Are We Our Own Worst Enemy?
Are We Our Own Worst Enemy?
Recently I referred several friends and relatives to a close friend of mine for insurance. I did so because I knew he was a good agent and would do a good job counseling them on their insurance needs. Unfortunately his strength does not lie in making sure his office provides an exceptional customer experience and he has relegated that responsibility to someone else who is not doing a good job.
How do I know this? Because the people I referred have told me so when I checked back with them on their experience. The sad part is the agency I referred them to didn’t check back after the fact to see how their experience went and so they have no idea that their new clients have started out on the wrong foot.
The issues and less than satisfactory experiences were all things that should not have occurred in the agency. It involved failing to provide exactly the kind of personalized, quality service that is the hallmark of doing business with an independent insurance agent. Is it any wonder after experiencing less than adequate service why it is so easy for our competitors to sell price as the only determinant in deciding where you buy insurance.
My experience is not unique. I have worked with several employees of IIABNY on issues related to their personal insurance only to find they have gone years with no contact from their independent agent or have been caught up in issues related to their coverage that stemmed completely from less than adequate customer service.
How would you rate your agency’s customer service? Do you check with clients regularly to inquire about their experience in writing new coverage with your agency or being helped with an insurance issue? How frequently do you get touch your clients and are you doing regular reviews of their coverage? Is it possible you are like my agent friend, very good at counseling clients on the coverage they need only to have them experience less than adequate service from your agency?
There are a lot of reasons, but no excuse, for an independent agency not to provide exceptional customer service. It starts with a serious commitment by the owners of the agency to providing a high level of service. It then gets translated into action with training, technology, support and management of the process. It is not a one-time process but instead a living, breathing part of the day-to-day operations of a successful agency. It requires strong management and leadership coupled with a commitment to providing the very best service possible.
Sounds like a significant amount of work and expense. In the beginning it can be but once the framework is established it’s just a matter of regular management and oversight. Done well it will help you to retain and grow your agency. Excellent service gets noticed by clients and creates retention and referrals. Happy clients tell their friends, relatives and neighbors about you, refer them for coverage and build your image in the community.
If you work very hard to obtain a new client why would you not want to work just as hard to make their experience great and keep them as a long time client? Your agency actually offering a client an exceptional customer experience backed by support and expertise advocating when there is a claim is a large piece of your value proposition.
What’s the customer experience like in your agency? Do you ask clients to rate their experience? Do your clients feel important and do they believe they are getting exceptional service? Take some time and investigate the situation.
Work with your managers and staff to get issues worked out. Invest in training and education to help your staff be the best they can be. Make sure you are providing the necessary service when a client has a claim. That is when your client most needs you and having your knowledge and support will have the greatest impact. Find out how technology can speed up the process while freeing up time for your staff to work directly with clients.
I was embarrassed by the poor service the friends I referred received from the agency. I intend to discuss it with the agent I sent them to, however, if he isn’t already checking his agency’s performance I question whether he already knows or even cares. Candidly, I’m not sure I will refer others to his agency – I may have to look elsewhere. That’s exactly what clients do as well. Unless asked they don’t mention the poor service they just all of a sudden leave and move their business elsewhere. How many customers do you lose to poor service that you believe left for a better product or price? Maybe it’s time to do a little investigating.
