* Sir Francis Bacon said "knowledge is power" and in the fast paced and constantly evolving world of insurance it is both a blessing and a curse.
It's a blessing because a knowledgeable and well-rounded independent agent can provide their client with excellent advice and counsel on how to properly protect themselves, their family and their business.
To achieve that means having a focused dialogue with the client to uncover all their areas of risk and also to gauge their tolerance for risk. Accurately understanding the lifestyle of each client allows a professional agent the opportunity to eliminate potential loss and put the client at ease. Client lifestyles are very active and diverse and in some cases complicated. Proper protection requires identifying all the areas that need protection for each client.
Once the potential areas of loss have been identified agents have to explain how they can be handled using insurance and the cost associated with doing so. That's when the agent has to explain how the coverage works and determine how much coverage the client needs and can afford.
If this process is thoroughly done when the client is first acquired it is more easily updated regularly. It also shows the overlapping nature of some coverages confirming why it is important for clients to work with one agent if at all possible.
This is not a five minute process if the client's intention is to have the job done well!
Unfortunately many clients today aren't interested in spending the time to make sure they're properly protected. So many of them believe various insurance policies are all the same and pretty cookie cutter in nature. Their initial comment many times is "here's the insurance I have now how much can you save me". That's if they don't take it upon themselves to buy coverage online which can have disastrous results.
While wanting to make sure your insurance costs are competitive is very valid it should not be the final determinant without making sure that you understand your current coverage and it is providing the protection you want and expect. People and businesses are constantly evolving and what worked before may not be adequate or correct today.
The most serious...