its customers.  If you want to start this business but are confused about where to start, this Insurance Agency business plan template can act as your reference point.

2.1 The Business

As per this Insurance Agency business plan sample, Lifelong Insurance will be the newest and brightest independent Insurance Agency in Texas. It will be owned by Goerge and Martha Bell. They both have experience serving in the sector for 15 years. Lifelong Insurance was established in line with the following business continuity plan .

2.2 Management of Insurance Agency

The owners, Goerge, and Martha Bell are both Certified Financial Planners. They will hire certified and experienced employees to run the business. It is because matters related to insurance are of huge legal and financial importance and a lack of experience and knowledge can incur huge costs. In this business plan for Insurance company, we will provide a list of employees who will be hired to manage the operations of the agency. 

2.3 Customers of Insurance Agency

Irrespective of whether you are following an Insurance Agency business plan or thinking of starting a credit repair business , you need to know who your target audience is. Lifelong Insurance has the following customer groups as its target market:

  • Aspiring Young Families
  • Young Adults
  • Exurbanites
  • Local Businesses

2.4 Business Target

As per this sample business plan for Insurance Agency, the business target for Lifelong Insurance is to raise the bar in the insurance industry by providing excellence and utilizing the highest principles and standards in every aspect of the business. Lifelong Insurance wants to empower its clients, employees, and community while employing these practices.  

You may download this Insurance Agency business plan sample pdf from our official website.

Insurance Agency Business Plan - 3 Years Profit Forecast

Company Summary

3.1 company owner.

George Bell and Martha Bell came up with this new insurance agent business plan after working on it for months. It was despite their combined 15 years of experience in the industry.

3.2 Why the Insurance Agency is being started

The Bells were always interested in the insurance niche. Their education and experience turned them into excellent financial analysts. They also acquired legal expertise over 15 years. Therefore, as soon as they could manage the resources, they decided to start their own business.

George and Martha deserve credit for coming up with a unique Insurance Agency business model that prioritizes convenience.

3.3 How the Insurance Agency will be started 

The insurance agency can be started by following these steps ..

Step1: Become a licensed insurance agent

You can get an insurance agent license in a matter of weeks or months, depending on the requirements in your state. Since George and Martha introduced this business plan of an insurance company after almost two decades of experience in this sector, they already had a license. 

Step2: Write your business plan

Your business plan outlines what you want your business to look like and how you plan to get there. The process of writing it should force you to answer complex questions, like what unique value you’ll offer your customers and how much money you’ll need to get started. You can get this Insurance Agency business plan template free download to get an overview of how to write a plan for your firm.

Step3: Choose a business structure

Your business structure determines how your business profits are taxed and how your personal and business assets are kept separate, among other things. There’s also an insurance-specific question you’ll need to explore and that relates to if you want your Insurance Agency to work with one specific insurer or with many different providers. 

Step4: Form relationships with insurance companies

If you’re an independent agent, you’ll need to apply to work with insurance companies who you would represent. In the later sections of this insurance company business plan pdf, we will explain how establishing long-term relations with insurance companies can help you get more sales.

Step5: Grow your client base

If you choose to start an independent agency, you may have to hustle for your first few clients. Start by attending networking events and advertising in your local market. 

Download this free insurance business plan template to help get a head start on writing a personalized business plan.

Insurance Agency Business Plan - Startup Cost

Services of Insurance Agency

Different insurance agents offer different types of insurance schemes. Insurance business proposal offered by Lifelong Insurance provides a wide range of services to cater to a wide range of clients. Some of those are mentioned below:

  • Life Insurance

We will offer life insurance to our clients by which we will pay a death benefit to the beneficiaries after the insurer’s death. The paid amount will be derived from the regular, premium payments.

In the market segmentation section of this life insurance business plan, we will explain who is expected to avail of this of our services.

  • Reinsurance 

We will offer reinsurance services whereby we will transfer portions of risk portfolios to other parties by some form of agreement. This will help in reducing the likelihood of paying a large obligation resulting from an insurance claim. Such transfers are a little risky to handle and require attention from the business plan insurance broker. 

  • Travel Insurance

The business plan for Lifelong Insurance also provides the service of travel insurance to its customers. Our travel insurance plans will cover medical emergencies, trip cancellation, trip interruption, delays, medical evacuation, and lost, damaged, or stolen luggage.

  • Vehicle Insurance

Additionally, this  Insurance Agency sample business plan also offers vehicle insurance for  cars ,  trucks ,  motorcycles , and other road vehicles. Its primary use will be to provide financial protection against physical damage or bodily injury resulting from  traffic collisions . 

It is recommended that you read multiple insurance business plan templates like these to decide what services you want to offer.

Marketing Analysis of Insurance Agency

Great work.

Had the pleasure of working with Alex on a business plan for a new venture. The end result looks very professional. His communication is always prompt and he was very patient with my detailed requests. I would definitely work with this company in the future.

You must understand the market thoroughly before you step into it. It will help you understand the level of competition, potential untapped markets, pricing trends, and changing consumer preferences. You may go over different Insurance Agency business plan examples to get an overview of the current market trends.

5.1 Market Trends

The market size of insurance brokers and agencies in the United States reached almost $182 billion in 2020 and was expected to further increase in 2021. Hence, this is the right time to work on your insurance company business model and introduce it in the market. You can reach out to a marketing plan Insurance Agency to help you understand the changing marketing trends.

5.2 Marketing Segmentation

Common characteristics of a market segment include interests, lifestyle, age, gender, etc. It is essential to identify them to determine your target market. Every <sample> sample business plan for insurance company identifies different customer groups. In this marketing plan for insurance company pdf, Lifelong Insurance Agency specifies the following as its potential customers:

Insurance Agency Business Plan - Marketing Segmentation

5.2.1 Aspiring Young Families

Young families have varying insurance needs. They need to avail themselves of life insurance policies, health insurance, and auto insurance. We will serve them in all these aspects. They will sign up for vehicle insurance as per this insurance sales business plan.

5.2.2 Young Adults 

Lifelong Insurance will target this group with its competitive auto insurance rates and insurance of technology gadgets such as smartphones and computers.  

5.2.3 Exurbanites

This target market will need help with life insurance and long-term care. This group is also expected to get their vehicles insured by us.

5.2.4 Local Businesses

Small businesses have a myriad of insurance needs. At Lifelong Insurance, our representatives will meet each business owner and individually determine their insurance needs.

5.3 Business Target

  • Capture 30% of the market share within 1.5 years of operations.
  • Maintain a CSAT score of more than 96 throughout the operational years.
  • Negotiate with local businesses to expand our client base.
  • Increase returns on interest by 15%.

5.4 Product Pricing

As per this business plan insurance company, Lifelong Insurance will keep its prices a bit higher than its competitors. It is because we have hired the most expert and competent employees. Moreover, we are providing several benefits as compared to our competitors.

Marketing Strategy of Insurance Agency 

No matter how better you are performing as compared to your competitors, you cannot manage to get more sales unless you advertise with compelling arguments. In your business plan, you must define a sales strategy by which you intend to reach out to more and more customers.

To get ideas, you can read the business plans for insurance agencies that are available to you. You can go through similar business plans such as a bookkeeping business plan to understand how an influencing yet unobtrusive sales strategy is developed.

6.1 Competitive Analysis

  • As per this business plan for an independent Insurance Agency , Lifelong Insurance will strive to be the best and quickest insurance services provider . 
  • Lifelong Insurance will go through clients’ requirements thoroughly before developing a customized insurance package for them.
  • As mentioned in this sample business plan for Insurance Agency, we will hire people who are the most qualified, expert, and experienced for the post.
  • We will build long-lasting relationships with our clients through constant communication. 

6.2 Sales Strategy

This insurance agent marketing plan template includes the following sales strategies:

  • Utilize social media platforms and online web presence.
  • Utilize customer ranking websites such as yelp.com.
  • Request referrals from satisfied customers.
  • Collaborate with local safety institutes.
  • Arrange seminars to spread awareness about insurance packages.

6.3 Sales Monthly

Insurance Agency Business Plan - Sales Monthly

6.4 Sales Yearly

Insurance Agency Business Plan - Sales Yearly

6.5 Sales Forecast

Insurance Agency Business Plan - Unit Sales

All the costs associated with human resources are accounted for in this business plan for an insurance agent.

7.1 Company Staff

Under this Insurance Agency business proposal, these positions will be hired for:

  • 5 Bookkeepers
  • 2 CFP Agents
  • 1 Admin Manager
  • 1 Customer Care Executive

7.2 Average Salary of Employees

Financial plan of insurance agency .

As per this business plan for Insurance Agency template, Lifelong Insurance’s idea is to increase the premium charges on its different services over time to have greater profit margins. This business target stems from the fact that a skilled workforce and a sustainable business cannot be established without monetary resources.

