Blog

Our client, an insurance carrier located in the Eastern US, came to EP in July 2024 with a critical operational challenge. Their 1035 transfers had fallen more than two months behind their service level agreement targets—creating a significant backlog that threatened to spiral into further complications.

EP used a two-pronged strategy; first, we stabilized the process for timely processing of all 1035 transfers, and then we dug into the unprocessed accumulation. Within 3 weeks, 4 FTEs (Full Time Equivalent Employees) cleared two months of backlog.

March 19, 2025

Strengthening Data Security

Jane Goldman Blog

Steven Lacher | President, Employee Pooling, LLC
In today’s hyper-connected digital world, cybersecurity is no longer just a technical concern—it’s a critical business imperative. As cyber threats grow in both sophistication and frequency, Employee Pooling is proactively transforming its cybersecurity landscape with state-of-the-art tools, robust policies, and streamlined procedures.

Working closely with the Chief Information Security Officer (CISO) at Employee Pooling, we are dedicated to ensuring the security and integrity of the personal data entrusted to us by our clients. This responsibility is at the core of our commitment to trust, transparency, and excellence. Over the past year, our team has made significant strides in strengthening technological security controls, enhancing monitoring capabilities, and refining policies to protect sensitive information in line with industry-accepted standards.

At Employee Pooling, we understand the profound trust and responsibility involved in handling the personal information of U.S. citizens. For us, information security is not a checkbox or an afterthought—it’s a foundational principle that shapes how we operate, innovate, and serve our clients.

Building a Culture of Security

Safeguarding client data begins with fostering a culture of security across the organization. At Employee Pooling, every employee recognizes their critical role in protecting sensitive information. Through regular training, awareness programs, and clear communication, we’ve empowered our teams to identify potential threats and take proactive steps to mitigate risks. Security is not confined to the IT or security teams—it’s a shared commitment that spans the entire organization.

Achieving ISO/IEC 27001:2022 Certification

A significant milestone in our cybersecurity journey is the ISO/IEC 27001:2022 certification for our Indian operations, awarded by the esteemed British Standards Institute (BSI). This globally recognized standard underscores our rigorous and systematic approach to information security. Achieving certification from BSI demonstrates our commitment to implementing robust security controls, conducting regular risk assessments, and continuously improving our safeguards.

Deploying Advanced Security Solutions

While compliance is essential, it’s not enough on its own. To further enhance our security posture, we recently implemented a cutting-edge Centralized Security Management Platform. This system significantly improves our ability to secure and control our environment down to each endpoint. It provides enhanced visibility and control across devices, strengthens network security, and enables real-time monitoring of both known and zero-day threats. These capabilities allow us to swiftly detect, investigate, and respond to security risks before they escalate.

Regular security audits and continuous threat assessments ensure that we stay ahead of emerging risks and adapt to the ever-changing cybersecurity landscape.

A Continuous Commitment to Security

Security is not a one-time achievement—it’s an ongoing commitment. While we’ve made substantial progress, we remain focused on advancing our security posture even further. Our mission is clear: to be a responsible and effective steward of the personal information our clients entrust to us. We will continue to invest in technology, processes, and people to ensure that our security measures remain robust and aligned with industry best practices.

At Employee Pooling, we are dedicated to building a safer, more secure future for our clients and their data.

March 18, 2025

Case Management – A Case Study

For BGAs and FMOs, time is more than just money—it’s the difference between thriving and merely surviving in today’s competitive insurance marketplace. Recent industry data shows that Employee Pooling, through its optimized case management service, can reduce policy cycle times by an average of 23.3 days, with some annuity cases seeing reductions of up to 38 days. These dramatic improvements in processing time are revolutionizing how BGAs operate and compete in the modern insurance landscape.

February 4, 2025

The Strategic Advantage: Why Employee Pooling is Revolutionizing BGA Back Office Operations

In today’s competitive insurance industry, Brokerage General Agencies (BGAs) face mounting pressure to optimize operations while controlling costs. Traditional hiring practices for back office support—from commission processing to licensing and contracting—often create substantial hidden expenses and operational inefficiencies that can hinder a BGA’s growth and profitability. Employee Pooling offers a revolutionary alternative that’s transforming how BGAs approach their staffing needs.

