Goosehead and Renegade Insurance: Which is Better for Agents?

TLTR: In this article, we reviewed Goosehead Insurance and Renegade Insurance in terms of deductibles, models, benefits and more.

Independent insurance agency models are constantly changing as a result of a lot of competition and different companies competing for the same customer pool. In this day and age, success cannot be achieved by simply doing things the old way. You also need a solid support system to help you truly grow yourself and your business.

There are several agency models, but agents don’t always know what will work best for them. Here we look at two such agency ownership opportunities, namely Goosehead and Renegade Insurance.

Goosehead Insurance’s insurance franchise and Renegade Insurance’s (formerly covered by SAGE) plug-and-play model enable captive agents to become independent agents in the insurance market.

In this blog

Who is Goose Head?

Goose head is a personal property and casualty insurance agency that also operates on a franchise model. It works on a “you sell, we serve” model and allows agents to fully dedicate themselves to selling.

How do Goosehead agents make money?

Goosehead agents work on a split commission basis. They receive a percentage of the commissions earned for each policy they write.

Agents earn 80% commission on new policies and 50% commission on renewals.

In accordance with Goose head Data for 2021corporate agents who have been on the job for more than three years typically earn more than $130,000 a year.

How does Goosehead Insurance make money?

Goosehead Insurance Agency makes money from two channels: corporate and franchise.

Since Goosehead corporate agents receive 80% of the commission from new business, Goosehead receives the remaining 20%. Likewise, for renewals, Goosehead receives a 50% commission.

From its franchise channel, Goosehead earns 20% royalties on new business and 50% royalties on renewals. The broker charges an upfront insurance deductible fee that can range from $27,500 to $66,000 depending on the condition of the outlet.

A total start-up investment of $60,000 to $128,000 is required, and the schedule of additional out-of-pocket payments charged to agents is detailed in the contract.

How wide is Goosehead’s market?

Goosehead has access to over 140 operators nationwide. Therefore, he has a wide selection to present to potential customers. However, they only focus on personal lines such as home, auto and renters.

While they are constantly recruiting agents for their corporate channel, they have expanded their franchise channel across the country.

Additional benefits offered by Goosehead:

  • Leveraging industry-leading Salesforce technology
  • Training
  • Marketing support
  • Customer support service
  • Nationwide real estate database for accurate quotes
  • A proprietary mortgage database containing data on mortgage activity in the US

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Who is Renegade Insurance?

Renegade Insurance is a newcomer to the insurance industry. They are backed by investors who have built category-defining companies and believe that disruption with market-leading technology will ultimately enable insurance agents to “be the best of ourselves.”

Renegade does not use a franchise model. They are independent insurance broker platform. They offer a “you sell, we service” model to their agents, but that’s just the beginning of what they’re trying to do.

How do Renegade Insurance agents make money?

Renegade Insurance agents also earn commissions. Agents receive 80% to 95% commission (depending on premium value) on new business and 50% commission on personal line extensions.

Renegade Insurance also has a 60-40 split on new business and 40-60 on commercial line extensions. Additionally, Renegade Insurance also has options for agents looking to sell life or health policies, allowing them to cross-sell all types of insurance.

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How does Renegade Insurance make money?

Because Renegade Insurance does not operate on a franchise model, there is no Renegade franchise fee. However, because it is an independent insurance broker, it makes money from upfront fees as well as monthly fees from agents for access to carriers, proprietary technology and customer support.

Apart from the aforementioned fees, another major source of income for Renegade is commissions distributed between the company and its agents. Combined with the requirement of no retail outlets, agents can virtually set up their own agency with no retail investment.

How wide is the Renegade Insurance market?

Renegade can schedule direct meetings for its agents with more than 90 operators. While they are licensed in 48 states, according to their website, they officially operate in 7 states, namely Georgia, Florida, Texas, Tennessee, Alabama, North Carolina, and South Carolina.

Additional Renegade benefits include:

  • Proprietary technology (lead management software and rater)
  • Internal marketing team to source leads
  • Local SEO for agents
  • Help with customer service
  • Product and sales training
  • Book assistance from carrier to carrier

How do they compare?

Founded in 2003, Goosehead is a growing independent insurance broker with excellent financial performance. His insurance franchise began as an extension of a traditional agency. So they have an in-house corporate agency that competes directly with their franchisees. However, they do their best to support both corporate agents and franchise owners.

With access to more than 140 carriers and franchises throughout the US, Goosehead has a strong presence in the personal lines market.

Renegade Insurance has been building its brand and gaining recognition since its inception in 2018. It already has licenses in 48 states. With access to 90+ carriers in such a short time and active in 7 states, the broker is growing fast.

Goosehead agents provide personal lines insurance with an 80/20 commission split on new business and 50/50 on renewals.

In addition, Renegade agents service commercial lines in addition to personal lines. For personal lines, the broker offers an 80/20 new business and 50/50 renewal commission split, and for commercial lines, it offers a 60/40 new business and 40/60 renewal split.

Adopting Salesforce technology helps Goosehead take care of all internal systems and processes. Similarly, Renegade has developed a proprietary technology consisting of lead management software and an estimator.

Both companies share similarities, such as remote service teams, providing quotes from multiple carriers and a profitable commission split. But these businesses started with radically different goals, and thus their approach to the work of an insurance agency is radically different.

In two words

goose head vs renegade insurance comparison

We hope this article has helped you learn about these two players for agents who want to grow and test their abilities, or even for agents who want to take advantage and get ahead of the market.

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Post Goosehead vs. Renegade Insurance: Which is Better for Agents? first appeared on The height of the agency.

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