The Ontario Broker August 2012

THE ONTARIO BROKER

THE OFFICIAL PUBLICATION OF THE INSURANCE BROKERS ASSOCIATION OF ONTARIO (IBAO) AUGUST 2012

johnston & mackie brokerage of the year

A Lovely Alchemy

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02 president’s message 04 hr strategies 05 ybc update 06 territory update

07 estate planning strategies 10 underwriting update 11 csio update

12 mis update 13 member benefits 14 community view

President’s Message The Official Publication of the Insurance Brokers Association of Ontario (IBAO) Published by

Editor Angela Stelmakowich astelmakowich@canadianunderwriter.ca 416-510-6793

Strength in Numbers

Senior Publisher Steve Wilson steve@canadianunderwriter.ca 416-510-6800 Associate Publisher Paul Aquino paul@canadianunderwriter.ca Account Manager Michael Wells mike@canadianunderwriter.ca Account Manager Christine Giovis christine@canadianunderwriter.ca Account Manager Elliot Ford eford@canadianunderwriter.ca Art Direction Sue Williamson The Ontario Broker is published monthly by Canadian Underwriter magazine (www.canadianunderwriter.ca).

Canadian Underwriter’s Insurance Group of publications is part of Business Information Group (www.businessinformationgroup.ca), a subsidiary of Glacier Media Inc., a leading Canadian information company with interests in daily and community newspapers and business-to-business information services.

All rights reserved. Printed in Canada. The contents of this publication may not be reproduced or transmitted in any form, either in part or in full, including photocopying and recording, without the written consent of the copyright owner. Nor may any part of this publication be stored in a retrieval system of any nature without prior written consent.

The articles that appear in this publication represent the opinions of the authors and do not represent or embody any official position of, or statement by, IBAO; nor do they attempt to set forth definitive action standards or to provide legal advice.

Insurance Brokers Association of Ontario 1 Eglinton Avenue East, Suite 700 Toronto, Ontario M4P 3A1 Tel: (416) 488-7422 Fax: (416) 488-7526 Toll Free: (800) 268-8845 (888) ASK-IBAO www.ibao.org Annual subscription is $52 + tax.

To order email: contact@ibao.on.ca For information on submitting an article, contact Maria Roscetti Conference & Publications Coordinator mroscetti@ibao.on.ca

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The Ontario Broker / August 2012

Rick Orr President IBAO I always thought they were my clients. Aren’t they? One of the greatest collective strengths of insurance brokers is the ability to act together in the best interest of both the consumer and our channel.

Brokers have an uncanny ability to come together when the time is right, expressing our views in a convincing way, whether listeners happen to be government, insurers or other industry stakeholders.

We come together to discuss coverage availability issues, automobile insurance, branding, technology and, of course, the Bank Act. Ask any industry people who deal with our office and you will likely hear that I can be somewhat challenging to deal with. I hold dear and passionately many of the ideals my father instilled in me long ago. At the same time, I understand the need to embrace change and work towards a better way

to remain relevant to the consumer and to be more efficient in our workflows.

For many years, brokers were absolutely passionate about the non-negotiable position that the client is ours — not the insurers.

Being a client of our brokerage, and in consultation with the client, together we choose with which insurer the client should be placed.

In my case, clients invariably would state they are insured with Orr Insurance; very rarely would you hear clients say they were insured with their insurer.

It’s always been with their broker.

Recently, insurers seem to have adopted a trend of believing that the client is theirs, not ours. They talk about their clients or they write letters and news pieces to their brokers talking about all the wonderful new coverages or claims services they are now providing to “their clients.”

Not so many years ago, brokers would have been up in arms over this. There would have been calls to marketing reps, branch managers and insurer CEOs demanding they stop and emphasizing, “They are not your clients; they are mine,” followed by a flood of calls to IBAO demanding to know what action would be taken in response.

Today, it appears that brokers are becoming more complacent. Over the past few months, we have seen a number of these incidents, but have received few complaints. What seems

to be the issue? Is it that brokers don’t care?

