USG is a national wholesale broker and managing general agent (MGA) with 20+
offices across the country. We represent a variety of A rated carriers, both admitted
and non-admitted. We are an MGA for 18 carriers and work with over 260 different
brokerage markets. We write business in all states.
Sounds wonderful. You feel you can write business like you’ve never written business before. Especially when Tim Horton the owner brings you into his office to show you his super-duper management system. Then you get to your desk and start to write business. You receive a WC submission. Can’t write WC, that has to go the WC department along with your agent. Fire submission, that goes to the property department, auto, yep that goes to the Auto/Garage department. Finally, you receive a GL submission. No, you can’t write that coverage either because you’re not on the contract. Need to write business and have volume to get on the contract.
So, you sit there for five months with three tiny special events policies you somehow managed to write. Your thinking what am I doing here? Why are they paying me $50k to make cold calls? My friend calls it a Ponzi scheme. You bring your book and agents to them. You can’t write the business so the people at the top of the leader board gets your agents and keeps chugging along.
