Change is All-Around Us, It’s Time to Rise Up
As a motivational speaker for the insurance and financial services industry, I have never seen as much sweeping change as we are experiencing now. I say this as someone who worked in the industry and made it to the Million Dollar Round Table and who carefully follows every industry development.
2020 changed everything, but 2021 will raise those changes to a whole new level.
Regulation 187 and Beyond
The amendment known as New York State’s regulation 187 is just a number to some, but it signaled the start of sweeping change in the insurance and financial service industry. Though its origins go back, to pre-pandemic 2019 it picked up steam across the nation.
Bill Unrue, industry insurance expert said at the start of 2021:
“The rule requiring insurers to act in the best interest of the consumer will likely become the standard for the U.S. life and annuity insurance industry over the next few years. The rule demands more simplicity and transparency within the annuity and life insurance sales experience to prevent what some call “consumer financial exploitation.”
In addition to the changes moving us all to greater transparency, more clarity and policy language that’s easier to understand, is another trend that can no longer be ignored: the 2021 Digital Climate.
Retail and commercial consumers are comparison shopping online as never before. And, what is surprising, are the consumers of that insurance. In a CNBC article on “panic buying” of insurance during the pandemic (October 21, 2020), it was found that:
“There was a 13% increase in life insurance applications among the under-44 age group in the third quarter versus Q3 2019, compared with a 9% jump for 45- to 59-year-olds and 0.4% in the 60-plus category.”
While the industry saw a jump in insurance sales in 2020, and that finally, more Americans are getting insured after years of decline. The so-called panic buying during the pandemic also meant that transparency was at an all-time high and climbing. The Millennial buyer, being an early adopter of all things digital, is seeking easy-to-find comparative coverage rates, superior, online customer service and a commitment of insurers to offering ethical and crystal-clear language as never before. What’s more, with states adopting similar rules to New York State’s regulation 187, anything put out online will be subject to intense scrutiny.
What is Your Vision?
You can turn your insurance and financial services future into a tremendous opportunity, and it’s apparent that customers are receptive as never before, but it’s going to take every ounce of your vision to make it happen. Do you have that vision?
Your mindset must be to offer exceptional and transparent customer service, to be as digitally savvy as you can be and to offer product that is unquestioned on the basis of its comparable value. Pre-pandemic, Americans had fallen off insurance purchases, now it is up to you to take advantage of the renewed interest. Can you embrace that mindset?
However, understand this is not the same industry that it was less than five years ago. It can be better, but it is up-to-you.
To be successful, will take the daily grit to outwork the competition and to convey the importance of what you are doing and why your mission is so important. You can be successful, but it is a commitment as never before.
Contact Scott Burrows, Insurance & Financial Services speaker for your next event, through this website or his office at: (520) 548-1169
