Why agent feedback is essential for insurers
Agent feedback can result in dramatic improvements in processes and products — if insurers take the time to listen.
As a program administrator, we rely exclusively on agents to distribute our products. Developing and maintaining strong agent relationships is critical to our success. One way we accomplish this is through our agent feedback programs.
We’ve found that listening to agents, providing a mechanism for them to offer feedback and then acting on their suggestions can lead to greater trust, better communication, repeat customers and increased sales.
Supporting our approach, data from the J.D. Power 2018 Independent Agent Satisfaction Study revealed that when carriers increase the support and communication they give their producers, agent satisfaction increases, too.
Unfortunately, J.D. Power also found that insurers aren’t doing a very good job of meeting agents’ expectations. Want to improve? Building trust with your agents by making it clear you value their input is a good start.
An omnichannel approach to feedback
In addition, we’ve held agent workshops and seminars throughout the country. We’ve also established a distributor advisory council. But agents can always contact our employees directly.
Our staff members are empowered to address agent feedback when they receive it and to refer suggestions to the right person in the organization. Our leadership team follows up on all comments, regardless of how an agent contacts us.
We also send a Net Promoter Score (NPS) survey to any agent who has asked for a quote or issued a policy through us. In addition to measuring how satisfied they were with their experience, we ask how we can do better from a coverage, system or process perspective. Leadership reviews every single response.
The cardinal rules of feedback
A few tips gleaned from our feedback:
- Don’t take your agents for granted. They have other carriers to choose from. J.D. Power says that on average, agents maintain relationships with eight carriers for personal lines and 11 for commercial lines.
- Don’t think you know it all. Don’t stop looking to improve, and remember that some of the best ideas come from the field.
- Make it easier to do business with you, especially when it comes to underwriting. A fast, streamlined underwriting process that delivers quick answers is a leading priority for agents.
- Nurture a culture of trust and mutual respect. Agents will see right through you if all you do is pay lip service to their comments and suggestions. Show them you are serious about feedback. You can do that by following up and then informing them about improvements and enhancements you’ve made.
- Recognize agents. At a bare minimum, thank agents for bringing up an issue and contributing to your business. Use emails and newsletters to keep your agents informed about changes that originated from their suggestions.
How feedback makes a difference
Agent feedback can result in dramatic improvements in your processes and products — if you take the time to listen and act on your agents’ suggestions. I’ll just mention three from our experience:
- Change order endorsement. Thanks to producer input, this optional coverage automatically insures a homeowner’s upgrade that adds value to their home. This way, agents don’t have to worry that their client’s insurance to value may be too low. Policyholders can select a range of percentage increases, say 10%, 15% or 20% that adjust the policy’s limits if they purchase upgrades such as wood flooring, designer cabinets or custom tile.
- Insurance applications. Input from agents led us to create a streamlined, express application system for simpler, more routine residential coverages. Agents can quickly complete a six-question application and get coverage of up to $500,000 in just a few minutes.
- Process improvements. Agent suggestions have led to reductions in the time it takes to complete a process. A good example is the time it took to provide us with a copy of a blueprint. We’ve now made it possible for agents to upload these types of documents on our website. Another important process change that came from agent feedback is the ability to change the factors in a quote (such as the deductible and limits) and compare them online.
As J.D. Power says, “Satisfied agents are more likely to recommend an insurer to their clients.” A key ingredient of satisfaction is a two-way relationship between the agent and the insurer in which honest and genuine feedback is valued — and that results in action, not just empty talk. What better way to achieve that than with a formal agent feedback program?
Steve Bristow is senior vice president and head of operations for US Assure, where he oversees the company’s builders risk and insurance services operations. US Assure exclusively distributes, underwrites and services Zurich’s builder’s risk insurance program across the U.S. The opinions expressed here are the author’s own.
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