As per this business plan Insurance Agency, the Bells will take several initiatives to boost their sales. If you are entering this venture you must analyze the financial feasibility of your startup by drafting the expected cash flow diagrams, and calculating gross margins.

To see what you must include in your financial plan, you can refer to the Insurance Agency business plan samples available on our website. Moreover, you can also take help from the financial plan documented below.

8.1 Important Assumptions

8.2 break-even analysis.

Insurance Agency Business Plan - Break-even Analysis

8.3 Projected Profit and Loss

8.3.1 profit monthly.

Insurance Agency Business Plan - Profit Monthly

8.3.2 Profit Yearly

Insurance Agency Business Plan - Profit Yearly

8.3.3 Gross Margin Monthly

Insurance Agency Business Plan - Gross Margin Monthly

8.3.4 Gross Margin Yearly

Insurance Agency Business Plan - Gross Margin Yearly

8.4 Projected Cash Flow

Insurance Agency Business Plan - Projected Cash Flow

8.5 Projected Balance Sheet

8.6 business ratios, tips on how to establish a successful insurance agency.

If you are taking a gander to initiate an insurance agency, it is necessary to do an intensive background research to get a good understanding of the insurance sector before getting your feet wet. For instance, before you start offering a particular policy, it is exigent to get to the ground and identify the desideratum of the target customers. It is also a requirement to have a strong business plan that you can employ to run and make decisions in the insurance agency. Check out the samples of insurance agency business plans posted online to know how to design yours.

Having a professional business tactics template will save you on time that you would have spent creating your plan of activities from scratch. If you fancy a customized plan, consider seeking professional insurance agency business plan writing services . As mentioned earlier, one of the bankroll remonstrances of scribbling a contrivance is the amount of time and research that is required. Luckily, there are many professional insurance writers, who operate offline as well as online who can help you write insurance agency business plan samples . The charge for this service might be high, but it is better to spend money on a quality service than scribble a mediocre contrivance that will spell doom for your firm.

insurance agency business plans

Results of a SWOT Analysis

Notictious Insurance Agency is focusing on the identification of the multifarious strengths and weaknesses that could promote the organization or lead to its downfall. As a result, we sort the ministrations of a crackerjack business-consulting organization that did a comprehensive SWOT assay. The results of this analysis will succor tract the concourse for success.

Our team was actively convoluted in the analysis and worked with the counsels to warrant that their recommendations were accurate and in line with the goals.

We take the results of the assay very seriously, and we are committed to making sure that we bring into playing the proposed organization recommendations to the letter.

For any business to succeed in the surpassingly vying and digitalized current business world, it needs to identify its core strengths. Business strength is something that sells to the target customers. Our insurance concourse’s core strength is its workforce, which is our insurance faction. Since our inception, we have engaged a team of experts who are committed and determined to warrant that customers get quality services. We have positioned our insurance organization to inveigle millions of prospects who need insurance agency business plans from the first-day operations. We have also invested in a modern application or software that allows us to streamline our insurance concourses and get in touch with our insurance prospects at any time of the day and without spending a fortune.

As a new insurance concourse in the nation, we will desideratum to generate an effective plan to penetrate the market and succeed in getting customers. We understand the insurance sector is very competitive, but we are sure that we have what it takes to tussle in the business with the other insurance concourses that offer similar policies that we plan to offer.

Opportunities

There are unlimited business scopes for our insurance concourse in the market today. We are prime to make sure that we take ascendancy of all business opportunities that come our way and this will greatly help to warrant that we start and uphold to conceive lucre for decades if not centuries.

A weak and unpredictable mercantile is one of the primary threats that could hogtie the surge of our insurance concourse and the insurance business at large. Every business faces its divvy of presage in spite of the verity that it might have a robust system of tackling the demurs. This is the main reason why institutions and the insurance concourses that we plan to rival in the market carries out risk assessment studies regularly to warrant that the concourse is conscious of the business changes in the market.

Another business fulmination that we are keen on responding to as we progress is the establishment of similar insurance agencies in New York. It is our hope that when that happens, we will have invested in business teams that will generate unique and unrivaled policies, which will keep customers streaming into the company.

Needless to say, the many realistic, implementable and winning business strategies that we have been capable to create and establish as credible ways of interacting with customers will surely give us a higher cutting-edge in the market. By providing quality insurance services to our chumps, we will be capable to expand and surge the business fast and warrant that it continues to reign supreme.

It is also importunate to point out that just like any other business or venture entity; the unstable financial markets are a significant threat. Similarly, economic changes and downturns, climate calamities, as well as government policies that do not favor the institutions are ostensible to affect our insurance provision services, but we are prime to handle them all and warrant that the concourse remains profitable.

Payment Options

By payment options, we are referring to the various channels that our customers will use to pay for premiums that they select. Notictious Insurance Agency takes pride in that we have a solid plan created by our finance department. This plan makes sure the prompt receipt of payments without compromising the safety of our clients.

Below are some of the deposit choices that our customers will have to apply to make payments to us on a monthly or yearly basis.

  • Deposit by via bank transfer
  • Deposit through online bank transfer
  • Deposit through check
  • Deposit through bank draft
  • Deposit with cash
  • Deposit through mobile cash platforms

Culmination of the settlement choices listed above will be through credible and reliable banking platforms as well as organization systems to eliminate any errors from occurring.

Advertising and Promotion Strategy

Although our insurance intermediary is different from the others on the earth, we do plan to make sure that we use media stations to advertise it. We are conscious of the fact that most people make a decision to apply the services of a particular insurance agency business plan given their referrals and reputation. Therefore, we will sweat on creating a good credibility and reputation score in the market to contend with the auxiliary insurance companies.

During the promotion of our insurance products, we intend to leverage in both computerized and print media. Our research has shown us that using this medium will save us hundreds of dollars that we can invest in other activities that will further promote the augmentation of the insurance institution.

Here is a list of the primary platforms that we are going to be using to create a brand acquaintanceship of our insurance company and promote the insurance products to our customers.

  • We will advertise our organization through countrywide television stations, gazettes, magazines, and AM-FM stations
  • We will have our organization TV program that will be discussing the policies that we provide
  • We also going to be actively involved in community-based programs
  • We will employ social media networks such as Twitter and Facebook to advertise our insurance products and organization
  • We will invest in quality billboards that will be installed around the city and in auxiliary areas of the nation that we intend to open the organization offices
  • We will consummate road shows from time to time to showcase our insurance policies to our customers
  • We will disseminate dodgers and pamphlets to our customers on a monthly basis
  • We will expedite rudimentary letters to Diaspora institutions, consulates, and conglomerates to warrant that they too are cognizant of our insurance policies and hopefully they will take up a few
  • We will invest in branded vehicles and also brand the commercial buses
  • We will encourage our loyal customers to market our products to their peers, friends, and colleagues by offering incentives such as discounts.
  • What is the easiest way to complete my insurance business plan?

The easiest way to come up with a business plan is to take one step at a time. Start with developing an executive summary, get an idea of what your company looks like, and take down the ways you can execute your idea. You can hire professional services to get a business plan for a financial advisor . If you know the field, you may also write your business plan after going through a sample business plan template for an Insurance Agency.

  • Where can i download an insurance business plan pdf?  

There are multiple websites where you can find free PDFs for business plans. Whether you are looking for a  holding company business plan or an Insurance Agency sample business plan, you can find the samples by doing a little resear

Download Insurance Agency Business Plan Sample in pdf

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Personal Insurance Agent Business Plan

Start your own personal insurance agent business plan

Plynthe Insurance

Executive summary executive summary is a brief introduction to your business plan. it describes your business, the problem that it solves, your target market, and financial highlights.">.

Plynthe Insurance will be an independent personal insurance brokerage located in Peristyle Gardens and serving the adult population of the town with insurance advice, a variety of policy types, and selection from any insurance provider available on the market. The business will be launched by Kolem Plynthe, a newly licensed insurance agent, as a home-based business and grown in future years to a small office where Plynthe can collaborate with associate agents. Plynthe’s track record as a salesperson positions him well for success in the insurance business.

Plynthe Insurance stands to be a profitable business which will provide salary and dividends for Kolem Plynthe, its sole owner. Salary to Plynthe plus profits will increase moderately but steadily. The business can be launched without external investment or loans, relying only on Plynthe’s savings and personal borrowings. To finance expansion to an office, Plynthe Insurance will require a long-term loan taken out in its second year of operation.

Personal insurance agent business plan, executive summary chart image

Plynthe Insurance will judge its success on meeting the following objectives:

  • Build revenues quickly in the first year of operations.
  • Rent an office and add an associate insurance agent in the second year of operations.
  • Reach revenues double in third year of operations with a reasonable net profit.

The mission of Plynthe Insurance is to create a more protected community by offering property, casualty, and life insurance to residents of Peristyle Gardens from a wide range of insurance sources.

