Look, I love it when people tell me they’re happy with what they’re paying for insurance. That tells me they don’t understand their total cost of risk. If you let that objection get in your way, you got a lot to learn and a long way to go.
Another objection that you may get when you’re reaching out to new prospects is, “I’m happy with what I’m paying right now.” Really? Are you? Let me ask you a question. Has anybody ever come in and done a total cost of risk calculation for your organization? Oh, no, they haven’t?
See, this is a common trap that we find many business owners and decision-makers get into because they’re focused on the premium. They concentrate on the price of a product, and they don’t realize the actual problem. When we engage with a company, we come in, and we do a calculation for the total cost of risk, and that includes many things that you don’t even realize are leaking from your financial statements right now. Just a quick example for you is indirect costs to claims. Did you know that the Bureau of Labor Statistics says that for every dollar spent on direct costs inside of a worker’s compensation claim, that the indirect costs associated with that claim across the general industry nationwide is between two and 20 times the direct cost?
So you might be entirely happy with your premium. Quite honestly, in a guaranteed cost workers’ compensation program, that would make sense. You don’t feel the pain of claims until your mod goes up, and then subsequently, you get a Consent to Rate, or you get a debited rate, depending on what state you’re in, as a result of your performance. See, there’s a lag there. One of the things that you gain by being proactive and focusing on the total cost of risk is that you’re looking at way more than just what you’re paying in insurance premiums. Insurance premium is undoubtedly important, and it’s certainly a component of the total cost of risk, but it’s only one of five things that affect that. And if you only focus on one of five, which is 20% of the calculation, you’re missing out on 80%. Flip the script.
I’d love to have the opportunity to come in and talk to you about the other 80%. We can talk about insurance later.  I’m not an insurance salesman; I’m a risk manager. I would highly recommend that if you’ve not had this done in the past, we spend 20, 30 minutes talking about it. And I can assure you; you’re going to see things that you didn’t realize were happening. It’s just the nature of the beast. It’s what we do.
Yes, I realize my message is different. Yes, I know you’re used to people coming in and selling you something or trying to sell you something. And yes, I realize that you’ve already in your mind lumped me into that same category, assuming that’s what I’m going to do. It’s not. That’s not how we operate. You have my word that I’m not going to try and sell you anything. I’m merely asking for 30 minutes of your time to show you why you shouldn’t be happy with what you’re currently paying right now.
The insurance industry has changed drastically in recent years, with one of the most significant shifts being the rise of the remote workforce. While remote
The insurance industry is at a technological crossroads. For decades, operations have been fragmented, with multiple systems, manual workflows, and siloed data defining how agencies function. But the rise of artificial intelligence (AI), cloud-based CRM, and integration tools is ushering in a new era—one where automation, real-time insights, and seamless client experiences are possible.
The challenge of recruiting and retaining top-producing talent has pushed many agency principals to rethink how they reward long-term performance and loyalty. One of the
As the commercial insurance industry continues to evolve, independent agencies face mounting pressure from large brokerages that have the financial horsepower and digital infrastructure to
As someone who trains commercial insurance producers nationwide, I’ve seen firsthand that remote success hinges not just on tools and workflows, but on people feeling heard, supported, and connected. This post explores the key strategies that agency leaders can use to build emotional connection and employee engagement in a remote insurance agency, using lessons drawn from real-world experience and thoughtful leadership.
Fleet safety is a growing concern for businesses that rely on commercial vehicles. With increasing insurance premiums, rising accident rates, and evolving regulatory requirements, companies must take proactive measures to
Please confirm you want to block this member.
You will no longer be able to:
Please note: This action will also remove this member from your connections and send a report to the site admin. Please allow a few minutes for this process to complete.
Responses