Understanding the True Cost of Traditional Hiring

The conventional approach to staffing back office positions comes with extensive hidden costs that many BGAs overlook. When factoring in all expenses, a single traditional hire can exceed $75,000 in the first year alone. This includes direct costs like job posting expenses ($300-1,500 monthly), manager time spent on recruitment ($1,800-2,400), comprehensive onboarding and training ($4,500-6,000), and equipment setup ($3,500-5,500).

Beyond these immediate expenses, BGAs must consider the substantial risk factors. The insurance industry faces a 15-20% turnover rate, with replacement costs ranging from 100-150% of an employee’s annual salary. For a $40,000 position, this translates to potential turnover costs of $40,000-60,000 per instance. Additionally, new hires typically require a 3-6 month learning curve, during which productivity and work quality can be inconsistent.

The Employee Pooling Advantage

Employee Pooling has emerged as a strategic solution that addresses these challenges while offering significant cost savings and operational benefits. By maintaining a pre-screened, pre-trained pool of insurance industry professionals, Employee Pooling eliminates the traditional hiring bottlenecks and expenses that burden BGAs.

The cost advantage is immediate and substantial, with Employee Pooling solutions typically delivering a 45-60% reduction in overall staffing expenses. For example, a position that would cost $55,800-75,400 in the first year through traditional hiring can be filled through Employee Pooling for approximately $31,518 annually for full-time support, with the flexibility to scale hours based on actual needs.

Speed to productivity represents another crucial advantage. While traditional hiring requires 45-90 days from job posting to having a productive employee, Employee Pooling can deploy trained professionals within 24-48 hours of agreement. This rapid deployment ensures minimal disruption to BGA operations and maintains consistent service levels for agents and clients.

Operational Excellence and Risk Mitigation

Employee Pooling provides BGAs with built-in redundancy and quality assurance mechanisms that are difficult to achieve with traditional hiring. The model eliminates concerns about employee turnover, sick leave, or vacation coverage, ensuring continuous operation of critical back office functions. This consistency is particularly valuable for essential tasks like commission processing, licensing, and contracting, where delays or errors can directly impact agent satisfaction and revenue.

The scalability of Employee Pooling also offers BGAs unprecedented flexibility to adapt to changing business needs. During peak periods, additional support can be activated without the lengthy recruitment and training process. Similarly, support can be adjusted during slower periods without the difficult decisions and costs associated with staff reductions.

Strategic Focus and Growth

Perhaps the most significant advantage of Employee Pooling is how it enables BGAs to focus on core business activities and growth initiatives. By eliminating the administrative burden of recruitment, training, and employee management, BGAs can redirect valuable time and resources toward strategic priorities like agent recruitment, carrier relationships, and market expansion.

The model also provides access to specialized expertise without the challenge and expense of building these capabilities in-house. Employee Pooling professionals bring deep industry knowledge and best practices that can enhance the efficiency and effectiveness of back office operations.

For forward-thinking BGAs, Employee Pooling represents not just a cost-saving measure but a strategic advantage in maintaining efficient, reliable back office operations. With zero recruitment overhead, eliminated turnover risk, predictable monthly costs, and scalable operations, Employee Pooling offers a compelling solution that aligns with the modern BGA’s need for operational efficiency and financial optimization. As the insurance industry continues to evolve, this innovative approach to staffing provides BGAs with the agility and expertise needed to thrive in an increasingly competitive market.

A seashell representing the golden ratio

January 13, 2025

How Reduced Cycle Times Transform BGA Operations: The Power of Efficient Case Management

For Brokerage General Agencies (BGAs), time is more than just money—it’s the difference between thriving and merely surviving in today’s competitive insurance marketplace. Recent industry data shows that Employee Pooling, through its optimized case management services, can reduce policy cycle times by an average of 23.3 days, with some annuity cases seeing reductions of up to 38 days. These dramatic improvements in processing time are revolutionizing how BGAs operate and compete in the modern insurance landscape.

