Insurance agents must overcome daunting challenges every day to ensure they clinch deals. The competition in the insurance business – from vehicular to health; from life to accidents; from business to theft – is cutthroat and steeped in pressure.
The relentless drive to gain a competitive advantage and pip the competitors to the post means insurance agents are often on the verge of mental and physical burnout. The fear of failure also plays a massive role in triggering burnout. This physically and mentally taxing profession often forces many agents to leave their jobs because they cannot meet their targets. Investopedia says more than 90% of new agents quit the business within the first year. The rate increases to greater than 95% when extended to five years.
So, keeping your insurance agents motivated is vital to getting the best out of them, and this article will highlight some ways to do that.
Methods that will help you motivate your insurance agents
1. Rewards for following due process
Often, the process can be as necessary as a result. A result might mean immediate rewards for both the insurance agent and the company, but following an optimized process will ensure success in the long run. It will lead to more insurance agents implementing the strategy across the organization, resulting in more favorable results and enhanced productivity. So, rewarding agents for following the process and staying compliant would be a great motivator.
2. Surprise non-cash incentives
Money is the biggest motivator, no doubt. But small and surprise non-cash incentives can be a significant morale booster for insurance agents. Incentives such as vouchers, discount coupons, days off, and vacations offer the insurance agents a well-earned break from the unrelenting pressure of making money through commissions. Such surprise incentives also give them something to look forward to after a particularly taxing month or quarter.
3. Rewards for learning and upskilling
Nothing guarantees future success like upskilling. When insurance agents spend time improving their knowledge and sharpening their skills, they are bound to get better as sales professionals. Offering bonuses and rewards for agents who invest in learning and upskilling can become a great enabler and motivate other agents also to pick up relevant courses.
4. Baseline commissions
It can get frustrating if an agent realizes that they will not make the monthly or quarterly targets. It could lead them to become disillusioned and even quit the job. Having baseline salaries would reassure them that they will still pocket some income even if they had an off month or quarter. Features like advance payments can also help insurance agents stay motivated and continue with a company.
5. Unlock better incentives with higher deals
Big deals are complex. So, they deservedly get big commissions. However, agents who are in good selling form also need to be duly rewarded. For example, if an agent sells more than 15% of their target or sells twice the number of products in a particular month, the achievement must be celebrated and rewarded. Rewarding such excellent performances gives everyone the drive to keep going even after reaching their sales target.
If you work in the high-stakes insurance sector, it would not be surprising to see a high attrition rate, customer rejection, and stress. An eclectic mix of motivating and rewarding incentives can help ensure your insurance agents stay motivated and put their best foot forward.
Blitz improves the quality of tasks and helps insurance companies reduce operational costs
Even if commission management has always been challenging for the insurance industry, Blitz is the centralized commission management platform that allows insurance companies to develop detailed reports and interactive dashboards while eliminating errors and overpayments, and ensuring they can track and manage commissions with ease.
Start reducing risks and costs while driving visibility, transparency, and control in your company.