The Insurance Industry- NEW TRENDS, NEW STRATEGIES: A Client Service Perspective A PRESENTATION BY: Eddie A. Efekoha Managing Director/CEO Consolidated Hallmark Insurance Plc At the Chartered Insurance Institute of Nigeria (CIIN) Professionals’ Forum Holding at Abeokuta on September 10-12, 2014

INTRODUCTION That Customers are important assets of a company is not a new idea to senior executives. In spite of the almost universal acceptance of the importance of Customers, the actions of most of us don’t always match the talk. Who are Customers? Customers are people who need our assistance. They are not an interruption to your job. They are the reason you have a job or are in business.

INTRODUCTION Contd All the value your business is ever going to have, all the money it will ever make, has to come from customers at some point. To increase the value of a business, you either have to get some more customers or you have to change the behaviours of the ones you already have, or both. “A customer is the most important visitor on our premises, he is not dependent on us. We are dependent on him. He is not an interruption in our work. He is the purpose of it. He is not an outsider in our business. He is part of it. We are not doing him a favor by serving him. He is doing us a favor by giving us an opportunity to do so” ~ Mahatma Gandhi

Customer Result Model CURRENT STATE DESIRED FUTURE STATE A B C Disparity Solution Result ( Need ) ( Transaction ) ( Need Filled ) Customers buy what they need so they can get what they want. They don’t need a solution, what they want are Results.

What is Service? A valuable action, deed or effort performed to satisfy a need or fulfill a demand. Client Service (or Customer Service) therefore refers to all interactions between a customer and a product /service provider before, during and after the sale or service is consummated. Businesses thrive when they have customers or clients and businesses survive and expand when they have good client service. Good client, or customer, service is the hallmark of respected businesses.

Defining good client service is largely a matter of placing the customer first and making business decisions that allow the company to respond to market changes and provide customers with the best service possible. Good client service is a combination of well-trained employees and an efficient system. Bad client service will entail rework, loss of potential business, higher contacts per transaction, staff turnover, brand damage, etc

DIMENSIONS OF CLIENT SERVICE IN INSURANCE Pre-Sale Summary of Cover ( Proposal form or Brokers report) Essential terms & conditions Premium & basis of its computation. Risk assessment and advisory service

DIMENSIONS OF CLIENT SERVICE IN INSURANCE (Contd) During Sale Documentation of the contract (Certificate, Cover Note, Policy, Endorsements, Debit/Credit Notes, Receipts) – Promptly delivered. – Free of errors – No misrepresentation of agreed terms and conditions – Attractive presentation (form and language). – Claims processing/settlement

DIMENSIONS OF CLIENT SERVICE IN INSURANCE (Contd) Post Sale Relationship management Renewal Notices Claims processing/settlement – No delay whatsoever (Notification to Payment) – Amount paid commensurate with loss suffered. – Loss inspection/adjusting timely & efficiently carried out

CHALLENGES IN INSURANCE SERVICE DELIVERY People – attracting and retaining skilled specialists. Poor Revenue – untapped mass market. – Non-remittance of premium. Poor Documentation –. Apathy from perceived bad service Adjusters’ Reports – appropriate recipient. Technology –slow adaptation. Insecurity Poor infrastructures Emphasis on Investment Income over claims payment Fraudulent claims ( reflection of our society) Negative impact of alternative (fake) markets. Literacy rate.

Role Of NAICOM In Client Service Delivery Ensuring that only fit and proper Operators are licensed and remain in practice. Ensuring that insurance business is conducted in accordance with sound principles and best practice in service delivery to clients; Intervention in claims disputes - 61 disputes with claims worth N2.2bn settled in 2013.

Way Forward Focus on People, Process, Product, and Price On-going training to keep our people up-to-date Think like a Customer Proactive problem solving Get it Right, First Time. Walk your Talk Develop Customer Service Standards Simplified renewal process for returning Customers Consistent communication NOT just at renewal.

Way Forward (contd) Take full advantage of Technology and Social Media Create accessibility (Telephones, s, Websites) Massive public enlightenment & partnership with the media Customer Complaints Bureau – NAICOM & NIA

Can WE still WIN with Service? YES, WE CAN if we give people more than what they expect to get.

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