T H U R S D A Y ,   A U G U S T   1 6 ,   2 0 0 7

Industry News

YOUNG AGENTS

Technology Panel Features Industry Leaders

The 2007 Young Agents Leadership Institute will be held Sept. 28-30, 2007 at the Manchester Grand Hyatt in San Diego. The Young Agents Leadership Institute includes a full program of speakers, breakout sessions, panel discussions and networking events. Attend the Technology Panel breakfast Sunday, Sept. 30, from 7:30 to 8:45 a.m. to gain insight into the latest technology trends and network with peers and Big “I” leaders while learning new agency management strategies. During this exciting panel, you will hear from leaders of ACORD, Artizan Internet Services, Applied Systems and ACT Chair Bob Slocum.

Don’t let this opportunity pass you by—visit www.independentagent.com and click “Young Agents” for updates on the event and for online registration. For more information, contact Katie Cosgrove at 800-221-7917; katie.cosgrove@iiaba.net.

 

ACT

Don’t Miss Real-Time Demonstration

If you are attending the Big “I” Fall Leadership Institute in San Diego, you won’t want to miss the real-time demonstration. Real Time is an improved workflow for independent agencies that will help employees save time and money while improving customer service. Hear from the industry’s most knowledgeable individuals on the real-time initiative. ACT and AUGIE (ACORD User Group Information Exchange) are hosting this event Friday, Sept. 28, from 11 a.m. to 1:30 p.m., and the event will include lunch. Programming for education directors, young agents and industry leaders also will be including in the action-packed lineup. To register today, click here or contact Jeff Yates for real-time information at jeff.yates@iiaba.net.

TRUSTED CHOICE^®

Second ‘Designing Spaces’ Segment Debuts Next Week

Trusted Choice^® has partnered with The Learning Channel (TLC) program “Designing Spaces” to sponsor a series on important insurance issues for homeowners. The series consists of three separate two-minute segments featuring one-on-one interviews with three Trusted Choice^® agents by show host Debi Marie.

The second Trusted Choice^® insurance segment debuts nationally Friday, Aug. 17, at 7 a.m. on the Women's Entertainment (WE) network and Saturday, Aug. 18 at 7 a.m. on TLC. (This is earlier than originally planned!) The two-minute report features Jeanne Heisler of The Ronan Agency in Brick, N.J., discussing personal umbrella policies and social host liability issues. In addition, this segment will air on local broadcast affiliates around the country throughout the following week. Those airings include stations in Philadelphia, Seattle, Miami, Washington, D.C. and others. For the complete airdate schedule click here.

The first segment featuring agent Julie Turner discussing home-remodeling insurance aired on the show last month. The third Trusted Choice^® segment, Big “I” President Alex Soto’s piece on flood insurance for homeowners, is forthcoming...airdate TBA.

Also, the Trusted Choice^® logo will be featured in Home Cooking magazine, on sale Aug. 14, and American Dream Homes magazine, on sale Aug. 28. These magazines will give Trusted Choice^® some extra visibility in the public eye. Make sure to tune in and watch ‘Designing Spaces’ in your area next week. For additional information, contact Jenner Gohr at 800-221-7197; jenner.gohr@iiaba.net.

BIG “I” MARKETS^SM

Access Real Estate E&O

Think of Real Estate Errors & Omissions Insurance as malpractice insurance for real estate agents. It protects a real estate professional from claims relating to an error or omission in providing professional services that can lead to a lawsuit. Some real estate market news sites are reporting an increase in real estate E&O claims due to things such as the collapse of the sub-prime lending markets, increases in foreclosures and the general downturn in real estate.

Here are a few examples of the types of claims that real estate agents are exposed to:

• Buyer/lesser financial creditworthiness. These claims relate to the inability of a tenant or buyer to fulfill their financial obligations as a buyer or tenant. The claims address the issue of whether the broker has a responsibility to properly qualify a buyer or tenant and what obligation they have to disclose such information.

• Discrimination. These claims involve both residential and commercial clients. These claims frequently relate to property management or dual agency claims.

