AVON, CONNECTICUT, USA (September 22, 2005) – In a new Frontline Report by Eastbridge Consulting Group, Inc. entitled, Measures Used by Worksite/Voluntary Carriers, respondents were asked to identify the worksite measures they most commonly use to track their voluntary/worksite business (among a list of 37 different measures). Not surprisingly, most carriers (between 80-90 percent) track sales and inforce premiums at least quarterly. However, only a few carriers regularly track persistency, loss ratios, and profitability of their voluntary/worksite business.
When asked to pick the top three most important measures, the carriers once again mentioned �total worksite sales� most frequently. In fact, 85 percent chose this as one of their top three. Beyond that, however, there was little consensus among the respondents for the other most important measures compared to what they currently track. For example, �worksite profit� and �worksite inforce premium� were second and third on most carriers� list of important measures, yet less than 60 percent of them regularly track this and another 17 percent track it only once a year. That leaves almost one-quarter of the carriers not tracking this essential measure on an ongoing basis. Persistency also ranked fairly high in importance (fourth), yet 20 percent of the carriers do not measure this on an ongoing basis.
Besides looking at total worksite/voluntary measures, the report further examines the different categories of items tracked. Specifically, it asks the carriers about measures by:
Distribution segment and selling unit
New vs. existing accounts
It also looks at several administrative measures including the number of policy lapses, new claims opened, and phone calls handled as well as customer satisfaction levels and various costs (set-up costs, policy issue costs, etc.).
Eastbridge’s Insight client companies receive the report free of charge. If you�re interested in becoming an Insight client, contact Eastbridge at [email protected] or phone the company at (860) 676-9633.
Eastbridge Consulting Group, Inc., is a marketing advisory firm serving insurance and financial services organizations in the United States and Canada.