Why does HUOH use insurance agents? Couldn’t we save money by insuring doctors without agents?
There are basically two ways to build an insurance company – directly or through the use of qualified agents. It has been our experience that both distribution models develop similar costs. Unlike other lines of insurance, the sale of professional liability protection is not a process that can be automated. It takes time and complete communication to tell the HUOH story and to help a doctor/group through the underwriting process. To develop a successful direct sales department that could properly serve physicians throughout the state, HUOH would have to hire well qualified staff and spend a great deal more money on such things as marketing, advertisement, travel and entertainment (all costs currently borne to a large extent by our appointed agents). Our time and energy would be spent working to take business away from well qualified agents – a potentially costly battle. We have been able to quickly and cost effectively provide superior service to doctors throughout the state by careful
