These agents are compensated on a commission basis, with an overriding commission component in some cases. Similarly, single parents and students with advanced degrees have a better chance of succeeding in the insurance industry. Single parents, for example, are frequently driven by a desire to provide for their children, but higher degree holders are typically motivated by a desire to be self-sufficient and entrepreneurial, with control over their wages.
Agents' training and retraining
Instructively, most insurers place a premium on their agents' ongoing skill development, which is frequently accomplished through in-house refreshers. As a result, insurers spend a lot of money training their agents on topics like insurance, product updates, customer service, and selling abilities, yet this does not increase their capacity.
Preparing to enter the sales fight and believing that "being invited to go to combat demands individual strategy to either return back alive or die," some unscrupulous salespeople engage in unethical actions such as lying and/or intentionally misinforming the public.
Unfortunately, these unethical activities not only result in a loss of commission for the agent, but they also limit clients access to high-quality service.
Furthermore, the company's investment money is lost, and the sector is denied the favourable public reputation necessary to boost insurance penetration.
Clients who have been abandoned
Clients get orphaned when agents leave their positions! Because some agents are known to their customers on a personal level, their departure tends to provide fertile ground for their clients to flourish.
Since a result, this phenomena has an impact on insurers' growth, as it raises the rate of policy surrenders, denying the insurer income for investment. Misselling, deception, and deliberate untruths by agents are among the other causes of insurance surrender.
People, as much as they desire insurance protection, do not want to be duped into purchasing it. Furthermore, there may be other conflicting interests that must all be considered before a decision is taken.
The journey ahead
Insurers should recruit only potential agents with a minimum of a certificate, rather than SHS grads, who are often starving for cash to pursue their study.
Meanwhile, the recruiting process for agents should be improved by involving professional recruitment firms and experienced salespeople.
Furthermore, the refreshers must emphasise the need of long-term rather than short-term insurance plans. Orphaned consumers must also seek beyond their personal relationships with agents and build their ties with the insurer, although through their contact agents.
After all, they'll still get paid whether or not their contact agents are there. Similarly, unsatisfied customers should demand clarification on product specifications and continue doing so. Agents must also strive to follow the ethics of their profession at all times.
"This is insurance from the sight of my mind" till next week.
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