5 tech tools that can help when regulations change
Four states this year are increasing their minimum liability coverage requirements for drivers. The new laws in California, North Carolina, Virginia, and Utah could mean a big change for car owners with policies that only met the previous minimum required insurance coverage.
Liability changes are coming in response to rising medical and car repair costs. And similar changes could come to other states seeing growing costs and worse impacts of climate disasters.
For independent insurance agents, these types of changes can be opportunities to communicate with clients about what’s going on, get ahead of renewals, and to act as a trusted risk advisor by helping clients find what’s best for them.
But manually staying on top of news and communicating with a large pool of end-insureds can take a significant amount of time—time that pulls agents away from servicing current clients and finding new prospects. Instead, insurance agents can leverage technology tools to stay informed, manage mass policy changes or renewals, and keep clients updated, smoothly and quickly.
Do it all with the insurance knowledge database
Not every new regulation is straightforward. With an insurance knowledge database, agents can study up all in one place.
Whether getting up to speed on a new line of business, researching regulatory requirements, or looking for industry news, insurance knowledge databases consolidate information and make it easy to play an advisory role to clients.
“An insurance knowledge database is a library, a phone book, a search engine, and your friend who knows everything about a niche topic—rolled into one tech powerhouse,” Nellie Massoni, director of product management said in a recent post tracking the increase in insurance knowledge database usage. In the situation where regulations change, an insurance knowledge database will have text of the changes, industry news articles discussing the impacts, and guidance on how to write the new policy.
With an insurance knowledge database, agents are able to act as trusted advisors and share information to speak knowledgeably about market forces and trends.
Speed through your search with personal lines raters
When premiums go up, it’s natural for clients to want to shop around. Personal lines raters can help compare rates and even bind quotes to lock in a rate. Mass changes like those in these four states are going to get a lot of clients looking to mitigate the premium increase as much as possible, making PL raters invaluable to agents and their clients.
Raters give agents real time pricing information, which means writing policies can be done quickly and easily. The ability to show clients comparative rates and lock in quotes in front of their eyes can be a powerful tool for helping them make decisions and retain their business.
Quick communications, content clients
A major change like in Virginia—which before 2024 didn’t require drivers to carry auto insurance—could conceivably affect a large portion of clients in an agent’s book of business. And while not every client will need to update their liability coverage, they all should stay informed about what’s going on—and it’s best they get that information from their agent before it’s relevant.
Industry retention research shows that clients who receive two or more proactive messages from their agency per year are 10% more likely to stay with that agency. Getting the information about major changes out to clients goes a long way to improving your relationship, building your reputation, and keeping their business.
Automated customer communication tools that send out bulk emails can get the word out and let clients know how they can review their policy and make changes.
24/7 access makes a night-and-day difference
In some cases, clients can make requests for necessary policy changes themselves without finding time to talk to an agent. This empowers them to manage their insurance when it’s convenient.
With a client portal, clients can make changes from a smartphone late at night or skip the queue that might back up immediately after an update email is sent. Many portals also let users access certificates of insurance anytime they need them. In the case of a commercial driver who needs to show proof that their insurance is up to date, this access can mean the difference in a day’s wages.
When regulatory changes happen, streamlining these processes and giving clients faster, easier access to their important documents can make a big difference in clients’ lives.
Navigating regulatory changes like new liability requirements doesn’t have to be a headache for insurance agents or their clients. The right tools can turn these updates into opportunities to strengthen relationships, improve efficiency, and enhance client satisfaction.
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