I know that’s not true!

Perhaps it is that relationships with companies are different today and brokers are either too nervous to call, or not sure who to call.

That’s possible.

Is it that brokers are looking at the situation and thinking that IBAO will take care of it? I certainly hope not.

We all need to be diligent, as many insurers are on a newfound quest to brand themselves to the public. Some are newer to this game than others.

Some insurers will make an honest mistake, while others will make a conscious decision to brand to “their” client.

As brokers, our job (and livelihood) is to remind these insurers that the insured are not their clients — they are our clients and our clients are their policyholders. We are their clients.

When an insurer launches a new coverage and decides to market it directly to your clients and not so much as co-brands the letter — say something!

When you see an insurer directing your client to learn more by directing them to the insurer website rather than telling them to call their brokers — say something!

Let’s be more vocal to companies when we see these infractions. Failing to do so may feed the perception that you don’t care and allow insurers to slowly move into that space over time until we all wake up

one day and try to remember — whose clients are they anyway?

Technology Together At convention last year, there was a lot of discussion about e-Doc. IBAO took a very strong stance that if companies want to go paper­­less, they need to do so by working with their brokers. They need to adopt the CSIO xml standard that will allow com­ panies to download pdfs of the policy documents to the broker management system.

The BMS can then automatically attach those documents directly to the client’s screen.

We were met by quite a bit of resistance, both from companies and some BMSs. That said, brokers recognized the potential workflow efficiencies and took up the challenge to speak to their insurers and BMSs. You did such a terrific job

that we had both sides call­­ing to ask that we stop sending the brokers, and that they were working on it.

In the past month there have been two significant announcements on this front. Intact has announced it is rolling out its e-Doc solution with Keal in the fall. For its part, RSA has announced it is piloting e-Doc with Keal’s sigXP, Zycomp’s Power Broker and CSSI’s The Broker’s Workstation, in the hopes of opening it up to all brokers in the next month.

Before you get as excited as I sometimes do and demand where TAM is on this initiative, we have been

in regular talks with them recently. They continue to say it will be available in version 12, scheduled for release in Q4 2012. By the end of this year, we will have all BMSs capable of e-Doc and will have a number of markets sending us pdfs.

I find it absolutely amazing how quickly this came together. We were able to develop and deliver an industry-wide solution in about one year!

Once again — brokers are working together to drive positive change. Well done. Congratulations to everyone who has developed and implemented an e-Doc solution!

President Schedule: August 8 IBAC Technology August 21 Board Meeting August 22 Executive Meeting; Past Presidents Meeting; Meeting with Gore CEO Schedule: August 11-5 ASAE Conference August 21 Board Meeting August 22 Executive Meeting; Past Presidents Meeting; Meeting with Gore

Let’s be more vocal to companies when we see these infractions ...

Whose clients are they anyway?

IBAO would like to thank all its Magenta sponsors . . .

MAGENTA SPONSORS

. . . and welcome its newest sponsor: SILVER LEVEL

August 2012 / The Ontario Broker

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HR Strategies changes to provincial requirements?

Here is a quick update on some of the changing requirements to help ensure brokerages remain in compliance.

Trevor Carruthers HR Associate ENGAGE HR

Warming to Summer Safety The summer months are here, and many are using their vacation time to enjoy the consistently warm weather. By now, though, everyone has likely experienced at least a few days where temperatures have climbed well above 30 degrees Celsius — even without the humidex.

While getting away from work and enjoying the great weather is always welcome, the heat and humidity should also get everyone thinking about sun safety.

Once thoughts turn to safety, it may be prudent to take things a step further to consider what health and safety policies and practices brokerages have in place already. Is everyone aware of recent

Workplace Poster a must When you walk past the health and safety notice board in your office, you will likely see the usual suspects hanging on the wall: a copy of the Occupational Health and Safety (OH&S) Act (the “little green book”); a copy of the organization’s health and safety policy; the Bill 168 policy on preventing work-related violence; a copy of the organization’s WSIB registration (if applicable); minutes from the last joint health and safety committee (JHSC) meeting; and any office-specific health and safety information.

