Declaration of Independents: Todd McCredie

Todd McCredie

President
McCredie Insurance Agency Inc.
Flint, Michigan

The flight plan of this licensed pilot is to create the environment and provide the tools for agency employees to soar. As past president and 13-year board member of the Aviation Insurance Association, McCredie now focuses on agency automation and serves on the board of NetVU, the Network of Vertafore Users.

AUTOMATION TIPS?

At user group meetings, people say, “We told them to set it up this way.” I always ask, “How did you know how to set it up?” They’ll say, “That’s how we currently work.” My response: “Then why’d you buy the system? You’re heading backwards because that’s what you know and have seen. Don’t buy a Ferrari and drive it like a Ford Focus. Learn how to use it.” Get out of your office and figure out where your agency is with automation.

ACQUISITION PLANS?

I wouldn’t necessarily buy an agency today. I would rather grow at 2%, 3%, maybe real aggressive 5% organically in inside sales, than go out and grow 25% by acquiring an agency. I don’t want to buy an agency’s problem with automation and have to transform all those folks into a well-oiled machine. It’ll definitely make you busy, but I don’t know if that’s growth.

YOUR STORY?

I was the kid who grew up at the airport, not dreaming of flying, but always flying. I’m the son of the boss—Dad has always been a pilot. We’re a small family property-casualty agency with a niche in aviation insurance and clients who are licensed in 42 states.

YOUR PERSPECTIVE?

Dad never said “We need you here,” so I never felt any pressure. My senior year in college, I called him with no clue what I wanted to do. He said, “If you want to work in the agency, you should give it a shot.” I said I’d start June 1. He said, “Take the summer off.” I rode my bike across country from Seattle to Boston. I remember sitting at a crossroads, unable to see a thing, with everything on the horizon. “Do I go forward, or do I go back?” I’m going to keep going forward. That’s how I look at business.

LEADERSHIP?

I sat with my staff for 18 months, doing their work. It taught me a lot. At the end, I said, “I’ve got to get you guys more organized. And it’s not because you’re unorganized. It’s because the way we work is unorganized.” We were automated, but like many agencies, we were sawing wood with a hand saw.

We bought Vertafore’s AMS 360 and WorkSmart® electronic filing system. We harness it and use—maybe not 100%, but boy, do we use a lot of it. Here’s a fact: We would take 90-120 days to get a renewal policy sent to the client. Today, we’re under two weeks. The best improvement is not the number, but how my people feel. They aren’t fire fighters anymore. We went live nearly four years ago with 25 employees. Today, with 18 employees, we’re doing more business.

WHAT’S NEXT?

We’ve figured out the way to make automation successful. My newest challenge is finding the right people to use the automation—and keeping them from being stolen by private equity firms.