“What You Don’t Know Can’t Help You!” … Eddie K. Emmett, Editor / Publisher
How to Hire the Best Insurance Salespeople: 25 Hiring Tips Written by John F. Carroll For years, I struggled to find one unifying characteristic – one trait or skill that was shared by all the successful agents and absent in the others.
In This Edition How to Hire the Best Insurance Salespeople: 25 Hiring Tips ...... 1
Every time I thought I found it I’d meet another agent who, by his success or failure, would disprove my latest theory.
Keep More Commissions with Tax Breaks ................................ 12
Until I finally figured it out… Every successful insurance agent is not a great marketer. They’re not all good conversationalists. They’re not all organized, interesting, or hardworking. They’re not all wellwritten, well-read, well-mannered or well-spoken.
Just the Fax, M’am A couple of days ago someone asked me to send a fax. Now, I don't know about you, but I haven't owned a fax machine for about eleven years. I threw it out with my Filofax. Still, it was fax or nothing, so thanks to Google I found a nifty little website called FaxZero: https://faxzero.com It allows you to send a fax simply by uploading the document and entering the number. It's really simple, it works well, and it's free.
Aggressive Rocks!
They’re not even all wellgroomed. I’ve worked with hundreds of ridiculously successful insurance agents. I’ve also worked with lots of bad ones.
Page 1 of 12
But every rich insurance agent I’ve ever met was great at finding, hiring, and keeping great employees. I’d like you to be rich too. Continued on page 4
August 2015
25 Hiring Tips Continued from page 1 That’s why I put together 25 of my favorite tips for helping agents hire the best producers on planet earth.
You shouldn’t need to pay someone to go to insurance school for 2 weeks. Today, you can study for licensing exams at home on your own time and if someone is really motivated they’ll be able to pass the test on their own.
1) Hire Young for Affordable Superstars Someone fresh out of school or just entering the job market is an obvious gamble, but it might be the only way to get a high-quality employee at an affordable cost. Face it, most of the top-tier licensed and experienced producers are either happy where they are, too expensive for you, or they’ve already become an agent themselves. If you can’t afford the sales rock star with a proven track-record you might have to build them yourself.
4) Hire Close to the Agency When deciding who to hire, one thing you might overlook is how far someone needs to commute to get to your agency. If they live 45 minutes away:
Look for someone you could see owning their own agency in 7-10 years.
1. They won’t know as many local people, who are probably the best prospects.
That’s plenty of time for you to make a lot of money getting him or her ready.
2. They’ll be less likely to work a local community event.
2) The Best Sales Personality is Not What You Think
3.
They’ll be less likely to stay late to close a sale.
4. They’ll need more money to pay for the extra gas and vehicle maintenance. 5. They’ll be more likely to miss work because of weather. 6.
They’ll be more stressed.
7. They’ll be more likely to look for a job closer to home. 8.
They’ll be more likely to leave you.
It’s not all gloom and doom, but it’s worth considering. 5) Try Before You Buy The gregarious and extroverted personality most people think is ideal for selling insurance is not.
Bringing on a new employee is a HUGE commitment.
Based on some cool research by Adam Grant of the University of Pennsylvania (only geniuses go there), salespeople that fall in the middle of the extraversion scale are the most successful. It still pays to know lots of people, but today’s consumer wants to work with someone who will listen and respond to their concerns instead of someone who can’t wait for their next turn to talk. 3) Don’t Hire for a License The biggest mistake I’ve seen agents make is limiting their employee candidate pool down to only those who are already licensed.
It’s such a gigantic decision that I seriously doubt most agents’ ability to make the right choice after only a couple interviews. Plus, everybody acts different on a job interview and for the first few months at a new job. Before making a full-time hire, bring people on for a temporary project, or pay them as an independent contractor. At the beginning they’ll work hard to impress you and you can always compare their results from that time period to future production to be sure they’re always pushing hard. Continued on page 5
That means 99% of all great employees are off the table for you. Aggressive Rocks!
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August 2015
Generally speaking, the higher the commissions the harder the sale and the lower the easier.
25 Hiring Tips
If you don’t pay more for the harder sales your producers are going to naturally go after the less profitable (and easier to sell) business.