• Dual Agency. These claims can occur in any real estate transaction where dual agency is involved. Dual agency refers not only to the same agent, but also the same firm with different agents.

• Commissions. Many brokers bring suit against their clients in order to collect commissions owed. These suites almost always involve countersuits of negligence.

• Pollution. Many broker clients are brought into suits relating to failure to disclose a contaminant which may include lead, asbestos, mold, etc. These claims typically involve failure to disclose by an owner which is imputed upon their agent.

As a Big “I” member, you have access to one of the best Real Estate E&O markets in the business, Travelers, through Big “I” Markets. To learn more about Travelers market, click here or log into www.bigimarkets.com.

InVEST

InVEST Resources for Agents

InVEST resources are available for agents interested in starting a local InVEST program. To make the program as turnkey as possible, agents are encouraged to visit the InVEST Web site to download the materials they need to support their program. Available for download is the Tools of the Trade kit, which is a speaker’s presentation packet developed to help insurance professionals and teachers interest students in pursuing careers in the industry. Materials include details about careers in the industry, questions and answers on general insurance topics, a PowerPoint presentation and student handouts. Other valuable resources available on the InVEST Web site are the InVEST Liaison’s Guide to Starting a New Program, Greater Hartford Handbook and Job Shadow Planning Materials. For more information, go to www.investprogram.org or contact Sandra Skipper at 800-221-7917; sandra.skipper@iiaba.net.

VIRTUAL UNIVERSITY

Learn How to Research Effectively Online

So what if you’re an Internet novice? That shouldn’t hold you back from using the World Wide Web as an effective research tool. Here’s how to find the information you need online:

Although it’s estimated that 70% of all Internet traffic goes to just 4,500 Web sites, often information you need is not on a popular site. It is estimated that there are somewhere around a trillion Web pages on the Internet. Yes, that makes your job daunting, but not impossible.

Since many of these trillion pages are in the “invisible Web”—proprietary databases and password-protected areas that are not searchable by search engines—you will not encounter them in your research. Even Google, the most popular search engine, indexes less than 1% of the Internet.

So how do you find the information you’re seeking? You’ll use an Internet search engine like www.google.com, www.yahoo.com, www.msn.com, www.aol.com, www.northernlight.com and www.ask.com. More than 90% of surfers regularly use these six Web sites. More than half of all Web surfers use Google. Each search engine has unique qualifications. For example, NorthernLight is the best to use if you’re seeking information published in magazines or general business information.

A metasearch engine is a portal that sends your criteria to dozens of search engines. These include www.dogpile.com, www.webcrawler.com and www.searchgateway.com. Additionally, you can use “human” directories, a searchable listing of Web sites compiled by, you guessed it, humans. These include www.yahoo.com, www.about.com, www.dmoz.com, www.looksmart.com and www.infoplease.com.

If you’re looking for images, use http://images.google.com, www.ditto.com and www.altavista.com/image. If it’s people you’re looking for, use www.infospace.com, www.searchgateway.com/finde.htm, http://whitepages.com or http://yellowpages.com. Most have a feature called “Reverse Lookup” that searches for individuals’ names by using their phone numbers or addresses.

For more information, consult Wikipedia’s directory of search engines at http://en.wikipedia.org/wiki/List_of_search_engines.

Now let’s learn how to refine your search to minimize the number of results. First, study the unique characteristics of search engines listed in the “Help” or “Tutorial” sections. This will ensure that you are using the right search engine.

Next, if you want to locate an exact phrase, enclose it in quotation marks. Unless you’re positive that a Web page will include the words you’re looking for in capital letters, a good rule is to use lowercase.

To further refine your search, you can use the minus (-) and/or plus (+) signs. For example, if your seeking information about how tall George Washington was, you would use this search field: “george washington” –university +height. This approach eliminates results from appearing that are related to George Washington University and conversely lists any page with the phrase “george washington” and the word “height.”

This example shows that you must be creative in choosing the right search words and that you can use search engine lingo (plusses and minuses) to find something. There are many other tips and techniques that you can use. If you’d like to explore further, check out these Web sites:

•  Finding Information on the Internet...A Tutorial
•  Search Secrets of the Experts

If this article is helpful, you’ll find many others online at the VU, a free benefit for Big “I” member agencies. All you need to access this virtual resource and classroom center is a Web-accessible computer and your personal login provided by the Big “I.” Click here to get started.

