The busy July renewal season has recently ended, and for many P&C agents, this time of year can be like running a marathon. But it is often the time after renewal that matters more to the long-term policyholder relationship and retention of the account. Read on for our top five renewal service tips to help drive retention and growth.
Renewal Service Tips to Improve Retention and Growth
Post-renewal service is an area where agents can differentiate themselves and deepen relationships with policyholders. Insurance is a people business, and developing strong relationships is one of the best ways to improve retention rates and grow an agency. Here are our top five tips for providing excellent service to policyholders:
Confirm the renewal with a thoughtful follow-up message.
Don’t go silent after the renewal. Send a personalized thank you message to show appreciation and reinforce your ongoing business relationship. Agents can use these follow-up messages to confirm the renewal and offer proactive services like walking through updated coverages, offering future meetings to review any changes, and answering common questions in advance.
Send a brief coverage summary to policyholders after renewal.
Many policyholders do not read their policy thoroughly. It can be helpful to provide a high-level executive summary of the policy, written in simple language, to bridge the gap between what the policyholder has read and the full contents of the policy. Even though agents explain the policy and coverage in detail during renewals, policyholders may forget the details of their coverage when they need to reference their policy later. Include coverages, deductibles, limits, significant exclusions, endorsements, and any changes since the last renewal. This can also help agents avoid potential E&O losses by ensuring policyholders are educated about their coverage and its limitations.
Schedule a personalized post-renewal coverage review.
If you did not have the opportunity to visit with the policyholder to offer a coverage review, schedule one for a month or two after the renewal. It is a good time to review any life changes, coverage issues, and policy questions that may arise. Agents can also offer a personalized risk mitigation review of the property and risks to help reduce the potential for losses. Holding a thorough coverage review at renewal time or immediately after is a good way to offer additional post-renewal service to existing policyholders. Agents may even discover cross-sell and upsell opportunities during this meeting.
Promote the additional, valuable services the agency provides.
Existing policyholders may not be aware of all the value-added services the agency can provide to its clients, so reminding them of these services post-renewal is a good way to improve the relationship. Some of these additional services may include umbrella policies, flood coverage, claims services, digital updates, risk mitigation services, cyber coverage for businesses, and life or health options.
Easily schedule and automate personalized communications throughout the year.
Agents sometimes disappear after the renewal is processed, and policyholders may notice this. Policyholders who choose to work with agents like the personalized touch and close relationship that comes from working with an agent. To make it more efficient to personalize communications, agents can utilize their CRM system to automate birthday and anniversary greetings, holiday messages, seasonal reminders, renewal notices, details about upcoming events, invites to educational seminars, and more. Consistent, personalized communication can increase trust and loyalty.
Be sure to set goals and track retention metrics to determine how post-renewal efforts are affecting overall retention and growth rates. Celebrate wins with the team and reflect on ways to keep improving renewal service for existing policyholders to convert them to lifelong clients.
Become a Member of the American Agents Alliance For More Tips
Members of the American Agents Alliance enjoy access to discounts, educational resources, and networking opportunities with other independent P&C agents and brokers. Become a member today and learn how we’ve been empowering independent agents and brokers to thrive since 1962!
External Links:
- https://www.insurancethoughtleadership.com/agent-broker/5-client-retention-strategies-insurance-agents
- https://www.forbes.com/councils/forbesbusinessdevelopmentcouncil/2023/09/11/finding-the-hidden-upsell-and-cross-sell-opportunities-to-drive-growth/
- https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/the-value-of-getting-personalization-right-or-wrong-is-multiplying
