Insurance professionals know that technology can provide them with a number of solutions to their business challenges. (Feodora/Adobe Stock)
The coronavirus pandemic acted as both an accelerant and a catalyst for insurance-agency change. This plays out in the results of the 2022 Independent Insurance Agent Survey conducted by NU Property & Casualty magazine and the National Association of Professional Insurance Agents (PIA).
The pandemic brought about shifts in how an agency's business is conducted, moving much of it online. At the same time, growing customer expectations for digital engagement apart from the pandemic have replaced some physical, in-person interactions.
Perhaps the most significant change brought about by the pandemic has been an increase in remote work. There are different perspectives on the impact and future of remote work, but there is not sharp disagreement. More than anything, remote work during the pandemic has proven that the physical location of producers and other agency employees has not been a significant impediment to agency operations and growth.
There are, however, concerns about maintaining agency culture and the loss of in-person "situational collaboration," but this needs to be balanced against the positives of remote work. PIA hears from some agencies that many clients prefer online interaction and that clients coming into the agency's physical location is becoming less frequent. At the same time, many employees seem to largely prefer remote work.
Digital dealings
This year's survey results show a continuing increase in the acceptance of and need for agencies to make greater use of digital tools. Insurance professionals know that technology can provide them with a number of solutions to their business challenges.
Some, however, pointed to difficulties securing the right insurtech to meet their needs.
"We are very small but have gotten to the point where we need an agency management system," one wrote. "They cost an arm and a leg!"
"IT is expensive," another respondent concurred. "Maintaining websites, social media, ACORD forms, and agency management systems, billing systems, HR systems, e-signatures, documentation and more… It can be overwhelming."
However, survey respondents seem keenly aware of what it will take to achieve lasting success. They have no intention of simply rolling over as direct-to-consumer online insurance outfits become more pronounced and competitive.
Ted Besesparis, PIA's senior vice president of communications, and Mike Becker, CEO of PIA, contributed to this report.
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