Note: This article is adapted from a three-part series titled “How to Find Stuff on the Internet” written by Bill Wilson, director of the Big “I” Virtual University. The complete article is available on the VU by clicking here.

BEST PRACTICES

Best Practices Help Build Better Businesses

Thousands of agencies have utilized Best Practices tools during the past 10 years. From perennial favorites like “Five Practices of Highly Effective Leaders,” “Customer Service Made Simple” and “Top Producers: Discover, Train, Reward” to newer offerings such as the “2006 Best Practices Study Update” and “The Crisis Management Tool,” these products offer a broad scope of information designed to meet an agency’s performance evaluation, research and management needs. And the Best Practices library will continue to grow this Fall with scheduled releases of two new tools: the “2007 Best Practices Study” and automated, self-diagnostic tool. Best Practices tools help agencies take a proactive approach to their own success by helping them understand the past, analyze the present and formulate a strategy for the future. To learn more about Best Practices resources, click here. For more information, contact the education department at 800-221-7917; BestPractices@iiaba.net.

EDUCATION

Strategic Planning Strategies: From Vision to Matrix

The Big “I” will offer the Associate in Insurance Agency Operations (AIAO) program in September beginning with the “Strategic Planning” course. This three-day session takes attendees on a step-by-step strategic journey. From planning and vision making to action steps and benchmarks, this course will provide attendees with a firm structure to create a strategic plan in their organizations. Participants will learn there is more to planning than getting buy-in and setting goals—the most important part is the follow through. This course will provide managers and leaders with timelines, resources and ideas to help them succeed. 

The program is available to all Big “I” members and the class size is limited to 15 students.  The sessions, which will be held in Alexandria, Va., are scheduled for Sept. 18-20 (Strategic Planning), Dec. 4-6 (Sales Training) and Feb. 12-13 (Superior Customer Service).

The regular cost for this program is $2,000 for all three sessions, but there is a 20% discount for this particular series. In addition, the $1,600 tuition can be paid in installments of $600 by Sept. 4, with the remaining two installments of $500 due two weeks prior to the two subsequent sessions. The tuition covers all materials, three breakfasts, one lunch and one dinner per session.

A block of rooms has been reserved at the Hilton Hotel for a discounted rate of $219. However, this rate is only good until Aug. 21. Click here to download a brochure.

The AIAO professional designation program is designed for agency owners, principals and general managers, as well as individuals who aspire to lead an agency in the future. Participants completing all three sessions of the program will be conferred with the AIAO designation by the Big “I.”

For more information, contact Gwen Garvin at gwen.garvin@iiaba.net or Bill Pierson at bill.pierson@iiaba.net.

ACT

Designing an Effective Independent Agent Web Site

A recent report by Boston-based research firm Celent found that within five years, the Web will be a major influencer for nearly all sales of personal auto and individual life-health products¬—and other coverages aren’t far behind.

Unfortunately, in this environment, many independent agency Web sites simply are ineffective. Many sites are difficult to locate on search engines. Some are nice looking, but most are lacking in visual appeal. Most are static, although others boast a high degree of e-commerce and functionality. Stale sites are rampant. Indeed, it is clear from last year’s AUGIE study that most independent agency sites are not kept updated: A total of some 55% of agencies said they update “rarely, annually or never.”

Independent agents cite referrals as a key source of new business. In the old days, people would hear a name from an acquaintance (“I use Smith Insurance, and it’s a great agency.”) and they’d call directory information or open the Yellow Pages for the name. But today’s consumers hear a name and search the Internet. That’s why agencies need a rock-solid Web presence.

For agencies that want to commit to creating and managing a modern Web site, here are some ideas. Note that the following is a collection of ideas to get started; it is not intended to be a survey of cutting-edge Web sites. With so many agencies so far behind, it’s easier to start with the basic strategy.

