What steps do you take to assure your client has the best insurance carrier? The “best” carrier is the one that best combines coverage (protection), service, and price.
Coverage (Protection)
Why do your clients buy insurance? Most say, “Because they have to.” Only a few professionals say that insurance is purchased for peace of mind.
Regardless the real or perceived reason, your client wants to be covered when a loss occurs. If you sold a policy without including coverages that are readily available for a reasonable price, guess what – you did your client a great disservice. In fact, if the proper coverage wasn’t presented – you could ruin your client’s life and/or business.
Coverage is the most important aspect of insurance. Clients want to be covered at the time of loss; and here is an errors and omissions (E&O) truism: “No coverage is ever too expensive – AFTER the loss.”
Consider the protection provided – first!
Service
A close second to coverage – almost a “dead heat” in reality – is service. How well does the insurance carrier take care of your client after a loss? How smooth is the premium audit process? Is the carrier’s customer service department willing to help the client (and the agent) when any other problems arise (i.e. billing, policy changes, etc.)?
If the carrier’s claims handling and customer service is rotten, your client will still be “ticked off” regardless of how good the coverage is or how low the price is. And guess who they hold responsible – the agent.
You know which of your carriers offer great service and which carriers don’t. Take care of your client by coupling the best coverage with outstanding service.
Price
No one is going to deny that price is important; but price is NOT the most important consideration when picking a carrier. The sad fact is that Progressive, The General, GEICO, and a hundred other carriers have convinced the public (and some in the insurance industry) that price is the most important consideration.
Insurance “COSTS” more than just the premium. The cost of insurance includes deductibles, losses that could/should be covered but aren’t, and aggravation expense (opportunity costs).
Never let price be the primary factor when placing an insured with a particular carrier.
Work Comp Selection
This Thursday, the Academy hosts a class applying these factors to the placement of workers’ compensation coverage.
Reserve your spot today!
Topics Carriers
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