The Advantage of Working with a Brokerage General Agency

Author: Team Golden State

Financial advisors can take a personalized planning approach with their clients by working side-by-side with a brokerage general agency.

Financial advisors play a critical role in helping clients achieve their financial goals by providing sound advice when it comes to managing wealth and risk. One area where financial advisors can provide added value is by taking a comprehensive financial planning approach with their clients. A more personalized investor experience can be offered in various ways. One addition is through the help of a brokerage general agency (BGA). Golden State affiliated advisors have the advantage of working with a BGA to help them source the right strategies for clients when it comes to life insurance, annuities and long-term care insurance.

What is a BGA? Simply put, they are a third-party company that a financial advisor can lean on to be knowledgeable with all insurance companies and their products. They offer insight and advice on the most appropriate products for their clients. The BGA stays apprised of all the competitive options in the insurance industry, so financial advisors can focus on their client relationships. When it comes time to discuss insurance with clients, the financial advisor leverages the BGA for their expertise.

Here are some advantages of working with a BGA:

1. Enhanced client relationships: Financial advisors can deepen their relationships with clients by providing a more comprehensive range of services. Clients may appreciate the convenience of having a single point of contact for both their investment and insurance needs.

2. Improved risk management: Insurance products can help clients manage risk that may impact their financial security. By offering an insurance focused platform, financial advisors can seek additional avenues to help clients mitigate risk and protect their assets.

3. Competitive advantage: Financial advisors can differentiate themselves from their competitors. Clients may be more likely to choose an advisor who can provide a wider range of services.

4. Increased revenue: Offering insurance services can generate additional revenue for financial advisors. Insurance products, such as life insurance, annuities, and long-term care insurance, can provide commission-based compensation to both advisory only and hybrid advisors.

5. Client retention: Having the ability to offer an additional set of products, such as insurance, may help financial advisors increase client retention. Clients who have multiple financial needs may be more likely to stay with an advisor who can provide a large suite of services.

Offering insurance services can be a strategic way for financial advisors to grow their business, deepen client relationships, and provide a more personalized financial planning experience. Clients, in turn, can enjoy a more comprehensive suite of financial services that may lead to better financial outcomes. With a BGA, financial advisors assist their clients in providing greater value and have the ability to potentially build a more successful and sustainable business.

Golden State affiliated advisors have the advantage of working with Golden State Insurance Services, an in-house BGA. To learn more about Golden State and resources available, contact us today.