Immediate Impact on BGA Operations

The transformation of workflow management within BGAs through reduced cycle times cannot be overstated. When processing times decrease, case managers can handle substantially larger volumes without increasing headcount, creating a cascade of efficiency throughout the organization. This accelerated workflow doesn’t just mean faster processing—it fundamentally changes how BGAs allocate resources and manage their day-to-day operations.

Consider the typical case manager’s daily routine. Traditional processing methods require constant status updates, frequent carrier follow-ups, and endless documentation management. By reducing cycle times, these tasks become more streamlined and predictable. Case managers spend less time chasing updates and more time on value-adding activities that improve the overall quality of service.

A colorful piggy bank representing money you save as a BGA using EP

Revenue Acceleration and Improved Placement Ratios

The financial impact of reduced cycle times extends beyond simple operational efficiencies. When BGAs process cases fasterand achieve higher placement ratios, they create a powerful multiplier effect on their revenue streams. Commissions arrive sooner, creating more predictable cash flow and improved financial planning capacity. This acceleration has a compound effect: faster processing leads to increased capacity for new business, while higher placement ratios ensure more submitted cases get converted to paid premium.

Moreover, the improved cash flow management enables BGAs to make strategic investments in their business, whether in technology, training, or expansion opportunities. This creates a virtuous cycle where efficiency improvements fund further enhancements, leading to sustained competitive advantages.

The Power of Enhanced Producer Relationships

Stronger Agent Loyalty

Reduced cycle times fundamentally transform the relationship between BGAs and their producing agents. In an industry where independent agents have numerous options for placing their business, processing efficiency becomes a crucial differentiator. Agents who experience consistently faster placement times develop stronger loyalty to their BGA partners, leading to more stable and profitable long-term relationships.

This loyalty manifests in several ways. Agents begin to view their BGA not just as a processing center but as a strategic partner in their business growth. When BGAs consistently demonstrate processing excellence, agents entrust them with premium cases and eagerly explore new product lines together.

Competitive Advantage in Recruitment

In the fierce competition for top-producing agents, BGAs with superior processing times have a compelling story to tell. They can demonstrate concrete statistics about their operational excellence, showing potential recruits exactly how partnering with them will improve their business outcomes. This tangible differentiation becomes especially powerful in an industry with similar value propositions.

Carrier Benefits: The Hidden Multiplier

One often overlooked aspect of improved cycle times and placement ratios is their substantial impact on carriers. When BGAs operate more efficiently and place a higher percentage of submitted cases, carriers experience significant operational and financial benefits:

Reduced administrative costs on unplaced cases
Better alignment with actuarial pricing models
More predictable revenue streams
Improved resource allocation efficiency
Enhanced profitability per case reviewed

These improvements allow carriers to maintain more competitive pricing, opening the window for additional product development and creating additional opportunities for BGAs and their producers.

An hourglass representing cycle times in the life insurance industry

Operational Cost Savings: The Bottom Line

The administrative burden of case processing traditionally consumes a significant portion of a BGA’s resources. Shorter cycle times create efficiencies directly impacting the bottom line through reduced operational costs. Each day saved in processing represents fewer touch points, less paperwork handling, and decreased storage requirements.

Staff efficiency gains become particularly noticeable as cycle times decrease. Case managers can maintain larger caseloads while actually reducing their stress levels, leading to better job satisfaction and lower turnover rates. This improved work environment creates its own cost savings through reduced training needs and higher employee retention.

Technology and Process Benefits

More accurate tracking and reporting capabilities
Enhanced compliance management systems
Improved carrier relationships
Better performance metrics and analytics
Greater operational scalability

Client Experience Improvements

The impact on end-clients and producers cannot be overlooked. When BGAs process cases more efficiently, it creates a ripple effect throughout the distribution chain. Producers spend less time on administrative follow-up and more time building their businesses. They can provide faster, more accurate updates to their clients, enhancing their professional reputation and increasing the likelihood of referrals.

For the end-clients, faster processing means quicker access to coverage and reduced anxiety during the application process. This improved experience makes them more likely to consider additional products and recommend their agent to others, creating organic growth opportunities for everyone in the distribution chain.

