InsurTech solutions have definitely changed the way we all do business. However, I encourage you to not consider InsurTech as a disruptor of business as usual, but as a new opportunity to optimize your agency. Here’s what you need to know about this game-changing trend.
I’m going to go where no author has gone before….writing an article about Cyber with no mind-boggling statistics that would scare you, no prattling on about coverages, sublimits, and first or third party exposures. No “inside baseball” talk about loss prevention and breach response being key to every business’s cyber security strategy. Frankly, you’ve heard it all before.
In this business, we handle so much sensitive personal and private financial consumer information that we have to be vigilant about staying on top of cyber security. It is important to always be cognizant of potential threats in order to preserve your clients’ security and that of your book of business. Making sure you are aware of these risks now will save you time and money in the long run.
Small commercial is still largely controlled by independent agencies, is reliably profitable, but highly fragmented. Even the “titans” of the industry have less than 10% market share. In short, small commercial is ripe for the taking. Sounds great, right?
If you’re currently exploring your options, you might be wondering — is an insurance agency cluster good for growth? Everyone’s situation is different, but here are some issues to consider before you join a cluster.
One of the primary reasons so many agents choose to go the independent route is the freedom it brings – the freedom to manage your own life and business, and the freedom to build something on your own terms. It’s very different from running an agency in the captive world with all if its restrictions and requirements – and you have more decision-making capabilities when it comes to your clients and growth targets.
Independent agents who partner with a high-quality agency network experience better growth and close-ratio outcomes post-relationship. Retention of book of business, opportunities for higher commissions, no network fees, and flexibility to choose which network services to use facilitate agent satisfaction.
When evaluating an agency network as a partner for the independent agent, there are many factors to consider. Each agent’s business model is unique, so solutions need to be flexible and scalable to the individual.
We surveyed and interviewed independent agents from across the United States to understand the hurdles they face, the partnerships they’ve engaged, and how these strategies have affected their businesses. In our research, we explored the options they chose to overcome income and growth barriers while remaining independent.
Agency Network. Aggregator. Cluster. The words are used interchangeably in the insurance industry, but are they really the same thing? If you are an independent agent looking for market access and agency growth, is it worth joining some type of an alliance, and how do you know which one is right for you?
2020 served as a turning point for insurance agency technology. Agents had to quickly adapt to working remotely and using digital channels to serve clients. To help independent agents adapt to digital, Liberty Mutual and Safeco’s Agent for the Future program put together two e-books and article series full of practical advice.