On June 1, Ontario’s Ministry of Labour introduced a “Health and Safety at Work” poster. Meant for staff, supervisors and employers, the poster includes information on workers’ rights, behaviour expectations and obligations of the three aforementioned groups as they relate to Ontario’s OH&S Act. The poster must be posted in every office of each organization’s workplace.

The good news is that the poster is free of charge and is available online to download in 17 different languages at www.labour.gov.on.ca/english/hs/pubs/

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The Ontario Broker / August 2012

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June 1 marked the beginning of a grace period, but as of October 1, ministry officers will be actively enforcing the poster requirement. As such, it is best to be ahead of the curve, print the poster and post it well in advance of that date.

In reviewing these changes, it may also be a valuable exercise to consider your familiarity with your brokerage’s health and safety requirements as they pertain to Ontario’s OH&S Act. Although not an exhaustive list, here are a few questions to ask: • Is your brokerage required to have a JHSC? If so, how many certified members are needed?

• What are your posting requirements?

• What are your reporting require­­ments? have a question?

ENGAGE HR is poised to assist IBAO member brokerages in providing OH&S advice — internally to your brokerage, or in support of your clients’ needs.

We also welcome any questions that you may have about how to develop a compre­hensive health and safety program at your brokerage.

For more information, please refer to the IBAO Broker HR Manual CD/Data stick or contact the ENGAGE Advantage Helpdesk at 905/306-8111, Ext. 240.

YBC Update

Matthew Carr Team Leader, Territory 13 Young Brokers Council

Days Into Nights 107 young insurance brokers. 5 chief executive officers. 3 days. 1 casino company vendor night. 1 venue.

There is nothing else that compares to the opportunity of the Young Brokers Conference every year — and this year was no exception. Young brokers from across the province flocked to picturesque Niagara Falls on June 6-8, where they met

company reps, learned about changes currently taking place in the industry, and networked with colleagues.

From the conference’s humble beginnings eight years ago, which attracted 31 attendees, the appeal continues to grow. YBC Conference 2012 handily surpassed the 74 attendees last year and exceeded attendance goals.

The conference played host to 100-plus brokers, the largest-ever turnout.

The conference is becoming an event that principal brokers cannot afford to have their young brokers miss. Where else can you have George Cooke, president and CEO of The Dominion, Jean-François Blais, president of Intact Insurance, Maurice Tulloch, president and CEO of AVIVA, Karen Gavan, president and CEO of Economical Insurance, and Randy Carroll, CEO of IBAO, engage in an open discussion on company acquisitions, use of credit scoring in underwriting, ad­­vances in technology, workflow

solutions and demutualization?

As is always the case, young brokers welcomed our guests with open minds — but also did not shy away from challenging them with tough questions.

Also on tap was Bryan Yetman, who spoke about the 21st-century consumer; Arthur Lofsky, IBAO’s government relations guru, Carroll and Peter Burns, IBAO chairman of the board, who offered young brokers guidance on how best to get involved politically; and Michael Seaton, who provided brokers with valuable information about how the smallest social media initiatives can go viral, reaping benefits for day-to-day operations.

Principals would be well-advised to continue to embrace the conference.

Participants left with new ideas from networks created or reconnections made.

Mark June 5-7, 2013 on your calendar — for YBC in Niagara Falls — as it promises to be bigger and better. Can you afford to have your young talent miss out?

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JEVCO has built on its expertise and is well positioned to provide you with insurance products to meet your needs.

August 2012 / The Ontario Broker

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Territory Update MADD Quinte and Quinte CrimeStoppers.

Robert Munford of the Insurance Institute of Ontario, along with Doug Grieve and Kevin Flynn from e-djuster Inc., spoke at the AGM. In all, about 83 attendees brought gifts that were donated to the Belleville firefighters.

