Insurance Agency Expansion

Copyright 2008 by Charles R. Schaul, Boulder, Colorado. All rights reserved.

A client alignment engagement for a large, high quality, locally owned insurance firm revealed their customers have a very high level of confidence in the firm and expect to have a long term relationship with them. The staff is well qualified. They made sure their customers covered all risks, and helped with risk management. They shopped markets for the best coverage at the lowest cost. In other words, they were completely customer focused, as well s very competent. Everything was great.

With one exception.

Many of their customers would like to buy health insurance and other employee benefits coverage from the agency. The agency, not knowing this, offered “personal lines” coverage for the executives of their customers, but nothing for the employees.

When we reported the level of interest their shown by their customers, our client decided to expand his health and benefits staff and enter the market. The result was spectacularly successful, adding some 30% to the agency’s revenue and profit.

Charles R. Schaul, Partner of SixPillars Research Group, focuses on increasing business profits by resolving the problem of customer attrition. Aligning companies with their customers; generating and implementing strategic initiatives; and promoting employees’ customer focus through commitment, responsibility and accountability combine to achieve the result.