An agency management system is the largest technology expensefor virtually any agency regardless of the particular vendor orplatform. When these systems are well managed, they help youragency maximize internal productivity and provide a better customerexperience.

Unfortunately, all too often these systems are not used to theirfull capacity.

It's true that agency management systems are complicated.Learning how to use all of the functionality provided takes timeand effort. I've had the opportunity to visit many agencies andspend time watching how customer service agents do their work. Iseldom meet people who don't want to improve what they do and howthey do it.

The following are some of what I've found to be the mostcommonly underutilized functions in an agency managementsystem.

Proposals and Templates

For those systems that have an integrated proposal and templatecapability often an agency staff doesn't fully take advantage ofthe merge functions. For example, the "mail merge" function allowsyou to automatically insert common boilerplate language intostandard correspondence. You can also generate proposals thatinclude policy information merged from the client's record.

When merge templates are not well defined your staff has to takethe time to edit and change the merged document. A lot of time iswasted by individuals editing single letters or proposals. This isespecially problematic when proposals are created from your agencymanagement system. How many times have you had to completely redo aproposal because the merged document was not correct?

Instead of editing each letter after it's merged, taking thetime to make sure template letters, proposals and summaries ofinsurance are set up correctly saves time and increases staffproductivity. Be sure to have a process in place so that agencystaff can notify the person who can change the template whenstandard language needs to be changed.

Carrier Marketing

Many agency management systems have a module that tracks theaccount submissions made to insurance companies. Trackingcarrier-specific information about the submissions you've madeprovides agency management with valuable information that you canuse to enhance your relationship with each carrier you represent.The type of information tracked can include: the number ofsubmissions, the number of declines to quote, how many submissionswere quoted but not sold by the agency, and the accounts quoted andsold by the agency. This information helps you have an intelligentdiscussion with each insurance company to make sure the agency issending the type of business the carrier actually wants. It alsohelps the carrier understand where its pricing is not in line withmarket conditions. Insurance companies track this information aboutagencies. You should too.

Carrier Communication

Communication also goes by the name of download and real-time.Fully using all of the upload/download/real-time functionsavailable to the agency continues to be a challenge. Improvementsare constantly made in the number of insurance companiesimplementing these functions. You should make sure that your agencyis fully using all the various carrier communications capabilitiesavailable.

Every keystroke saved is an increase in productivity andprofitability.

Any agency that has an IVANS account (a mailbox) can request acustomized report specifically generated for that agency. Thereport lists the insurance companies with whom the agency has anexisting download relationship. Included for each insurance companyare all of the current capabilities and the amount of transactionsbeing used by agency staff.

This report provides agency management with a real-time pictureinto the functions currently being used in the agency. One agencymanager I spoke with requests this report quarterly so he can makesure the agency is maximizing the productivity benefits available.Complete details on how to request the report isavailable here.

Ensuring Accurate Data

Agency management systems provide places (fields) to store atremendous amount of information about clients and prospects. Iaudit a lot of agency system databases and find that many agenciesdon't have quality data. Incomplete or inaccurate data impactsagency productivity. We recommend that agencies audit their systemdatabase regularly to make sure the data being entered into theagency's system is complete and accurate.

If the basic information within the agency database is notaccurate and consistent then any reports generated from the baddata will not be useful. Agency owners often complain to me thatthey're not able to obtain the information from their system thatthey need to effectively manage the agency. Often the problem canbe traced to bad data.

Reports

Many agencies continue to use the standard reports included withtheir management system. You should explore additional reports thatmight be available to help you better manage your agency.

One example is the monthly production report. Agencies often usesome other means (like an Excel spreadsheet) to track new businessand monthly commissions. You should be able to pull thisinformation directly from your management system and eliminate theredundant data entry. Many reports can now be exported from themanagement system directly into spreadsheets for specificanalysis.

Several years ago, if you didn't like a report you were stuckwith it—no customization. Many systems now provide report-writingfunctionality that allows you to more easily create custom reports.Make sure you understand the report options that are availablewithin your system and how you can use these options to createcustom reports for your clients as well as for internal use.

Steps to Maximize Your System

1. Inventory all the processes you currently have in youragency. You may not realize the workarounds created in the past tosolve a problem that are no longer needed.

2. Research what's actually available within your system today.Vendors are constantly adding new functionality so make sure youknow what you already have that you could be using but are not.

3. Take advantage of user group information. Connect with otherusers of your system and ask what their top three new features areand how they use them.

4. Create a reward program to encourage staff to come up withnew ideas or better ways to improve productivity and the clientexperience.

I hope this article has given you some ideas on areas in yourparticular agency management system that you should explore to makesure your staff is getting the full benefit of your investment.

The Following are additional information and resources about howto most effectively use insurance technology in yourorganization:

Steve's main website: www.SteveAnderson.com, free weekly e-mailTechTips newsletter and Glad YouAsked Podcast.

Steve Anderson is an authority on insurance agencytechnology, productivity and profitability. For more information,go to www.SteveAnderson.com or www.TheNationalAlliance.com.