Continued from page 4 6) Ask My Favorite Interview Question
Make sure you’re all on the same page going after the same goals. 9) Beware Producers Who Ask for More Base and Less Commission
“What’s the last sales or self-improvement book you read?”
If you really want to be successful in this business, you’re going to need to have superstar salespeople on your team.
I love this question because it tells you one of two things:
Superstars don’t ask for more cushion and less opportunity. They want the opposite.
1. Is the prospect actually interested in being successful and willing to do something about it? 2. Or, are they really good at making up believable answers when they don’t have a good one? Either way, a good salesperson will shine through this question and a wannabe will fumble miserably.
When someone negotiates for a higher base salary I recommend countering with a lower base and much higher commissions. A sales rock star will take it. A loafer will go somewhere else. 10) Be on the Lookout – Everywhere
If you don’t believe me, ask people you already know! 7) Pay as Close to 100% Commission as Possible Yes, it’s hard to attract people with a 100% commission pay structure, but somehow it worked for you, right? Even if you need to inflate commissions to levels higher than what you’re making, the closer you can tie your producer’s pay to their production the better you’ll both be. And if a prospective salesperson is terrified of a commission-reliant paycheck, you might be talking to the wrong person.
A job interview is a horrible place to determine whether someone is a good employee. If you really want the truth, you have to see them in action while they’re working. That’s why it’s easy to identify great employees that you encounter while they’re working at their job! I know one very successful agent who gets all his producers from fast food restaurants! He figures if they can stand on their feet all day, deal with rude customers beside a team of poor employees and maintain a positive contagious attitude they’d make great additions to his team.
8) Match Your Producers’ Commission Structure to Yours
Could your current producers do it? Continued on page 8
If selling a certain policy makes you three times the commission as another, make sure your producers get paid three times as much too. Aggressive Rocks!
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August 2015
PROGRAMS Tejas Seguros Elite (TSE) Standard Policy Tejas Seguros (TEJ) Limited Policy (All Programs offer 1, 3 & 6 month terms) BENEFITS • Texas ID Accepted
Insured Web
Customers have access 24/7 to their insurance policy information. https://tejasinsured.com • • • •
Print Dec & ID Cards Make Payments Report Claims Policy Detail
• • • •
• Undocumented Foreign Drivers • Matricula/International License • Out of state drivers license accepted (No Surcharge) • Medical Statement required for operators 79+ • Up to 40 years for liability • Up to 20 years for Comp/Coll • Salvage Title accepted with Liability only • One Ton's (No more than 4 wheels) TEJAS SEGUROS PROGRAM DISCLOSURES WARNING: A NAMED DRIVER POLICY DOES NOT PROVIDE COVERAGE FOR INDIVIDUALS RESIDING IN THE INSUREDS HOUSEHOLD THAT ARE NOT NAMED ON THE POLICY • TEJ policy does not provide liability coverage: o For damage to rental vehicles o To any family member or household resident who is not listed on the declaration page; • TEJ policy does not provide physical damage coverage: o For any gross vehicle weight in excess of 10,000 lbs; o For a covered vehicle not in the care of an authorized driver. • TEJ does not provide out of state coverage for first party coverages • TEJ policy does not provide coverage for delivery of goods.
SCAN TO SMARTPHONE ACCESS TO MAKE PMT & ID CARD
Live Chat Go Paperless Upload Documents 24 hour Access Celestite Policy Scan
Photo Upload Made Easy Upload photos in 1 simple step Celestite Policy Scan is available for both Iphone and Android devices. Text Alerts / Email Alerts
Sign your customers up today to receive text and email alerts for payment reminders. Once signed up, we will send your customer alerts for the following: • Welcome Text or Email for new customers • Payment / Renewal reminder the day prior to their due date • Payment / Renewal reminder the day prior to cancel or expiration. Agency Fees
Upload your agency fees in a single transaction. When binding a policy or simply posting a payment, you can add your agency fees and eliminate the duplicate transaction. How does it work? When posting both Credit Card & E-Check payments you will be prompted “Are you charging additional fees”. Once posted the premium payment is applied to the policy and the agency fee will be added to your next commission statement. You will not receive a 1099 for your agency fees.
