Many insurance agencies are partnerships, and the structure of the partnership, embedded in the operating agreement or partnership agreement, can determine the survival of the partnership. Entrepreneur Magazine has a basic, suggested partnership agreement as a starting point (see here). While this is a good starting point, it does not really get to the crux of the issue for an insurance agency.
Insurance agents/brokers are sales organizations, and the partnership’s results will depend on the ability to sell insurance. So a partnership agreement used by an insurance agency needs to separate out the shares allocated to the provision of capital from the shares allocated for future results – based on sales. The partnership will only survive if the partners understand this and construct an agreement that reflects a balance over time. The copy of the partnership noted does not do this.