Most People Shop Around for Insurance. Make That Work for You.

For most people, purchasing a new insurance policy is a serious act. That’s why 74 percent of Americans shop around for insurance: they want the best possible coverage at the most affordable price.

That figure might worry captive agents, but it’s great news for independent agents – especially if you’re a We Insure franchisee. When customers shop around for insurance, you have the opportunity to be their go-to source of information throughout the process.

Here, we’ll explain how to maximize your value while customers shop around.

Be Clear About the Benefits

If your customers are shopping around for insurance, they likely care most about pricing. You can help them optimize their rates – but make sure to caution against prioritizing cheap premiums over quality insurance.

With that in mind, lead with the coverage benefits that shopping around provides. If a customer’s risk changes, their current policy may no longer offer adequate coverage to fit their needs.

That’s particularly the case for homeowners insurance. Expanded coverage can help customers mitigate changing risk when it comes to:

Natural disasters. For many homeowners, climate change has increased the risk of flooding, tornadoes and hurricanes.
New pets. Under their existing policy, a “restricted breed” can be challenging or impossible to insure.
Repair costs. Inflation means that home repair and replacement costs are much higher than they were a year ago. Homeowners who don’t update their policies may find themselves underinsured in the event of a claim.

With quality coverage, customers can better meet their current needs and be better prepared for the future.

Quality coverage doesn’t have to be expensive, though. When you talk to customers, be upfront about the potential for cost savings.

Many carriers calculate premiums based on different risk factors and rating systems. The result is that 76 percent of people save money when shopping around.

Make sure to also mention that savings can vary based on when customers shop. Take auto insurance, for example: auto insurers often lower rates after certain life events. Customers should consider shopping around if they recently:

Got married. Many auto insurers view married couples as more stable drivers.
Bought a house. Auto insurers often associate homeownership with responsibility.
Improved their driving record. After three to five years, at-fault accidents likely won’t affect premiums.

Bookend this conversation with a reminder: cheaper doesn’t always mean better. Sometimes, customers may trade affordable premiums for worse coverage or higher deductibles. As a result, they may struggle to fully mitigate their risk.

When it comes to shopping around for insurance, you can help customers understand the full picture of coverage and pricing benefits. You deliver more value when you guide customers toward high-quality, affordable coverage.

Play Up Your Carrier Access

As an independent agent, your carrier access is one of your biggest assets. That’s key when talking to customers – especially while they’re shopping around for insurance.

There’s a good chance customers are comparing carriers you’re familiar with. That means you can help them understand whether a specific policy fits their needs. Not the right match? You can provide alternatives that meet their price point and coverage requirements.

While talking to customers, make sure to remind them about your expansive carrier access. The more carriers they can compare, the better they can optimize their savings and coverage.

As a We Insure franchisee, you have connections with dozens of carriers (and more in some states!). When customers know you have this access, they’ll trust you to help them find the best fit.

Leverage Your Industry Knowledge

Shopping for insurance can be confusing and customers will likely have questions. And when they’re shopping on their own, it’s easy to turn to digital resources for answers.

But insurance situations aren’t one-size-fits-all. Chatbots and blog posts can only offer surface-level guidance. Without more personalized attention, customers may not be able to answer more unique or challenging policy questions.

What’s more, customers aren’t insurance experts. They may not even know the right questions to ask to get the answers they need to find the best policy.

As an independent agent, you can leverage your industry knowledge to deliver the most value. When talking to customers, make sure to:

Demystify key insurance concepts and terms.
Explain common risk factors.
Mention some of your risk rating tools – e.g., Risk Factor for gauging flood and wildfire risk.

Sharing your industry knowledge helps customers know they’re in the right hands. If they know you can help them shop around, they’ll likely also turn to you for other insurance needs. In the long term, leveraging your insurance knowledge can inspire customers’ confidence in you and your expertise, helping you create customers for life.

Highlight Your Customer Service

If customers purchase a policy from you, there’s a good chance more policy questions will come up over time. As a WE franchisee, you have access to a full suite of back-end customer service tools so customers can get support anytime, anywhere.

During the shopping process, remind customers that they can receive policy assistance via:

Phone.
Email.
Their customer portal.

These tools allow customers to be and feel supported and cared for throughout their journey with your agency.

Maximize Your Value to Create Customers for Life

As a customer, it can be challenging to shop around for insurance. But when you take the initiative to help, you can deliver more value to customers and help them meet their needs.

After customers purchase a policy, keep the conversation going. Suggest steps they can take to mitigate their risk and introduce additional cost savings. Make sure to send educational resources so they can learn more about insurance policies and key concepts.

As a WE franchisee, you can leverage your back-end support, rating tools and marketing assistance to meet each customer where they are. With the right conversations, you can create customers for life.

Interested? Learn more about how to become a We Insure franchisee today.

The information contained in this page is provided for general informational purposes only and may not be applicable to all situations. We Insure makes no guarantees of results from the use of this information.