When the healthcare concerns of your prospects and clients abate (and they will), keep an eye out for the brokers and agents who don’t change: They will become irrelevant to their best clients quickly.
Every organization will be looking to repair the financial damage caused by the COVID-19 crisis. Everything that can be measured will be.
Any product, service, or contract that cannot be validated or attached to an ROI will be thrown over the side, INDISCRIMINATELY.
Of course, buyers will still need insurance agents and brokers, but they are going to judge you and your competition differently:
In the group benefits business, the measurement of Per Employee Per Year (PEPY) will be useless to the C-Suite, as it only measures the cost of the benefits. PEPY does NOT quantify the financial impact of the broker’s resources and projects on a buyer’s financial statement. Nor does PEPY determine the ultimate costs of FMLA, Productivity, or Presenteeism/Absenteeism.
In the P/C world, the measurement of “rate versus sales” will be horrid while the economy rebounds. Additionally, while carriers will use loss ratio measurements for pricing decisions, those numbers will be irrelevant to your buyers who are looking for green shoots.
Most brokers hang their hats on these obsolete metrics, driving right into the teeth of the problem: buyers’ expectations will continue to evolve. They want providers to be part of their solution and offer an ROI.
Those agents and brokers who invest in improving their sales message and financial impact measurement techniques will have a tremendous opportunity to pick up market share during this time.
Here’s how leading brokers and agents must position themselves:
Every executive who handles a commercial account must learn the “Language of Business.” They must know how to understand a financial statement and identify the points where they can attach an ROI to the buyer’s issues and metrics.
Each organization must develop a quantifiable value proposition by knowing how their resources and services create an ROI outside of the insurance rates and coverages.
Each client must thoroughly understand what a brokerage firm’s financial impact has been. When a client sees a report with real data and quantifiable outcomes, they get the “decision support” they need to perceive the broker as part of the solution, not the problem.
Every brokerage and broker must ask themselves this critical question: “How have we helped our clients improve their financial results?” Those that can answer that question will thrive, while those that can’t will likely be out of business soon.
Until recently, it’s been difficult to measure your client outcomes. The data and deliverables haven’t existed until now.
With the Analytic Brokerage platform, our clients are able to meet their buyers’ expectations in providing quantifiable results that not only assess their current cost structure but PROVIDE them financial results tied directly to their important business goals for decision support.
All the best to Analytic Brokers,
The Analytic Brokerage TeamMake more money on Larger accounts - Let's get started
About the Analytic Brokerage™ Platform
Leading brokerages and producers across North America choose the Analytic Brokerage Platform to maximize their large account profits, revenues, and growth.
Utilizing the latest KPI’s, client metrics, and business intelligence, the Analytic Brokerage Platform is the only system in existence that helps brokers:
- Quantify a buyer’s financial leakage and true Total Cost of Risk
- Deliver consistent and meaningful reports
- Attract and retain larger accounts
The Analytic Brokerage Platform is currently embedded inside many of North America’s leading brokerages who control over $2,000,000,000 of annual revenues.