Fall is here and many of you are in budget planning mode for the upcoming year. While some things have remained constant this past year, it may be beneficial to take note of what has changed as you consider your insurance budget plans going forward.
The most logical place to start is your current portfolio. Has your book increased, decreased, or remained relatively the same? What trends are you seeing in your buying habits? How are interest rates affecting your business? As discussed in previous posts, the average price of new and used cars is at a record high this year, causing a decrease in sales. Have sales slowed down, and can you predict where sales will be in the coming year?
From a coverage perspective, it may be time to sit down and review the current programs in place. If you are seeing a increase in delinquencies, the program in place right now may not be working. Converting from a forced place auto program to a blanket single interest will reduce delinquencies along with eliminating the need to force place or track insurance. As you plan for future expenses, it is important to evaluate what is currently covered, what is not covered, and get rid of what is no longer serving you or your clients. FTE’s currently being utilized to track insurance can be allocated to other tasks within the financial institution.
Lender’s Risk is here to assist you with all of your needs as you prepare and plan for the year ahead. If you would like to schedule an appointment with your agent, please call us at 888-600-4436.