Low conversion rates challenge insurance agents writing new business. While existing business has a higher conversion rate, there is always the occasional customer who doesn’t renew. As the direct model grows, the number of customers not returning grows as well.
These challenges that insurance agents face aren’t new, but they are steadily growing in magnitude. Finally, agents have a way to fight back. ValChoice, a big data analytics company, has developed a solution.
Big Data Analytics for Insurance Agents and Consumers
Big data analytics may sound like intimidating, complicated lingo. That’s because the analysis is complicated. However, the tools ValChoice provides insurance agents are low-cost and incredibly easy-to-use. They provide a powerful way to show your customer, through independent analysis, exactly what they want to know: just how great the insurance you are selling is.
The analogy drawn by Forbes magazine that ValChoice is “Carfax for insurance” is a good one. Just like dealerships provide Carfax reports to consumers, insurance agents are beginning to provide ValChoice reports to consumers.
Consumers Focus on Price, Because the Value isn’t Clear
It is often said that insurance customers only care about price. The stigma exists because insurance is complicated. Most consumers don’t even try and understand their insurance. They leave price as the primary, or the only, differentiator.
ValChoice not only calculates how good the price of your insurance is, we also show price over time, taking out the effect of teaser rates and painting a picture of what the customer can expect from a long-term relationship with the insurance company. We also calculate how the claims payment history and the service level compare with other companies. For agents selling good insurance, ValChoice tools give you an opportunity to easily differentiate the products you sell.
Not only will this increase conversion rates for agents focused on developing new business, the transparency provided through these tools also creates a level of product differentiation and client trust that will virtually stop customer loss for agents that already have a book of business.
To find out if your agency could benefit from ValChoice tools for insurance agents, click this link and run a report on the companies whom you represent for car insurance. You will know immediately if ValChoice can help your business. Be sure to get the premium report so you have the same information your customers have, before they start asking you questions.