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Posts Tagged ‘Insurance Practice’

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!

 

Agents need to change it up to be prosperous…

It is getting tougher and tougher for independent agents to survive as income continues to decrease. Rates have been decreasing, premium bases have been decreasing and the number of customers has been decreasing.

In the recent trade press a reinsurance intermediary, Holborn, speculated in National Underwriter that it would take three catastrophes the size of Katrina to harden the US property market (Capacity Tightens With ‘Three Katrinas’ Hitting U.S. Property Cat Re Market).

They immediately followed this with the statement that the “three Katrina’s” have already occurred. It will be interesting to see how this plays out, but the hurricane season is predicted to be more active than average and with the tornadoes this spring… this will be “fun” if we have a hardening market with the economy in its current state.

Can you imagine being a business owner and having a hard market suddenly thrust on you? Plus we face many challenges in the changing climate as agents.

What is the answer, agents?

Sell more business… Run your business as a sales organization and give excellent service to your clients. Insurance agencies are great businesses and have a wonderful future. Capitalize on this fact and give it your all to make it grow and flourish! Here’s to helping our clients and ourselves to have a prosperous future!

Doing it for NOTHING?

I was recently in a seminar and the presenter was lamenting that an insured went to an attorney when he could have “done it for nothing“!   Look… you got a commission to do it.   Sometimes it is necessary to be proactive and take a stand for either your insured or for the company you represent.     The degree of conflict between the goals of an insurance company and the goals of an insured assure the existence of insurance agents FOREVER!   But, we have to add value we are getting paid for!    The insurance business is the independent agents business to give away and in many cases we are doing a great job!

If we don’t get in there an play the game then why shouldn’t the insured go to the internet.    Take a stand and resolve conflicts!   The independent agents who stay in the game as larger and larger distribution entities take over will eventually be able to hang a banner over your local sign that says; “Bring your insurance to us.. Our service doesn’t suck any worse than theirs!”

Selling Your Insurance Agency

Selling your Insurance Agency is as complicated as purchasing complex casualty coverage for a large Insured.  Trying to do it on your own is a mistake..   Why?    Because a sophisticated buyer can pick your pocket for more than my fee and you won’t even know it’s gone!