Successful agencies want successful CSRs

Rough Notes, Jul 2003 by Kulikowski, John, Murray, Pat

Key skills that service reps need

How do you differentiate a successful agency? The distinction is simple. It lies in the talent and skills of the individuals who touch and service their customers each and every day-the customer service representative. Consistent, exceptional customer service, revenue growth and retention are what our agency, Commerce Insurance Services, considers the key measurements of success. Although many would argue that industry knowledge is the most important skill, and it is indeed one of them, an agency cannot grow and sustain itself if the service representatives lack the foundation of strong service skills.

At Commerce Insurance Services, we have found that perpetuating the culture of exceptional service is a major key to success. This branding emulates that of our parent company-Commerce Bancorp-which is experiencing unparalleled growth and success in the banking industry. The keys of success for our company, and our service reps, are to:

* Deliver exceptional customer service

* Communicate effectively

* Protect customers and operate proactively in an E&O-compliant environment

* Use PC and Internet resources competently

* Possess strong industry knowledge

* Develop and enhance skills through training

* Manage multiple tasks

* Work as a team and deliver exceptional internal service

A successful service agency is one that is devoted to exceeding its customers' expectations. To do this, a CSR must be able to respond to the customers' requests and concerns. The processing and day-to-day assistance is delivered by the CSR who operates as the primary contact person, and who coordinates service delivery within the team structure. The innate ability to multi-task is critical. If a CSR is not able to handle multiple customer requests, the agency's ability to service its customers is negatively affected and so are its profits.

"When the ship misses the harbor, it's not the harbor's fault." The ability to communicate effectively with customers is essential to ensure that customers get into the right "harbor" of protection and receive everything they need. When it comes to effectively identifying a customer's need, the use of open- and closed-ended questions is a critical communication skill. Through such questions, the CSR can uncover the customer's true insurance needs and make certain he or she is protected. Written communication skills are essential for confirmation of coverage changes, additions, and acceptance or declination of coverages, an essential step in service follow-up and E&O compliance. Closely connected with these communication skills is the need to pay attention to details that the customer provides. A topnotch CSR must verify that the information on the policy or ID cards is correct, identify risks and hazards the insured faces, and correctly process insurance documentation.

Every customer comes to an agency with a different set of coverage needs created by unique situations. As a CSR services the accounts, he or she needs to be creative to solve those unique needs of the customer through the use of internal resources and solutions that satisfy the customer. For example, a customer may have a poor workers compensation loss history. In this case, a CSR might recommend that a loss control consultant get involved. The consultant could provide safety recommendations and training to assist in reducing losses and possibly reducing overall expenses.

Customer service representatives who are computer savvy are able to complete tasks in a shorter period of time, provide better service and allow the agency to operate more efficiently. Through the effective use of the organization's technologies such as an agency management system, word processing or spreadsheet applications, e-mail, Internet links to carrier Web sites for updates, underwriting and quotes, the talented CSR can maintain customer information, produce reports and increase productivity.

As in any line of business, customer service representatives need a thorough knowledge of the products they sell. It is critical that frontline service reps possess a thorough knowledge of insurance coverages, forms and conditions so that they can advise on proper coverages that will reduce the customer's exposure to risk. A CSR who is well informed and trained will also reduce the potential for an E&O situation. For example, in personal lines, a CSR must have a working knowledge of homeowners, dwelling, watercraft, auto, umbrella and recreational vehicle policies. In commercial lines, the service representative must have a working knowledge of commercial property, commercial liability, business auto, workers compensation, inland marine and umbrella liability policies. In employee benefits, knowledge about group health insurance plans as well as regulations affecting health insurance and employers is important. A strong knowledge of these coverages and how they protect the customer from potential loss is a key skill needed to meet the customer's need.

All customer service representatives are required to hold a current license and participate in continuing education and personal development courses. At Commerce, we provide this training and education through our very own "School of Insurance" at Commerce University. Through our training, we ensure our staff knows the policies, various insurance forms, and is kept abreast of the latest industry developments. After being licensed, our CSRs' next step is to obtain the Certified Insurance Service Representative (CISR) designation. In each class within this program, the CSR learns the foundations of an agency's operations and how to avoid typical errors that could lead to an E&O claim, and studies policies and forms in great detail. Through participation in training, the service representatives will gain a strong understanding of laws and products that will equip them to answer customers' questions concerning policy coverage, exclusions, conditions, and appropriateness of such policy forms.