Life Insurance Companies Are Missing The Point And Losing Young Agents.

By: David Hackbart | Posted: 04th June 2006

The insurance industry simply is not addressing the real needs of the insurance agent. The insurance industry's answer is all product based while the delivery system continues to move at a snails pace. The agent's job has simply become more burdensome, Insurance applications are growing in size some anywhere between 13 to 30 pages and are prone to error prone for the insurance agent. Underwriting guidelines vary by carrier with ever so slight differences but if ignored often times lead to a case going incomplete. Application procedures vary by carrier with no consistency in the industry as to forms or procedures. Agents devote more times to fulfilling requirements, checking status and other administrative duties than the do selling. The industries answer, more products, more paperwork. We did find one company willing to make the insurance agents job simpler, to find out more go to http://www.bestinsurancecarriers.com>

Insured's wonder why it can take between 30 to 90 days to receive their policy while their interest starts to drop affecting placement ratios. Momentum is the key to closing sales yet the insurance companies bring that to a standstill. Commissions motivate agents, yet they make a sale and it may be months before they see their reward.

The insurance carrier's answer to technology to help the agent is creating a website. Several companies today still have forms that can't be completed on a computer. Innovation comes from the field force not the insurance companies because there are a few people in the field who aren't afraid to try something new and take chances. Insurance executives are not risk takers and are afraid of attempting something new out of fear of failure and the reprisals from management above. They operate on the basis of if you make no decisions you can't make a wrong decision.

What the agent needs today is help to get them out of the process and back to selling. Give them a simple platform that allows them to work with several carriers with a consistent look and feel. Create underwriting tools that make the selection of underwriting classes and risks simple through using menu driven programs. Help the agent in the proper completion of the application using professionals to eliminate omissions and errors while eliminating the need for wet signature requirements with the use of electronic signatures where possible.

Give the agents answers to their questions before they ask them thru daily delivery of case status instead of making them go to some website. create a library of past questions from agents with the answers with search capabilities that an agent can access when needed. Adopt an industry format and language so these reports are consistent between carriers and easy to understand. One agency decided to step up to the plate, http://www.bestinsurancecarriers.com

Technology is being embrace by other industries while the life insurance industry seems to be the last to get the news. When PJP Insurance Services this year decided to convert to imaging they found that only 2 of our 8 carriers could even accept those images.

PJP Insurance Services, Inc. spent 12 months addressing all these issues and created solutions. After only 7 months of operation thru only word of mouth marketing over 300 agents are now operating in a system designed to address their needs. Agents are reporting increased sales activity with 90% less hassles. This is the insurance agents dream more time to sell, and leave the paperwork to someone else.

For more information www.bestinsurancecarriers.com

For Your Success,

Dave Hackbart
Principal of DYB



Dave Hackbart has had an entrepreneur spirit since the age of 11 when he started his first business.

His mission is to help others to build their businesses and their life so that they can experience true JOY.

The architects of the Success Marketing Systems for numerous vertical markets and the authors of the Truth Produces Trust Marketing Principles for life.
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Tags: consistency, fear of failure, risk takers, paperwork, ratios, wrong decision, application procedures, delivery system, insurance agent, insurance companies, insurance industry, insurance applications, insurance agents, insurance carrier, snails pace, administrative duties