The simple fact that the home insurance market is getting more commoditised and that homeowners are looking to reduce their monthly outgoings any way they can leaves many brokers left feeling that they don’t stand a chance of keeping their customer for another year. Clearly the market entry of aggregators and “switching companies” is a massive risk to the broker marketplace and the continued commission stream that may have been built up over a number of years. Losing an insurance customer may not be considered overtly problematic, but what about the other products that you advise and sell?
Select & Protect is keen to change brokers’ perceptions of customer renewal dates and help them to see the golden opportunity to not only retain the customer, but potentially gain additional income as a result.
Scott Fynn, head of marketing for Select & Protect, explained: “An upcoming renewal date gives brokers the perfect excuse to contact their existing customers. You can check that the home insurance policy they currently have is still adequate to suit their needs and see if you can help them to reduce their premium – have they had a new security system fitted or joined a neighbourhood watch campaign?
“More importantly, they came to you first for your advice; by giving them the peace of mind that you’re doing what you can to offer them the best deal for the future, you’re reducing the chances of them looking elsewhere. And while you’ve got them on the phone... is there anything else you can do for them? Have they considered what they would do if they became unemployed? Would they be interested in a free, no obligation quote for Mortgage Payment Protection Insurance? It really is that simple to turn the situation around from potentially losing your customer, to making an additional sale and further increasing your income.”
The GI provider also urges brokers to explain to their customers how important it is to understand what’s included in a home insurance policy to prevent homeowners opting for cheaper cover which leaves them underinsured.