PAYMENT PLANS Pay # of 1st Due Plan Inst Date 15% 5 15 days 16.67% 5 20 days 20% 5 25 days 24% 4 30 days
1st Cancel Date 26 days 31 days 33 days 41 days
FEES 1 Month Policy Fee $12.85 SR-22 $10 Late Fee N/A Return Check $25 Installment Fee N/A
3 Month $36 $12 N/A $25 N/A
Future Due Date 30 days 30 days 30 days 30 days 6 Month $72 $25 $10 $25 Rule 14
Credit Card Processing Fee $2.95 (Primoris charge) Recurring Credit Card $2.95 E-Check – Single payments or recurring No Charge Non-Owners - Not written DISCOUNTS Homeowner Multi-Car Safe Driver Prior
2.5% 20% 15% 20%
Maximum policy discount is 40%. Prior Insurance qualification is named insured provides at least proof of six-month’s of continuous coverage with no more than a 30-day lapse in coverage. PROHIBITED VEHICLES • Any vehicle with a ISO symbol greater than 22 for Model Years 1991 to 2010 or 49 for 2011 and newer for OTC/Collision • Any vehicle with an ACV of $45,000 or more; • Any vehicle with a salvage title for OTC/Collision; • Any vehicle older than 40 years; • OTC and collision coverage on vehicles over 20 years old; NO LOSS PROCEDURES Agents have the ability to accept a no loss up to 10 days from the cancellation date. Only a company generated no loss will be accepted. A company generated no-loss is provided in the memo section of the policy. REWRITE PROCEDURES Policies that have cancelled for nonpayment may be eligible to be rewritten. A new policy number is assigned with the rules and rates that are in effect at time of the rewrite. The policy will be issued with the same drivers, vehicles and coverage’s as the prior policy. The rewrite option is located in the status tab of the policy.
CONTACT INFORMATION MAILING ADDRESS P O Box 143249 Irving, Texas 75014 CUSTOMER SERVICE Monday – Friday 8:00am – 6:00pm CST Saturday 10:00am – 2:00pm Phone - (877) 754-9530 Fax - (866) 424-9510 PAYMENT SERVICES Automated Inquiry – (877) 634-8533 (24 x 7) CC & E-Check Payments – (877) 634-8533 (24 x 7) Online – www.Policy-Service.com CLAIMS SERVICE Monday – Friday 8:00am – 6:00pm CST Phone - (877) 754-9534 Fax - (877) 754-9537 MARKETING Supplies: Marketing@TejasSeguros.com Phone (866) 424-9511 Fax (866) 424-9510 HELPFUL CONTACT INFORMATION Texas Department of Public Safety Attn: Safety Responsibility Bureau P O Box 15999 Austin TX 78761 TDI - http://www.tdi.state.tx.us/
TDI 800-252-3439 ITC 800-383-3482 QQ 800-940-6600
VALUE ADDED SERVICES Cash Payment Location ® www.IsoPay.com (location search)
10,000 Locations Nationwide Including IPP & Ace Cash Express $8.00 Per Month Per Policy Add to Liability & Physical Damage Policies Nation Safe Driver CS – (855) 548-5630 Towing Dispatch – (800) 745-5791 • Towing up to 15 Miles • Run out of gas • Lost or Keys locked car • Flat Tire • Dead Battery
Instead say something like this, “I’m looking for a hard worker that can learn fast and wants a career, not just a job. If you know anyone with a lot of ambition let me know.”
25 Hiring Tips Continued from page 5 11) Hire Part-Timers Working Somewhere Else
14) Hire Locals
If you’re looking to get some more action into the agency, consider bringing on part time employees that are currently working somewhere else but want to make some side money. You no longer need to leave work for two weeks to attend a licensing class. In most states you can study online to earn your license in your spare time. It helps if they have a related job like a real estate broker or an accountant, but anyone willing to pass the test on their own and learn your system can be selling for you on the nights and weekends. If you had a team of 6 people who could each bring in 3-4 policies a month for your agency that would be an extra 250 policies this year!
Whether they were the class president or least popular kid in school doesn’t matter, if you’re choosing between someone born and raised in your community and a transplant, hire the local. Whoever knows the most people will, by default, sell the most insurance. 12) Beware the Agency Jumpers
This always becomes painfully obvious to me when I visit my hometown in Syracuse, NY and can’t go to the mall, out to eat, or pump gas without running into someone I grew up with.
