If you’re like me you love thinking about insurance.  In fact, you probably wake up thinking about insurance and go to sleep at night, dreaming about policy terms.  Right?  Of course, you do.  🙂

Me, I happen to love insurance almost as much as I love Twitter.  In fact, if I were a business owner, I would probably think about nothing other than business insurance renewals.  Oh wait, if I did that, I would have no time to focus on my business.  So that’s probably not a good idea.  Only, it might not be a bad idea to start thinking about your business insurance renewal way before the 120 day start date, when most agents are inclined to start their engines.

Why, you ask?  Well, think about it.  If you’re a good size business, you probably got charged a pretty hefty brokeage fee.  Do you know why?  What is the fee for?  How was it determined?  Did it include or exclude paid commissions that the agency or brokerage firm would get from the insurance carriers?   Would you get any money back if you decided to switch brokers mid-term?

Let’s just say that chances are you focused more on the overall premium reductions than the fee and you were just happy to put the overall renewal process to bed.  Only, does it make sense to wait until later to have your broker or agent earn their fee?  Or was this fee earned when they did the renewal marketing?

Let’s think for a moment.  What’s involved with renewal marketing, and is it always wise to put your company’s insurance out to market or does it make more sense to develop relationships with insurance carrier’s so that you have ‘money in the bank’ for that day when a claim might come?

What I would suggest is to consider doing an analysis mid-term that consists of evaluating strengths, weaknesses, opportunities and threats of your current insurance agency &/or broker, and if you think it makes sense involve them in the process.  Think about how much money you could save if you did not market your renewal.  I mean, after all, if the fee went toward renewal marketing, does it make sense to consider meeting with current underwriters mid-term, get an indication on the renewal premiums and then as long as there isn’t anything crazy on the horizon, focus on stability rather than putting your account out to bid?

You might also want to consider having an independent consultant come in and help you with this process.  If you need my cell number, let me know.  I’m serious.  I have a ton of experience in the insurance industry, and am happy to help people to understand how the process works.  I am not working with any agency or brokerage firm right now, and I am not a huge fan of working for commission, and trying to sell someone insurance.  I would much prefer to help someone understand insurance than sell it.

Who knows, you might end up having as much love for insurance as you do for Twitter. 😉