Why Ownership Structure Matters in Insurance Networks

In today’s consolidating insurance market, large agency networks are targeting independent agencies. But not all networks are created equal, and one of the most critical yet often overlooked differences is who owns the network and why that matters.

Network Ownership Structure Shapes Everything 

The ownership structure of an insurance network impacts decision-making, support, culture, and, ultimately, the success of its members. Member-focused networks are designed to serve the long-term interests of their agencies, while other models, including those backed by private equity (PE), can often be driven by investment timelines and return expectations.

“Ownership matters because it dictates whose interests come first,” says Steve Pearson, President of ISU Steadfast. “In private equity models, it’s the investors. In member-focused models, it’s the agents.”

The Member-Focused Advantage: Built for Independence

ISU Steadfast operates on a member-focused model with a long-term strategy focused on our members. Pearson emphasizes, “Our philosophy is simple: We help independent agencies stay independent.”

ISU Steadfast’s model prioritizes peer-to-peer relationships and long-term success. Membership is selective. Agencies must already be successful before joining, and the network helps amplify that success through market access, operational support, and growth strategies.

“Our members range from $500,000 to $30 million in annual commission revenue, and they all see significant benefits. You can’t outgrow what we provide,” Pearson explains. ISU Steadfast is a steady partner, helping to support its members.

Importantly, members maintain full control over their business. Agencies can terminate their membership at any time without exit penalties. They also keep their carrier appointments, even those initiated through ISU Steadfast, if they choose to leave.

This autonomy contrasts with other models that may centralize decision-making or restructure operations to meet short-term performance goals. While these strategies can be effective for certain business goals, they may not align with agencies looking for long-term, relationship-based growth.

No Strings Attached: Freedom Within the Network

ISU Steadfast members retain their branding, culture, and client experience. Agents choose how deeply they engage with the programs.

In addition, carrier access is not through a marketing center that can isolate agents from underwriters. “Our members have direct access to underwriters, which is better for communication and risk placement and reduces the chance of errors,” says Pearson. “Our focus is always what’s best for the agent.”

ISU Steadfast also offers succession solutions designed to keep agencies independent, even through ownership transitions. Unlike models where acquiring a stake means seizing control, ISU Steadfast’s approach allows retiring principals to sell a minority stake while retaining leadership, paving the way for next-generation ownership without jeopardizing the agency’s independence.

As Pearson puts it, “ISU Steadfast is in this for the long haul — no strings, no gimmicks. Our only agenda is helping agents thrive.” 

Collaboration Over Centralization

In addition to its members retaining ownership, ISU Steadfast focuses on agency collaboration and continuous improvement. A key example is its Agency Principals Forum, which brings agency owners together to share strategies and benchmark performance.

“Running an independent agency can be lonely,” Pearson explains. “Consultants don’t always understand the nuances of insurance, but here, agents learn directly from each other.”

The Forum offers regular virtual and in-person sessions on key performance metrics and long-term growth strategies, guided by outside experts. Participation has grown from a dozen to around 40 agencies, underscoring the strong demand for peer-driven improvement and highlighting ISU Steadfast’s commitment to sustained success over short-term profits.

Commitment to Local Community a Priority

Pearson also emphasizes the network’s commitment to local communities. “Independent agencies are deeply woven into their communities. They hire locally, support local causes, and their profits stay local.”

Many agency owners have built multi-generational businesses and are personally invested in the health of their communities. These agents know their clients by name, their children attend the same schools, and they are part of the same civic groups.

For ISU Steadfast, preserving that community connection is core to its mission.

“We don’t just help agencies grow; we help them stay anchored in the communities they serve. That’s the heart of what the independent insurance agency is all about.”

Before Joining a Network, Ask the Right Questions

When evaluating networks, Pearson encourages agents to ask simple but revealing questions:

• Who owns the network?

• What are the network’s long-term goals?

• What happens if I decide to leave? Is there an exit penalty?

• Will I still control my brand, team, and client experience?

“Your network should be your partner, not your owner,” Pearson says. “Make sure the structure aligns with your values and your vision for the future.”