Modernization Of The Insurance Brokerage Model

Founder of Redbird Advisors and EVP of Digital & Acquisition Marketing for Senior Market Advisors, a Medicare FMO.

The insurance industry is undergoing a transformative shift, shaped by emerging technologies and evolving customer expectations. As this evolution continues, modernization of the brokerage model becomes a crucial differentiator for middle market insurance agencies and their field marketing organization (FMO) partnerships. The forward-thinking leaders in the industry are already embracing change, and it’s time for other agencies to follow suit.

Here’s how the transformation looks and how agencies can align with industry innovators.

Embracing Technology For Exceptional Customer Experiences

Automated Systems: Tools like Lemonade’s AI bots and CRM systems like Salesforce are becoming less of a nice thing to have and more of a requirement. It’s sort of like the evolution of websites in the early 2000s. Systems implementations enhance sales rep efficiency and deliver timely responses to customer inquiries—and it’s setting the standard for the customer.

Personalization Tools: Technologies that deliver personalized customer journeys are meeting the customer on their terms based on their interests and needs. This is another area that is setting the standard for customer expectations.

Multichannel Management Platforms: A great example of this would be tools like Zendesk. These multichannel platforms facilitate seamless communication across various channels, meeting customers where they are and on their time.

Getting On Board With Fundamental Modernization

Invest in technology that aligns with customer needs and business goals. Don’t let it scare you, there are many off the shelf solutions like Active Campaign that allow for not only automation, but automation that is directly tied to customer engagement and needs.

Go deeper with your staff and find the hurdles they are facing and the impacts it’s having on your customers. Your front lines will be a plethora of information to help you identify opportunities and how they should be prioritized. This exercise will arm you with the data needed to make key operational decisions.

Begin collecting customer feedback. Monitor and continuously analyze the feedback to create momentum of positive change. A great way for an insurance agency owner to get started on this is by making customer reviews and surveys a priority. Conduct them, listen to the feedback, make the necessary changes and empower your customers by sharing the improvement they had a voice in.

Meeting Modern Customer Expectations

Diversified Training: Repurpose content to appeal to different customers as needed. In this instance, how are you delivering training to your sales team? Are you breaking your webinars into shorts? Are you overlaying audio snippets with key takeaways? How are you making the content more accessible and easier to digest?

Consistent Availability Via Chatbots And Virtual Assistants: The age of instant information isn’t going anywhere, and there is a great opportunity to use chatbots and VA’s to streamline the customer experience.

Understand the evolving expectations of modern customers and adapt your communication to their various needs. This may in some instances feel thankless until you begin to measure your retention rates. Implement technologies and resources that provide added value. For example, an insurance agent rarely works the standard Monday through Friday, 9-to-5 gig. Deployment of a chatbot and virtual assistance after hours and on weekends can maintain momentum for your sales team because they now have a way to have their voice heard 24/7.

Facing The Challenges And Opportunities Of Modernization

Get Uncomfortable: Recognizing the complexities and adopting new technologies can be challenging but is necessary for growth and customer satisfaction. Business will not continue to run as usual, so you can either choose to be part of the problem, or part of the solution.

Leverage Opportunities: New tools not only make sales reps more effective but also significantly enhance the customer experience.

Introduce and nurture the development of a mindset of continuous improvement and adaptation within your sales team. For example, begin with simple and highly effective habits such as picking up the phone every time it rings and replying to voicemails the same day. These fundamentals may have been lost, but they certainly haven’t been forgotten by your customers.

Identify areas where modern tools can be integrated to solve existing challenges. This goes back to the automation, it can sound scary, but is becoming drastically more simple as it becomes the norm and no longer the exception.


The modernization of the brokerage model is no longer an option; it’s a necessity. You need to begin embracing relevant technologies and fostering a culture of innovation that is obsessed with the customer, otherwise you’ll be left in the dust by the next generation of insurance industry leadership.

The path to success requires a shift in mindset, investment in the right tools and a dedication to continuous learning and collaboration. The future belongs to those who are willing to evolve, innovate and lead.

Forbes Finance Council is an invitation-only organization for executives in successful accounting, financial planning and wealth management firms. Do I qualify?

Source link

About The Author

Scroll to Top