If you’re actively looking to hire an insurance producer, you’re sure to run into plenty of what I call, “agency jumpers”. You’ll recognize them because their resume has 5 different agencies in the past 3 years. They’re usually very good at interviewing and always have valid explanations for the history but it’s always the same story: First, they work very well for 3-4 months. Then they start getting bored, surf the internet more, and start openly disagreeing with the way you run your business. At 7 months they spend most of their time looking for a new job until they do it all again.
15) Craigslist Ads Are Free Unless you live in a few major markets, you can post job ads to Craigslist for free. There’s no harm other than the time it takes you or your office manager to post an ad every week or two. Even if you’re not actively hiring you can build up a list of strong prospects and can always offer 100% commission jobs to the right candidates. I’m not a fan of scaring people to increase output, but it’ll also keep your current staff on their toes if they know there’s always someone waiting on the bench ready to play.
13) Ask Everyone You Know If you’re in the market for a great employee, make sure everyone knows about it. Referrals generally result in the best hires because people won’t usually recommend a bad applicant. You can also use the referring person as a filter if you frame the situation properly. Don’t say, “I’m looking to hire someone, do you know anyone that needs a job?” Aggressive Rocks!
And with social media today, people are even more connected to their high school classmates than ever before.
16) Always Be Hiring Even if you already have more employees than you can handle, you can always take someone on at 100% commission.
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Continued on page 9 August 2015
At some point in the interview process, tell the applicant you have doubts about whether they fully have what it takes to be successful. You’re basically saying “no” but in a polite way that leaves the door open for them to overcome your objection.
25 Hiring Tips Continued from page 8 And who knows, if you’re always looking for new employees you might stumble into greatness at a time you wouldn’t have expected it. Put a sign in your office somewhere visible asking for only the most honest, customer-focused, and hardworking applicants. As an added benefit, customers who see this will have a higher regard for your current employees.
Some agents like this idea because it identifies the ability to overcome objections but I believe there is an even larger benefit. By putting applicants in a position where the job is taken away from them you’ll get a true glimpse into how badly they want it. If someone’s just looking for a job they’ll accept your opinion. If they’re starving for your opportunity they’re not going to let it slip through their fingers.
17) You’re Not Buying, You’re Selling
And when you get an applicant to sell themselves into the position they’re more likely to be successful later on. 19) Test Computer Skills FACT #1: A lack of basic computer skills like typing, using a spreadsheet, finding information on a webpage, and using email is a major handicap to being a successful insurance producer. FACT #2: Computer skills are like STDs – You can’t tell who has them just by looking… or even asking! I’ve worked with so many agents who fell in love with a new employee only to find out afterward that even the simplest tasks took hours because of technical ineptitude. I’ve watched a lot of insurance agents interview potential employees with the completely wrong attitude. Most agents think it’s the applicant’s job to sell themselves to the agent and the agent’s job to screen out all the weak people.
Create a basic test that includes recreating a word document, a simple spreadsheet, and finding answers to questions from a website. You could create something for this in 15 minutes and it could save you a HUGE mistake. And just because you suck at computers don’t give potential applicants a break. More people who can’t open an email attachment will only amplify your weakness.
This is wrong. The best producers don’t need to put on a show to win you over. The producers you need can walk into a room and everybody knows it.
20) Look for Non-Insurance Salespeople
Great producers choose who they will sell for and it’s your job to make them want to choose you! When you’re talking to the right applicant, you’ll be the salesman and they’ll be the buyer. If it’s the other way around, you’re talking to the wrong person. I’m sorry if that interferes with the enjoyment of crossing your arms, furrowing your brow, and watching people sweat under pressure. 18) Tell Them No This interview technique comes from a book I listened to a few years back called The Ultimate Sales Machine by Chet Holmes. (It’s a decent book and there are some good ideas in there about hiring too.) Aggressive Rocks!
There are plenty of very talented people selling knives, consumer electronics, and used cars that could be great additions to your agency.