Keys to Success

To achieve its objectives, Plynthe Insurance will follow these principles:

  • Remain independent of direct affiliate ties to any specific insurance providers
  • Think of each client’s needs holistically to consider all the potential risks in their lives
  • Maintain a reputation of care, fairness, empathy, and expertise

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Company summary company overview ) is an overview of the most important points about your company—your history, management team, location, mission statement and legal structure.">.

Plynthe Insurance is founded by Kolem Plynthe as a local, independent insurance agent providing personal insurance products to residents of Peristyle Gardens and its neighboring towns. The business will begin as a home-based business with Kolem Plynthe as the owner and only employee, and continue to grow through the establishment of a local office and the addition of associate agents to better serve the community. Kolem Plynthe is an experienced salesperson and newly certified insurance agent. The business will broker insurance purchases for property insurance (home & contents, valuable possessions, renter’s insurance), personal liability, and life insurance.

Company Ownership

Plynthe Insurance is founded and owned entirely by Kolem Plynthe. The business is currently incorporated as a sole proprietorship with a registered DBA, but will reincorporate as an LLC when there is a need to hire additional employees and open an office.

Start-up Summary

Plynthe Insurance requires very little in the way of start-up funding. Expenses include the licenses for Kolem Plynthe and the business, business insurance, stationery (business cards and brochures), and a basic website. Rent will not be required at the outset as Kolem Plynthe will operate out of a home office. Most of the start-up funding is required to cover operating expenses until break even is achieved halfway through the first year of operation.

Personal insurance agent business plan, company summary chart image

Plynthe Insurance will offer the following personal insurance products:

1. Home and Contents:

  • Homeowner’s Insurance
  • Condo Insurance
  • Cooperative Insurance
  • Renter’s Insurance
  • Seasonal and Secondary Locations
  • Flood Insurance

2. Valuable Items:

  • Other Collectible Items

3. Personal Liability

4. Life Insurance

  • Variable Life
  • Second-to-Die

5. Long-term Care

6. Long-term Disability

All of these products will be offered to individuals and not businesses. The insurance products will be provided by any of the major insurance providers in existence, with attention paid to smaller providers who offer specialized insurance products.

While offering these products, Plynthe Insurance will provide the following services:

  • Consult with clients on their insurance needs to determine a course of action
  • Assist existing clients with insurance claims and understanding their insurance policy
  • Referring clients to additional providers who can reduce their risk (locksmiths, security professionals, etc.)

Market Analysis Summary how to do a market analysis for your business plan.">

The market for personal insurance consists of all adult individuals, potentially, as there are products available which are appropriate for every type of person from the moment they leave their parents’ home to the day they die. Therefore, the market for an insurance agent selling personal insurance in Peristyle Gardens is synonymous with the adult population of Peristyle Gardens. In 2008, the population of adults (18 and older) in the town was estimated at 57,500. The town has an overall annual growth rate of 2% due to new developments in the town and an aging population with ever-increasing life expectancies.

Within this target market, the market segments on which Plynthe Insurance will focus include renters, homeowners, individuals over 40 years of age, and new parents/parents-to-be.

Market Segmentation

The market segments described include a great deal of overlap. For example, many adults over the age of 40 are also homeowners and the remainder are renters. The new parent segment are also either homeowners or renters, generally. Each segment has different needs for insurance products, however, and those who fall into more than one segment have a need for more than one product.

Personal insurance agent business plan, market analysis summary chart image

Target Market Segment Strategy

Plynthe Insurance will focus its initial marketing on those at the younger end of the spectrum, including renters and new parents/parents-to-be. The strategy will be to begin by selling renter’s insurance and life insurance to clients and then earn their ongoing trust in order to sell additional insurance policies to them as new needs arise. Younger clients will also serve as a longer annuity as insurance policies are renewed year after year.

As these clients increase in age they will have growing needs for homeowner’s insurance, valuable items insurance, life insurance, and, eventually, long-term care and long-term disability.

Service Business Analysis

The United States Department of Labor offers the following summary of the insurance industry:

Most people have their first contact with an insurance company through an insurance sales agent. These workers help individuals, families, and businesses select insurance policies that provide the best protection for their lives, health, and property. Insurance sales agents, commonly referred to as “producers” in the insurance industry, sell one or more types of insurance, such as property and casualty, life, health, disability, and long-term care. Property and casualty insurance agents sell policies that protect individuals and businesses from financial loss resulting from automobile accidents, fire, theft, storms, and other events that can damage property. For businesses, property and casualty insurance can also cover injured workers’ compensation, product liability claims, or medical malpractice claims. Life insurance agents specialize in selling policies that pay beneficiaries when a policyholder dies. Depending on the policyholder’s circumstances, a cash-value policy can be designed to provide retirement income, funds for the education of children, or other benefits as well. Life insurance agents also sell annuities that promise a retirement income. Health insurance agents sell health insurance policies that cover the costs of medical care and loss of income due to illness or injury. They also may sell dental insurance and short-term and long-term-disability insurance policies. Agents may specialize in any one of these product areas, or function as generalists, providing multiple products to a single customer. An increasing number of insurance sales agents are offering comprehensive financial planning services to their clients. These services include retirement planning, estate planning, and assistance in setting up pension plans for businesses. As a result, many insurance agents are involved in “cross-selling” or “total account development”. Besides offering insurance, these agents may become licensed to sell mutual funds, variable annuities, and other securities. This practice is most common with life insurance agents who already sell annuities, but many property and casualty agents also sell financial products. Insurance sales agents also prepare reports, maintain records, and seek out new clients. In the event that policy holders experience a loss, agents help them settle their insurance claims. Increasingly, some agents are also offering their clients financial analysis or advice on how to minimize risk. Insurance sales agents working exclusively for one insurance company are referred to as captive agents . Independent insurance agents, or brokers , represent several companies and match insurance policies for their clients with the company that offers the best rate and coverage. Technology has greatly affected the insurance business, making it much more efficient and giving the agent the ability to take on more clients. Agents’ computers are now linked directly to insurance carriers via the Internet, making the tasks of obtaining price quotes and processing applications and service requests faster and easier. Computers also allow agents to be better informed about new products that the insurance carriers may be offering. The growing use of the Internet in the insurance industry has altered the relationship between agent and client. Agents formerly used to devote much of their time to marketing and selling products to new clients. Now, clients are increasingly obtaining insurance quotes from a company’s Web site and then contacting the company directly to purchase policies. This interaction gives the client a more active role in selecting their policy, while reducing the amount of time agents spend actively seeking new clients. Insurance sales agents also obtain many new accounts through referrals, so it is important that they maintain regular contact with their clients to ensure that the clients’ financial needs are being met. Developing a satisfied clientele that will recommend an agent’s services to other potential customers is a key to success for agents.

The Department of Labor reports that there were 436,000 insurance sales agents in 2006 and that approximately 50% of them were independent agents or worked for brokerages. Urban areas tend to have a greater concentration of insurance agents. Peristyle Gardens has approximately 28 insurance agents (or roughly 1 for every 2,000 residents). However, these agents do not all offer the same products as Plynthe Insurance.

Competition and Buying Patterns

Customers seek insurance through one or more of the following:

  • Referrals from trusted friends, family, and colleagues
  • Brand names of national companies (Allstate, State Farm, Geico, Progressive, etc.)
  • Local office location

The greater the insurance need of an individual, the more likely they are to seek a local office where they can meet with an agent and discuss their needs in person. For the target markets of renters and new parents/parents-to-be in Peristyle Gardens, the primary competition will come from national insurance carriers rather than other independent agents.

Strategy and Implementation Summary

To implement its launch in Peristyle Gardens, Plynthe Insurance intends to target clients on the younger side of the total potential market in order to build up a client base for long-term service. This is also a target market that is ignored by other local independent insurance agents, making it easier to establish a foothold in the market this way. This implementation will include:

  • Advertising to new parents/parents-to-be (in need of life insurance) and renters (in need of renters insurance)
  • Sell additional insurance policies to these clients as the years go on
  • Maintain a high policy renewal rate and high client retention rate through excellent service

Competitive Edge

Plynthe Insurance will establish its competitive edge through a single-minded focus on personal insurance. By being and staying an expert on personal insurance products and providers, Plynthe Insurance will be a one-stop-shop for individuals looking to minimize the risks in their lives for themselves and for their families. To maintain this expertise, Plynthe Insurance will devote time and energy to training and course work, and will subscribe to trade periodicals and newsletters. Plynthe Insurance will also spend time learning about the specific risks and problems associated with Peristyle Gardens in order to better serve its residents.

Marketing Strategy

The marketing strategy for Plynthe Insurance involves an initial focus on the target markets chosen, new parents/parents-to-be and renters. Renters require renter’s insurance and valuable items insurance. It is often the first time they will have purchased insurance in their lives. New parents require life insurance to protect their family and their children. Both groups may only purchase policies with small premiums at the moment, but their loyalty will turn into an annuity of renewals and opportunities to sell additional policies as they age.

