Helping Agents Grow Based on Customer Insights Field Sales Resource Center JD Powers Customer Insights Version 1.2 (July 2007)

Helping Agents Sell Based on Customer Insights According to JD Power and proprietary market research, customers want: Excellent Service Proactive Contact Coverage Counseling An understanding of what they have & should consider Value! Agents have the power to differentiate themselves through: Proactive Contact (Using Travelers Tools) Proactive Annual Coverage Reviews (Using Travelers Tools) De-mystify Insurance (Using Travelers Tools) Personal Relationships

Price is Important, But Excellent Service Is Key In the absence of value customers will shop for price! Source: J.D. Power and Associates 2006 Insurance Study

Customers Want Good Service Agents Deliver It ....... % of Customers Contacting Insurer Overall Interaction Index **Key Performance Indicator # of Contacts Made to Resolve Issue

Proactive Agent Contact Drives Customer Satisfaction When you don’t interact satisfaction & value over time will suffer! (Auto Policy Review) % of Total Respondents Index Scores How to address Outserve? **Key Performance Indicator

Customer Satisfaction Drives Business Results More likely to Recommend, Renew, & Remain Loyal According to this JDPower study, customer satisfaction drives business results… it has a bottom line impact…. JD Power takes the top 25-30 carriers (anyone with over 1% share) surveys 500 of their customers, asking them 50-60 questions to ultimately prescribe a satisfaction index to each carrier based on five components. 2/3 mail and 1/3 internet, Spring each year, incented $2-5 as part of a panel. They then cross tab the satisfaction index to consumers propensity to renew, switch carriers and recommend to others. So, I bucketed the carriers into three tiers High Satisfaction, Medium Satisfaction, and Lower satisfaction relative to the average score. High satisfaction carriers enjoy an advantage across all of these measurements. Source: J.D. Power and Associates 2006 Insurance Study

Customers Want Coverage Counseling Customer Coverage Counseling Can Even Mitigate Price Increases! % of Total Customers Index Scores Premium Change in the Last 12 Mths **Key Performance Indicator

Customer Coverage Counseling -- Builds Loyalty Customers Consulted Stay With Your Agency! Travelers Lost Customer Survey Feb 2007

In The Absence of Value, Customers Will Shop For Price Agent Interaction & Relationship Building Creates Value, Loyalty & Satisfaction! % of Shoppers Overall CSI 1 2 3 1”Serial Shoppers” shopped in the past 12 months and intended on shopping again 2”Recent Shoppers” shopped in the past 12 months but do not intend on shopping again 3”Non-Recent Shoppers” shopped more than 12 months ago

Travelers Provides Agent Growth Tools (Customers Want Proactive Contact, Coverage Counseling, and Value) Recommended Tools: One2One Retention – Proactive Timed Customer Contacts One2One Rounding – Coverage Counseling One2One Specialized Mailings – Relationship & Value Building Communications

Proactive Value Building Customer Contacts The One2One Retention Program Proactive Value Building Customer Contacts Strategically Timed Communication Brand Promise Welcome Kit Re-affirms Purchase Decision Share of Customer Building Relationship Forming Questionnaire 2-way Dialogue Potential Sales Opportunity Mitigate Unhappy Customers Value Added Postcards Thoughtful Driven Contacts Pre-Renewal Consultation Evaluate Needs “Sales” Opportunity

Value Building Coverage Counseling The One2One Rounding Program Value Building Coverage Counseling Maximizing Relationships Through Communication Account Rounding Coverage Counseling Provides Value To Customers Auto To Home Savings Home To Auto Savings Provides Best Coverage Counseling For Non-Travelers As Well Offers Electronic Communication Customer Preferred E-mail Contact De-Mystify Insurance Customer Friendly Communications

Relationship Building Coverage Counseling Communications The One2One Specialized Mailing Program Relationship Building Coverage Counseling Communications Customer Specific Revenue Generating Mailings: Meet The Unique Needs of Customers Boat Insurance Flood Insurance Valuable Items Coverage Umbrella Coverage