Insurance companies

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Part
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Employee Skills - Insurance Companies

Using credible sources such as relevant reports published by Insurance Journal, Insurance Business Mag, and McKinsey, we have identified three skills that are important for employees working for insurance companies to have for the next three to five years. These skills include online activity, active cost/quality ratio of services improvement, and a holistic approach to a customer's needs. An additional skill is the integration and full development of the skills listed above.

IMPORTANT FUTURE SKILLS TO ENSURE SUCCESS (INSURANCE EMPLOYEES)

1) ONLINE ACTIVITY

DESCRIPTION
This particular skill involves the ability to display proposals to customers and trade online with them. It also requires the employee to possess the capability of communicating effectively.

HOW IT WILL HELP EMPLOYEES AND THE COMPANY
The skill will assist the employee and company in acquiring additional clients. Achieving this would lead to the geographical range becoming irrelevant.

WHY IT IS A FUTURE SKILL
Digitalization is continuous, according to Insurance Journal. Since its rate is steadily improving, the usefulness of having this specific skill grows as well. The importance of establishing a digital presence in targeted markets and the insurance community is expected to increase in the future. Moreover, since there is unlimited daily access to services through online portals, the value proposition of insurance agents has to progress.

WHY IT IS IMPORTANT
This skill is crucial because established agency brick-and-mortar marks are not as valuable as they were in the past and customers want more flexibility, as well as interaction through mobile devices. Furthermore, insurance agents must become comfortable communicating with clients seeking assistance online.

2) ACTIVE COST/QUALITY RATIO OF SERVICES IMPROVEMENT

DESCRIPTION
As reported by Insurance Journal, employees at insurance companies must regularly remain active in discovering effective methods to diminish the expenses associated with their work. At the same time, agents could also enhance the "quality of their service."

HOW IT WILL HELP EMPLOYEES AND THE COMPANY
Both the employee and the company can develop to improve cooperation on multiple levels.

WHY IT IS A FUTURE SKILL
It is a future skill because its demand is going to advance alongside the increasing rate of competitiveness and digitalization.

WHY IT IS IMPORTANT
The expanding competitiveness of startups will eventually drive large businesses to strengthen the quality of service, decrease costs, and adapt.

3) HOLISTIC APPROACH TO A CUSTOMER'S NEEDS

DESCRIPTION
Having a holistic approach to a customer's demands involves possessing the capacity to support them in areas outside of insurance. These fields include real estate and healthcare among others.

HOW IT WILL HELP EMPLOYEES AND THE COMPANY
With this skill, the company and employees will be able to strengthen their relationship/connection with clients, according to Insurance Business Mag. They will also be capable of providing more strategic guidance concerning their clients' life events. By widening product and service lines, independent agents can develop adjacent to their clients, leading to higher client retention rates.

WHY IT IS A FUTURE SKILL
Insurance agencies are expected to be forced to evolve through a holistic approach to remain competitive. Consumers will become more dynamic, and insurance products and ancillary insurance partners will continue to expand, causing the agencies to be "more robust as local solutions providers" for any of their customers' life situations.

WHY IT IS IMPORTANT
This skill is important because remaining competitive requires companies being able to persevere in a regularly evolving environment.

ADDITIONAL SKILL

FULLY DEVELOPING AND INTEGRATING THE ABOVE SKILLS

DESCRIPTION
This specific skill means that the employee has developed and incorporated all the talents mentioned above. It is considered to be the concluding stage of an insurance agent's evolution a decade from now.

HOW IT WILL HELP EMPLOYEES AND THE COMPANY
Obtaining this skill set can considerably boost income, sustain the bond with customers, lower expenses, and improve quality.

WHY IT IS A FUTURE SKILL
The current level of digitalization, unfortunately, does not permit the development of this particular skill.

WHY IT IS IMPORTANT
It is a valuable ability because it can enable insurance companies and agents to evolve in the swiftly shifting insurance sector.

Sources
Sources

Quotes
  • "Consumers do not delineate among distribution channels, according to Mark A. Ribisi, president and CEO of AIS Management. The process by which consumers now purchase insurance can be a circuitous route similar to purchasing cars where consumers bounce between online and in person purchases, he said."
  • "“Research is performed online and execution occurs direct, through an independent agent or captive,” Ribisi said"
  • "Independent agents will be important, but they will need to be more comfortable with consumers that come to them online.”"
  • "“Consumers want the flexibility to purchase it and use it when, where and how they want.”"
  • "They can’t be the independent agency of the past. They’re going to have to evolve. They’re going to have to have a digital footprint in their community"
  • "The traditional agency brick-and-mortar brand is not as important because more consumers wish to transact and interact via mobile devices and online"
  • "The reality is that 20 years ago, part of the agent’s value proposition was access to products. Now, there is unlimited access to product 24/7 online so the agent value proposition has to evolve"
  • "“The onus is on us — as agents — to be there in ways that are meaningful to consumers and that fulfill their needs at the time.”"
  • "Technology allows new players with good ideas to push those out into the world in a cost-effective way, Conrad said."
  • "It’s an arms race, Burand says. “The battle from the agents’ perspective is to get big enough to thwart the carriers’ growth,” he said. “So, they sell or join clusters.”"
  • "Obtaining and maintaining that control in a competitive environment will take work, as always. “Agents have to decrease their cost and/or increase the quality of their service,” Burand said. “They don’t really have a choice because in a perpetual soft market with all this competition companies are going to be pressed to find less expensive ways to distribute insurance.”"
Quotes
  • "In order to remain competitive in the world of digital convenience shopping, more and more insurance agencies are adopting technology solutions that will transition their client-focused insurance buying experiences to an online environment."
  • " Smart Harbor has noticed a trend of insurance agencies using their new technology capabilities to transform their businesses into multi-disciplinary offices."
  • "They’re no longer solely focused on selling insurance, Walker explained, but rather offering advice and solutions around all of their customers’ life events by tag-teaming with realtors, financial advisors, lawyers and so on."
  • "“In the future, I think you’re going to see blurred lines whereby traditional independent agencies will become insurance agency come solutions providers,”"
  • "As consumers become much more dynamic, as product in the insurance space grows and as those ancillary insurance partners grow, the agency almost becomes a brand-new ecosystem – this multi-disciplinarian shop – where the agent uses technology and automation to provide a much more holistic service and more strategic advice through all of a customer’s life events.”"
  • "Broadening service and product lines will enable independent agents to grow alongside their consumers, which could lead to “greater stickiness” and more client retention over a longer period of time"
Quotes
  • "The role of insurance agents has changed dramatically by 2030. The number of agents is reduced substantially as active agents retire and remaining agents rely heavily on technology to increase productivity. "
  • "The role of agents transitions to process facilitators and product educators. The agent of the future can sell nearly all types of coverage and adds value by helping clients manage their portfolios of coverage across experiences, health, life, mobility, personal property, and residential."
  • " Agents use smart personal assistants to optimize their tasks as well as AI-enabled bots to find potential deals for clients. These tools help agents to support a substantially larger client base while making customer interactions (a mix of in-person, virtual, and digital) shorter and more meaningful, given that each interaction will be tailored to the exact current and future needs of each individual client."