The insurance industry has changed drastically in recent yearswith price frequently becoming a primary differentiator betweencompanies. If an insurer chooses to be a warrior on today'sbattleground, the chances are that part of the battle will includedrawing swords over the issue of price. Businesses have beenhacking away at each other's value until there is nothing left butthe bones of price, essentially cannibalizing the industry withinthe market. This is evident with every insurance marketing campaignthat touts, “I can save you money,” in essence turning insuranceinto a commodity.

The role of the agent has changed a lot through the years aswell. There is more pressure for an agent to produce while there isa price war, and companies usually do not want agents heavilyinvolved in the claims process. However, changing customerexpectations have led to claims centers, 800 numbers and onlineportals which have become the new face of customer service, one ofthe last few weapons to use on the battlefield. Mechanizingcustomer service can have harmful effects on a company's valueproposition.

Consider the last time you were excited about purchasing a newcomputer or buying the latest cable/internet package for your home.The buying experience, along with price, may have been fantastic,but then something happened and you needed help. Did you go back tothe person who handled the sale? No. You called the 800 number.What was that experience like? What is that experience like foryour customers? In a business climate where new buyers make theirtransactions online, are you being taken out of the equation? Didthe customer buy the policy or did they buy you? These are some ofthe difficult questions we need to ask ourselves asprofessionals.

Who you work with matters

What does this have to do with restoration and its relationshipwith insurance? It is about leveraging relationships as a trustedprofessional to become a hero for customers during their hour ofneed to truly build a business on customer service. This means morethan listening and anticipating the needs of customers before theyknow they have them. That is how winners compete. Every agency thatsells personal or commercial property and casualty policies shouldhave a number of companies that they and their customers cantrust.

It is hard to understand what a customer is going through forthose who have never personally experienced a property loss. Thelevel of confusion and anguish is tantamount to a serious medicalemergency. Imagine coming home from work to find everything issoaking wet and covered in soot. In a few minutes, there will be asmall army of strangers invading your sanctuary when all you wantedwas to make a nice meal after a long day of work.

Not only do you suffer from the loss of property, but there areunexpected guests investigating the most intimate rooms of yourhome. Can you think of a more important moment in life whencustomer service and trust was this vital?

Who an insurer works with or recommends to a policyholdermatters. A recent J.D. Power survey found that 31 percent of Gen Ypolicyholders said they want additional help in seeking acontractor, but only 42 percent of those who contacted theirinsurers were actually able to reach a live person when theycalled.

What if after a loss someone said, “I am sorry to hear that. Doyour best to stay calm. Here are several contractors we've workedwith before. I can call XYZ restoration to come out and take careof you. I work with Wes all of the time, and he will make thingsbetter for you.” Can you imagine all of the hassle and uncertaintythat you just saved your customer from? Did you change the game ofcustomer service into terms of being a true hero? You did in theeyes of that customer.

The same factors apply to helping a policyholder find a repairshop after an auto accident or temporary housing or office spaceafter a large loss. But these companies must be vetted ahead oftime so that the agent or adjuster isn't scrambling to find aservice provider in the midst of the loss.

In addition, this relationship goes both ways. When therestoration company arrives and first speaks with the customer,they need to fill the other half of the customer service glass. “Iam so sorry for your loss. I am glad that Mr. Smith from ABCInsurance called us. We do a lot of work for his company and healways takes excellent care of his people. I know he was veryconcerned about you and that's why I am here.”

Now we are no longer strangers, we have set the tempo for whatwill be great customer service from start to finish. When the agentor adjuster and the service provider have a good relationship, allother aspects begin to fall into place. Fast service, fairestimates, good communication and speedy repairs are the byproductof a strong relationship with a reputable company.

Restoration firms, auto repair outlets and other service vendorsfrequently spend more time with a policyholder than an insurer orits personnel, but they still represent the insurance company tothat insured. A professional partnership between an insuranceprofessional and a service provider is a powerful thing forcustomers and allows a company to differentiate itself in theindustry.

Take the time to interview restoration companies, watermitigation firms, roofing contractors, repair shops and othervendors to find those whose reputations and values match yourcompany's the best so the level of customer service provided meetseveryone's expectations.

Aaron Jacobs works for CompleatRestorations and Compleat Environmental Services in York, Pa.He is ASHE and IICRC certified, and assists with infection controlfor medical and special care facilities.