Insurance agents are always talking about service. Service to the customer-what does that mean?
There's a huge gap between available technology and its actual implementation by insurance company claims departments. Few carriers have 24-hour claim service, and few use technology more advanced than the fax machine to accept a report of a claim and start the process. Do you know what your carriers' abilities are?
The Personal or Commercial lines client expects this talk about service to translate into efficient and effective processing in the event of a claim. Insurers rarely can handle this after hours, weekends, or holidays. Can you?
- Can your clients reach you in an emergency during lunch hours-after hours-on weekends and holidays?
- To reach you during these off hours, must your clients leave a message, call the carrier directly, or call you at home?
- Do you have systems to respond immediately to severe losses?
- Do you have systems to expedite the reporting process and get the adjustment started?
If we assume the fundamental reason for insurance is to provide protection in the event of a claim, then claims handling is a fundamental service issue. If we assume clients purchase insurance from independent agents to benefit from their expertise as an intermediary, the claims handling process becomes primarily a service issue. Everyone assumes they won't have a claim, but when they do, the way it's handled will make or break your relationship with that client.
Too many agents say they don't have the time to get involved or that their clients know to call them if they have problems. But how can you know that you have a problem when you don't know what you don't know? That may sound strange, but if your clients don't know what to expect, how do they know whether they're getting prompt claim handling or fair treatment? Isn't that the service your clients assumed they purchased from you-assistance in resolving their claims quickly and fairly?
What can you do to define 'service' in a meaningful way to your clients?