Employee Pooling is the Answer to Reduced Cycle Times

Employee Pooling has effectively reduced cycle times and improved placement ratios for hundreds of BGAs and Institutions. Our highly trained professionals accelerate company growth while reducing operational expenses, delivering premium talent at a fraction of the cost of traditional hiring expenses. EP’s reputation for excellence is built on maintaining a 99% accuracy rate and consistently exceeding industry efficiency benchmarks.

The investment in reducing cycle times through improved, outsourced case management is really an investment in the future of the BGA business model. With potential reductions of over three weeks in processing time and significantly higher placement success rates, BGAs can fundamentally reimagine their role in the insurance distribution chain. Those who succeed in this transformation will find themselves well-positioned to thrive in an increasingly competitive marketplace. At the same time, those who maintain traditional processing times and placement ratios may struggle to remain relevant in an industry that increasingly values speed and efficiency, and successful case placement.

December 6, 2024

Why Rightsourcing is the Smart Move for BGAs in Today’s Market

Tom Gray | Founder & CEO, Employee Pooling, LLC

“If you try to do everything, you will do nothing well.” – Henry Ford

Growing pains. They kept us up at night as children, and they keep CEOs and CFOs up at night in today’s business world. The billion-dollar question is simple enough: How can we grow our business without the pain? When I translate that question to our industry, it reads slightly differently.

How can a brokerage sustainably grow revenue while ensuring its key personnel can maintain high standards and continue delivering exceptional white glove service to agents and clients?

The life insurance industry faces unprecedented challenges in maintaining profitability while scaling operations. For Brokerage General Agencies (BGAs), the solution lies in strategic rightsourcing – the practice of optimizing workflows by creating an ideal balance between in-house and external resources.

Let’s return to that infamous saying, “If you try to do everything, you will do nothing well.”

When we attempt to excel in too many areas simultaneously, we dilute our time, energy, and resources. Each additional commitment reduces our attention to existing priorities, potentially turning what could have been excellence into mere adequacy.

The Busiest Bee Still Needs to Land

Our industry involves many intricate processes that span multiple disciplines and skill sets. Even before an application begins, agents look to BGAs for up-to-date information on the latest carrier offerings and risk-management trends. They seek assistance in presenting comprehensive solutions to their clients. They require access to the latest technology and tools to help them procure and process business.

They do all of this before the application.

The list after their client applies is even more exhaustive. Underwriting, back-and-forth communication with the carrier representatives, follow-up status reporting, medical record collecting, commission management, policy reviews, and on and on. How any brokerage can focus on recruitment while simultaneously managing all these tasks is a small miracle. Rightsourcing means giving your company time to focus on the 20% of their tasks that make up 80% of their profits: recruitment, strategic planning, and business growth. It means reducing staff turnover and running a faster, more optimized enterprise through streamlined workflows and automated processes. The real edge here is the time savings. But it doesn’t hurt that it can also save companies a significant amount of overhead in the process.

The Financial Advantage

The numbers tell a compelling story. BGAs can reduce payroll expenses by up to 49% by rightsourcing essential tasks to an experienced, dedicated case manager. This dramatic cost reduction doesn’t come at the expense of quality; in fact, it often enhances it. It’s also important to note that this doesn’t mean your in-house case managers will become obsolete. Instead, it brings a sense of balance to the team; cases are managed more efficiently, with cycle times improved by at least 20 days. Faster cycle times equal increased placement rates.

Solving the Scalability Challenge

One of the biggest hurdles BGAs face is managing seasonal fluctuations in business volume. Traditional staffing models force agencies to either overstaff during slow periods or scramble to meet demand during peak times. Rightsourcing eliminates this dilemma by providing flexible access to skilled professionals who can be scaled up or down as needed.

Beyond Cost Savings: Operational Excellence

While the financial benefits are significant, rightsourcing offers advantages that extend far beyond cost reduction:

Expertise On Demand: Access to specialists in licensing, contracting, underwriting, and commission management who stay current with industry best practices and regulations.

Technological Edge: Leverage advanced software platforms and processing systems without the burden of implementation and maintenance costs.

Quality Assurance: Dedicated management hierarchies ensure consistent service delivery and maintain high performance standards.

