Lowell Tuttle
Hollis, my CPA and I were rehasing how we both came up (insurance and accounting) office technology wise from back in the day. I started with a manual Typewriter, but quickly switched to a 1200 dollar IBM selectric with a ball...no calculator, adding machines...We used paper or cardboard rate guides. Each customer had an account card As we handled each account, we had to have the account card in the file. We manually rolled the account card into the typewriter and debited and credited, notating payments cash or check, onto the account card The file clerk separated the file from the account card and put them back. An accountant would review the account cards each month and reconcile with the bank deposits.
Most transactions were net check to the company, or to a premium finance company, less agent commision. Some companies ran an agent's 30-60-or 90 day account current due for agents to pay net for all policies written.
We finally got calculators, push button phones, word processors (or accounting programs with word processing interfaced..._ about 1977 or 78...We had software finally installed onto a hard drive with menu driven software (before windows) about 1979 or 1980...
Around 1990 Progressive and Americna Financial (Infinity/Windsor) started credit scoring on insurance rating and they figured they could do it without the agent. GEICO chimed in the same way, copycating Progressive. They now spend upwards of 4 billion or so in advertising.
Interesting, the agent side of business with Progressive does about 5% better than the direct side. You can see it by looking at Progressive's financial reports, available under PGR via Yahoo finance. They report their SEC financials monthly...
PS You can still grind your own beans at most big grocers...I like the smell too...but remember A&P in Terrace Shopping Center, though my mom mainly went to Safeway nearby for their meat quality
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