Like other verticals, the insurance industry has its peaks and downtimes. As an agent, you must prepare for the insurance busy season to guarantee you are well-equipped to offer the best experience possible to your customers. Following trends set by leaders in the insurance industry can ensure you learn how to maximize your profits and overall success.
Understanding the Cycles
Just like with any other industry, the insurance business cycles between profitable and less profitable periods, which is referred to as bouncing between a soft market and a hard market.
A soft market is characterized by more competition for companies, low premiums, and expanded capacity. A hard market involves declining competitors and escalating premiums, making this period more profitable.
Just as organizations must take steps to prepare for uncertain times, it’s important for you to be ready for the peak seasons.
Identifying Peak Seasons in the Industry
Identifying insurance industry trends and peak seasons can better prepare your business and agents to be most profitable. Staffing your business during extended hours to accommodate customers is one way to model your company after successful leaders in the field.
Busy Season for Health Insurance
The health sector usually peaks in the 4th quarter. This is mostly due to employers offering coverage on a calendar-year basis and the Affordable Care Act marketplace open enrollment periods. New employees will shop for their plans, and existing customers may want to change them.
Busy Season for Life Insurance
December is typically a busier time for agents in this sector. With the holidays in full swing, many people may find this an ideal time to plan for the future, take extra care of their loved ones, and consider adding life coverage to their policies.
Busy Season for Auto Insurance
Spring and summer are busy seasons for the auto insurance industry. With surges in vehicle purchases from tax refunds, there’s an opportunity to support your existing customers with new policies, as well as gain new clients.
Busy Season for Home Insurance
April and October are considered the busiest months for the home insurance industry. However, this may vary depending on the types of natural disasters common in a given location.
Navigating the Busy Season for Brokers and Agents
Navigating the busy season is vital to leveraging the hard market when profits are realized. It also makes your company stand out in a competitive field, which can help you become an insurance thought leader. Some ways to make sure your agents are managing the season efficiently include the following:
- Plan in advance: You can prepare for upcoming busy times by having a plan in place that guides everyone on what to expect. This puts everyone in your agency on the same page and ensures you are set up for success.
- Have a contingency plan: Even the best plans can fall by the wayside. That’s why it’s essential to have a backup plan. A contingency plan will prevent downtime if the initial plan falls through. It also saves time as you won’t need to explain things as you go. Everyone can work effectively as a team.
Grow With the Insurance Industry… Starting Now!
At Confie, we’re on the cutting edge of the insurance industry with a highly respected cache of thought leadership. We can help you realize greater potential and profitability. Contact us directly about our insurance services, franchise and acquisition opportunities, careers, leadership team, and more. You can also call (714) 252-2500 to speak to a representative today.