The annual industry reception for the affiliate was well-received, indeed, Judy Bell, CAIB attracting a best-ever 300 people with Territory 13 more than 40 booths to the Travelodge.

Insurance Brokers Association of Ontario The annual Education Day was held at the Holiday Inn Express in Belleville.

Attendees were treated to a one-hour seminar presented by Winmar, followed Greetings from Territory 11. The three by a six-hour seminar by Gore Mutual. affiliates that make up the territory have Over at the Durham Region Affiliate, taken IBAO president Rick Orr’s mantra members continue to show the local — “Be a Broker, Be Involved” — to heart. community just who insurance brokers The Hastings County Affiliate, led by are. The board, led by Richard Hall, is president Loris Clarke, has been very busy made up of 11 very passionate members. providing education and contributing to Holding regular executive meetings local charities. At the affiliate’s annual has helped board members organize ESR admeeting, halfpage:Layout 1 made 8/5/12 Page 2 general donations were to 16:26 monthly luncheons, where guests have a

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The Ontario Broker / August 2012

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chance to hear from excellent speakers.

Broker awareness has been raised through efforts to arrange and contribute to many events, including Relay for Life, Supporting the Whitby Dunlops and the Furry Friends Walk/Run. The affiliate’s Christmas Drop In and annual curling, euchre and golf events are ideal chances to promote fellowship with members and their company partners and suppliers.

At the Peterborough Affiliate, under the leadership of Dave Smith, brokers and company partners offer strong support to the affiliate’s annual golf tournament. For its part, the Annual Meet the Underwriter Night is also popular, allowing brokers to spend some casual time getting to know their company underwriters.

It warms my magenta heart to see the number of brokers in Territory 11 who care deeply about this industry. Being involved with our communities and caring about our customers is truly the way we are going to restore market share.

Estate Planning Strategies a portfolio have a strong personal relationship with the business owner.

A professional valuator can help determine if a portion of the goodwill value is personal goodwill, meaning the business value may reflect a range of values for the goodwill.

Derek de Gannes Senior Manager, Tax Cookson Walker LLP

Valuations and the Estate Plan The estate plan, as I see it, is a plan that begins early in life and culminates upon death when the testator’s assets are distributed according to the terms of the individual’s will.

Along the way, that person may turn to his or her team of advisors for guidance on how best to design and implement the estate plan to ensure it takes into account income tax and family law matters. To this end, the team should include a professional to address valuation issues.

Two situations where valuation is an issue include goodwill in an owner-managed business and in a market-based approach to valuing assets.

Valuation Approach Very often, the comparative company (or market-based) approach is used to value a business. The approach may be easier to understand, is not difficult to perform and is the least expensive to complete since it may not involve an in-depth review.

It generally refers to value indicators or multiples found in the marketplace for similar or comparative entities.

Some commonly used value indicators are earnings-based multiples like price-earnings ratios and price cash flow multiples, and revenue-based multiples such as price-revenue ratios.

Most valuators will agree that comparability is a tricky business because no two business entities are exactly alike.

This begs the question: Is the comparative company approach enough to satisfy the Canada Revenue Agency’s rigorous requirements? CRA is interested in ensuring the values for capital gains purposes are accurate and allow for the accurate measure of capital gains at a point in time.

The professional valuator may be best positioned to determine whether or not the comparative company approach is sufficient for estate planning purposes.

Make the valuation determination on your own or in consultation with others, but do consult a professional valuator.

There may be significant implications for the estate, not the least of which is tax.

Many thanks to Steve Frye CA, CBV for his contribution to this article.

Goodwill Like many other businesses, insurance contains both tangible and intangible assets. The former include cash, receivables, property and equipment, while the latter represent the excess market value of a business, beyond its tangible assets.

Goodwill is an important type of in­tangible asset. Common examples include contracts and customer lists that can be transferred in a normal sale scenario. Personal goodwill — which attaches to a particular individual and his or her efforts in the business — includes the favourable attitudes of customers and suppliers.

