As an insurance agent, closing a sale is your end goal — but the hard work doesn’t stop there. In order to build and maintain a successful insurance agency, retention is key. After all, retention will help grow your long-term profit and no agent wants to lose valuable clients. Retaining clients, however, takes more than a knack for sales. Retention requires a thoughtful strategy as well as established processes. If your retention rates aren’t where you would like them to be, read on to learn five retention tips you should know.
1. Touch base with your clients throughout the year
While you don’t need to contact your clients every week, it’s a good strategy to touch base with them periodically throughout the year. When you stay in contact with your clients, they will be less likely to shop around for other insurance agencies. Keep in mind that not all forms of communication are effective (i.e., sending the same email to your clients each month). For effective communication that drives retention, we recommend mixing up how you communicate with your clients. Whether you choose to reach out via email, phone calls, postcards, text messages, surveys or handwritten letters — just be sure to mix it up here and there.
2. Provide annual coverage reviews
Providing annual coverage reviews for your clients is an effective way to increase retention, yet many agents don’t offer this service. If you’re looking to increase retention rates, commit to offering annual coverage reviews, develop a process and follow through with it. If the process seems overwhelming, try starting with the small goal to do a review each week with one of your best clients.
3. Send your clients comparison quotes
Taking the initiative to shop around, analyze competitor rates and share them with your clients is a great way to boost retention. Your clients will appreciate the extra time you save them and seeing the low prices you offer compared to other carriers is often more than enough to keep current clients around.
4. Offer incentives for renewals
Do you currently offer your clients any incentives for working with you? If not, you should. By offering your clients incentives for renewing their policies with you, they’ll not only feel appreciated, but extra perks will likely leave them wanting to renew again in the future. Some ideas for incentives include starting a fun referral rewards program, offering gift cards, movie tickets or something similar for clients who bring in referrals.
5. Send out customer surveys
Asking for your client’s feedback can accomplish many things. For starters, sending out customer surveys shows your clients you are committed to keeping them happy. Less-than-satisfied clients will be able to tell you why they’re unhappy, giving you the unique opportunity to make positive changes. The result? Happier clients and increased retention rates.
Learn More About ASI
ASI is one of the largest homeowners insurance carriers in the United States. Through a network of independent agents, the company offers home, condo, renters, dwelling fire and flood insurance in over half the country, with plans to cover the rest by 2017. Find out more at AmericanStrategic.com.