Editor’s Note: Repeat performance

The results are in and they bear repeating and repeating and repeating.

Three-quarters of consumers are very satisfied with the service provided by their insurance agents and remain committed to working with them in the future, according to a new survey of 1,000 American consumers commissioned by IBM.

The study confirms that U.S. consumers want personalized service and human interaction from their insurance providers. The IBM survey targeted captive agents but the same can be said for customers of independent agents. The critical difference is people.

Once again the assumption that consumers care more about price than service is dealt a blow. Only 15 percent of respondents said they would consider dropping their agent to save $150 by buying insurance online. A sizable 54 percent indicated no amount would make them switch.

Pity the online providers. They can spit out all the discount prices they want but they can’t match the customer experience that an insurance agency with real people provides. Buyers may comparison shop online but they prefer to buy from a human being.

That’s not to say that technology is evil or that it has to detract from personal service. On the contrary, the survey suggests that the technologies being used by agents and their carriers today actually help deliver more personalized customer service. The use of customer analytics to better target products is among the key drivers in agent and customer satisfaction.

More than half (53 percent) of consumers cite personalized service as what they like best about their insurance agent, and quality of service topped the list of the key factors in choosing an insurance provider. For example, face-time continues to play an important role in helping agents deliver quality services; 36 percent surveyed said they like to visit their agent.

Carriers that use agents, whether captive or independent, appear to face increased competition for high performing agents. Since agents wield a great deal of influence over the customer-carrier relationship and many customers still place high value on that relationship, managing agent productivity and retention becomes critical, according to the IBM study.

Years ago Hollywood’s Sally Fields accepted her best actor Oscar with a tearful, “You like me. You REALLY like me!”

Insurance agents have been reminded that not only are they turning in an award-winning performance for their customers, but that their customers like them … a lot.

Topics Agencies