Master Agency Launched in New Jersey

Two New Jersey insurance agencies have joined forces to launch a master agency named Consolidated Insurance Agents.

Pavese McCormick Insurance Agency, of Monmouth Junction, and Valvano Insurance Agency, of Linden, say the master agency will offer several several partnership affiliation methods. A handful of larger firms seeking equity positions are to be balanced with affiliates seeking the benefits of aggregating their premiums, the two agencies said.

A master agency is a partnership arrangement in which independent agencies pool some services and premiums.

“Over the last several years, agencies in the Garden State have faced increased pressure to retain their client base; many lack the markets to win against bigger agencies and have a density of competition unequaled in other regions,” said co-founders Michael Varvar.

The agencies say the model allows agents to maintain independence, share services and cut operating costs while freeing-up principals and producers to allow them to concentrate on acquiring new business, retaining clients and increasing revenue.

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Source: Consolidated Insurance Agents