Agency Performance Partners


2 Scripts to Save an Insurance Cancellation

Posted on October 2, 2019 by Kelly Donahue Piro

We all do our best to do a good job while serving our customers, but is “good” good enough? Retention is the key to agency growth, so we need to make sure we review cancellations with our teams. In my experience, there are 3 types of cancellations that everyone (and I mean “EVERYONE”, regardless of their roles) needs to be trained to handle: Call In Cancellations, Behind Your Back Cancellations, and Non-Payments.  Here are some strategies to launch with your staff:

  • Make sure you are coding cancellation reasons to get a true handle, based on facts, on where people are going. 
  • Survey lost clients. You may find more gaps than you are aware of in your service team. 
  • Set remarketing guidelines, including turnaround times. Reshops often get backlogged and can cause deflection. 
  • To save clients who want to cancel, get them into the hands of your best people. Remember, if they call in, they are asking for a reason to stay. 
  • Make sure you update all contact information so you can win the client back at the next renewal if they can’t be saved. 
  • Remarketing can happen over the phone. 

First Things First: Why Do They Leave?

We need to embrace the idea that customers don’t ONLY leave us on price. They also leave us due to life changes, service gaps, and no established relationship. As every agency strives to grow, saving every cancellation that we can becomes a mission we all need to consistently train for.  While reading this blog and checking out these scripts, try to keep an open mind and understand that customers don’t just leave on price. They often leave due to indifference. If someone shows they care more than the current agent, it’s easy to lose a great account. All too often, we take our good accounts for granted and focus on the high service and still loyal clientele.

Call In Cancellation Script:

Scenario: A client of 5 years calls in looking to cancel their home and auto packages. They have let you know they already bound coverage with another agent, and they just want to go. 

  • Agency: Thank you for calling INSURANCE AGENCY. How can I make this the best call of your day?
  • Client: I’m calling to cancel my insurance. 
  • Agency: I’m sorry to hear that! Was it due to price, service, or a life change?
  • Client: Price. 
  • Agency: In case we get disconnected, what is the best email and phone number for you?
  • Agency: Let me transfer you to NAME. They can help you right away with what you need. (Receptionist conducts a warm transfer to a top agent.)
  • Agent: Hello CLIENT NAME. Our receptionist just alerted me that you are looking to cancel your insurance due to price? 
  • Client: Yes, it’s just too much and I found a better deal. 
  • Agent: I’m sorry to hear that. We have loved having you as a client. May I ask one question before we work on your cancellations?
  • Client: Yes.
  • Agent: Were you by chance aware that we have 12 of the best insurance carriers right here at INSURANCE AGENCY?
  • Client: Maybe, I’m not sure. 
  • Agent: I asked because, too often, our clients didn’t know it was an option to keep working with us and not have to go through the hassle of switching agents. I was glad to hear your decision was on price, not service, because I can help with that. 
  • Client: Thank you, but I already made up my mind. 
  • Agent: No worries! I actually had your account up on my screen and started reviewing it. Can you tell me what your new premium is? (Keep working to reshop the person on the phone!)
  • Client: Way less. I’m saving, like, $200 per year per policy.
  • Agent: Ok, so you’re saving about $16 per month per policy.
  • Client: Yes, $400 per year. 
  • Agent: I feel terrible you didn’t know we could help you! I actually have some quotes coming in now that are competitive to what you were offered, and you don’t have to go through the hassle of moving. I’m so glad you called today!
  • Client: I’m not really interested. Can we just move forward with the cancellation?
  • Agent: Sure thing. I did just see a good rate come up with CARRIER. Did you want me to still move forward with the cancellation? 
  • Client: What is the rate?
  • Agent: It’s preliminary, but it looks like it can save you $500 per year. I just wish we knew you were looking so we could have done this sooner! All it would take is for me to finalize this rate, have you sign some documents via e-sign, and we can get this taken care of for you right away. 
  • Client: That’s all?
  • Agent: Yes! That’s it. We can keep the same service and a better rate. Also, I’m making a note to reach out to you every year to see if anything has changed, so we can keep reviewing your account. What’s the best email address for me to send this to? 
  • Client: Client@gmail.com
  • Agent: Great! This is coming right over to you. Can you confirm you got it?
  • Client: Yes! So, all I have to do is sign?
  • Agent: Yes, and if you want to do it while I’m on the phone, we will go ahead and process this and get you back to business. 

Call Out Cancellation Script:

Scenario: A client of 5 years calls in looking to cancel their home and auto packages. They have let you know they already bound coverage with another agent, and they just want to go. 

  • Agent: Hello, is this NAME?
  • Client: Yes.
  • Agent: Great!  This is NAME with INSURANCE AGENCY. CARRIER NAME just alerted us that you are looking to switch. May I ask if you’re switching due to price, life change, or a service issue?
  • Client: Price, mainly. 
  • Agent: I see. So you found a more competitive rate elsewhere. That’s too bad. We actually work with the top carriers in the state and can probably beat that rate. 
  • Client: Well, it’s already done. 
  • Agent: Since I have you, what did you say you were paying with the new carrier?
  • Client: $500 less per year.
  • Agent: Wow! That’s a nice savings. I do see CARRIER can be right at that range and without the hassle of switching. If you were only switching on price, we can keep you right here and stay within your budget. 
  • Client: Why are you only doing this now when I’m leaving? 
  • Agent: Many clients may not realize or forget we work with several carriers. It’s a benefit of staying right with us. I can take care of this right now for you, and we can get you all taken care of. 
  • Client: Ok, let’s do that.  

Remember, if clients are calling in, they are asking for a reason to stay – these scripts can help your agents open up a dialogue with that individual about why staying with you is a better idea! For more ideas on how to keep retention up in your agency, learn more about our AppX Retention Program!