It is probably fair to say that for property/casualty insurance agents and brokers, the road to quality is still the one less traveled. As agents and brokers begin to explore ways of achieving increased levels of quality, they look to others who have already chosen their paths and are already noticing positive results from their actions. Accomplishing "quality" business goals requires change. Recognizing the need for change can be difficult, but it is an essential first step. What we need to change and how we decide to change it is not always clear, and for this reason we can benefit from an understanding of how others have done it in their agencies. This new series of articles will discuss some of the unique strategies employed by agents to attain higher levels of quality service. In this first column, we start with one of the pioneers in this area, Insurance Management Company in Erie, Pennsylvania.

Acknowledged as agents totally committed to quality customer service, Insurance Management Company (IMC) has already been featured in Rough Notes and In ACORD magazines. IMC's management team includes John C. Bloomstine, president; Chris Bloomstine, secretary; and Beth Dubik, treasurer, all children of Bill Bloomstine, who continues to work as an account executive. Five years ago, the Bloomstines made a decision to eliminate personal lines and small commercial lines business and so helped these people find coverage through other suitable agencies. The agency now services approximately 150 commercial industrial and institutional clients, the smallest of which are generating a minimum of $5,000 in annual income.

 
IMC's mission statement crystallizes its agency's purpose: "Service Beyond Expectations."

When I first met the Bloomstines, I could feel the excitement that they had for their mission, and I could feel the enthusiasm in everything they said.

When we talk of business goals, change, people, work-flows, new technology and desired results, last month's brilliant ideas become this month's cliche. At IMC, living by the principles of trust, win/win, empowerment, involvement, expertise and networking help to achieve their mission.

Yes, many agents are committed to continuous quality improvement, but IMC has demonstrated its commitment in the following unique ways:

Daily Meetings

Each business day, all associates meet to review yesterday's achievements and to discuss important issues still needed to be addressed that day and in the future. Steven Covey has developed proven methods for individual and organizational success in his book, "The Seven Habits of Highly Effective People." Using a "Covey Board" approach, IMC team members get a sense of where the priorities lie and how to take action on the areas identified. The morning meetings give everyone at IMC an opportunity to discuss the hot topics. Therefore, each team member begins work that day with a clear focus on the agency goals, avoiding getting bogged down in other potentially time-consuming matters.

The Deming Dimension

 
To prepare themselves for the quality journey, IMC purchased a copy of The Deming Dimension by Henry Neave for each employee. As associates completed the book, they were given $50. According to Bill Bloomstine, it became apparent at the morning meetings who had done the reading and who had not; and the matter corrected itself. This book established the basis for the guiding quality principles of the agency. With the understanding of Deming's philosophy, making the needed changes at IMC was easier. The agency builds on this foundation at an all-day annual retreat with their consultant, Joseph Colletti of the Woodledge Group.

The Annual Review

This IMC report includes the agency's philosophy, service capabilities, and the client's report card. The commitment to quality becomes readily apparent in reading through this summary of what the agency stands for and what steps are being taken to achieve IMC's mission of "Service beyond expectations." The report then provides a statement about what sets IMC apart from other agencies, and summarizes the activities in each agency department. I think that the most impressive part of the report is the client report card results. This section shows improvement over a four-year period in:

• Enthusiastic service

• Assistance in identifying exposures to loss

• Knowledge and professionalism

• Clear answers to questions

• Promptness in response to requests

• Courteous attitudes

• Clarity of billing

• Overall relationship with IMC

In addition, client testimonials appear throughout the report demonstrating IMC's ability to meet and exceed expectations. In talking with the Bloomstines about their success, I was impressed with how matter of fact they were about everything. It really sounds very simple when we consider the agency practices mentioned above.

In my opinion, any agency is capable of the achievements such as those summarized in the IMC Annual Review. As is demonstrated in the IMC example, quality requires a strong base on which to build a plan. The base consists of well-founded core beliefs in the agency philosophy, mission and values. At IMC, Deming's teachings helped in establishing some core beliefs. Furthermore IMC has demonstrated its commitment to its plan with daily meetings to ensure that the firm can stay on track. Ultimately, the Annual Review measures the results and the results speak for themselves.

It may be fair to say that the road to quality is still the less traveled; but we have a lot to learn from pioneers like the Bloomstines.

The above article appearing in the January 1996 edition of The Council of Insurance Agents & Brokers' monthly newsletter, "The Council Advocate," was reprinted by Insurance Management Company by permission.