How is technology impacting life insurance agents?

[WinoBlues]

Scagnt - that. I differ in where I see people wanting agents though. I believe it is the upper and lower middle class and below. That will be searching us out. That is may be just a difference in where we see those incomes because of geographic areas we live in.

Shonceman - On the younger people not wanting to deal with salesmen. I agree. That is is why if they just want an order taker to get them the cheapest term with the least hassle? "Here you go Josh and Brittany, you should have the policy in your inbox soon" Next! On the other side of that I then try to become "their guy" so when they remember that I mentioned I do a lot of senior policies for people with pretty exciting conditions. With minimum hassle. They just text "their guy".

All IMohsoHO

 

[TampaHound]

I'm agreeing and disagreeing with bits and pieces of what everyone is saying. Well I don't believe that the role of an agent has changed that much over time (basically find the best policy you can for the client).

The tech we use has made our jobs easier and less prone to error, it is still about people. That's why I think it's going to get more difficult as well.

I once spoke with a woman that just wanted text and email as the way to communicate. We ended up not doing a policy because I could never be sure if I was speaking to the right person. With an emphasis on emails and computers to cut out the agent, can a company ever be sure they are not being defrauded? Yes, I believe a company would cut out the agent if they can using tech. That's one more $ in profit for them.

Genetic testing could be used to a greater extent in underwriting in the future. Will a 10% chance of cancer in some far off future effect the premium? Or be a flat out NO? How about a 15% chance?

Those are my concerns.

 

[shonceman]

I'm agreeing and disagreeing with bits and pieces of what everyone is saying. Well I don't believe that the role of an agent has changed that much over time (basically find the best policy you can for the client).

The tech we use has made our jobs similar and less prone to error, it is still about people. That's why I think it's going to get more difficult as well.

I once spoke with a woman that just wanted text and email as the way to communicate. We ended up not doing a policy because I could never be sure if I was speaking to the right person. With an emphasis on emails and computers to cut out the agent, can a company ever be sure they are not being defrauded? Yes, I believe a company would cut out the agent if they can using tech. That's one more $ in profit for them.

Genetic testing could be used to a greater extent in underwriting in the future. Will a 10% chance of cancer in some far off future effect the premium? Or be a flat out NO? How about a 15% chance?

Those are my concerns.

I have several clients who communicate primarily by text. I find it to be a real timesaver for administrative communication, but certainly don't want to sell that way!

But your statement about the lady wanting text & email triggered this thought: The single biggest technological impact ever on my business was the advent of the affordable mobile phone.

When I started in the business, some of the "high roller" agents had car phones. Most of us couldn't afford them. So when I was in the field, I was functionally out of reach. I called in to get messages every couple of hours, but I was completely dependent on finding a working pay phone (which was hard when working in rural or inner city areas) or borrowing a client's phone. I stayed in the office an hour every morning, then a couple of evening hours throughout the week making & returning calls. That's not counting the four hours a week spent in "power dial" sessions.

When I finally got a cellphone with an affordable rate plan, I moved from being more or less office based to being completely mobile, making and answering calls as I moved about. I still have an office, but I mainly use it for administrative purposes. As I become more "paperless", I find the office even less necessary.

 

[Brian Anderson]

A little more recently than everyone getting smartphones, was the advent and adoption of e-signatures something that made a significant difference in speeding up the policy application/issue process?

 

[WinoBlues]

A little more recently than everyone getting smartphones, was the advent and adoption of e-signatures something that made a significant difference in speeding up the policy application/issue process?

Late yesterday evening I sent an Eapp to my 70 year old Client. I will have it back and submitted before a snail mail app would have even gotten to her. I should be issued before I would have gotten it back in the mail. If electronic delivery was available with this company. I would would have the new policy, be paid, before the the company would have even gotten the snail mail app.

I am an old guy and I fought the changes. But I have come into the light. Still having a hard time giving up the warm comfort of my paper files though. But I am getting there.

 

[shonceman]

A little more recently than everyone getting smartphones, was the advent and adoption of e-signatures something that made a significant difference in speeding up the policy application/issue process?

Mostly yes. For example, the company that I use for simplified issue term policies uses an online app. Once the client does the e-sig, the company's computer runs a quick online med check, then if approved, immediately issues and gives a policy number on the spot. Sometimes they want a telephone interview, and then it's approved on the spot or referred to underwriting. All of the cases I've written so far using their e-app with e-sig has been approved immediately. The physical policy arrives in the mail a couple days later.

On the other hand, I recently wrote a couple of term cases with one of the larger carriers where you input basic policyholder info online, then the company schedules the paramed exam, etc. and takes it from there. That process seems to take a lot longer than when I wrote paper apps with the same carrier & handled more of the process myself.

 

[TampaHound]

Tech is all well and good. My point however is that more and more non-insurance people are going to be using it to find the lowest priced policy without knowledge of the value of speaking to an agent.

How often have we heard "50K in insurance will be enough." only to dig a little deeper and find out that was a number that just bounced into their heads. Now they go online, find what they think is the cheapest price and either find out it wasn't enough coverage or what they thought they were getting isn't the right policy for them (confusing accidental death with life insurance for example).

I'm all for e-sigs, cell phones and paperless applications. However we all lost our privacy with agreements we check and never read. Phone apps that read our location without our knowledge.

You can't tell me that any Insurance company is not going to put out a policy online that will somehow not benefit the customer but make the company more $$$$

 

[tonyisme]

Amazon is no substitute for a Trusted Advisor"

 

[InfinityLeads]

Amazon is no substitute for a Trusted Advisor"

agreed!