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Continued on page 12
August 2015
PROGRAMS Aggressive Elite (TXE) Standard Policy Aggressive Select (TXS) Limited Policy (All Programs offer 1, 3 & 6 month terms) BENEFITS • TX ID not accepted on this program • Matricula/International License (copy required)
Insured Web
Customers have access 24/7 to their insurance policy information. https://aggressiveinsured.com • • • •
Print Dec & ID Cards Make Payments Report Claims Policy Detail
• • • •
• Out of state drivers license accepted (No Surcharge) • No Medical Statement required • Up to 40 years for liability • Up to 20 years for Comp/Coll • Salvage Title accepted with Liability only • One Ton's (No more than 4 wheels) • Automatic 25 miles into Mexico AGGRESSIVE SELECT PROGRAM DISCLOSURES WARNING: A NAMED DRIVER POLICY DOES NOT PROVIDE COVERAGE FOR INDIVIDUALS RESIDING IN THE INSUREDS HOUSEHOLD THAT ARE NOT NAMED ON THE POLICY • TXS policy does not provide liability coverage: o For damage to rental vehicles o To any family member or household resident who is not listed on the declaration page; o For any person under any agreement, contract or bailment. • TXS policy does not provide physical damage coverage: o For any gross vehicle weight in excess of 10,000 lbs; o For a covered vehicle not in the care of an authorized driver. • TXS gives the insured 10 days to report a newly acquired vehicle. • TXS does not provide out of state coverage for first party coverages
SCAN TO SMARTPHONE ACCESS TO MAKE PMT & ID CARD
Live Chat Go Paperless Upload Documents 24 hour access Celestite Policy Scan
Photo Upload Made Easy Upload photos in 1 simple step Celestite Policy Scan is available for both Iphone and Android devices. Text Alerts / Email Alerts
Sign your customers up today to receive text and email alerts for payment reminders. Once signed up, we will send your customer alerts for the following: • Welcome Text or Email for new customers • Payment / Renewal reminder the day prior to their due date • Payment / Renewal reminder the day prior to cancel or expiration. Agency Fees
Upload your agency fees in a single transaction. When binding a policy or simply posting a payment, you can add your agency fees and eliminate the duplicate transaction. How does it work? When posting both Credit Card & E-Check payments you will be prompted “Are you charging additional fees”. Once posted the premium payment is applied to the policy and the agency fee will be added to your next commission statement. You will not receive a 1099 for your agency fees.
PAYMENT PLANS Pay # of 1st Due Plan Inst Date 15% 5 15 days 16.67% 5 20 days 19.5% 5 25 days 24% 4 30 days
1st Cancel Date 26 days 30 days 33 days 42 days
FEES 1 Month Policy Fee $12.85 SR-22 $10 Late Fee N/A Return Check $25 Installment Fee N/A
3 Month $36 $12 N/A $25 N/A
Future Due Date 30 days 30 days 30 days 30 days 6 Month $72 $25 $10 $25 Rule 14
Credit Card Processing Fee $2.95 (Primoris charge) Recurring Credit Card $2.95 E-Check – Single payments or recurring No Charge Non-Owners - Not written DISCOUNTS Homeowner Multi-Car Safe Driver Prior
5% 20% 15% 20%
Maximum policy discount is 40%. Prior Insurance qualification is named insured provides at least proof of six-month’s of continuous coverage with no more than a 30-day lapse in coverage. PROHIBITED VEHICLES • Any vehicle with a ISO symbol greater than 22 for Model Years 1991 to 2010 or 49 for 2011 and newer for OTC/Collision • Any vehicle with an ACV of $45,000 or more; • Any vehicle with a salvage title for OTC/Collision; • Any vehicle older than 40 years; • OTC and collision coverage on vehicles over 20 years old; NO LOSS PROCEDURES Agents have the ability to accept a no loss up to 10 days from the cancellation date. Only a company generated no loss will be accepted. A company generated no-loss is provided in the memo section of the policy. REWRITE PROCEDURES Policies that have cancelled for nonpayment may be eligible to be rewritten. A new policy number is assigned with the rules and rates that are in effect at time of the rewrite. The policy will be issued with the same drivers, vehicles and coverage’s as the prior policy. The rewrite option is located in the status tab of the policy.