To reach these target markets, Plynthe Insurance will engage in the following tactics:

  • Advertising in Peristyle Gardens parent newsletters
  • Posting flyers at apartment buildings
  • Direct mail to apartment tenants and inclusion in books of coupons/flyers provided to new tenants
  • Creating a basic website
  • Search engine marketing: Bidding for keywords about renter’s and life insurance locally to come up in search results
  • Yellow Pages listing

Sales Strategy

The sales strategy of Plynthe Insurance will be an aggressive one based on profiling and targeting individuals in the initial target market. Kolem Plynthe will have initial phone conversations with clients and then meet them at their home or office to discuss further. He will bring his laptop with him to all sales calls to search for insurance options for clients on the spot whenever possible.

Potential, actual, and past clients will all be managed through a CRM database in salesforce.com which will contain contact information and data on the relationship, and will generate reminders for follow-ups and next steps automatically.

Kolem Plynthe will encourage referrals through his interactions with clients by asking them directly and by offering gifts to those who refer clients.

Sales Forecast

Property insurance and life insurance will be the main drivers of business. Customers who use other products will typically be customers who have first purchased property or life insurance. Cost of sales is low as the revenues earned come directly from the insurance providers generally as a commission on the policies sold and renewed. The commissions will range between 4% and 7% depending on the insurance provider, but Plynthe estimates an average of a 5% commission on policies sold, leading to the per unit commissions listed in the forecast. Cost of sales consist of the fees involved with submitting and processing a client’s paperwork and the costs of travel (gasoline/tolls) that can be directly attributed to sales calls at client homes and is estimated to start at 16% of sales in the first year and to drop to 15% in future years as travel costs can be saved due to the volume of sales calls being made as well as some clients who do not need sales visits due to renewals.

By building business through Kolem Plynthe’s own sales work and then through an additional associate, the business is expected to significantly grow its revenue streams, especially in the target market of younger clients, in these first three years of operation.

Personal insurance agent business plan, strategy and implementation summary chart image

The marketing activities listed in the Milestones Table are all intended to be low cost methods to establish an initial client base. They are intended as one-time activities with the exception of search engine marketing which will continue with a dedicated budget of $500 per month and advertising in parent periodicals which may continue with $500 per month devoted to it after the launch.

Personal insurance agent business plan, strategy and implementation summary chart image

Management Summary management summary will include information about who's on your team and why they're the right people for the job, as well as your future hiring plans.">

Kolem Plynthe will be the only employee of Plynthe Insurance in its first year. He will continue to direct the company going forward and will bring on an associate agent in the second year of operation. This agent will prospect, sell, and fulfill policy requests for clients and will answer questions of clients just as Kolem Plynthe will. However, Plynthe will manage the marketing and finances of the firm and will set guidelines for training and education which the associate agent must follow.

Personnel Plan

Kolem Plynthe will escalate his salary as the year goes forward. Although the business is currently a sole proprietorship, his salary is recorded to better illustrate the tax burden he will face. The associate agent will be compensated with a base salary, a 5% commission on sales, and a percentage of net profits which will increase based on performance. The associate agent will have an initial salary of $50,000 per year, but will be hired part way into the second year of operation.

Training for the associate agent (and future associate agents) will begin with direct, on the job training by Kolem Plynthe on sales calls. Ongoing training will include required course work to maintain certification as well as additional events in the community, conferences, and reading material.

Financial Plan investor-ready personnel plan .">

The business will finance its growth from a combination of the free cash flows generated by the business and a loan taken out in the second year to finance the move to a small office space in Peristyle Gardens. Beyond the first three years, growth will be possible by adding more agents and moving to a larger office space when the initial space is no longer adequate (when a third associate must be added).

The business is not well positioned for a sale as it will be built on the expertise of Kolem Plynthe. However, profits may become extensive when the appropriate scale is achieved and the business can expand to additional personal insurance products or financial advisory services.

Start-up Funding

Plynthe Insurance will be launched with Kolem Plynthe’s own resources, including credit card debt, personal savings, and some credit extended by vendors providing start-up services.

Important Assumptions

This plan assumes the following:

  • That younger residents of Peristyle Gardens will value the personal attention (coupled by the lure of the best priced insurance) offered by Plynthe Insurance rather than go straight to brand name carriers
  • That enough young residents will remain in Peristyle Gardens (move from renting to owning) and grow families to make the focus on young residents worthwhile in the long run

Break-even Analysis

As shown below a low monthly break even point leads to break even from a profit perspective in the nineth month of operation.

Personal insurance agent business plan, financial plan chart image

Projected Profit and Loss

Net profit will be on top of a healthy salary for Kolem Plynthe, showing that the business will be well worth the small initial investment to launch. Gross margins are very high (as is standard for the insurance brokerage industry) and overhead is rather low. The main costs will be payroll for the insurance agents. Lower salaries can be paid in the future for new associate agents as less experienced, but malleable, agents are brought into the business.

Personal insurance agent business plan, financial plan chart image

Projected Cash Flow

The projected cash flow shows the business investing in additional assets (furniture, computers, equipment) in the second year and third year to equip the office. While the cash balance of the business is low, the salary paid to Kolem Plynthe will act as a safety valve and can be reduced if the cash is not currently available.

Personal insurance agent business plan, financial plan chart image

Projected Balance Sheet

The balance sheet reflects that assets will not need to be purchased until the second year when the business moves from the home office of Kolem Plynthe to a small commercial office space in Peristyle Gardens.

Business Ratios

The business rations for Plynthe Insurance are compared here against insurance agencies and brokerages (NAISC industry code 534210, SIC code 6411) of under $500,000 annual revenue. The accounts receivable ratio for the business is higher than the industry average as all accounts will be paid out of commissions from insurance providers after the policies have been processed and bills put through their systems. Also, the fact that the industry average S G & A expense and Advertising expense is much lower (as a percentage of sales) than that of Plynthe Insurance shows that the business can grow to a much greater scale, spreading its current relatively fixed costs over more agents and becoming more profitable in the process. As the business grows, this will be possible.

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sample business plan for an insurance agency

A comprehensive guide to small business insurance: Here’s how to safeguard your company

sample business plan for an insurance agency

Starting your own business requires a significant investment of both time and money. Millions of people continue to step up to the challenge with 33 million small businesses active in the U.S. as of 2023. However, without a proper business insurance plan in place, you risk losing everything you worked so hard to build. 

According to a survey released by Next Insurance , 90% of business owners weren’t sure if they had adequate coverage. Worse, 29% had no business insurance coverage at all, leaving their business and investments vulnerable to natural disasters, theft or lawsuits.

Small business insurance provides critical protection for your business, but there are several different types of coverage. Understanding the options available and what to expect in terms of cost can help you find the right coverage for your business (and your budget).  

7 common types of small business insurance

A customer visits your store and slips and breaks his arm while browsing the store aisles. 

A fire breaks out and spreads to your warehouse, destroying your inventory. 

Or a thief breaks into the office and steals your laptop. 

Whatever the case may be, there are many unexpected and horrifying scenarios that can threaten your business. 

Like your personal car or homeowners insurance policy, small business insurance acts as a safety net for your business, protecting your business property and assets against common disasters or accidents. 

Whether you’re the sole employee of your own company or you have dozens of workers, your small business likely needs some form of protection. What kind of insurance your business needs depends on the type of work you do, the size of your operation and your location. These are some of the most common business insurance options:

Business owners policies (BOPs)

A BOP is actually an insurance package that combines several forms of coverage together, making it a simple option for small business owners. BOPs usually include general liability, property insurance and business interruption insurance. 

BOPs are often more cost-effective than purchasing each type of coverage separately, and you can customize your BOP with optional add-ons, such as cyber risk insurance or commercial auto coverage . 

General liability

General liability insurance protects you against financial losses that may result from bodily injuries or property damage that occur due to your business. For example, if a client is injured on your business premises, general liability coverage would help cover your legal bills, the medical bills of the affected person and any damages resulting from a lawsuit. 

Product liability

If you produce or sell products, product liability coverage protects you against losses that result from products that you make, distribute or sell. For example, if a customer needs medical attention after getting hurt by a product you manufactured, product liability insurance would help you with the legal and medical expenses. 

Professional liability 

Professional liability insurance covers your legal expenses and damages related to issues that result from your professional negligence or mistakes. 

Commercial property

If your business property, equipment or inventory is damaged by a storm, fire or theft, commercial property insurance will reimburse you for your losses. 

Home-based business

According to the Small Business Administration , more than half of all small businesses are home-based. If you run your business from your home, you’ll need separate coverage from your personal homeowners or renters insurance policy . 

Home-based business insurance provides added protection for your business equipment and supplies, as well as protection against liability issues that aren’t covered by your personal policies. 

Workers’ compensation

If you have employees, you’re usually required to have workers’ compensation insurance. Workers’ compensation pays for your employees’ medical care and a portion of their wages if they’re injured or become ill while working. 

