Starting an independent insurance agency is a significant career decision. For the right person, it can be an opportunity to leverage their skills, build a business, and gain autonomy. Over the years, we’ve seen individuals from diverse backgrounds successfully start agencies—from seasoned insurance professionals to entrepreneurs outside the industry.
For those already in insurance, agency ownership often feels like a natural next step. Producers, direct writers, and captive agents often crave more freedom, control, and opportunities. With industry experience, an understanding of client needs, and strong relationships, they’re well-positioned to transition into ownership and make it their own.
Some professionals choose to expand their expertise within the insurance field. Life insurance agents and group benefits specialists, for instance, often enter property and casualty lines to diversify revenue streams and broaden their client base. Similarly, financial planners integrate insurance services to better meet client needs. While these transitions require effort, the rewards make it worthwhile.
Outside the insurance world, entrepreneurs in fields like real estate, car dealerships, and mortgage brokerages see agency ownership as a way to complement their services. By offering insurance, they meet client needs more comprehensively. However, managing multiple businesses can be a challenge. Success often comes when these entrepreneurs hire an insurance professional to lead the new venture, allowing them to maintain focus on their primary business.
Partnerships are another promising approach. Small business owners and entrepreneurs frequently collaborate with experienced producers, combining their operational expertise with the producer’s client relationships. These partnerships leverage complementary skills, creating a strong foundation for a new agency.
One of the industry’s most attractive features is residual income. This ongoing revenue provides financial stability and rewards agency owners for their hard work over time. It’s a key reason many professionals explore this path, even if they’re new to the field.
Starting an agency isn’t for everyone, but for those ready to take the leap, the opportunities are vast. Whether you’re expanding your industry expertise or launching a completely new venture, success comes down to clear goals, strong partnerships, and a commitment to learning. With the right plan, you can build an agency that thrives for years to come.