7 Ways You Could Be Failing Your Customers and Not Know It
With any luck, the relationship that you create with your insurance customers will be long-term. Not only does this usually mean greater value to the customer, but it also means they’ll be less likely to fly the coop for a cheaper premium at renewal time. But every long-term relationship is filled with challenges. People have a tendency to take each other for granted over time. To keep that from happening, it’s important to know how you may be failing your customers without knowing it. Let’s look at seven of the primary ways.
1. Gaps in coverage
This is a big one, and by the time your client finds out about it, it could be too late. People have a tendency to look over the fine print when it comes to things like insurance, but there may be certain gaps that their coverage limits or coverage types do not cover. You don’t want them filing a claim before they find out! Make sure that you review policies frequently with your customers and explain to them what the coverage does and does not do. Make sure that you drop the jargon while you’re at it and put it in terms that are easily comprehended.
2. Increases in premiums
A relationship between insurance agent and customer can survive premium increases, provided your customer knows why rates went up and what they’re paying for to begin with. Agents that lose customers due to price often do so because the customer doesn’t adequately understand the scope of their coverage. They feel that a lower price tag means higher value when, in reality, it could mean they’re sacrificing a lot of protections.
3. Claims process
Depending on the nature of the claim, this process can be a harrowing or, at best, confusing experience for customers. They want to know their agent “has their back.” If you leave it to the claims processors and never check in with your customers to see how you might be able to help, then you’re unnecessarily sacrificing a piece of the bond you’ve built.
4. Missing policy reviews
Policy reviews aren’t always the most fun, but they’re necessary to ensure that your customer is getting all the discounts applicable to them and that their coverage limits are still adequate for their property and possessions. Try to make time to sit down face-to-face with your client and do policy reviews every year. If you have to do it by phone, that’s fine, too. Just make sure they know where they stand and that they have an opportunity to tell you about any major new purchases that they need covered in their coverage limits.
5. Irrelevant marketing materials
Don’t try to market a product to a customer that they’re already purchasing from you. It creates a message in their brain that they’re just a number.
6. Not adding the small touches
Christmas or Happy Holidays cards in December; thanking them for being a customer on their anniversary; wishing them a happy birthday — none of these actions are required of the insurance agent, but they can go a long way in making the customer feel special. Don’t neglect the low-hanging fruit!
7. Missing out on specialty discounts
Customers may not be aware that their son or daughter is eligible for a driving discount with good grades or a spotless driving record past the age of 21. Keep an eye out for any discounts that your company offers, and make sure those specialty items aren’t going unnoticed by the customer.
Your customers are your business. While you may be worried about bringing in new customers, don’t neglect the ones you have. Look into each of these areas and see if you’re doing everything you could be doing to create a better experience for them and more longevity for you. Good luck!