21 Jun What Do You Think I Should Do?
During the annual review process, I will frequently pose a question to some agency staff. The scenario usually goes something like this. After having a conversation with the agency staff member, the client will ask the agency person, “What do you think I should do? After all, you deal with this coverage every day. Isn’t this what I am paying for?”
My question to the agency person is, “How do you respond?”
From time to time, it is evident that the agency person feels somewhat of an obligation to essentially make the decision for the client; to advise them what limit they should secure or whether or not to buy a certain coverage.
I understand the situation that the agency person is now in. They are trying to be super helpful but let me ask you – are they going above and beyond in being helpful? Is advising the client what limit to choose or what coverage to buy what you are being paid to do?
Let me now ask you, what if you were wrong? What if you advise the client that a $1 million umbrella is “plenty,” then a $2 million loss occurs (they do happen), and now the client does not have enough insurance. Will the client take some responsibility for the shortfall in the coverage? Don’t count on it. In all likelihood, they will secure an attorney and allege that you did not advise them properly, causing them to suffer some financial distress. They may have a justifiable position.
So what’s the suggestion? As an agency staff member, I take the position that you should look to educate them and provide them with options to consider. By providing options, you require them to decide what they want and don’t want. I have always been a strong believer in client accountability — at the end of the day, the client decided on their coverage. After all, it is their assets that they are looking to protect.
This should be a topic at an upcoming agency staff meeting as there is certainly the possibility that some agency staff members struggle with handling this situation. They want to do the right thing but for many, what is the right thing to do?
Bottom line, I don’t believe you are being paid to decide for the client. Your role is to make a reasonable effort to secure coverage options for the client to consider to protect their assets. If you did make the decision, you might not sleep well at night, constantly hoping and praying that nothing bad happens. It is not fair for you to shoulder this burden.