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6 Benefits of Using an Insurance Agency Management System

The Internet has been revolutionizing every industry since its inception resulting in great advancements. However, the insurance sector is still warming up to its infusion.


There is a wisecrack that keeps making rounds in the insurance industry. It goes like this - you either live long enough to be able to buy an insurance policy, or you die, getting buried under its paperwork. The industry has long been managing its functions without technological penetration. In the times when the world is leveraging the benefits of digitalization, insurance agencies are still dealing with product complexity, regulations, piles of paperwork, and extensive balance sheets.


Although slowly yet steadily, the pioneers in the insurance industry are catching up with digital transformation in the industry, the insurance software solution providers are contributing to creating a robust digital infrastructure for them.


In this blog, learn how the insurance agency management system is enhancing the efficiency of insurance agents and companies. But first, let us understand why there is a need for such solutions in the first place.


What is the Need for Insurance Agency Management System

Selling insurance is uniquely complicated. Therefore, apart from strong sales and marketing efforts, it needs a centralized system that keeps the whole process optimized and organized.


It’s not like the insurance agencies have completely disregarded the idea of insurtech. While they were adopted at a limited scale, the system remained limited to being record-keepers. With advanced Insurance agency management software solution providers, the integration is developing.


Equisoft, a leading insurance software provider, is helping its clients build an effective system to generate powerful sales automation via tech-oriented tools. Let us see how the insurance agency management tools of such agencies are benefiting the clients.


Advantages of Insurance Agency Management System ( AMS )

1.      Enhances Customer Experience

Exceptional customer service is the essence of sales and marketing in the insurance industry. If you focus on it, you have the chance of increasing your revenue by 80%. The Insurance AMS solutions help you do so.


With AMS tools, you can track all your transactions with your customers, gather data such as policies issued, renewals done, and claims settled. Since you get access to customer’s purchase history, preferences, demographics, and other factors, and adopt personalized communication strategies. It also allows you to visualize key customer metrics using charts, KPIs, and other rich analytics.


With timely access to information, you can extend immediate support to your customers and improve customer relations. It also allows you to be proactive since detailed insights help in predicting future sales and trends.


2.      Build Personalized Customer Journeys

No matter your campaign goal - new customer acquisition, dormant lead reactivation, increasing upsell/cross-sell rates, increasing renewal ratios, app installs, or app usage - the customer journey has to be well-thought. It ensures that the customers are having a smooth and satisfying interaction with the organization and its resources or products.


AMS facilitates customer journey builders that allow insurance agents to sketch customer and prospect journeys visually. It builds an end-to-end customer journey across communication channels and identifies pain points, drop-off areas, and reduces lead leakage to improve goal completion rates.


3.      Promotes Accurate Accounting Practices

Commission processing is a vital part of the business processes of an insurance agency. Traditionally, insurance agencies used to calculate sales incentives via spreadsheets or excel. The manual calculation resulted in errors and inaccurate commission processing.


AMS facilitates automated, data, and purpose-driven solutions that increase agents’ morale and revenue potential. Along with promoting simple and error-free accounting practices, it also helps the agents be up to date with their daily progress. Moreover, it also reduces time, effort, and overpayment costs.


4.      Effective Policy Tracking

No matter the scale of your insurance agency, keeping track of all the policies and other customers’ documentation exchanges can get cumbersome. If you’re ineffective at it, it jeopardizes the longevity and success of your agency.


An insurance-focused AMS can take care of this and share the responsibilities of insurance agents. Its system is built in a way that can track all of your policies sold to both individuals or a group, where the policy is in the application process, and when it’s up for renewal. Apart from that, it sets automated triggers and sends emails to both your agents and clients to remind them of the renewal date.


The AMS assistance goes further than just tracking. It provides detailed graphs to assess various statuses of your policies, the different coverage types you offer, and from which carriers the policies belong. You can gain more control over the decisions of policies with such detailed information.


5.      Enhances Sales

No business is immune to customer churn. However, your focus should be on reducing it and improving customer retention to promote growth in your insurance agency.


In the insurance industry, the concept of up-selling and cross-selling has long been prevalent to reduce the customer churn rate. However, these methods rely on the actions of the agents. What if they forget to reach out to the customers at the time of renewal? You might be at the risk of losing potential customers.


The AMS empowers you to perform customer retention methods at their best.


It sets predetermined factors, such as policy issue date, policy type, family details, etc. in the system to optimize and automate up-sells and cross-sells. The agents get to set renewal task reminders and automated alerts to nurture the leads and improve sales.


6.      Easy Automation of Tasks

As mentioned above, sales in the insurance industry are tricky. The industry sells products that yield benefits in the long term. In most cases, people don’t ask for insurance, but your sales team has to sell it. As a result, they feel stuck in the monotonous drill of repeating the processes that add no direct value to their efforts.


With the help of an insurance AMS solution, you can allow automation of routine, time-consuming tasks, providing relief to your sales team. It can -

  • Automate the claim processing time.
  • Quickly assigning leads to agents automatically based on the insurance product, geography, source, and more.
  • Schedule emails to customers and clients at your convenience.
  • Assist in voicemail scheduling.
  • Schedule appointments and integrate them with your calendar.
  • Drop cold emails, follow-ups, quotations, updates, etc.


By handling such petty yet essential tasks, the AMS saves time and allows the teams to focus on the core activities. Moreover, automation eliminates the possibility of human error.


Investing in a good insurance insurance agency management system, or insurance policy administration system software like Equisoft is one of the most fundamental building blocks for a successful agency model. Adopt one to get efficient outcomes and enhance the ROI of your insurance agency.

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