Any insurance company's growth depends upon its agents' resourcefulness and dedication. That’s why run-of-the-mill compensation plans do not work, as such mechanisms seldom consider individual efforts.
For a sector taking baby steps toward normalcy in the aftermath of Covid-19, insurance companies must motivate their agents to make the most of the new normal to thrive.
Here’s what companies must ask and answer for goal clarity:
- Do salespeople have a clear commission plan?
- Are the plans customizable and data-backed to motivate the agents?
- Can agencies and brokers collect accurate data on performance to tailor compensation?
The answers to these questions will lead a company toward a robust sales commission plan, motivating the agents to do their best.
How to start automating your sales commission plans
You must have clear goals when you set up your sales commission plans. Your goals could be:
- Higher revenue
- Customer retention
- Insight into why sales in certain product lines or regions are lagging
Because each insurance agent has unique goals and motivations, the best way to ensure your plan works is by syncing company goals with individual targets.
For example, an agent with limited territory might benefit from a higher percentage payout. A veteran agent might prefer lower commission rates for more latitude in targeting clients.
1. Easier Tracking = Fewer Disputes
Tracking and managing commission payments are crucial to running a successful insurance agency. Keeping track of all commissions can be difficult if your agency has many agents. So, this is where a good commission management platform comes in handy.
A well-designed commission tracking platform allows you to automate many tasks, like calculating commissions or assigning them based on an agent's activity level during the month.
The best platforms also make sure everything gets audited for accuracy and integrity. It provides reports that detail how much each agent has earned, ensuring zero errors or disputes.
2. Automation means happy agents
Automation is a great way to save time, money, and headaches. It improves the quality of your data and helps you make good decisions. Automation allows agents to focus on their goals rather than tracking and calculating commissions.
According to reports, insurance agents spend an average of three hours per week tracking and calculating their commissions. That's a lot of time that agents could spend selling! All these features combined help companies get a better return on investment.
With automation, you can create rules that pay agents once an agent closes a deal or completes a goal. Besides incentivizing them, it also gives them instant feedback on their performance and pinpoints areas to focus on.
3. Increase the quality of your data, increase the quality of your agents
When agents compete for commissions based on sales volume alone, it skews your numbers. The result: demotivated agents and reduced revenue. More accurate reporting and automated analysis can transform data into actionable insights that help your agents sell and earn better.
If you’re looking for an automated sales commission platform, ensure it has the following best features:
- Flexibility while setting up a plan. Some software is more flexible than others.
- Tracking sales commissions is paramount. Ensure the software allows users access through multiple devices.
- It must be automation ready. It is one of the most critical integrations for a sales commission platform.
Commission management for insurance companies
Irrespective of the size of your insurance company, Blitz is the solution that adapts to your specific needs.
With the right sales commission plan in place, you can spend more time selling and less time calculating commissions. Automating your sales commissions means fewer headaches for everyone involved.
With Blitz, insurance companies will:
- Reduce time spent on commission calculation
- Allow strategic decision-making through real-time data
- Keep track of sales and commissions