How to Create a World-Class Manufacturer Experience? It starts with Tech, Transparency, and Trust

This post is part of a series sponsored by AgentSync.

If insurance producers are the backbone of your business, you need to compete with the producer's knowledge, and win.

One could argue that the entire insurance industry is a web of interdependent players, from the carriers who build the products to the agencies that deliver them, to the consumers who buy them. While this is true, it is also true that licensed insurance agents, brokers, and producers (whatever name they go by) are the main link in the chain.

As insurance professionals who put products in the hands of consumers, and money in the pockets of companies and carriers, producers are the lifeblood of any insurance business. So, if treating them like the MVPs they are is common sense and good business, why do so many insurance carriers and agencies still expect manufacturers to jump through hoops to work with them and do it for them?

Producer experience is something every insurance business should consider, and it's becoming more important as the average age of the insurance workforce increases each year. With an estimated 400,000 jobs in the insurance industry open by 2026, there will not be enough new people entering the industry to replace those leaving.

This means that the competition for top insurance talent is intensifying. And, as the moneymakers that they are, manufacturers will be able to dictate their own demands when it comes to how they operate.

Evidence shows that producers value more than money

Anyone who works in the insurance industry knows that producers are a special breed. At their best, they are driven, customer-obsessed, product experts who will do whatever it takes to win and keep business. Although stereotypes may make them appear to be driven only by sales and profit, the truth is that most insurance agents, brokers, and dual-licensed broker-dealers (collectively, producers) are in the business of helping people secure their own financial safety net. families, and their businesses.

For insurance agencies, carriers, and MGAs looking to work with top performing manufacturers, it's tempting to believe that offering the best pay and the best commissions is all you need to do. But this belief is a costly mistake, especially as the war for insurance talent intensifies.

The data shows that when deciding which agencies to work with and which carriers to sell to, producers actually care about more than just money.

In its 2022 industry-wide survey of 16,000 manufacturers, software company Appulate found agents prefer to do business with marketplaces that make their jobs easier and more efficient, while actively avoiding doing business with those that require tedious, manual, and repetitive tasks. .

What this means when done is that agents are beginning to choose to work with retail stores and MGAs over traditional carriers because the former have proven to be more technologically advanced than the latter, often providing a more seamless experience.

Legacy insurance carriers should not lose hope, however, because the findings of the survey show that agents tend to work with distribution partners who make their jobs easier, regardless of the type. This means that the key to finding the best producers is not to be a big name or a well-known industry player, it is to create the best experience for producers.

Three key ingredients for the making of a world-class manufacturer

If creating the best possible producer experience was easy, everyone would be doing it, right? The truth is, it's easier than you might think when you focus on three key ingredients. Through the smart use of transparency, trust, and technology, any insurance business can transform the experience of its producers from one that turns them into one that turns them into passionate fans of your partnership. Here is the way.

1. Transparency

No one likes to be in the dark, yet insurance companies often are when dealing with a variety of their day-to-day operations. A few of the most painful examples of informational black holes producers find themselves in include those they encounter while trying to get on board with a new agency, getting a contract with a carrier, and while waiting to receive their commissions.

Now, imagine if your organization had the ability to give each producer a clear view of what they need to do (and when), where they live in the process at any given time, and what information is still needed. This level of transparency in manufacturer onboarding, licensing, carrier appointments, and more is an important first step toward amazing manufacturers with a unique level of knowledge.

2. Trust

Transparency and trust go hand in hand. When you practice transparency, you build trust. And without transparency, it's almost impossible to maintain. However, access to information is not enough to build and maintain self-confidence: Information must also be accurate and reliable. This is where real-time data comes from company-wide and industry-wide sources of truth.

For example, if a producer is in the dark about an upcoming license renewal and the fact that they need to complete certain hours of continuing education (CE) before they can renew, that is a lack of transparency. But it is not much better if the manufacturer is warned about the upcoming license renewal without information about the required CE credits. Or, if the warning is not in time. Or if the warning refers to a situation in which the manufacturer no longer has a license. You get the idea.

Only when you combine transparency with accurate information do you begin to build trust.

3. Technology

Technology can be the link that holds everything together. Having the right technology in place can allow transparency that builds trust between stakeholders and facilitates better relationships all around. “Right technology” refers to systems that operate in real time and draw from accurate data sources.

When you use technology to give manufacturers access to accurate and easily identifiable information, which increases trust between the manufacturer and their upstream partners, that's the beginning of a world-class manufacturer experience.

Stand out from the competition with trust, transparency, and expertise

Why everyone doesn't focus on creating the best developer experience possible is still a mystery, but they provide those do prioritize a real competitive advantage.

For insurance carriers, agencies, MGAs, and others who want to ensure they don't fall victim to the coming insurance talent shortage, investing in technology built on transparency and fostering trust is a winning bet.

You can do this with AgentSync for manufacturer onboarding, license management, continuing education, carrier contracting, and more. Even better, you can extend the same level of transparency and trust through bundled commissions. By going beyond simply paying commissions and developing that referral and affiliate process, you are able to further differentiate the experience. For more information on this, check out our premium technology partner, Varicent.

Contact AgentSync to get started on the path to creating a producer experience that will set your business up for success now, and for the next generation of producers to come soon.

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