Stop Selling Everything: Generalist Agents Will Lose the Insurance Game

The insurance industry lionizes the generalist—the adaptable agent ready to write anything from a homeowner’s policy to a cyber liability plan for a mid-sized tech firm. While versatility used to be the calling card of the “good” producer, in 2025, “good” isn’t good enough.

From this point forward, the most successful agents aren’t generalists. They’re specialists. They’re not chasing every lead—they’re building niche empires. And, if you're still selling "a little bit of everything," you're already behind.

The Death of the Generalist Advantage

The rise of digital-first insurance companies, intelligent quoting platforms, and hyper-informed buyers has complicated the competitive landscape even further. Quoting fast and marketing broadly are table stakes.

In the meantime, your clients and prospects are Googling, reading reviews, and sizing you up against 10 other agents. Give those prospects a reason to choose you over someone else. Being “available to write anything” is no longer a value proposition, it’s a distraction.

So, what separates the agents closing at 60 percent (or higher) from those chasing leads all day and hoping for the best? Subject-matter expertise, that’s what. Not theoretical knowledge. Not marketing jargon. Actual, demonstrable mastery of a specific segment.

The SMB Opportunity

Let’s focus on one vertical where this shift is especially clear: small business (SMB) insurance.

According to a recent Oliver Wyman article, “Win in the Small and Medium-Size Commercial Insurance Market,” the U.S. small and medium-sized business (SMB) insurance market is approximately $110 billion in size, with no single player holding more than a 10 percent market share. This market fragmentation presents a significant opportunity for agents to become niche experts in specific segments of the SMB market.

SMB owners don’t shop for insurance the way enterprise risk managers at large corporations do. They are looking for a trusted relationship that used to be possible with an agent on Main Street in Everytown, America. SMB owners want an agent who proactively understands their business model, cash flow constraints, growth goals, and operations. SMB owners do not have the time or any interest in educating an insurance agent about what they do.

That’s where niche agents win. Those agents who specialize in restaurants know how to talk about liquor liability and seasonal payroll fluctuations. Those agents focused on insuring freelancers can easily rattle off professional liability policy needs. That’s not just “good service.” That’s a demonstration of expertise. It holds authority. And authority sells.

Depth Beats Breadth

For those thinking a niche strategy will require turning down business, it might, but it doesn’t have to limit your potential. It could multiply it. Here’s how:

• Higher Conversion Rates: Increasingly, insurance buyers are seeking out subject matter experts. According to an article by Forrester VP Barbara Winters, “The State of Business Buying: Companies Still Struggle to Meet Buyer Expectations,” industry, technology, and domain expertise rank among the top reasons buyers select a provider. Demonstrating deep understanding in a specific area clearly builds trust and closes deals.
• Efficient Operations: Effective specialization makes speed-to-market and operational efficiency critical for agents. Building repeatable processes for faster quoting and streamlining internal processes means fewer mistakes and more deals won.
• Referral Flywheel: Satisfied clients within a niche are more likely to refer others in the same industry. This creates a self-sustaining or virtuous circle that brings in high quality leads who are already inclined to value your specialized knowledge.
• Marketing Focus: Targeted marketing efforts resonate more deeply than a “one size fits all” approach. By tailoring messaging to a specific audience (or better yet, an individual), you increase engagement and establish yourself as a trusted authority in that space.

 Data Doesn’t Lie

Recent buyer behavior studies reinforce this shift. In the article mentioned earlier by Forrester’s Barbara Winters, 86 percent of B2B purchases stall during the buying process, and 81 percent of buyers express dissatisfaction with chosen providers. A significant factor contributing to this dissatisfaction is the lack of demonstrated industry, technology, and domain expertise by providers.

This data underscores the importance of specialization. Buyers are seeking partners who understand their specific challenges and can provide tailored solutions. By positioning yourself as a specialist in a particular niche, you not only build trust but also differentiate yourself in a crowded market.

Why So Many Still Resist

I know what you are thinking…”If the numbers are this compelling—and the market is this rich—why do so many agents or producers still spread themselves thin?”

Conventional wisdom suggests the myth of the generalist still feels safe. Casting a wide net feels like increasing your odds, but in truth, you're just lowering your value in every conversation. The agents scaling the fastest in 2025 aren’t saying yes to everything. They’re saying yes to the right things, and no to the distractions.

How to Make the Shift

Fine tuning your business to specialize in a particular industry niche may sound easy, but there is no switch to magically flip here. But, if you're serious about sustainable growth, you do need to pick a lane.

Start here:

1. Choose a Segment You Know—or Want to Know: It could be coffee shops, yoga studios, HVAC contractors—anything where you can gain an edge and go deep.
2. Audit Your Book: You probably already have niche or niche-adjacent clients. Talk to these existing clients to develop use cases and testimonials that will help better define your positioning and refine your pitch.
3. Build Credibility: Subscribe to your niche’s trade publications. Attend the right conferences. Write blog posts and LinkedIn content with your newly chosen niche in mind. Show up where your niche’s prospects are.
4. Get Comfortable Saying No: It’s not rejection—it’s redirection. Saying no to mismatched business is how you say yes to growing your sustainable, niche business.

 The Future Is Focused

The best producers in the game right now aren’t chasing volume. They’re building authority. If you’re ready to stop quoting everything and start owning something, there’s never been a better time to carve out your space.

In today’s market, the agent who knows a little about a lot gets ignored, but the agent who knows everything about one thing? That agent owns the room.

John Poucher is SVP of Agency Distribution for Coterie Insurance. John will join Nick Lamparelli, and Angelo Ocampo, CEO of Quick & EZ Insurance in a webinar titled: The Power of Niche - Selling Insurance Through Subject Matter Expertise on July 29th at 3pm ET. REGISTER, COMMENT, & WATCH HERE

John can be reached for further information or comment via email at john.poucher@coterieinsurance.com.