For the most part, goodwill in the form of customer lists and relationships is identifiable, marketable and, indeed, transferrable. This may not always apply to the entire portfolio, such as in situations where significant accounts within August 2012 / The Ontario Broker

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The combination of community involvement, solid processes and top-notch staff have helped add a treasured feather to Johnston & Mackie’s cap: IBAO’s Brokerage of the Year. By Angela Stelmakowich

A Lovely alchemy Much can come from mixing. Consider the potential bounty of blending youth and experience; old-fashioned service and new technology; stringent process and a caring word.

The team at Johnston & Mackie Limited in Pembroke, Ontario appears to have identified the mix that works best for them. Or so it would seem in light of the firm’s recognition by IBAO as the Ontario Brokerage of the Year (fewer than 10 employees).

The honour is thanks to the mix of staff members, community involvement and a new culture, suggests Mary Hill, president of Johnston & Mackie, and the great granddaughter of Andrew Johnston, who founded the business in 1875.

Brokerage members are involved in the community — sometimes through open and visible ventures; sometimes

very quietly and in the background.

Current endeavours include participation in or support of Algonquin College, Chamber of Commerce, local churches, the Bereaved Families of Ontario, the children’s hospital, Operation Christmas Child and Relay for Life, for which team members raised $6,100. “We make a good living out of this community and we need to give back,” Mary says.

But along with the tradition of giving comes the reality of running a business.

And Johnston & Mackie ain’t your traditional brokerage anymore.

Born of the recognition that separation can sometimes help things to come together, seven or eight years ago the brokerage separated sales and service.

“We went from a very traditional, old-fashioned brokerage to a brokerage with a sales culture,” Mary says. “We have

totally separated sales and service on the theory that they’re different skill sets and they’re different kinds of people.”

The approach has worked out well, indeed. Bottom line, each of the last four years has been the best in the brokerage’s history, reports Mary.

Johnston & Mackie’s success is tied, at least in part, to the focus on customer service. “I think the cardinal sin for an insurance broker is to ignore its clients.”

Clients should never feel they only hear from brokers at renewal time, Mary says. “Insurance is nothing but a piece of paper — in a lot of cases, an expensive piece of paper. It’s a promise that specific things will happen if there’s a loss.”

At Johnston & Mackie, the 20% of clients who account for 80% of income get account reviews every year. This TLC is also extended to other clients, although

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The Ontario Broker / August 2012

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divide to conquer Johnston & Mackie has undergone a cultural revolution, so to speak.

The once-traditional brokerage now clearly separates service and sales functions.

Bottom line The separation of sales and service, along with the adoption of account reviews, has paid off handsomely. Each of the last four years has been the brokerage’s best ever.

the review is done every two years.

“Although account managers handle a huge number of clients, I’ve always said I do not want them working at a statistical high end. I want them to be able to have the time to talk to clients,” Mary says.

“We allow our clients to die and to move. Other than that, we intend to retain them forever,” she quips. “Our retention is somewhere in excess of 95%.”

The ability to take time and build client relationships is advanced by having solid processes in place. “Because the process is in such good shape, staff are free to work on the client contact, the sales, the referrals — the things that are making the brokerage grow,” Mary adds. well-aged There’s a mix of ages at the brokerage, but it is heavy with experience. Mary has been there for about 40 years, the next

age of wisdom Johnston & Mackie is certainly not shy on experience. But all that know-how has been made even better with the injection of youthful energy.

techno glitch Technology holds great promise for insurance.

A big challenge, though, will be to secure the loyality of people who are used to interacting online, not face to face.

most senior person for 39, then 33 and then 22. The age of the two youngest employees, in their early 20s, is just half the experience of the most senior staff.

“We need the senior people because a: they know the answers to the questions, and b: they’re in a position to mentor the younger people. We need the middle bands because they’re the ones who are going to be the senior people. And we need the ‘babies’ because they’re the future of the industry,” Mary says.

