Here it is, eight years later, a big piece of the thesis that keeps things going. Started here
Really could say it started a little sooner which led to my exit from a big corporation. Lots of things there, one was the proper use of price optimization. Fast forward a few years and I stumbled onto this post…**not able to find it?? Juneish 2012 Pawel Stefanski IBM** which was one of the first times I saw/read someone else illustrating the point.
Sadly, much of the industry has disregarded math and logic and cheapened itself to quotes. In some cases they, large companies and brokers, have so much money they’ll even pay for new “quotes.”
Circa October 2010, none of these really need/deserve a full reboot and it looks like I made slight updates in May 2015
Post 1 Post 2 Post 3 Post 4
First, let us take a moment to thank Grammarly. Like you, I’m busy and miss things. Old posts had lots of silly, mostly lazy, mistakes.
Your updated disclaimer; I value time more than I did in October 2010 and, as my available time seems to diminish and priorities shift, even more than in May of 2015. What does this mean? Well, I am not sure that I held back then and the only stuff I hold back now is proprietary stuff. Even that is shared with certain audiences.
But really, I call them Friends and Acquaintances;
“There are no strangers here, only friends you haven’t met yet” William Butler Yeats
A bit deep on Friends from 2015 coincides with a training session with some pieces that are a bit off
I’ve never quite fully understood the philosophy of “A, B and C customers….” In the sense that I completely understand what is being said; focus your time on energy to produce a better outcome. Great. But, on the other hand, when you see in insurance today can partially be attributed to widespread use of this kind of attitude.
It’s sort of silly really. The world advances, the insurance world advances, yet there is still a reason to talk about glass coverage. This was four years ago, still true. I recorded a podcast yesterday and said something that I have said before, looks like I wrote it four years ago as well.
“Should it just be included, not even be an option?”
I’ve adapted a fair amount since this September 2014 post http://theinsurancebill.com/?p=418
But, maybe reinforced my thoughts is a better way of thinking about it.
- I define winning, no one else
- I compete against myself, no one else
- Anyone interested in purely defining me or my company by numbers only isn’t going to get very far with me
- Context around numbers is really important
- Many of the metrics, KPI’s, etc. used in insurance are flawed. And generally not going to work for the next decade and beyond
Originally posted 5 years ago, sadly, the situation is a bit worse now; “The real cost of a claim” http://theinsurancebill.com/?p=414
So yesterday I got a new, new car. It feels better but not good. Handing in a rental, that felt good. Of the last 40 days I have had a rental for 39 of them. *HUGE opportunity in insurance is the rental car situation, similar to using Angies list on the home side*
So I have a new car but I do not have a closed, completed claim and may not for 30-120ish more days. Why?
Apparently, I forgot to hit publish in September 2013
Enough already, so sad that industry publications continue to write articles about direct writers (state farm, allstate, geico, liberty mutual, etc.) and how the independent agents are competing against them. Are you really? Maybe it is time for a solid look in the mirror. While you are at it maybe you look at your business plan as well.
Some things to consider;
1. Do you really want their customers? I like leftovers but my wife is a great chef. Her leftovers are the only one’s I eat, I’m not interested in anyone else’s. The lesson, focus on what you want instead of what they do not want.
Yup. A couple of times a month we run into something similar. Long time, likely profitable, customer not exactly being appreciated http://theinsurancebill.com/?p=199
Truth is, I’ll likely be in a similar spot about 10 months from now. But how can that happen? You had two NOT AT FAULT accidents. Exactly But, because of a lot of things, including a call center order taker and some weak regulations, one driver did not have enough coverage. That means I need to use my coverage *sigh*.
So apparently I was buying a lot in September of 2012 and just had to write about it http://theinsurancebill.com/?p=202
If you are a broker, people leave. Period. No one is 100% for more than a year or two. People die, people move, people get rid of cars and homes, etc. To think you can keep your policy count and customer count growing is a better goal than keeping 100% of your customers. Often they leave without warning. This hurts, sometimes. But, most of us maintain customers because the effort to switch doesn’t match either
- The possible savings
Really should have been a better title in 2012 but the concept is still there, the idea is just expanded on http://theinsurancebill.com/?p=202
An adjustment I made, likely starting in 2013 was to try and get as much as you reasonable can get out of the time you are using. The key, as I learned, was to be reasonable.
I’ll 100% not get crazy over a few dollars or percentage difference in price if I save time. Time is the most critical piece. But, as time really tightens up it is even more critical to choose activities where I get more out of the transaction.