What tangible value do I provide to consumers?
This is the primary question that today’s insurance producers are asking, as they stare into the proverbial mirror. Gone are the days where selection or price were differentiators. More captive producers are turning to the independent channel, and premiums continue to rise across the board. With producers offering more options, but consumers paying more for those options, the value equation has changed. What happens between binding and renewal matters more than ever.
Here’s a closer look at what consumers consider valuable, and how your organization can provide it.
The Modern Definition of Value
A recent report from Accenture states that 71% of consumers are dissatisfied with their current insurance producer. Higher premiums certainly influence this sentiment, but that’s only part of the story. Indeed, it appears that many consumers find the entire insurance experience to be below their expectations.
Consider the following findings from Zywave’s Broker Services Survey:
• 57% of consumers say their top criterion for selecting an insurance producer is receiving answers in a timely manner
• 53% of consumers are looking for their insurance producer to be a trusted advisor
• 48% of consumers expect communication from their insurance producer monthly
Roughly half the marketplace has clear expectations for insurance producers that don’t begin and end with policy options or price. But nearly three-quarters of consumers say those expectations are not being met. It doesn’t take a mathematician to see where the disconnect is.
Insurance producers can no longer rely on annual reviews to connect with their customers. And they can no longer get by with one-size-fits-all advice. Consumers won’t tolerate that behavior – and they might even shop around if it persists.
Bridging the Value Gap
So, how can insurance producers better meet consumer expectations?
It starts by understanding the challenges prevalent in the marketplace. This has less to do with the nuances of an industry than it does with the uncertainties of the modern working world.
Consumers are concerned with the following:
• Mitigating healthcare costs
• Staying up to date on compliance
• Implementing risk management procedures
• Understanding the details of their coverage
• Managing remote workforces
• And much more
Personalized expertise in these areas can improve consumer satisfaction rates. But insurance producers cannot become encyclopedias overnight on these ever-evolving topics.
This is where technology can provide an assist. Dedicated, digitally-native solutions can help producers compile personalized resources and deliver them to consumers at scale – all without losing the personal touch.
For instance, producers can leverage employee handbook builders to provide personalized Human Resources documentation to their consumers. This can help those organizations manage employee onboarding and disciplinary processes.
Or, if consumers have remote employees located in different corners of the United States, producers can provide them multi-state compliance reports. Such reports can offer reviews of state-specific law with HR or safety implications for businesses.
Producers can also assist consumers with workplace incident tracking. Tools that provide documentation mandated by the Occupational Health and Safety Association (OSHA) can ease federal compliance headaches. They can also help businesses reduce risk and promote a culture of safety.
And producers can even offer consumers access to learning management systems. This can provide a central location for both required and recommended employee trainings, helping to build operational excellence across organizations.
Several tech-enabled consumer engagement platforms – including those offered by Zywave – contain some or all of these capabilities. Some also feature detailed reporting highlighting how these resources can improve a consumer’s bottom line.
All in all, these solutions help producers establish themselves as trusted advisors. By leveraging these resources, focusing on consumer pain points, and communicating with consumers regularly, producers can provide the tangible value the marketplace is looking for. And both they and their consumers can reap the benefits.
If you’re ready to accelerate success with insurtech solutions, Zywave is here to help. Get started today.