Keeping Both Hands on the Wheel

As the life insurance industry evolves, BGAs embracing rightsourcing position themselves for sustainable growth. By optimizing operational costs, ensuring scalability, and maintaining high service standards, agencies can focus on what matters most – growing their business and serving their clients.

The question isn’t whether to use rightsourcing but how to implement it effectively. With the potential for up to 57% cost savings and improved operational efficiency, BGAs that make this strategic shift now will find themselves at a significant competitive advantage in the years ahead.

Making the Transition

For BGAs considering rightsourcing, the timing has never been better. The industry’s shift toward digital processes and remote work has created an environment where outsourced teams can seamlessly integrate with existing operations. The key is choosing a partner with deep industry expertise and a proven track record in the life insurance sector.

The Right Partner Makes the Difference

Employee Pooling (EP) stands out in the rightsourcing landscape by offering comprehensive Insurance-Focused Process Management Solutions in a secure environment. By dedicating fractional shares of departmental specialists, EP ensures BGAs receive consistent, high-quality service across all critical functions – from application processing to commission reconciliation. Rather than spreading your resources thin, you create a focused operation where both internal teams and external partners can deliver outstanding results, driving sustainable growth and success (without the pain).

November 11, 2024

Navigating Digital Transformation In The Life Insurance Industry

In today’s rapidly evolving digital landscape, the life insurance industry stands at a crossroads, balancing the promise of technological advancement with the practical challenges of integration and optimization. As Independent Marketing Organizations (IMOs) and Brokerage General Agencies (BGAs) embrace a plethora of software solutions designed to enhance operational efficiency, the necessity for effective implementation becomes increasingly critical. The journey to maximize the return on investment (ROI) from these digital tools is fraught with the complexities of training, customization, and support, often stretching the resources of even the most technologically adept organizations. This dual-part article delves into the strategies for navigating this digital transformation, focusing on both the technological and human elements essential for sustaining competitive advantage and fostering growth in the insurance sector.

Maximizing ROI On Your Digital Arsenal
The life insurance industry has witnessed a surge in technological advancements over the past two decades, providing IMOs and BGAs with a wide array of software and tech solutions to streamline processes, reduce costs, and simplify paperwork. However, the adoption of these tools often requires significant investments in human capital for effective learning, integration, and deployment. As agencies add more tools to their arsenal, the demand for training, customization, and fine-tuning increases, potentially leading to diminishing returns on time invested in integration, implementation, and optimization.

The expanding array of technology solutions, like eApp, CRMs, and Agency Management Systems presents agencies with a conundrum: The more tools added to the agency’s arsenal, the greater the demand for training, customization, and fine-tuning to ensure optimal performance without draining valuable revenue.

While these tools promise to enhance your agents’ and advisors’ efficiency and productivity, any glitches or hurdles often result in support calls to your tech liaison, further stretching resources. Adding insult to injury, the designated technology expert within your organization is already juggling critical assignments, leaving little bandwidth for managing the ever-growing tech stack.

As the volume of resources purchased increases, there’s a potential for diminishing returns on time invested in integration, implementation, and optimization. Finding the balance between technological advancements and operational efficiency becomes paramount for agencies seeking to stay competitive in an increasingly tech-driven industry.

To address these challenges, seeking assistance from a trusted third party, such as Employee Pooling, can prove to be a prudent investment. EP’s team of experts possess specialized knowledge and skills essential for setting up, configuring, delivering, and maintaining complex InsurTech systems. They can optimize resources, ensure seamless integration, provide scalability, and offer ongoing support, allowing agencies to focus on business growth opportunities. Engaging external assistance is often more cost-effective and efficient than investing in extensive training sessions for every platform, ultimately enabling technology to multiply an agency’s time and profitability rather than diminish it.

Leveraging Data Insights to Shift Advisor Mindset and Close Insurance Gap
Successful advisors understand the importance of developing a unique financial plan for each client, which helps guide decisions and achieve financial goals. But the plans often lack a life insurance component. What happens if a client dies before achieving their financial goals? Life insurance plays a critical role in managing risk and provides the foundation for any financial plan.

