You can try Yahoo! or Bing and most any variation of 'workers compensation', 'workmans compensation', 'workmans comp', etc., and you'll get similar results. Sprinkled through the results you may find one or two renegade PEOs.
What's interesting, or alarming - if you're an independent insurance agent, is that pied piper companies such as PayChex® and ADP® that started this trend several years ago, now have lots and lots of followers. There are 10,000 payroll processing companies in the United States, and they all want a piece of the pie.
In October of 2008 The Paychex Insight states:
"Paychex Agency was formed to assist you with your business insurance needs. It is now one of the largest agencies in the United States working with the top insurance carriers across the country and providing insurance coverage to over 70,000 companies."
PayChex® and ADP® combined have over 1 million clients. Each of them has their own in-house insurance agency staffed by hundreds of captive agents. They are systematically calling on each and every one of those one million clients to get their insurance business, starting with pay as you go workers' compensation.
With no deposit, no large installments, no estimated premium, and a significant reduction in audit headaches, pay as you go workers comp beats traditional worker's compensation policies by a country mile. Up until now, independent agents have been locked out by insurance carriers that do not allow employers to have access to pay as you go workers compensation unless they utilize an external payroll company or software that is "approved" to offer their pay as you go product.
Payroll companies have been ruthlessly exploiting this advantage and with their sights set on expanding their operations with other insurance offerings such as BOPs, EPLI, Medical Benefits (health, dental, vision) , 401(k) and 125 plans - are increasing their insurance sales staff at a rate of 45% per year.
Big Payroll companies market their insurance solutions through paycheck stuffers, insurance sales call centers, local payroll sales force and acquisition of CPA firms. They do not require agent involvement and are not agent friendly.
That's why I founded Peigo, dedicated to giving independent insurance agents the products and services they need to compete, market, and grow their business - cost-effective payroll solution bundled with pay as you go workers compensation.
If you're not calling your clients to talk about payroll, I guarantee their payroll provider is calling them to talk about insurance.
If you have any questions or would like to learn more, I'd love to hear from you.