CONTACT INFORMATION MAILING ADDRESS P O Box 143249 Irving, Texas 75014 CUSTOMER SERVICE Monday – Friday 8:00am – 6:00pm CST Saturday 10:00am – 2:00pm Phone - (866) 424-9511 Fax - (866) 424-9510 PAYMENT SERVICES Automated Inquiry – (877) 634-8533 (24 x 7) CC & E-Check Payments – (877) 634-8533 (24 x 7) Online – www.Policy-Service.com CLAIMS SERVICE Monday – Friday 8:00am – 6:00pm CST Phone - (877) 754-9534 Fax - (877) 754-9537 MARKETING Supplies: Marketing@Aggressiveusa.com Phone (866) 424-9511 Fax (866) 424-9510 HELPFUL CONTACT INFORMATION Texas Department of Public Safety Attn: Safety Responsibility Bureau P O Box 15999 Austin TX 78761 TDI - http://www.tdi.state.tx.us/
TDI 800-252-3439 ITC 800-383-3482 QQ 800-940-6600
VALUE ADDED SERVICES Cash Payment Location ® www.IsoPay.com (location search)
10,000 Locations Nationwide Including IPP & Ace Cash Express $8.00 Per Month Per Policy Add to Liability & Physical Damage Policies Nation Safe Driver CS – (855) 548-5630 Towing Dispatch – (800) 745-5791 • Towing up to 15 Miles • Run out of gas • Lost or Keys locked car • Flat Tire • Dead Battery
Don’t get me wrong, they might be great. But there’s a decent chance their main priority is moving and your job is just their safety net.
25 Hiring Tips Continued from page 9
As soon as they get to town the real job search will begin, on your dime!
Pay attention to people you interact with in other sales positions like the guy at Jiffy Lube that upsells synthetic oil and transmission flushes.
25) Ask for the Stars in Job Postings
There are top-tier, proven salespeople that would blossom in your agency and view it as the opportunity of a lifetime. 21) Multilingual Is Usually Good Producers who can speak a second or third language can be a real benefit to the agency. Customers who speak in a foreign language with your staff are often more loyal and can be better referral sources if there’s a large enough group of other people from their culture in your community.
If you advertise a job as $25,000/year plus commission you’re going to get applicants who are worth $28,000. Ask for hard-working applicants willing to do what it takes to make $80,000 and you’ll get a whole different group of people. A better group. Use your advertisement to weed out the mediocre. Your hiring decision is too important to waste time on them. And if you’re not hiring now…
Take the good with the bad though.
But you know…
Building your business on customers that speak a language you can’t speak requires a good amount of trust. You won’t always know what your producers are saying and if they leave, your business will soon leave too.
Another agent that’s hiring, A sales manager who helps agents hire, Someone looking for a job in insurance,
22) Use LinkedIn to Announce You’re Hiring
Or anyone else who may be interested,
Just like Craigslist, posting an available job position on LinkedIn is free and you never know what may come of it.
Would you do me a favor and send them a link to this article?
If nothing else, announcing from time to time that you’re hiring on LinkedIn just makes you look successful.
And if you find this resource valuable please click “Like” so I can continue to gauge what content my readers most appreciate.
People may be more likely to forward information about a job opening from within LinkedIn than anywhere else simply because it’s the professional social network.
Thanks and GOOD LUCK! - See more at: http://www.insurancesplash.com
23) Research Applicants on Social Media It’s usually pretty easy to find someone on Facebook just by typing into Google, “Facebook Firstname Lastname”. If that doesn’t work, add the city and/or state. Not only do you get a clearer idea of who they are as a person, you can also see how many friends they have. The average person has around 150 Facebook friends. A well connected person would probably have more than that, right? Just realized I have fewer than 150 friends… What a Loser! 24) Watch Out for Movers I’m not sure it’s all that prevalent, but I’ll mention it because I’ve seen it happen a few times. If someone from far away is moving to your area and looking for a job be careful.
Aggressive Rocks!
Keep More Commissions with Tax Breaks I just finished learning all about tax breaks for the self-employed. When you have an hour to spare, click on this link, sit back and learn! Here are some important links from the event: You can watch the webinar replay here: http://digitalwebinars.com/go/?9ugiyf1yvx-8957579 You can download the free eBook "Targeted Tax Breaks For Your Home Based Business" https://taxbot.com/z/ebook_hbb Get your 2 week free trial and 50% Discount at https://taxbot.com/z/2w2ppt/
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August 2015