HOW INSURANCE AGENTS CAN ATTRACT MORTGAGE BROKERS AS REFERRAL PARTNERS

The competition in the insurance industry remains heavy, as more and more agents attempt to carve out a niche.

The most successful insurance agents are the ones who provide a solid product and top of the line service. Furthermore, they have a referral program in place that makes it easy for other professionals to send business their way.

As a home insurance agent, there are many benefits of staying open to all referral options. While there are many people in many industries who may be able to refer to interested buyers, mortgage brokers often times have the most to offer.

Investopedia defines a mortgage broker as follows:

“An intermediary who brings mortgage borrowers and mortgage lenders together, but does not use its own funds to originate mortgages. A mortgage broker gathers paperwork from a borrower, and passes that paperwork along to a mortgage lender for underwriting and approval.”

As you can see, mortgage brokers spend a lot of time working with borrowers. And as you know, these borrowers are people who will be purchasing a home in the near future. In order to make the purchase, the borrower must show proof of home insurance.

Some people already have an idea of which Florida home insurance company they will deal with, or even how to get the best insurance quotes. However, this is far from being the case all the time. There are just as many buyers, if not more, who are looking for a home insurance agent who can provide assistance. Who is better to refer these people than a mortgage broker?

Now that you understand the benefits of having mortgage brokers as referral partners, it is time to attract these people into your network. Here are three tips for doing so:

1. Show that you will return the favor. Are any of your customers looking to buy a new home? Are they interested in refinancing their current mortgage? If so, refer these people to a mortgage broker in your network. When you “give” now there is a better chance you will “receive” in the future.
2. Offer an incentive. How much is a new customer worth? Once you know the answer to this question, it is easy to offer an incentive you can live with. When a mortgage broker knows they can get something in return for sending you business, they are likely to do so every chance they get.
3. Make yourself available. You aren’t the only agent looking to partner with mortgage brokers. You must do something to set yourself apart, and there is no better way of doing so than making yourself available at all times. Are you advertising throughout the area? Do you always answer your phone? Are you available after hours? Work hard to show others that you truly care about your business.

Read our piece on how insurance agents can attract realtors as referral partners.

THE STANDOUT BENEFITS OF NETWORKING WITH AN INDEPENDENT INSURANCE BROKER

Now let’s look at the flip side of how a successful mortgage agent can benefit from the insurance industry.

Building a strong relationship with the right independent insurance broker could result in closed deals and trust from your marketplace.

The complexity of buying a home is immense. It’s sometimes hard to put it into perspective when you come from the other side of the market. You know how the industry works. You understand the jargon. However, your clients, particularly first-time buyers, are vulnerable to making mistakes or falling out of the process altogether.

Your clients will appreciate value added services like insurance referrals. On your side, you could see more purchases closed because you can offer the client all the necessary tools to complete a clean sale.

Moran Insurance is the leading homeowners insurance broker in Florida. We are completely independent and maintain a network of the best insurance companies in the state. We can find policies that suit the needs of any buyer. This could make the difference between a closed mortgage and a flop.

Consider all the benefits that you can provide by referring your client:

• Our independent agency can secure insurance policies that are more comprehensive and more affordable. Most insurance products found on the public market are tailored to a broad group of customers. This can force the prospective homeowner to make compromises. Our unconventional policies and package options come with the best rates without forcing buyers to omit any specific coverage types.
• We can provide ongoing support for buyers who aren’t familiar with the insurance market. We explain policies in detail and allow clients time to understand what they are signing. This eliminates any chance of regret on the policy that is purchased. Homeowners are ultimately happier knowing that they have the coverage they need. This gives them a better impression of the entire home buying process.
• If you can refer your clients to a trusted insurance agent, there will be less chance that they move on to the competition. If you maintain a large network of professional insurers, your client will see you as more valuable, trustworthy, and authoritative in your market.

There are truly no downsides to networking with companies that complement the work that you do. Mortgages and homeowners insurance go hand in hand. Networking goes both ways. You could connect with buyers referred by our independent insurance agency, which you might not have met on your own.

Moran Insurance is more than just an insurance broker. Contact us today for information surrounding our insurance process and referral policy.

SOURCES AND REFERENCES:

• http://www.investopedia.com/terms/m/mortgagebroker.asp
• https://blog.flightmedia.co/how-to-determine-the-value-of-your-customers
• https://motivationgrid.com/how-to-become-a-successful-mortgage-broker/