Archive

Posts Tagged ‘Insurance Curtomer Service’

The Power of a Plan

Insurance Agents work spontaneously. We never know what will come through the door tomorrow and each day is a new adventure.

Insurance companies greet each day with thousands of policies to issue correctly, thousands of claims to settle and about a million other priorities that are ALL important and must be performed on a timely basis. Plus, they may have similar spontaneous events as the agent.

Insurance companies MUST engage in strategic planning to survive. Agents can survive day to day without a plan, but everyone will be more successful if the Insurer AND the Agent plan in concert with one another. PLAN for success and thrive rather than just survive.

Insurance is not a “Commodity”!

This discussion of Commodities centers around recent attempts by insurers to circumvent agents and sell insurance products over the internet.    I am convinced that insurance is not a commodity as it is not a product that can be sold in an unmodified state and be used properly.   It would be like purchasing an unassembled, complicated piece of equipment and having no directions for assembly.  It appears to me that is the case with “unbundled” “risk bearing” or to put it another way, the thing Insurance companies sell is a “risk finance” mechanism.    Agents add value to this product by showing purchasers how to use it and by adding their own body of knowledge to the process!

______________________________________________________________

We will explore what is a “Commodity”, why I think insurance is NOT a commodity, and what agents can do to more effectively distriblute the risk bearing product more effectively and more to the advantage of their customers!

Borders goes “OUT OF BUSINESS”…Like the Local Insurance Agent???

Another “Big Box” store bites the dust. They drive most of the local bookstores out of business and then they cannot survive themselves.

When are we going to realize the value of putting money back into the local economy?

When are we going to wake up to that fact in the Insurance industry?

As we continue to go to the internet for the “low price” we will be contributing to the demise of local business.

Your local insurance agent is there for you! If they do their job correctly (and I will admit, some do not) you will have a local source for trusted advice to help you when things don’t “go so well”, and sometimes they do not “go so well”.

I pointed out earlier, there is a great deal of conflict between the goals of an insurance company and an insured at the time of claim.

YOU, consumer, NEED someone to look after you when the claim happens! Appreciate this fact and realize the value your local insurance agent adds.

If we don’t realize the value of the local business/insurance agent, we will become victims of the same “Big Box” thinking that led to the demise of Borders.   We will have no local support and insurers will be able to do anything they wish to their customers!

 

Are Insurance Agents executing a Long-Term Strategy?

Insurance Agents are defined by the Insurance Company side of our Industry as the “sales and distribution” mechanism of their risk bearing operation. In my opinion this industry created, “point of sale” paradigm has created a mentality that the Insurance Customer relationship is a single “point of sale” event.

In truth, this is an extremely short term focus/strategy for both the Insurer and the agent. The Insurance Agent Customer relationship has to be viewed as a long term series of events rather than a point of sale relationship. This makes the strategic focus of the agent a long term strategy rather than a sort term strategy. This also forces the agent to focus on ALL the events in the life of the insurance customer relationship rather than just the “point of sale”. If view this way, the agent will be involved in all facets in the life of the relationship including at the time of claim. This is the way to add value and retain customers! Take a long term view, agents!