Other types of coverage

Beyond the seven main types of small business insurance, there are many other types of coverage. If your company works in particular industries or has specialized needs, you may need additional insurance. Some common add-ons include: 

  • Business interruption: If your business were forced to close due to a covered reason, such as storm damage, business interruption coverage will help cover your lost income. 
  • Commercial auto: If you have vehicles that you use for your business, including delivery trucks, you’ll need a separate commercial auto policy. 
  • Cyber liability: For businesses that sell or store customer information online, cyber liability insurance is a must. If your information — or your customers’ details — are compromised, cyber insurance covers the costs of system recovery efforts, notification expenses, fines and identity theft protection for your affected customers. 

How to purchase small business insurance 

To purchase small business insurance, follow these steps: 

  • Think about what coverage you need: Consider what kinds of insurance you need. For example, if you have company vehicles, you’ll likely need commercial auto coverage in addition to general liability and professional liability policies. And if your business operates in areas that are prone to natural disasters, such as floods or earthquakes, you may need separate commercial policies for those issues too. 
  • Shop around: Prices can vary significantly by insurer. Many insurers allow you to request quotes for small business insurance online; enter information about your company’s age, revenue, industry and employees, and the insurer will give you an estimate for your desired coverage. 
  • Contact an agent or broker: Once you know what kind of insurance you need, you can reach out to commercial insurance brokers or company agents to get exact pricing details and purchase a policy. 

According to Mark Friedlander, director of corporate communications with the Insurance Information Institute , a broker can be a valuable resource as you begin the process. 

“A qualified broker can help a business owner collect all the information they will need to apply for a policy, and help them comparison shop among several options and quotes,” he said. “Before hiring [a broker], we recommend reviewing the broker’s background and experience as well as the services provided and any fees charged.”

The National Association of Insurance Commissioners has a tool you can use to find insurance agents and brokers in your area. 

Small business insurance FAQs  

Do i need small business insurance if i’m just starting out.

Many people put off purchasing coverage because of the expense, but according to Chris Rhodes, chief insurance officer of NEXT Insurance, that mindset could be a costly mistake. 

“Purchasing insurance should be one of, if not the first, things on your checklist as a new business owner,” he said. “Regardless of revenue or investment level, having insurance is crucial for protecting your future livelihood.”

At a minimum, simple BOP coverage or other basic forms of coverage are a good starting point. 

“As a rule of thumb, small business owners should purchase general liability or professional liability coverage as a first line of defense,” Rhodes said. 

How much does small business insurance cost?

The cost of small business insurance depends on several factors, including your company’s location, size and industry. BOP coverage, which bundles common insurance types onto one simple policy, typically costs between $40 and $170 per month.

What factors affect small business insurance costs?

Several factors affect cost, including: 

  • Service or product provided: Certain industries or business types, such as those in construction or transportation, are more likely to be involved in accidents, so premiums tend to be more expensive to offset the higher risk. 
  • Location: If you live in an area with a high cost of living or with a higher-than-average crime rate, your premiums will typically be higher. 
  • Size: If you have employees, your premiums will be much higher than that of a business owner who is a solopreneur. The larger the company, the more expensive your premiums will be. 

Does my state require business insurance?

If you have employees, federal law requires you to have workers’ compensation, unemployment and disability insurance. But in some states, certain professions have additional insurance requirements. 

For example, in Colorado, physicians are required to have malpractice insurance. In Oregon, 

lawyers must maintain malpractice insurance with the state Professional Liability Fund. 

Visit your state professional association or regulatory commission to find out what coverage you’ll need. 

Do freelancers need business insurance?

Freelancers can benefit from business insurance, even if they don’t work in-person with customers. Basic coverage, including professional liability coverage, can protect against issues like lawsuits over mistakes or errors. 

The takeaway  

To ensure your business isn’t stalled or disrupted by weather, theft, accidents or lawsuits, small business insurance is a crucial purchase. As you begin shopping for insurance, request quotes from leading small business insurance companies . 

“As a general rule,” Friedlander said, “small business owners should get business insurance quotes from at least three different companies.”

Shopping around will help you find the best coverage at the lowest rate.

EDITORIAL DISCLOSURE : The advice, opinions, or rankings contained in this article are solely those of the Fortune Recommends ™ editorial team. This content has not been reviewed or endorsed by any of our affiliate partners or other third parties.

Guide to small business insurance

The 10 best insurance companies for small businesses, 5 best small business insurance companies in california of 2024, 5 best small business insurance companies in new jersey of 2024, a comprehensive guide to small business insurance: here's how to safeguard your company.

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Sample Digital Marketing Agency Business Plan

Digital Marketing Agency Business Plan

Writing a business plan is a crucial step in starting a digital marketing agency. Not only does it provide structure and guidance for the future, but it also helps to create funding opportunities and attract potential investors. For aspiring digital marketing agency owners, having access to a sample digital marketing agency business plan can be especially helpful in providing direction and gaining insight into how to draft their own digital marketing agency business plan.

Download our Ultimate Digital Marketing Agency Business Plan Template

Having a thorough business plan in place is critical for any successful digital marketing agency venture. It will serve as the foundation for your operations, setting out the goals and objectives that will help guide your decisions and actions. A well-written business plan can give you clarity on realistic financial projections and help you secure financing from lenders or investors. A digital marketing agency business plan example can be a great resource to draw upon when creating your own plan, making sure that all the key components are included in your document.

The digital marketing agency business plan sample below will give you an idea of what one should look like. It is not as comprehensive and successful in raising capital for your digital marketing agency as Growthink’s Ultimate Digital Marketing Agency Business Plan Template , but it can help you write a digital marketing agency business plan of your own.

Example – ClickPulse Strategies

Table of contents, executive summary, company overview, industry analysis, customer analysis, competitive analysis, marketing plan, operations plan, management team, financial plan.

Welcome to ClickPulse Strategies, our innovative digital marketing agency based in the heart of Washington, DC. We identified a niche in the local market for premium digital marketing services and have positioned ourselves to meet this demand. Our mission is to amplify our clients’ online presence through a comprehensive suite of services including Search Engine Optimization (SEO), Social Media Marketing (SMM), and Pay-Per-Click Advertising (PPC). We are dedicated to providing tailored strategies and personalized attention to our clients, ensuring they achieve their digital marketing goals. With our strategic location in Washington, DC, we have a unique insight into the local market dynamics, which enables us to serve our clients with the understanding and efficiency they deserve.

Our foundation is solidly built on the rich experience of our founder, who previously led a successful digital marketing agency. This experience is crucial to our confidence in steering our clients towards success. Since our inception on January 5, 2024, we have achieved significant milestones including the development of our unique company logo, securing a prime office location, and crafting a distinct company name. These accomplishments, though early in our journey, have laid a strong foundation for our future growth. Our comprehensive range of services, coupled with our commitment to excellence, sets us apart from competitors, making us the preferred choice for businesses seeking to enhance their digital presence.

The Digital Marketing Agency industry in the United States is valued at over $50 billion, reflecting the critical role of digital marketing in today’s business landscape. With a projected compound annual growth rate of 10% over the next five years, the industry is on a steady trajectory of growth, driven by the widespread adoption of digital technologies, the rise of social media, and the emphasis on data-driven marketing strategies. Trends such as personalized marketing campaigns, artificial intelligence, and mobile marketing align well with our services at ClickPulse Strategies. Located in Washington, DC, we are perfectly positioned to leverage these industry trends to offer innovative solutions to businesses aiming to enhance their online visibility and engagement.

At ClickPulse Strategies, we target a diverse clientele including local residents of Washington, DC, small to mid-sized businesses, non-profit organizations, and educational institutions. Our tailored services are designed to meet the unique digital marketing needs of each group, ensuring high engagement and satisfaction. By focusing on the specific goals and audiences of our clients, we provide customized digital marketing solutions that significantly improve their online presence and customer engagement, making digital marketing accessible and effective for everyone.

Our main competitors in the Washington, DC area include Alliance Interactive, Elevation, and Capital Practice Consulting, each offering specialized digital marketing services. Despite their strengths, ClickPulse Strategies differentiates itself through a comprehensive suite of services, expertise in the latest digital trends, and a commitment to delivering measurable results. Our wide array of services, from SEO to PPC and content marketing, enables us to serve a broad range of clients, ensuring their digital marketing needs are met efficiently and effectively. Our approach is holistic and integrated, setting us apart as a leader in the digital marketing domain.

ClickPulse Strategies offers a range of digital marketing services including SEO, SMM, and PPC, tailored to enhance our clients’ online presence. Our pricing is transparent, with services such as SEO ranging from $1,000 to $2,500 per month, SMM from $500 to $1,500 per month, and PPC from $1,000 to $2,000 per month, excluding ad spend. We are committed to delivering measurable results and helping our clients succeed in the competitive digital landscape. To attract customers, we will leverage online marketing strategies including SEO, PPC, social media, content marketing, and email marketing. We will also engage in networking events and workshops in Washington, DC, to showcase our expertise and build personal relationships with potential clients. Our promotional efforts are designed to build a community around our brand, establish ClickPulse Strategies as a thought leader, and drive profitable customer action.

