Renewal premium accounted for 54% of the total premium received by life insurers in FY 2021-22. Clearly, achieving renewal targets is a top priority for insurers. Salesdrive can assist in accomplishing this. Here’s how.
Before I address how Salesdrive can help with policy renewals, let me briefly explain why getting policy renewals right is vital to insurers’ bottom line.
Why are renewals vital for insurers?
Policy renewals play a crucial role in ensuring the stability, growth, and profitability of insurance companies. Let us look closely.
Reason-1: Generating revenue
The premium income generated from policy renewals makes up a significant portion of most insurers’ annual revenue.
Let me illustrate. In FY 2021-22, renewal premium comprised up to 54 percent of the total premium received by insurers in India.
Undoubtedly, renewals are a big deal.
Reason-2: Increasing the average customer lifetime value
By prioritizing renewals, insurers can increase the lifetime value of their customers through cross-selling and upselling.
Reason-3: Optimizing costs
Acquiring new customers can be more expensive than retaining existing ones.
Insurers can reduce marketing and acquisition expenses associated with attracting new customers by focusing on renewals, making it a cost-effective strategy.
Reason-4: Building a loyal customer base
When policyholders choose to continue their insurance policies, it demonstrates their trust and confidence in the insurer.
This trust and loyalty contribute to a stable customer base, providing a solid foundation for the insurance company’s business.
Reason-5: Turning customers into brand advocates
Loyal customers who renew their policies can become advocates for the company, referring friends, family, or colleagues to become new policyholders.
Positive word-of-mouth and recommendations from satisfied customers can significantly contribute to the growth of the insurer’s customer base. Remember, a satisfied customer is the best advertisement.
All right. I have stressed the importance of renewals.
Now, allow me to provide insight into how Salesdrive can simplify the renewal management process.
A bit about Salesdrive’s Renewal Module
First, the basics. The renewal management system is one module out of many in Salesdrive, our flagship product.
It’s an end-to-end sales cycle management platform that handles all sales stages across various distribution channels like Bancassurance, agency, and brokers, among others.
Salesdrive’s coverage ranges from lead creation and quote generation to customer onboarding, renewals, customer service, and everything in between.
Let us go through the renewal module’s salient features and benefits.
A Snapshot of Renewal Metrics
Salesdrive’s home page, which is a comprehensive dashboard, provides glanceable information – broad renewal metrics (configurable by clients, of course).
This feature allows users to overview the current renewal situation comprehensively.
Each user will see different metrics depending on their role and place in the hierarchy.
For example, a salesperson will see only those customers assigned to them. In contrast, a sales manager can see all the policyholders assigned to their team members.
Policy Review and Personalized Renewal Calls
Salespersons can easily access and review customer and policy details before making sales calls. This functionality allows them to be better prepared and hold a personalized, enriching conversation.
Doing so is much better than generic reminder-like calls, which do nothing to improve the customer relationship.
Precision cross-selling efforts
Salespersons can make a targeted cross-selling pitch by suggesting additional products and/or riders as recommended on Salesdrive.
With the business logic configured according to the client, this feature displays additional products and riders with the highest likelihood of acceptance by specific policyholders.
With this tool, salespersons can have meaningful discussions with policyholders about their evolving needs and offer appropriate solutions, enhancing customer engagement and revenue generation.
Enhanced deal management
The Lead Management (LMS) and Activity Management (AMS) modules are separate from Renewals Management. But these can connect seamlessly, just like all modules of Salesdrive.
All policyholders being worked upon by salespersons can be automatically added as leads in our LMS module, unlocking the use of advanced deal management features.
A swift renewal process
We can create the workflow engine required to complete the renewal process, including facilitating payment.
Alternatively, Salesdrive can provide a link that salespersons can share with policyholders, redirecting them to the insurer’s renewal web page on their website.
Integrated performance insights
Salesdrive’s ‘Renewal Report’ provides salespersons, managers, and top-level executives with relevant and time-based (daily, weekly, monthly, quarterly, and so on) insights and KPIs on their sales performance.
By giving managers easy access to granular data on demand, Salesdrive enables them to understand:
1) what’s working;
2)what’s not working;
3)who’s performing well and who’s lagging;
4)what can be done to improve renewal process.
Improved managerial oversight
With Salesdrive’s’ Team View’ feature, managers can easily access and analyze comprehensive employee performance data.
This feature eliminates the need for manual follow-ups and makes it simpler to monitor and guide teams. Moreover, it helps create a culture of continuous improvement and boosts overall performance.
Clarity in complexity
Salesdrive’s Admin Module allows insurers to efficiently establish their organizational and sales structures, letting them quickly add:
1)users (salespersons, managers, top-level management), their role, designation, and place in the corporate hierarchy;
3)policy details and,
4)mapping of sales reps to policyholders as relationship managers, among many other intricate settings.
This feature allows insurers to equip their renewal teams with Salesdrive rapidly. And, configuring it does not require programming knowledge.
Basically, it cuts right through the chaos of the high number of customers, sales representatives, policy products, and insurance domains.
And, with that, it gives insurers total control and 100 percent visibility over their renewal efforts!
To summarize, Salesdrive makes renewals easier to manage, providing clarity in a fast-paced, complex business environment with numerous customers, products, geographical markets, and sales team members.
It automates workflows, centralizes information, and enables clear visibility and collaboration for sales teams.
Ultimately, this saves time, reduces complexity, and allows teams to focus on building relationships with customers and improving renewal performance.