Insurance has traditionally been a low-touch industry, one in which advisors and clients can go months or even years without communication. Even today, one-third of customers report going an entire year without interacting with their provider at all.

But a new model is emerging in the insurance industry. Advisors and practices are seeing significant success by using digital technology and platforms to build stronger relationships with their clients. One of the premier ways of enhancing communications between advisors and clients is through a digital workspace.

Here’s how a digital workspace works for insurance advisors and benefits both you and your clients.

What does it mean to have a digital workspace?

 

If you’ve heard the term “digital workspace” before, it likely referred to an online space that allows employees to work from anywhere, powered by cloud-based technology. A general definition of the digital workspace via VMware is “a holistic change in the way end-user services are delivered by IT, so you can deliver the apps and data employees need to work across any device.”

For insurance advisors, though, the digital workspace has now expanded beyond just an internal system for employees. New platforms, like Link by LegacyShield, offer a secure digital workspace that advisors can share directly with their clients.

The digital workspace is an easy and secure way for advisors to deliver information and policies to your clients. The tool is equally empowering for clients, who can message their advisors through the platform, make changes to files, and upload additional financial or personal information. In turn, advisors receive notifications when clients view a file or make changes, providing greater insights into clients so that you can understand their needs.

In essence, the digital workspace is a collaborative digital tool where clients and advisors can securely communicate, share information and streamline processes.

Why is it important for advisors to have a digital workspace?

 

Consumers’ expectations are changing drastically in our increasingly tech-driven world. A recent survey from Deloitte found 41% of life insurance buyers preferred digital platforms while researching, and 90% preferred self-management of existing policies through digital channels.

The preference for digital tools is even more pronounced among Millennials, who are now the largest generation and a prime market for insurance advisors. This same generation is also more likely to switch providers and be open to new entrants in the insurance field, including insurtechs, if they can offer a superior online customer experience.

Further, a digital workspace is the answer to the challenge presented by direct-to-consumer insurtechs. Advisors can now offer clients the best of both worlds: a powerful, easy-to-use platform along with advisors’ expertise and personalized recommendations.

What are the benefits for insurance advisors & clients?

 

Both insurance advisors and their clients benefit from the increased communication, collaboration and connection created by a digital workspace. Some of the benefits for each party include:

For advisors

  • Gain advanced insights. As clients work within the digital workspace, advisors can use analytics tools to see which clients are actively working on their finances and life planning. Advisors can use these insights to provide advice or recommendations at the right time.

 

  • Generate prospects. A digital workspace like Link not only helps increase work with current clients but also organically uncovers clients’ best referrals without having to request them.

 

  • Create loyal clients. When advisors regularly connect with clients, they’re more likely to build a loyal customer base. Research shows that insurance customers connected through a digital device or platform give higher ratings, remain customers longer, and buy multiple products.

 

For clients

  • Makes communication easy. Clients are empowered to communicate with insurance advisors when and where they want. It also replaces the need for encrypted emails, which are often difficult to use and a major nuisance for clients.

 

  • Drives efficiency. The platform allows advisors to develop a unique workflow that meets the needs of each client. Processes become more predictable, reliable and efficient.

 

  • Enhances connection. Clients benefit from having an advisor tuned in to their needs, but the connections offered by a digital workspace don’t end there. They can also provide access to files on their virtual workspace to loved ones at any time. Clients have the peace of mind that all their information is securely saved and will be shared with the right people at the right time.

 

The digital workspace represents the next generation of high-quality service in the insurance industry. Advisors can use this type of digital platform to improve current client relationships and help build a loyal, long-lasting customer base for years to come.

 

To learn more about optimizing your digital presence as an insurance advisor, read our blog, “Insurance Advisors: Dress for (Online) Success.”

Dan Pierson

Written by Dan Pierson

Dan Pierson is an insurance industry veteran, having run several insurance businesses and eventually selling a nationally recognized life insurance general agency. Dan started LegacyShield to help other insurance advisors grow their practices by focusing on the consumer experience.