Set a Budget

Don’t view a Web site as a separate “tech thing.” It should reflect the brand characteristics—for example, an agency’s personality, the customer experience, its credentials and business partners. Think of it as a branding tool and direct a portion of the overall agency marketing to it. Most Best Practices agencies, for instance, are spending between 2% and 3% of annual commission revenues on advertising and promotion each year. Those introducing a new site will want to spend more outside of that budget, but those simply making enhancements to a site should include the cost in the overall annual budget.

Put Someone in Charge

With agency owners focused on sales and service, management of the Web site often gets relegated to the front desk or part-timers. A Web site is one of the most important brand touch points; put somebody with marketing acumen in charge, and hold him or her accountable.

Many agencies outsource Web design and maintenance. That makes sense. There are local firms for design and hosting help, and there are a growing number of national firms with insurance expertise on design that can build some fairly robust sites with quoting capability. Talk with two or three to get a sense of pricing. It’s normal to pay more for custom work and less for sites created as less-flexible templates.

Agencies that use outsourcing should be sure someone inside the agency is managing the relationship tightly. The responsible individual should report on the Web site’s traffic on a monthly basis. Pay close attention to information and online tools customers and prospects are using—or not using. The information can be derived from an outside consultant or Web hosting firm.

Also, each quarter, the responsible individual should report on two or three competitor Web sites’ functionality and offerings. Compare and contrast until it’s apparent that the clients’ expectations are being met with at least the same level of online presence as the key competitors. Agencies that are lagging should make changes. Those who find they are ahead of the pack, continue to search for ways to stay there.

Specific Audience

Instead of beginning the new Web site discussion about the agency, begin by defining a set of two, three or four groups of audiences expected to visit the site to do business. What will they expect? Don’t focus only on the products and all the jargon that goes with them. Keep an eye on specific customer sets and their needs; they’re looking for an efficient purchase experience, the right protection and value.

Some agencies have launched separate Web sites (i.e., micro sites) to tout specific coverages, such as nonstandard auto insurance, without confusing the consumer with a lot of other content (www.pizzapa.com).

It’s All About the Consumer

Have you really examined your Web site recently? Have you checked out other independent agents’ sites? Have you visited your local competitors’ sites to see what they are doing? And have you asked the question: When you finally get someone to your site, are you leaving customers and prospects with the impression they’d like to read on, make an inquiry or ask for a quote? Or, do you leave them feeling they should get out of there because they’re confused or bored or even overwhelmed by the “it’s all about me” pronouncements of your firm? While a basic site, this agency talks about, and shows, the customer: www.sentrywest.com.

A prospective client usually expects that you are qualified to sell insurance products. Therefore the strategy is not to lose them. The most effective way of keeping them interested is by designing a Web site that is all about “them.” Don’t dwell on how great your firm is, but do dwell on what that means for the customer or prospect.

Now that you have a budget and someone in charge, it’s time to organize a group (in large agencies, a representative sample from each department; in small firms, maybe everyone) to weigh in on your current Web site. You might not have to throw everything out, but if you’re honest in using feedback, you’ll see things to change. Does your address (URL) even make sense? Top O’Michigan Insurance Agency could have been a very long URL, but uses www.tomia247.com to reflect its service offerings.

Trust

Everything on a Web site should build consumer trust, not hurt it. Customers will be more likely to fill out quote or service forms, for instance, if they trust a firm. Reassure visitors that their privacy is respected and that the agency is built around helping them reach their goals (www.stolly.com/stolly.php?page=11).

Layout

Once you concentrate your efforts on a limited number of target audiences, the next step is to whiteboard the architecture for your Web site. “Keep it simple” is the best way to characterize the result you want. Each page in your site needs a menu bar that is easy to navigate, and the design must be consistent throughout; in other words, each part consistent with the logical whole (www.haylor.com).

Users typically read Web pages in an “F” pattern (horizontal across the top, horizontal across the middle and vertically down the left). Use a simple layout and quick-loading, businesslike graphics. Avoid or limit PDFs. Don’t overuse Flash and video and allow users to skip that animation (www.peoplesunderwriters.comand www.ambins.com).

