In today’s competitive insurance landscape, independent agencies are looking for ways to expand their access to markets, streamline operations, and accelerate growth. But they’re encountering challenges with obtaining new direct appointments, whether the carrier isn’t looking to appoint more agents or maybe the agency isn’t comfortable having to meet additional production requirements. As a result, agents are increasingly turning to aggregators, alliances, and networks to meet their needs. 

There are a lot of questions around which model is best for an agency. I had an opportunity to chat with three industry leaders on the topic: Andy Harter of Ironpeak, Aaron Forbes of FirstChoice, and Travis Kershner of Big I Alliance Gold. Together, we unpacked the nuances of these models and uncovered valuable guidance for agencies to evaluate their options. 

Defining the Models 

What’s the difference between an aggregator, an alliance, and a network?  

Travis Kershner noted that while the terms are often used interchangeably, there are subtle distinctions. He explained that aggregators tend to be more about pooling agencies together for volume, while alliances and networks often offer more structured support and strategic alignment. 

Andy Harter agreed, adding that over time, “the lines have kind of blurred.” But he made sure to note later that what matters most is what each group offers in terms of value, support, and alignment with the agency’s goals. 

Aaron Forbes emphasized the importance of clearly understanding the business model behind each group. “People think we’re a large buyer sometimes,” he said, but explained that FirstChoice is “an independent network” and that ownership and independence remain with the agency. But that may not be the case with all groups, so it’s important to ask those questions to find out. 

Why Join? Key Benefits for Agencies 

Our discussion turned to the benefits of joining a network or alliance, and we highlighted several core advantages found with Ironpeak, FirstChoice, and Alliance Gold that you might also find with other networks: 

• Carrier Access and Leverage: Harter shared that Ironpeak, as well as other aggregators and networks, can help agencies gain “access to top-tier carriers” and “enhanced profit-sharing opportunities.”
• Business Development: Forbes shared that FirstChoice offers consulting services, including perpetuation planning, producer training, and M&A advisory.
• Operational Support: Kershner emphasized the importance of infrastructure, sharing that Big I Alliance Gold provides the agency with training, risk placement support, and monthly business development meetings. 

Ideal Candidates and Entry Requirements 

Some agencies may feel that they’re too new or too small to join a network, aggregator or alliance. But all agreed that mindset and cultural fit would be more important than the size of the agency. However, we acknowledged that not every agency is a match. These groups may still look for certain characteristics in an agency to make sure the relationship is a good fit for all parties. 

“We’re not really built specifically for start-up agencies,” said Forbes, but added that they have worked with them, especially if they have a clear growth plan and an engaged owner. FirstChoice takes their time finding the right partners, “we want people that want to be there” and who are “looking to move the needle.” 

Harter mentioned that Ironpeak does look for a minimum premium with agencies but added that they’re primarily looking for alignment with their carrier partners and agencies who have a growth mindset. He said they want to make sure it’s a good fit because they’re “looking for that win-win.”  

Kershner agreed, but added that Big I Alliance Gold really looks at the agency’s business plan. Specifically, he asked the questions, “What are you looking to do? Where are you looking to grow? What type of risks are you looking to pursue and does that line up with our carrier partners?” Ultimately, an ideal agency partner is one that Big I can support with their solutions and help the agency grow. 

Financial Considerations: Fees and Profit Sharing 

One of the most common concerns for agencies is the cost of joining one of these groups. Fees and start-up costs can vary widely from one group to another, so it’s important to identify if they’re outweighed by the benefits provided. Luckily, the group was transparent and put some of these potential concerns into perspective: 

• Ironpeak: Harter explained that they don’t have any onboarding fees, upfront fees, or monthly or annual fees. But he recognizes that groups have reasons for charging those fees, “some have large conventions…that bring everybody together.” 
• FirstChoice: Forbes feels that FirstChoice’s fees are competitive, as they do charge a small monthly fee, but don’t have any initiation fees. He explains that “we primarily drive our revenue as an organization off of …profit sharing and some bonuses,” which allows them to be very aligned with their agency members and keep the fees fair.
• Big I Alliance Gold: Kershner said that they have a small, upfront initial fee and a flat monthly fee. But he shared, “We do not charge commission splits. That’s going to be a big difference between us and a lot of networks.” 

All three models offer profit-sharing opportunities, typically based on premium volume and performance. In many cases, you can qualify right away for profit sharing in one of these groups, whereas you may not have had enough volume by yourself under your own direct code.  

Direct Carrier Access and Risk Placement 

An important question to ask before joining one of these groups is how the agency will access the carriers. Specifically with groups represented in our discussion, they reported that their members can retain direct access to carriers, with varying levels of support. 

Forbes described a three-tiered approach: support for existing carrier relationships, help securing new direct carrier codes, and risk placement where the agency doesn’t have a carrier code. FirstChoice can help bring existing relationships into the group, can help add new direct codes owned by the agency from day one, and can broker some business so the agency doesn’t have to take an appointment. 

Kershner shared that Big I Alliance has a placement center with an account placement team that can place the risks for the agency with carriers where they don’t have a direct code. Where the agency does have direct carrier codes, there is a business development director who helps agencies navigate carrier relationships and place the risk with the right market. 

Harter explained that while Ironpeak does not have a placement center, they do help with risk placement. If the agency has an account that they’re having a difficult time placing with their existing carrier lineup, “we get involved with that” and “we try to find a carrier that will work with that, and we approach them.” 

Contracts, Termination, and Ownership 

Some network, alliance, or aggregators contracts are not so agent-friendly. You may have some unanswered questions after reading the contract. Does the agreement stipulate who owns the agency’s book of business, carrier codes, or even the first right of refusal when the agency sells? What happens if the agency wants to leave the group? All members of our discussion stressed the importance of reading the fine print and being sure to understand exit clauses. 

Kershner shared that Big I Alliance Gold’s contract “is extremely agent-friendly. I like to say we’re as transparent as you can get – easy in, easy out, low costs, and most importantly, there is not a non-compete clause.” He also shares that the agency owns its carrier codes and expirations at all times and “who you sell your agency to is totally your business.” 

Harter seconded: “We have no ownership of your book or agency at anytime.” The agency owns their expirations and codes, and Ironpeak does not get involved in any sale. If the agency wants to leave the group, it’s simple, “We are a family-owned company… so that termination process is very easy. There is no buyout. Again, we have been big proponents of the independent agency channel.” 

Forbes agreed and added, “Our termination process is that we just want six-month’s notice.” There is a small, punitive fee to discourage agencies from moving their book in and out of aggregation, but he reassured that, “we never claw into commissions. We’re not clawing into the equity of your agency… and we don’t have any first right of refusal.”   

Final Advice: Do Your Homework 

The discussion concluded with some practical advice for agencies who are considering joining a network, alliance, or aggregator: 

“Understand what you’re trying to accomplish as an agency. Make sure that it aligns well with the network that you’re looking for,” said Kershner. 

Ask for references, added Forbes, “I get asked for references every once in a while… I’m always happy to provide them. Definitely something to consider.” 

“Do your research,” said Harter, “look at that exit language, look at the small print.” 

Ask around, research the group, and ask yourself if this is the right solution for the challenges your agency is facing. Joining an alliance, network, or aggregator is a big decision. But with the right information and the right partner, it can be a game-changer for your agency. 

About the Author:

Cristie is a licensed Property, Casualty, Life, and Health insurance agent. Before joining the OIA, she worked at an independent agency in southern Ohio for over eight years. Her favorite thing about the insurance industry are all of the wonderful people she gets an opportunity to meet and now she enjoys the opportunity to help the agents she used to work alongside.