"Although we may be coming out of one of the most difficult periods in insurance history, some areas might still see increasing premiums for another 12-18 months," says independent agent Guffy Wright. "Factors like claim volume, social inflation, weather patterns and fraud will continue to play major roles."
Guffy Wright
Real estate practice leader, partner, board member
Mesa, Arizona
How did you get started at your agency?
I was inspired by successful people I met when I was young—and many of them were in the insurance business. That made me think, “Maybe I can do this, too." At 18, I reached out to the owners of The Mahoney Group. I did a six-month internship but ended up pursuing other interests for a time. However, after getting married young, I decided it was time to establish my career in insurance. I started selling insurance at 22 because I was looking for an opportunity that gave me freedom in time, money, purpose and relationships. The Mahoney Group was the perfect fit for a young person eager to make it. I knew since I was 15 years old that I wanted to sell insurance.
Why real estate insurance?
The Mahoney Group had specialized in real estate insurance for 30 years when I joined. I looked at those who were successful and many were writing insurance for apartment owners. I figured that if they were succeeding in that area, it was a path worth pursuing. Plus, I had my real estate license and an interest in real estate investment, so it was a natural fit.
Challenges in the property insurance market?
It's facing a tidal wave of challenges—costs are rising and coverage is decreasing. How do you manage risks like softball-sized hail or tenants and their guests? And how can owners secure better terms than the marketplace offers? Although we may be coming out of one of the most difficult periods in insurance history, some areas might still see increasing premiums for another 12-18 months. Factors like claim volume, social inflation, weather patterns and fraud will continue to play major roles.
Future trends?
Niche programs and specialized agents will continue to grow. There will be a gap in premium results between real estate owners with no claims, high deductibles and strong risk management practices, and those with older properties, claims and limited cash flow for high retentions. With more data and analytics, pricing will become even more regional.
Advice for a fellow agent?
Focus on a niche within real estate—whether it's hospitality, multifamily, commercial properties or single-family rentals. The more specific and industry-focused you are, the more you'll attract your ideal clients while filtering out those you can't truly help. This focus will help you scale your business as you commit to the industry and your niche.
Olivia Overman is IA content editor.
