Francisco Castro’s career followed a winding road that eventually led to insurance.
After getting his insurance licenses and learning the business, he planned to buy an agency in Texas, but his twin brother had other ideas. His brother had been building his own company, an accounting firm in Kentucky and wanted Francisco to move there.
Francisco was up for the challenge. He put his years of managerial experience to work helping his brother structure his new company, and he also took care of his Kentucky insurance licenses requirements. In 2018, the brothers launched their combined business, JCC Group. The company had an accounting side and an insurance side, each complementing the other’s expertise.
A Major Roadblock to Success
Today, Francisco’s business is thriving, but he had to overcome some big obstacles on the road to insurance success, one of which was securing the carrier appointments he needed to effectively compete in the marketplace and meet his customers’ needs.
He quickly discovered that many carriers only gave appointments to agencies with at least three years of experience and over $100,000 in premium volume!
Although he had decades of experience as a manger, plus years of experience in insurance, he still couldn’t get the carrier appointments needed. It was a big problem, but fortunately a friend told him about a potential solution: Smart Choice – an insurance agency network.
The Bridge to Growth
Francisco took his friend’s advice and contacted Smart Choice. After chatting with State Director, Sheilia Royal, who came to his office and offered to help guide Francisco to success, he was all in.
“I took her on her word, and sure enough, in 2019, we did okay,” says Francisco.
He feels that the support that Smart Choice provides has been incredible, and is helpful for all agents, no matter how much experience they have. “Even if you’ve spent 10 or 20 years in the insurance industry, things are always changing,” he explains.
Francisco said at first, he was concerned about the 70-30 commission split, but Sheilia explained that the split only applied to business written through the program, and that he’d soon be earning 100% of all commissions if he hit expected performance targets.
“That put me at ease,” he says.
In 2020, the insurance business really started to grow rapidly, and in 2021, Francisco made the decision to stop working in the accounting side of the business so that he could focus all his attention on the insurance side.
An On-Ramp to Commercial
As Francisco’s agency grew, and he learned more about the opportunities Smart Choice offered that could help him ramp up his revenue, he began to look into expanding into other lines. “I started with personal lines primarily, but my passion is helping clients, and I felt I could do more of that by expanding into commercial lines,” says Francisco.
It makes sense – businesses need just as much, if not more guidance and year-round support than personal insurance clients. Yet, the transition to commercial lines can be intimidating.
Many agents are afraid of getting in over their heads. Fortunately, Francisco was able to leverage Smart Choice’s Smart Start program to learn quickly and confidently.
“I started getting to know commercial,” he says. After he received an appointment with Liberty Mutual, his commercial lines book really began to take off. “Right now, commercial is our bread and butter,” he adds.
Destination: Profit
In 2021, Francisco had two key goals:
- To be profitable after covering his salary and all overhead expenses
- To be recognized for his performance as an insurance agent
Francisco is happy to report that he achieved both objectives. When the year-end numbers were crunched by his brother and accountant, he was in the black.
Then came the icing on the cake: Sheilia called to tell him that he was getting a big bonus from one of his main carriers. He was also receiving a leadership award from Smart Choice for achieving a certain level of commission!
The Road Map
“I think the secret to our success has been that from day one, we started educating our clients,” says Francisco. He avoids making a quick sale by simply giving clients what they ask for. Instead, he takes the time to explain their options, always focusing on long-term goals.
Some clients are only focused on saving money. They’ll ask for the cheapest workers’ compensation coverage, for example. While it’s understandable that they don’t want to overpay, Francisco helps them understand how skimping on insurance can come back to haunt them.
“They don’t realize that if your work comp payroll estimates are too low, once you do the insurance audit the next year, you end up paying $20,000 or $30,000 more.” He’d rather have his clients pay a little bit more right now and not have to pay extra next year. Once his clients understand, they tend to agree.
Francisco also helps clients who come to his office because they want to start a business and need to know what’s required.
“We always tell them that it doesn’t have to be us, but first, you need a good accountant, and second, you need a good insurance agent who is going to battle for you,” he says.
Having a niche focus is also important. “We advocate for the Hispanic community,” Francisco says, explaining that since he and his brother are Hispanic, it’s an organic opportunity.
Last but not least, Smart Choice has been there every step of the way. Francisco says that any agency can succeed as long as they’re willing to listen to the advice that Smart Choice offers.
“I’m proof that Smart Choice is able to take a teachable agent from zero to more than $2 million in just a few years. I’ll probably surpass $250,000 in commission this year, simply because I trusted Smart Choice’s guidance,” he says.
Recently, Francisco’s outstanding achievements were recognized as he received the Salute to Small Business Award, an annual honor presented by Commerce Lexington Inc. in Kentucky. This award celebrates the impactful contributions of small businesses to the local economy, and Francisco’s success is a shining example of that impact.
Are you ready to see how Smart Choice can help you? Become an agency partner.