I’d like to know how a franchise insurance agency works in terms of:
- revenues (are the premiums collected given back to the insurance company, which invests them and gives back a commission to the franchise agency, or retained by the agency that gives a % of them to the insurance company?)
- investment (if the franchisee retains the premiums, does he also invest them and handle fund management? or does he simply retain them as liquid cash resources?)
- underwriting (who does it, the agency or the insurance company? in case a claim is legitimately filed, is it the agency or the insurance company to use its own resources to pay the reimbursement to the insured?)
- any other differences with respect to a normal insurance agency
I need this information for a research project
Thank you very much for your time
Let’s say that a company has a monopoly of cell phones in a country. How can a citizen of that country obtain a permission from AT&T or any other cell phone company to expand their market place else and break the monopoly of that country? And, also what help does this person receive from this franchise provider?