According to LIMRA, $3.3 trillion of new life insurance coverage was purchased by 90 million US families in 2023. Despite this, 42 percent of Americans say they need (or need more) life insurance coverage. While consumers exhibit trust and willingness to engage with advisors, 28 percent are looking to work with someone—indicating untapped opportunity to sell, up-sell and cross-sell life insurance to them.

According to James Kerley of Clearview Partners, the industry has plenty of advisors licensed to sell life insurance, so what’s driving this disconnect between interested clients and advisors willing to engage them in conversation about purchasing life insurance? His research indicates that many advisors avoid discussing life insurance with their clients, often due to lack of understanding of both the products and their match with the client needs.

New technologies are enabling a shift in the advisor mindset and creating selling/up-selling/cross-selling opportunities. For example, Spinnaker Insurance Analytics’s Lead Prioritizer^TM and Product Recommendor^TM solutions identify which clients or prospects are most likely to benefit from obtaining or increasing life insurance coverage and match them with the most appropriate product and solution. This Boston-based company does so by combining external/internal data with a portfolio of algorithms, which I believe are unmatched in the industry.

Life insurance is an emotion-based sale. It’s difficult to talk about death, and negative economic consequences. But that discussion allows both the advisor and the client to protect their future economic value. Changing the life insurance mindset can influence not only your clients’ financial stability, but also your own, in terms of retaining future assets and clients for your practice. Using data insights from such cutting edge technologies and solutions can take out the guesswork and the uncertainty helping you and clients create greater certainty and comfort in securing a brighter future.

While a focus on investment and retirement planning may seem like an appealing plan, not every client will live to enjoy the benefits. Without life insurance, families and businesses will lack essential assets in the short-term, and advisors will lose those assets for the long-term. Closing the life insurance need-gap is in the interest of all parties, and advisors have the means to get started now.

Bridging Technological Advancement and Data-Driven Strategies
Maximizing the ROI on digital tools and leveraging data insights are two sides of the same coin in the life insurance industry’s pursuit of efficiency and growth. As agencies adopt advanced technologies to streamline operations, the effective use of these tools becomes paramount. Concurrently, data-driven strategies can shift advisors’ mindsets, bridging the gap between potential clients and life insurance coverage. By integrating sophisticated software solutions with actionable data insights, agencies can enhance their operational capabilities while empowering advisors to make informed decisions that align with clients’ needs. This synergy between technology and data not only optimizes resource allocation but also unlocks new opportunities for sales, up-selling, and cross-selling, ultimately driving growth and client satisfaction.

In an industry as dynamic and competitive as life insurance, embracing technological advancements and data-driven strategies is essential for sustaining growth and maintaining a competitive edge. The integration of cutting-edge tools, coupled with the intelligent use of data, enables agencies to streamline operations, reduce costs, and improve client engagement. By seeking expertise from trusted third parties and leveraging innovative analytics solutions, agencies can navigate the complexities of digital transformation and effectively address the insurance gap. This holistic approach ensures that technology serves as a catalyst for success, enhancing productivity, profitability, and client trust in an increasingly tech-driven marketplace.

August 30, 2024

Integrated Services – A Case Study

Our client approached us with a clear need for scalable growth. The sheer size of teams required for their operations made achieving the desired expansion nearly unattainable through in-house hiring alone. EP introduced multiple service lines tailored to their intricate requirements, propelling them beyond their growth plateau. This intervention facilitated their expansion and generated significant savings, slashing staffing costs by over $1.25 million annually.

August 30, 2024

Full Back Office – A Case Study

Our Client, a Brokerage General Agency based in Seattle, required a flexible back-office solution to address operational challenges. The agency’s six-person team incurred annual payroll expenses of nearly $400,000, while inefficient time and team management practices were hindering their progress. EP successfully transitioned the client’s entire back-office operations to five of our specialized departments through a phased approach. This comprehensive solution encompassed all aspects of their workflow, from agent appointment through policy management, and monetization. As a result, the client eliminated four staff members and repurposed the two remaining as dedicated relationship managers, allowing them to concentrate on their core competency: supporting and driving sales.