The insurance market is changing, which means that the leaders of this industry are always looking for new opportunities and new markets to advance into. Herb and Tim own an insurance agency in Michigan and have decided to open another branch in Texas. They are taking this step to ensure they have a competitive edge in their knowledge of insurance, specifically condominium and apartment insurance.
Why Texas?
Herb and Tim began their company in Pontiac, Michigan, and soon became well-known personalities in the condominium and apartment insurance industry. They have thrived in Michigan due to their creativity and ability to offer a unique service compared to other insurance agencies. They realized that with a population size that was not only large but also increasing at an astonishing rate, Texas was the best place to expand. “Texas is a huge market. It’s four times the size of Michigan when it comes to meeting associations and apartments down there,” Herb explained.
The decision to expand to Texas was not an easy one. Herb and Tim currently have relationships within the state with attorneys, restoration companies, roofing companies, brokers, and property managers. These relationships seemed to offer the right premise for their expansion. “We’re starting to build an ecosphere, a system down in Texas, not only for our clients but also to help other professionals in the industry,” Tim added.
Accomplishments in Michigan
Herb and Tim were able to make major breakthroughs in Michigan before expanding their business in Texas. Due to this, they have brought experience as well as an understanding of the market in the state in which they have been conducting their operations. Herb and Tim were also famous as insurance agents from the state of Michigan, largely because of their professionalism in handling their clients. “We’ve really grown our business in the past year, and a lot of it is attributed to the past 15 years of experience,” Herb said.
Another advantage of Herb and Tim is that they are working as insurance agents and real estate investors at the same time. This makes them more effective in serving them since they have a view of their clients in a different light. “We’re seeing it from both sides, which gives us a unique perspective that probably a lot of other insurance agents do not have,” Herb noted.
Challenges in the Insurance Industry
Despite the success that both Herb and Tim have made, there are various challenges that can be encountered in this line of business. It is a dynamic industry that is characterized by changes in regulation, market environment, and customer demand. “The insurance industry right now is in turmoil. It’s a continually changing world out there,” Herb observed.
Among them, one of the issues they have faced is that demands from insurers have been getting higher and higher. For instance, insuring buildings that were erected in the 1970s are now complex because they address the issues of the age of buildings, electrical panels, and roofs. “Two years ago, if you had a 1970 building, nobody really balked at it. Now all of a sudden, all these different carriers have different buy boxes that they want to ensure,” Tim explained.
Nevertheless, specialization in the sectors of condominium and apartment insurance has been beneficial for both Herb and Tim. They have thus acquired knowledge in this specific area, which enables them to manage the complexities of the challenge better than the would-be insurance agents. “We’ve become experts in this line of business that we do, so we’re becoming the trusted insurance agents out there for this specific market,” Tim said.
Setting Themselves Apart in Texas
In the new move, as the two develop their business in Texas, they are certain their experience should help them to compete with other insurance agencies in the state. Herb’s commitment to being involved in the condominium insurance segment represents one of its strengths. Herb has been insuring condominiums for 19 years and is a member of the Texas Legislative Action Committee for condominiums. “He’s deep inside the condominium world, talking to legislators, trying to rewrite some insurance codes to make it more beneficial,” Tim explained. In addition to their legislative involvement, Herb and Tim are also bringing years of experience and specialized knowledge to the Texas market.
Looking to the Future
Though Texas is the primary target market, greater goals are set by Herb and Tim for their company. Currently, their agency is operating in 14 states, but they are still actively seeking more opportunities to expand even further as they establish themselves in Texas. “We want to be focused on Texas, but we also have the capability to write business in several different states,” Tim said.
In developing their future business strategies, both Herb and Tim emphasized the importance of education and the ability to enlighten their clients and partners. Their goal is to serve as a credible source of information and advice which will help change the face of the insurance market in the state of Texas and other states. They have proven that knowledge, experience, and the will to be the best in the field make one a success.
To learn more about Herb and Tim’s innovative approach to condo insurance in Texas, visit their website at herbdorow.com.
Published by: Nelly Chavez