Our operational processes are designed to ensure the smooth running of ClickPulse Strategies and include maintaining constant communication with clients, conducting market research, developing and executing campaigns, analyzing data, and managing finances. We will focus on building a talented team, developing strategic partnerships, and implementing scalable processes. Our milestones for the coming months include launching our business, securing initial client contracts, developing a skilled team, forming partnerships, and achieving operational profitability. These steps will help us build a strong foundation, mitigate startup risks, and position ourselves for sustainable growth and success.

Under the leadership of Harper Lewis, our President, ClickPulse Strategies boasts a management team with a wealth of experience and a proven track record in digital marketing. Lewis’s extensive background in leading a successful digital marketing agency equips him with the expertise necessary to navigate the complexities of the industry. His leadership ensures that we are well-positioned to achieve our long-term business objectives and sustain success in the competitive digital marketing landscape.

Welcome to ClickPulse Strategies, a fresh face in the digital marketing landscape stationed right here in Washington, DC. As a local digital marketing agency, we’ve observed a gap in the market for high-quality services within our area, and we’re here to fill that void. Our mission is to elevate our clients’ online presence, ensuring they stand out in today’s competitive digital world.

At ClickPulse Strategies, our offerings are designed to cover all the bases of digital marketing. Our services include Search Engine Optimization (SEO) to ensure your website ranks high in search results, Social Media Marketing (SMM) to engage and grow your audience on platforms where they spend their time, and Pay-Per-Click Advertising (PPC) to give you an immediate boost in visibility. We understand that each client has unique needs, and we’re prepared to cater to those with our comprehensive range of services.

Our home and heart lie in Washington, DC. This strategic location allows us to serve customers right here in the nation’s capital, providing us with a unique understanding of the local market dynamics. Our proximity to our clients ensures we can offer them the personalized attention and tailored strategies they deserve.

Why are we uniquely qualified to steer your digital marketing efforts towards success? Firstly, our founder brings invaluable experience from previously running a successful digital marketing agency. This experience is the cornerstone upon which ClickPulse Strategies is built. Furthermore, we pride ourselves on offering superior marketing services compared to our competitors. Our wide array of services ensures we can meet the diverse needs of our clients, setting us apart as a versatile and competent agency.

ClickPulse Strategies officially came into existence on January 5, 2024, adopting the legal structure of an S Corporation. Since our inception, we’ve hit several key milestones, including the development of our distinct company logo, the creation of our unique company name, and securing a prime location for our operations. These accomplishments, though early in our journey, lay a solid foundation for our future endeavors.

The Digital Marketing Agency industry in the United States is currently estimated to be worth over $50 billion. This figure reflects the growing importance of digital marketing in reaching and engaging with consumers in today’s digital age. With businesses increasingly shifting their advertising budgets towards online platforms, the demand for digital marketing services continues to rise.

Market research projects that the Digital Marketing Agency industry in the United States is expected to experience steady growth in the coming years. Forecasts suggest that the industry will grow at a compound annual growth rate of 10% over the next five years, reaching a value of over $80 billion by 2025. This growth is driven by factors such as the increasing adoption of digital technologies by businesses, the rise of social media platforms, and the growing importance of data-driven marketing strategies.

Recent trends in the Digital Marketing Agency industry, such as the focus on personalized marketing campaigns, the use of artificial intelligence and machine learning technologies, and the emphasis on mobile marketing, all bode well for ClickPulse Strategies. As a new Digital Marketing Agency serving customers in Washington, DC, ClickPulse Strategies is well-positioned to capitalize on these trends and offer innovative digital marketing solutions to businesses looking to enhance their online presence and reach their target audience effectively.

Below is a description of our target customers and their core needs.

Target Customers

ClickPulse Strategies will target a diverse range of customers, with local residents of Washington, DC being a primary focus. These residents are often looking for reliable and easily accessible digital marketing solutions to promote personal projects, small businesses, or events. ClickPulse Strategies will tailor its services to meet the unique needs of this demographic, ensuring high engagement and satisfaction.

In addition to local residents, ClickPulse Strategies will also serve small to mid-sized businesses operating within the Washington, DC area. These businesses, ranging from startups to more established companies, require sophisticated digital marketing strategies to compete effectively in their respective markets. The agency will offer customized digital marketing solutions that align with their specific business goals and target audience, ensuring a significant improvement in their online presence and customer engagement.

Furthermore, ClickPulse Strategies will target non-profit organizations and educational institutions in Washington, DC. These entities are in constant need of digital marketing services to boost their fundraising campaigns, promote events, and increase overall awareness. The agency will provide specialized services that not only cater to their unique needs but also fit their often limited budgets, making digital marketing accessible and effective for them.

Customer Needs

ClickPulse Strategies recognizes the increasing demand for high-quality digital marketing services among businesses looking to stand out in the competitive Washington, DC market. Clients can expect a comprehensive suite of services tailored to elevate their online presence, from cutting-edge SEO strategies to impactful social media campaigns. This approach ensures that businesses not only reach but engage their target audience effectively, driving growth and increasing visibility.

In addition to providing top-tier digital marketing solutions, ClickPulse Strategies understands the importance of data-driven decision-making. Clients have access to detailed analytics and reporting tools, enabling them to make informed choices about their marketing strategies. This level of insight helps businesses optimize their campaigns for better performance, ensuring a higher return on investment and a deeper understanding of their customer base.

Moreover, ClickPulse Strategies places a significant emphasis on customer service and collaboration. Clients can expect personalized support tailored to their specific needs and goals, ensuring a partnership that feels both empowering and productive. This focus on building strong, communicative relationships helps ensure that each marketing initiative is aligned with the client’s vision, fostering innovation and creativity in every campaign.

ClickPulse Strategies’s competitors include the following companies.

Alliance Interactive offers a comprehensive range of digital marketing services, including website design and development, SEO, content marketing, and brand strategy. Their price points vary depending on the complexity and scope of the project, with custom solutions tailored to meet the needs of each client. They generate revenue by offering these bespoke services, focusing on delivering high-quality, results-driven solutions. Alliance Interactive is headquartered in Washington, DC, and serves clients globally, with a strong presence in the North American market. Their customer segments include small to medium-sized businesses, non-profits, and large enterprises across various industries. A key strength of Alliance Interactive is their emphasis on creating engaging digital experiences that drive user engagement and conversion. However, their bespoke approach might be perceived as a weakness by clients looking for more standardized, cost-effective solutions.

Elevation specializes in web design, digital marketing, and branding services for non-profits and social enterprises. They offer a sliding scale pricing model to accommodate the budget constraints of their target clients, making their services accessible to organizations of different sizes. Elevation’s revenue comes from a mix of project-based work and ongoing support services. Located in Washington, DC, Elevation has carved out a niche for itself by serving non-profits and social enterprises both locally and across the United States. Their key strength lies in their deep understanding of the unique challenges and opportunities within the non-profit sector. However, their niche focus might limit their appeal to a broader range of potential clients outside the non-profit and social enterprise sectors.

Capital Practice Consulting focuses on digital marketing solutions for healthcare providers and medical practices. Their services include SEO, social media marketing, website design, and online reputation management. Pricing is project-based, with options for ongoing management services, allowing for flexibility based on the specific needs of healthcare professionals. They generate revenue through a combination of upfront project fees and recurring management fees. The company operates primarily in the Washington, DC area but serves clients across the United States. Their customer segments include individual healthcare practitioners, small to medium-sized medical practices, and healthcare organizations. Capital Practice Consulting’s strength lies in their specialized knowledge of the healthcare industry, which enables them to provide tailored marketing solutions that adhere to industry regulations. A potential weakness is their industry-specific focus, which might not appeal to clients outside the healthcare sector looking for more generalized digital marketing services.

Competitive Advantages

At ClickPulse Strategies, we pride ourselves on delivering unparalleled marketing services that distinctly set us apart from our competitors. Our proficiency stems from a deep understanding of the dynamic digital landscape and an unwavering commitment to staying ahead of industry trends. This expertise allows us to craft innovative, results-driven strategies tailored to each client’s unique needs. We believe that our ability to generate measurable outcomes, from increased brand visibility to substantial growth in customer engagement and conversion rates, stands as a testament to the superiority of our services. Our team’s dedication to excellence ensures that we not only meet but exceed client expectations, establishing us as a leader in the digital marketing domain.

