Huthwaite has worked with life and general providers, with both intermediary and direct sales forces, on the whole range of skills development that help organisations respond to changing market circumstances.
In the general insurance market, competition between producers has never been greater, as corporate clients and brokers become ever more demanding and less loyal. More and more, purchasing insurance is treated as a transactional relationship, increasing the pressure to control costs and reduce prices.
In such a market, insurers can no longer rely on the old methods of managing relationships through excellent service and social contact. Account managers need to take on a more professional, consultative approach, building different types of relationships to match the needs of their clients and brokers.
There is growing need for consultative selling and negotiation skills, to bring real value to the relationship, by understanding the broker's business strategy and the issues arising from it. This approach requires the skills to explore a broader range of needs, and to do so at a much earlier stage in the cycle - before the broker brings specific pieces of business to market. Such an approach provides an opportunity to build real value for the producer and their solutions, allowing them to develop new value propositions. This strategy enables account managers to demonstrate value and differentiation through their expertise, rather than simply competing on price.
These changes have affected brokers too. They increasingly experience the perils of the intermediary relationship, as pressure from producers and clients leaves them very much 'piggy in the middle'. Continuing to win profitable business also requires change in their sales and negotiation skills.