Use color that matches the firm’s brand mark. Don’t overdo it on the color; white space is a beautiful thing.

Watch type fonts. This is an area where Web sites often make design errors with wild and crazy fonts, colors and sizes. Be consistent, and keep it simple. A nice text font for the Web is 10 or 11-point Arial, although there are other fonts that work well (www.parry-insurance.com).

Content

Use a logo, search box and site map. Use your ingredient brands (e.g. Trusted Choice^®), but keep them to a smaller size so they won’t compete visually with your logo. Since many of your visitors simply are seeking basic (but necessary) information—such as a street address, e-mail address, office number, emergency number, directions and operating hours—have that information on every page. Include exterior office photos as well. A “how to find us” map is a nice feature (www.rayneragencies.ca).

Frequently asked questions (FAQs) are a staple of smart Web sites, and they’ll help an audience navigate the insurance morass (www.fourniergroup.net/FAQs.html).

You’re an independent agent, so tell visitors all the value (e.g. customization) you can provide them beyond the competition. Explain, but limit the industry jargon, the products you offer. Basic education, savings tips and “news you can use” are excellent ways to showcase how you help clients manage risk. You can even offer some audio or video (www.lyonsinsurance.com).

Breathe some life into your firm. Show your people—employees and best customers. There are various ways to list your staff, and you can have some fun with it (www.cleavelandinsurance.com/pages/contact.html).

Testimonials are a terrific way to build your brand, the customers like reading them and you get to demonstrate the power of relationships (www.andersongroup.us/testimonials.html).

Show your carriers as well. Be proud of your business partners—and if you’re not, why are you working with them in the first place? Logos are much more interesting than a simple list of names (www.etreiber.com/active/loader.asp?key=760723&page=menulist.asp?parentkey=760723&image=tWhat.gif).

Online Service

You may think that the bulk of your customers don’t want to buy online, but many certainly want online service. Make it easy for them to do so. You can tap into insurance-specific partners to provide off-hours or emergency customer service. Many agents have found that commercial accounts are fond of online certificates of insurance, for instance (www.gmgins.com). Stay tuned because more online functionality (e.g. credit-card bill pay at the agency Web site) is rolling out.

Be careful of unnecessarily long information-request forms for quotes—consumers aren’t crazy about them. Instead, use a form asking for basic information, e-mail, office and cell numbers, and best time to follow up. As indicated above, if they trust you, consumers will give you their information.

You must promptly follow up as requested. Many agencies put “contact us” information on their sites, only to lack a firm mechanism to respond to those e-mails or voice mails. GEICO advertises saving 15% or more on car insurance in 15 minutes. If your agency is asking customers to fill out quote requests or buying leads from a lead-generation service, then someone in your agency must jump on those requests in a matter of minutes, not hours or days, to close the business. They must contact the prospect in whatever way, or ways, the consumer asked for: cell phone, work phone and/or e-mail. That online response will reposition the independent agency in the future, especially as virtual “face-to-face” customer service grows more prevalent, such as instant messaging and Web chat.

Updates

Keep content up to date, but continue to keep it simple and organized. It’s not about having every bit of insurance content or every piece of functionality that’s out there. It’s all about having what your particular clients need.

Some material should be updated weekly; the rest monthly. Budget for those ongoing updates. With this process you’ll be more likely to avoid false promises (weak content, nonexistent content, or old stuff you simply forgot was there) and ancient links going to error messages.

When you have someone qualified in charge of the Web site, the updates should happen frequently. Old newsletters should be archived, with search functionality. And it’s probably time to take those 2006 Christmas office party photos off the front page.

Just Do It

A Web site is likely to be the first point of contact for prospects and an important connection for customers. Designing the site seems to be a complex and tricky business, but it’ll get done if you have a good plan. In the end, the look and feel should match with the rest of your consistent and smart communications strategy. Get started now! If you haven’t been paying attention, your competitors could be ahead of you.

Peter van Aartrijk (peter@aartrijk.com) chairs the Agents Council for Technology’s Agency Web site, Search & Customer Functionality Working Group. This article reflects the views of the author and should not be construed as an official statement by ACT.