How to select the best insurance FMO

How to select the best insurance FMO

As an independent life and heath insurance agent, one of the toughest decisions you’ll make in your early days is if finding an FMO to start with is the best option for you. If yes, you have to find the best insurance FMO for you.

What’s an Insurance FMO? For the uninitiated, an insurance FMO is a Field Marketing Organization (FMO). It’s also sometimes called an Insurance Marketing Organization (IMO). It’s basically a company that offers insurance products and services to insurance agents or agencies.

Selecting the best insurance FMO is not an easy task, since there are a lot of things you have to take under consideration. Before making your choice, you need a clear view of what is important to you in terms of your needs. This will then make your decision much simpler, and help your productivity thereafter.

We here at CloudAgency highly recommend that before selecting the best insurance FMO for you, seek advice and guidance from a mentor in the industry who has plenty of experience. This will help you in formulating your actual needs before doing your research.

Selecting the best Insurance FMO: what you need to know

Before even diving into a selection process, there are a few important things to ask and search about. We highlight the mains ones below, but feel free also to work on this stage further with a competent mentor.

Release policy

The most important thing you need to know about an insurance FMO is this: who owes the book of business. If you wish to stop working with the insurance FMO, you need to know what happens to your book of business.


The commission you will receive and how it can be increased as your production grows. Plus, any other additional rewards, bonus or benefits that might be part of the agreement working with a particular FMO. Weigh up all the benefits but you sign on the dotted line.

Support and tools

Most insurance FMOs offer an experienced professional person who will help and guide you from day one. We strongly recommend that, as it can be really helpful in your first steps. Additionally, you have to check the tools they offer, such as marketing, quoting or CRM tools. The support you can get from an FMO can boost you, so it is important to check as much as possible.


Practice makes perfect, right? Some Insurance FMOs offer expert and professional help on getting certifications and training for the products from the insurance companies and carriers. Before selecting one, asking about this aspect as it’s important not only a practical level but also from a marketing standpoint. Having access to high quality training schemes will give you more credibility.


You need to ensure you always remain compliant with any legal requirements. For example in the United States, you’re required to stay on top of all Centers for Medicare & Medicaid Services (CMS) regulations. This can be difficult, and violating any such compliance requirements may result in the termination from the insurance company. Worse till, it could also mean a complete loss of income and renewals. Your business is your livelihood, so it’s vital that you have your renewals protected against any compliance issues. A good Insurance FMO will keep all of this in check for you.

The best insurance FMO for you is…

…out there! Yes, the good news is that you will have a wide range of insurance FMO’s to choose from. It’s a very competitive market. So also do not be afraid to negotiate with them on any terms that are important to you. Choosing the best insurance FMO for you is all about making sure it covers your back first, and then your needs. Just like what your customers do when you’re trying to handle their rejections.

Use the above advice wisely and remember, get yourself a mentor to help you on your way to selecting the best insurance FMO for you going forward.

How to select the best insurance FMO was last modified: July 4th, 2019 by Aggeliki Soltatou