Moreover, our comprehensive suite of services encompasses everything from search engine optimization and social media marketing to email marketing and content creation. This versatility enables us to serve a diverse range of clients, from startups seeking to establish their online presence to established brands aiming to enhance their digital footprint. Our approach is holistic; we consider every facet of digital marketing to ensure a cohesive and integrated strategy that amplifies our clients’ online influence. By offering such a wide array of services, we eliminate the need for businesses to juggle multiple agencies, providing a streamlined, efficient, and more effective marketing solution. Our commitment to innovation, coupled with our broad service offering, positions ClickPulse Strategies as a premier choice for businesses aiming to achieve unparalleled digital success.

Our marketing plan, included below, details our products/services, pricing and promotions plan.

Products and Services

At ClickPulse Strategies, we specialize in providing comprehensive digital marketing services designed to enhance our clients’ online presence and drive their business growth. Our core offerings encompass Search Engine Optimization (SEO), Social Media Marketing (SMM), and Pay-Per-Click Advertising (PPC), each tailored to meet the unique needs and objectives of our customers.

Our Search Engine Optimization (SEO) services are essential for businesses aiming to increase their visibility in search engine results, attract more website traffic, and improve their online authority. We employ the latest SEO strategies and practices to ensure that our clients’ websites rank highly for relevant keywords and phrases. Clients can expect to invest an average of $1,000 to $2,500 per month for our SEO services, depending on the scope and complexity of their project.

Social Media Marketing (SMM) is another key service we offer, designed to help businesses expand their reach, engage with their audience, and build their brand across various social media platforms. Our team crafts customized social media strategies that align with our clients’ brand values and business goals, ensuring a cohesive and effective online presence. For our SMM services, clients can anticipate an average cost of $500 to $1,500 per month, based on the extent of the campaign and the number of platforms managed.

Pay-Per-Click Advertising (PPC) is a powerful tool for driving targeted traffic to our clients’ websites and generating leads or sales in a cost-effective manner. We manage every aspect of our clients’ PPC campaigns, from keyword research and ad creation to optimization and analytics. Our expertise in PPC ensures that our clients achieve a high return on investment. The average price for our PPC services ranges from $1,000 to $2,000 per month, excluding ad spend, which varies based on the campaign’s scale and objectives.

At ClickPulse Strategies, we pride ourselves on offering transparent pricing and customized digital marketing solutions that cater to the specific needs of our clients. We are dedicated to delivering measurable results and helping our clients succeed in the competitive digital landscape.

Promotions Plan

ClickPulse Strategies embarks on a dynamic journey to attract customers through a comprehensive suite of promotional methods tailored to highlight its expertise in the digital realm. Central to its strategy, online marketing emerges as a pivotal tool, leveraging the vast potential of the internet to reach a broad audience with precision and efficiency. This agency understands the power of digital visibility and will employ a multi-faceted online marketing approach to ensure its message resonates with its target market.

At the heart of its online marketing endeavors, ClickPulse Strategies will harness the capabilities of search engine optimization (SEO) to improve its website’s ranking on search engines like Google. This ensures that when potential clients search for digital marketing services in Washington, DC, ClickPulse Strategies appears prominently in their search results. Additionally, the agency will utilize pay-per-click (PPC) advertising to instantly increase its visibility online. By carefully selecting relevant keywords, ClickPulse Strategies aims to appear at the top of search results, driving targeted traffic to its website efficiently.

Social media marketing will play a crucial role in ClickPulse Strategies’ promotional efforts. By actively engaging with its audience on platforms such as Facebook, Instagram, LinkedIn, and Twitter, the agency will build a community around its brand. This not only enhances brand awareness but also fosters trust and loyalty among potential clients. Content marketing, through the creation and distribution of valuable, relevant, and consistent content, will further establish ClickPulse Strategies as a thought leader in the digital marketing space. This approach will attract and retain a clearly defined audience, ultimately driving profitable customer action.

Email marketing will serve as another vital component of ClickPulse Strategies’ promotional toolkit. By developing personalized email campaigns, the agency will maintain regular contact with its prospects and clients, keeping them informed about the latest digital marketing trends, services, and special offers. This direct line of communication will nurture leads and encourage repeat business, contributing to the agency’s growth.

In addition to these online marketing strategies, ClickPulse Strategies will also explore opportunities in networking events and local workshops. Participating in industry conferences and seminars in Washington, DC, allows the agency to connect with potential clients face-to-face, showcasing its expertise and building personal relationships. Hosting workshops on digital marketing topics will position ClickPulse Strategies as an authority in the field, attracting businesses looking for guidance in navigating the digital landscape.

By integrating these promotional methods into a cohesive strategy, ClickPulse Strategies expects to attract a diverse clientele, ranging from startups to established businesses seeking to enhance their digital presence. With a focus on delivering measurable results and fostering long-term partnerships, ClickPulse Strategies is poised to make a significant impact in the digital marketing arena.

Our Operations Plan details:

  • The key day-to-day processes that our business performs to serve our customers
  • The key business milestones that our company expects to accomplish as we grow

Key Operational Processes

To ensure the success of ClickPulse Strategies, there are several key day-to-day operational processes that we will perform.

  • Client Communication: Maintain constant communication with clients to understand their needs, expectations, and to keep them updated on campaign progress. This includes scheduling regular meetings, sending updates, and being available for queries.
  • Market Research: Conduct ongoing market research to stay ahead of digital marketing trends, understand the competitive landscape in Washington, DC, and identify new opportunities for client campaigns.
  • Campaign Development and Execution: Design and implement digital marketing campaigns tailored to the specific needs of each client. This involves brainstorming creative ideas, selecting appropriate digital platforms, and utilizing SEO, content marketing, social media, and paid advertising strategies.
  • Data Analysis and Reporting: Collect and analyze data from ongoing campaigns to measure their effectiveness. Use analytics tools to track performance indicators such as website traffic, conversion rates, and engagement levels. Prepare comprehensive reports to share with clients.
  • Financial Management: Manage the agency’s finances, including budgeting for campaigns, invoicing clients, and ensuring that expenses stay within budget. Monitor cash flow and make adjustments as necessary to maintain financial health.
  • Team Collaboration: Facilitate collaboration among team members to ensure that all projects are progressing smoothly. Hold regular team meetings to discuss campaign strategies, delegate tasks, and address any challenges.
  • Professional Development: Encourage continuous learning and professional growth within the team. Stay updated with the latest digital marketing tools and techniques, and invest in training and development opportunities for staff.
  • Quality Control: Implement quality control measures to ensure that all work produced meets the high standards expected by clients. This includes reviewing campaign materials, monitoring ongoing campaigns for issues, and making necessary adjustments to strategies.
  • Client Acquisition and Retention: Work on expanding the client base through networking, marketing efforts, and referrals. Also, focus on retaining existing clients by delivering exceptional service and demonstrating the value of ongoing investment in digital marketing.
  • Compliance and Legal Considerations: Ensure that all marketing campaigns comply with legal requirements and industry standards, including data protection laws and advertising regulations. Stay informed about changes in legislation that could affect digital marketing strategies.

ClickPulse Strategies expects to complete the following milestones in the coming months in order to ensure its success:

  • Launch our Digital Marketing Agency: Officially opening our doors for business is the first critical milestone. This involves setting up the legal structure of the business, creating a brand identity, developing a company website, and establishing our presence on social media platforms.
  • Secure Initial Client Contracts: Signing on a certain number of clients, for instance, 5 to 10, depending on the project size, within the first three months. This validates our business model and provides initial revenue and case studies for future marketing efforts.
  • Build a Talented Team: Recruiting and hiring a skilled team with expertise in various digital marketing disciplines (e.g., SEO, PPC, content marketing, social media) within the first six months. This includes both full-time employees and freelancers or contractors as needed.
  • Develop Strategic Partnerships: Forming partnerships with non-competing businesses in the digital and broader marketing ecosystem within the first nine months. These partnerships can provide referral business and enhance service offerings.
  • Implement Scalable Processes and Tools: Establishing efficient, scalable processes and implementing necessary digital tools for project management, client reporting, and other operations within the first year. This foundation is critical for handling growth without sacrificing service quality.
  • Achieve $15,000/month in Revenue: Reaching this revenue milestone within the first 12 to 18 months. This involves not only acquiring new clients but also retaining existing clients and possibly increasing the services provided to them.
  • Expand Service Offerings: Based on market demand and the team’s expertise, gradually introducing additional services or specialized offerings within the first 18 months. This could include branching out into emerging digital marketing channels or technologies.
  • Establish a Strong Brand Reputation: Earning positive client testimonials, case studies, and industry recognition within the first 24 months. This could involve winning awards, securing speaking engagements for team members at industry events, or earning certifications that demonstrate expertise.
  • Reach Operational Profitability: Ensuring that monthly revenue exceeds operational costs by the end of the second year. This includes costs such as salaries, marketing, tools, and office space if applicable.
  • Develop a Client Retention Strategy: Implementing a client retention program by the end of the second year to maintain a steady revenue stream. This could include loyalty discounts, referral programs, or regular strategy review meetings to ensure client satisfaction and identify upselling opportunities. These milestones are designed to build a solid foundation for ClickPulse Strategies, mitigate risks associated with starting a new business, and position the company for sustainable growth and success.

