Posted by
Joseph Westlake
on
5/27/2009 at 9:06 AM
With the advent of the new generation of Web solution, business is not the same as it used to be. Major industries have closely aligned their processes to technology. Insurance carriers are left with few choices but to embrace these innovations in order to stay relevant, and there is no denying that technology has become an integral aspect of customer satisfaction.
The fact that technology gives an added competitive edge to insurance carriers is fast becoming common knowledge. This article by Jim Fisher evaluates where today’s insurers need to focus in order to survive and compete. He anticipates that within a few years, nearly all insurance sales will be fully Web-supported and primarily executed by agents online. There is a particular emphasis on how insurance sales have transformed over time. The article strengthens a view presented in one of our previous posts, “Carriers’ competitive edge depends on IT”.
Fisher has categorically specified the ideal benefits, particularly to insurance sales and agents, companies would reap if they integrate web technology to their processes. In doing so, he reflects a positive impact the transition to technology brings to the insurance industry. He cites how new marketing technology helps to build unique sales and improve agent productivity. Adding the most effective incentive compensation models to this technology further enhances agents’ performance, and with it, the insurance organization’s bottom-line. This builds a cohesive talented agents pool that ideally works toward consistent revenue generation. Agents are very well placed to reach company objectives with the right mix of technology in their processes.
In this article, Anthony O’Donnell of Insurance and Technology writes why 2009 will be a good year for technology vendors. Insurers have understood the key utility of technology in the day-to-day business activities. There is a strong realization among carriers on how technology takes both the role of an effective cost cutting measure and effective ROI in the long run.
An excerpt from the article
We have already begun to see insurers renew the emphasis on cost control that we saw earlier in the decade. However, insurers remain well-capitalized and focused on technology improvements potentially on a larger time scale than the current economic troubles.
Insurers need to choose technology that transforms their ordinary distribution channel into a real force in the competitive market. Vendors who understand and have many years of service in the insurance industry are best positioned to deliver the best-of-breed technology to match insurers' requirements. Incentive Compensation Management is a category of technology that has the potential to alleviate many of insurance carriers’ most frequent marketing and sales concerns. This technology can assist insurers in fostering higher employee morale and increasing company productivity.
The potential of the web to assist in insurers’ growth is gaining momentum. It’s a choice for insurers whether to harness this power and grow -- or to maintain status quo.
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Posted by
Stephanie Bruno
on
5/20/2009 at 8:17 AM
Improving sales performance is a primary focus of insurers today. Sales performance management plays a significant role in increasing revenue, decreasing costs and improving predictability. Streamlining the company processes with Incentive Compensation Management (ICM) enable insurers to increase their overall potential and bolster the company’s bottom line.
Increase in Revenue
ICM helps to seamlessly weave producers’ goals with company objectives. Agents get the advantage of quickly adapting to rapidly changing market trends and exposure to the influence of their efforts on the company’s bottom line. Business-critical strategies become run-of-the-mill as reps stay updated on the carrier’s plans at all times, enabling them to be more productive -- and increase the revenue of the company.
Decrease Costs
An automated compensation management solution not only collects all data in one location, but also eliminates a vast number of manual steps in the payment process. No tedious spreadsheet calculations are needed. Calculating commissions, adjusting for retroactivity and advances, integrating data with the accounting system and printing checks become easy saving lot of time, effort and money.
Improve Predictability
Consolidation of commission payments within one system within a defined set of parameters means processing is consistent and predictable. Easy-to-access information for agents and predictability improves trust in the company.
The operational flexibility with ICM ensures that each member contributes directly towards improving business, rather than on unwanted and redundant activities. This proactive transformation of in-house process assists in boosting producer loyalty and retention as well.
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Posted by
Joseph Westlake
on
5/13/2009 at 8:38 AM
These are tough times for insurers to make a positive difference to their bottom-line. With the economy inching ever so slowly towards regaining its healthy position, every insurer is looking out for best practices to hold market share and profitability. My view is that if an organization is looking to significantly influence the course of their sales and marketing effectiveness then optimal sales performance management is a sure game changer.
A research by Gartner Group says, “Sales people spend only 45% of their time selling. The other 55% is spent on meetings, administrative tasks, account service, training, travel, research and intra-company communications”.
With the right strategy to motivate teams and provide clarity for the appropriate measures, insurers can certainly boost their overall performance. Join us for a webcast on “Sales Performance Management Solutions for Insurers”, where we’ll explain the best practices to increase sales performance and also how insurers can execute an efficient and lean strategy for a healthier bottom-line and more effective customer relationship management.
The webcast is on May 27th, 2009 1:00pm-2:00pm (EST). Hope you’ll join us!
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Posted by
Stephen Bruno
on
5/6/2009 at 8:42 AM
I recently came across this article by Erik Eckel, who delves into the need of IT certification for prospective professionals and their career growth. His observations are right on-target, especially in light of recent employee cutbacks. Many companies have taken to slashing employee numbers to counter cost reduction. It seems only a few future minded companies such as FedEx have been thinking and executing differently.
While Erik’s article focuses on employees who are improving their qualifications and vis-à-vis becoming more permanent fixtures at their companies, we at VUE Software have noticed a direct correlation between hiring certified personnel and providing high efficiency, fully-integrated products to our clients. I’d like to recognize the success BlueCross BlueShield of Vermont (BCBSVT) has achieved with VUE Compensation Management, our Incentive compensation product, as evidence of this opinion.
This article in Windows® In Financial Services Magazine states:
Blue Cross and Blue Shield of Vermont is already seeing the results of a strategic IT investment: so far, its compensation management system has helped it to streamline operations and has lead to half a million in savings. Another $2 million in savings is expected over the course of the implementation.
Developed on Microsoft .NET Framework, VUE Compensation Management has developed a solid platform that enabled BCBSVT to decouple broker commissions from insurance premiums, reduce manual interventions by 97 percent and go paperless with broker commission statements. Read the article in the magazine for the complete report.
Our insurance industry expertise and technology proficiency, with over 80% of certified professionals company-wide, and nearly 100% in technology positions, helped us to tailor the VUE Software suite of products to suit the exclusive requirements of various insurers. Click here to download the recorded BCBSVT case study webcast.
These results reinstate the fact that certified professionals make a definitive positive impact on company processes, be it within their own company or companies who use their services. Today, BCBSVT has gained due to the overhaul of their incentive compensation and agent management capabilities. I encourage you to contact us and see how our expertise can positively impact your organization as well.
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