Five Reasons to Become a Digital Agency
Technology | Reid French, CEO, Applied Systems | Jan 11 2019
For years, we’ve been talking about the impending digital transformation of insurance. Now that it’s here, though: How is digital transformation impacting our industry?
The 2017 research paper “Time for Insurance to Face Digital Reality” is a bit tough to read at its start. It states that the insurance sector offered the worst online customer experience of all industries surveyed, other than utilities. After the first page, though, the report shifts into a call-to-action for agents, brokers and insurers alike to seize the opportunity of digital transformation. The time for denial of the digital trend in insurance is over. It is time to either accept and thrive — or deny and disappear.
With that, let’s review the five reasons why your agency or brokerage should make the transition, using real-life case studies.
Reason No. 1: Digital agencies grow faster.
Agencies that adopt technology are in a better position to more quickly identify new business opportunities.
Case in Point: ChurchWest Insurance Services has doubled their premium in five years through sales automation.
Reason No. 2: Digital agencies are more efficient.
Agency efficiency drives agency profitability. Time is money, and by being more efficient in your day, more hours can be spent on revenue generating activities.
Case in Point: Schultheis Insurance saves 100,000 hours per year by eliminating manual, paper-driven tasks through download.
Reason No. 3: Digital agencies deliver enhanced customer satisfaction.
Simply said, happy customers mean loyal customers, and loyal customers mean retained business. By retaining business and actively drawing in new customers (often through happy customer referrals), you grow your business.
Case in Point: Hall & Company saves $70,000 in COI labor, printing and postage expenses per year with client self-service technology.
Reason No. 4: Digital agencies provide better advice to their customers.
Insurance customers need agents for access to products and advice to stay protected in the best and worst of times. Digital agencies must make sure that their technology supports the solid advice they provide to their customer base.
Case in Point: 618 Insurance Agency utilizes an online market search tool to instantly identify markets for commercial lines risks, enabling them to close more new and renewal business in less time and provide clients the best coverage.
Reason No. 5: Digital agencies generate greater trust.
Customer trust is vital for all businesses, but absolutely essential in the world of insurance. Without trust, insurance simply does not work, as any insurance product is essentially based on a promise.
Case in Point: Fisher Brown Bottrell operates in the cloud to keep their data safe, software updated and business running smoothly — no matter the circumstances — so that they are there for their clients when needed most.
Digital agencies are the future of our industry, and a path to value for both you and your customers. Making the transition will deliver business value to your organization by enhancing growth, efficiency, customer satisfaction, advice and trust in your business.
For those not on the path of digital transformation, I urge you to start your journey to becoming a Digital Agency today. I promise, your owners, your employees and your customers will thank you for it.
To read this article in full, click here. For more from Applied Systems, visit blog.appliedsystems.com. If your agency or brokerage is migrating from Applied TAM to Applied Epic, this how-to webinar with Christine Horne from Bankers Insurance, LLC offers expert guidance.
Tags: Technology , Insurance , Applied Systems , Digital Agency