ClickPulse Strategies management team, which includes the following members, has the experience and expertise to successfully execute on our business plan:

Harper Lewis, President

With a proven track record of achievement, Harper Lewis brings a wealth of experience to ClickPulse Strategies. Having previously helmed a Digital Marketing Agency, Lewis’s leadership skills are well-tested and proven in the realm of digital marketing. This background has endowed him with a deep understanding of the digital landscape, including the nuances of SEO, content marketing, and social media strategies. His expertise not only lies in crafting compelling digital marketing strategies but also in his ability to steer a team towards achieving long-term business objectives. Lewis’s experience is a cornerstone for ClickPulse Strategies, ensuring the company is well-positioned to navigate the complexities of the digital marketing industry and achieve sustained success.

To achieve our growth goals, ClickPulse Strategies requires $234,000 in funding. This investment will cover capital investments such as location buildout, furniture, and equipment, along with non-capital investments including working capital, initial rent, staff salaries, marketing, supplies, and insurance. This funding is crucial for establishing our operations, building our team, and launching our marketing efforts, setting the stage for our success in the digital marketing industry.

Financial Statements

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Income Statement

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Cash Flow Statement

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Digital Marketing Agency Business Plan Example PDF

Download our Digital Marketing Agency Business Plan PDF here. This is a free digital marketing agency business plan example to help you get started on your own digital marketing agency plan.  

How to Finish Your Digital Marketing Agency Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your digital marketing agency business plan?

With Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

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  5. Business Insurance by NEXT™

  6. Sample business plan ya mgahawa: mambo muhimu 7 ya kutafakari

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  1. Insurance Agency Business Plan Template & Sample

    Below we describe what should be included in each section of a business plan for a successful insurance agency and links to a sample of each section: Executive Summary - In the Executive Summary, you will provide a high-level overview of your business plan.

  2. Insurance Agency Business Plan Template [Updated 2024]

    Your insurance agency business plan should include 10 sections as follows: Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.

  3. Building an Insurance Agency Business Plan

    Updated: July 31, 2022 A thoughtful business plan provides a roadmap for building a successful insurance agency. Here's what to include in yours, from objectives and product offerings to your target market and financial projections. A great business plan can guide you through every critical early step of building your company.

  4. Insurance Agent Business Plan: Guide & Template (2024)

    Use our sample insurance agent business plan created using Upmetrics business plan software to start writing your business plan in no time. Before you start writing your business plan, spend as much time as you can reading through some samples of insurance & finance-related business. Industry Overview

  5. Insurance Company Business Plan: Guide & Template (2024)

    Download Template Create a Business Plan An insurance agency can become a profitable business if done right. After all, insurance companies as a business help people deal with uncertainties, and that is something all of us want.

  6. Insurance Company Business Plan Example

    Identify "Target Markets." Institute our Property inspection program. Begin our "Insurance Partners" program. Develop a profitable property program. Provide small businesses with an affordable basic business package. Acme Insurance Incorporated has been profitable, but recently we have had declining market share and this must be addressed.

  7. Insurance Agency Business Plan Example

    1.1 Objectives The main objectives of Quaestor Services are: Profit - to create enough prosperity for the owner and employees to have a secure and comfortable lifestyle. Growth - to grow the business at a rate that is both challenging and manageable.

  8. How To Write An Insurance Company Business Plan + Template

    This includes labor costs, as well as the cost of any equipment and supplies used to deliver the product/service offering. Net Income (or loss): Once expenses and revenue are totaled and deducted from each other, this is the net income or loss. Sample Income Statement for a Startup Insurance Company. Year 1. Year 2.

  9. How To Create A Business Plan for Your Insurance Agency

    Let's also assume I'm an average salesperson and my closing ratio is 35%. Lastly, let's assume I get my prospects from a direct mail campaign and my response rate is 1.5% of pieces mailed. From these assumptions "how much" becomes very clear. I need 56 sales! ($25,000 goal divided by $450 average sale).

  10. How To Write An Insurance Agency Business Plan + Template

    Learn how to write an insurance agency business plan to help you start, grow, and/or raise funding for an insurance agency. Start your business plan today! ... Sample Balance Sheet for a Startup Insurance Agency. Year 1: Year 2: Year 3: Year 4: Year 5: ASSETS: Cash: $ 105,342: $ 188,252: $ 340,881: $ 597,431: $ 869,278: Other Current Assets ...

  11. Free Insurance Company Business Plan Template + Example

    Free Insurance Company Business Plan Template + Example - Bplans Insurance Company Business Plan Ready to start your own insurance company business? Set yourself up for success by creating a solid business plan. Download this business plan template, with pre-filled examples, to inspire your own plan.

  12. Insurance Agency Business Plan Guide + Free Example

    An insurance agency business plan should present persuasive reasons why clients will choose your agency's services, demonstrate why you or your team are the ideal operators for the insurance agency, and provide a robust financial projection to assure potential investors and lenders of the investment's viability. Below is a comprehensive outline ...

  13. PDF Insurance Agency Business Plan Example

    200+ Sample business plans Get access to hundreds of sample business plans covering almost all industries to kick start your business plan writing. This helps you to get an idea how the perfect business plan should look like. View Sample Business Plans Step-By-Step Guide

  14. 6+ SAMPLE Insurance Agency Business Plan in PDF

    6+ SAMPLE Insurance Agency Business Plan in PDF Rating : In this world where unexpected things happen at times, we need to find security for the things we have. The solution that we can find is to have insurance for our health and properties, even for our life. That is why insurance companies came out and offer services to us.

  15. Insurance Agency Business Plan

    3.0 Products 4.0 Market Analysis 5.0 Marketing Strategy and Implementation 6.0 Organization and Management 7.0 Financial Plan Click to Download 1.0 Executive Summary Convenient Insurance will be the newest and brightest independent insurance agency to The Woodlands, (Northern Houston), Texas.

  16. Insurance Agency Business Plan [Sample Template]

    If YES, here is a complete sample insurance agency business plan template & feasibility study you can use for FREE. To become an Independent insurance agent means that you have an insurance agency. The agents are also known as insurance sales agents.

  17. PDF Insurance Agency Business Plan

    The Management of the Company is a qualified and licensed professional that is seeking to build a financial and insurance business that offers a wide variety of products in New York, NY. Mr. Doe is a highly talented entrepreneur hat is seeking to develop an expansive financial services and insurance brokering firm for the business and general pu...

  18. Insurance Business Plan Examples

    Video Documentation Service Business Plan. Safe Keeping is a start-up business offering video documentation of home or business belongings for customer's insurance purposes. It's common sense to have full insurance coverage. And it's good business sense to have a complete business plan for your insurance related business. These free sample ...

  19. PDF Free Version of Growthinks Insurance Business Plan Template

    Sample from Growthink's Ultimate Insurance Business Plan Template: Last year, according to IBISworld.com, US insurance brokerage and agencies brought in revenues of $117 billion and employed 965,000 people. There were 381,116 businesses in this market, for an average of $308,000 per business.

  20. Insurance Agency Business Plan Sample

    DEC.22, 2016 Insurance Agency Business Plan Sample ( 8 votes, average: 5.00 out of 5) Article Business Plan Templates Finance Business Plans Table of Content Insurance Agency business plan for starting your own business If you worry about how to start Insurance services, you must create a detailed Insurance agent business plan.

  21. How to Write an Insurance Agency Marketing Plan

    Unique Selling Proposition (USP) Conversion, Referral, and Retention Strategy Don't you wish there was a faster, easier way to finish your marketing plan? Click here to finish your marketing plan today. The first section of your insurance agency marketing plan should be written as the final section of your marketing plan.

  22. Personal Insurance Agent Business Plan Example

    The business rations for Plynthe Insurance are compared here against insurance agencies and brokerages (NAISC industry code 534210, SIC code 6411) of under $500,000 annual revenue. The accounts receivable ratio for the business is higher than the industry average as all accounts will be paid out of commissions from insurance providers after the ...

  23. A comprehensive guide to small business insurance

    Starting your own business requires a significant investment of both time and money. Millions of people continue to step up to the challenge with 33 million small businesses active in the U.S. as ...

  24. DOC Insurance Agency Business Plan Template

    Sample Business Plan for Insurance Agency Convenience Insurance 19221 North I-45 The Woodlands, TX (Creation Date) Use and Reprint Rights for Your FAST Business Plan Template This sample insurance agency business plan has been written to assist you in creating your company specific business plan.

  25. Sample Digital Marketing Agency Business Plan

    The digital marketing agency business plan sample below will give you an idea of what one should look like. ... staff salaries, marketing, supplies, and insurance. This funding is crucial for establishing our operations, building our team, and launching our marketing efforts, setting the stage for our success in the digital marketing industry. ...