“They bring a whole new vibrancy to the brokerage,” she says of the youngest team members. “And they were born with computer mice in their hands.”

That is welcome since tools like social media hold great promise for insurance, Mary says. But there is a downside.

Although Johnston & Mackie has been around for more than a century, to today’s consumer — especially younger people

full circle Mary remembers a time when people popped into the office, sat down, got a quote and paid on the spot. It would be nice to do all that as seamlessly again, only electronically.

who may be more used to technology than face-to-face interactions, “that means nothing,” Mary says. “We have to constantly be understanding the differences in consumers and trying to segment our approach to them.”

Then again, technology may provide the means to come full circle. When Mary first started, someone looking for auto insurance would come into the office, the broker would quote the most appropriate rate, the policy form would be typed up, a copy of an invoice would be handed to the customer and he or she would pay.

“Now, 40 years later, I truly hope we’re going to be able to do exactly the same thing electronically. I’ve always said when that happens, I’ll retire.”

The worst thing about being even semi-retired right now? “I miss my staff.

We’ve been together for so long that we’re at very least a village, probably a family.”

August 2012 / The Ontario Broker

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Underwriting Update

Marlowe Leibensperger Senior Vice President, Business Development EagleEye Analytics

Fuelling the Race for Better Data The use of telematics is on the rise, not only in Canada, but also in the United States, the United Kingdom and across Europe. How can we capitalize on the telematics opportunity in insurance?

With change accelerating, early adopters will likely be the winners, realizing advantages as they target and gain market share among the safest drivers. The potential for competitive advantage and customer value across pricing, underwriting, claims and marketing is undeniable.

It’s no wonder that telematics — or pay-as-you-drive insurance — provides an opportunity for carriers to access real behavioural information about drivers,

enabling them to potentially price the risk more accurately.

And if a telematics program is mar­­keted successfully, it can attract the safe driver demographic. Customers, who will agree to be monitored via a usagebased insurance device, are likely to be those who most often follow the rules.

However, the considerable potential of telematics extends beyond marketing and pricing; there are also opportunities to improve safety and reduce claims.

Telematics is not limited to personal auto insurance. In fact, depending on the carrier, there can be an even stronger case for implementing a commercial lines program first. Commercial fleets, in which opportunities for discounts can be combined with safety programs, can be a big win for the carrier and customer alike.

Telematics is not a simple plug-andplay solution. Not only must devices be selected, processes around device management and information collection must be developed.

For insurers, having access to so much information — including driving speeds, distances, and safe stops and starts — can create a whole new set of issues. Be prepared that implementing a telematics program can take a year or more.

Many carriers begin with a pilot. After selecting a vendor to provide the devices,

the next big question for most carriers is: What data will be collected?

The little monitoring device installed in vehicles returns a tremendous amount of data. Deciding exactly what data is meaningful to achieving key objectives of the initiative is critically important.

The sheer amount of information collected can serve to generate new opportunities for carriers. Predictive modelling should be used to understand what the data means — uncovering which variables are truly meaningful.

Carriers are beginning to recognize that combining sophisticated predictive analytics with telematics can revo­lu­ tionize their underwriting capabilities.

The final step in launching a successful telematics initiative revolves around determining how the predictive power of these variables should co-exist within carriers’ current programs.

Telematics provides a major opportunity for insurers to utilize real behavioural information, allowing them not only to price the risk more accurately, but also to identify customer service and marketing opportunities. A successful program holds the promise of growth and fewer claims.

Although not simple, telematics offers the foundation for more sophisticated data modelling and the potential for a major impact on the insurance industry.

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CSIO UPDATE

Sarina Visram Manager, Member Relations and Communications Centre For Study of Insurance Operations

Strategic Moves The Centre for Study of Insurance Operations has a new strategic plan, one that focuses on delivering technology standards and solutions, and emphasizes CSIO’s commitment to its members.

Setting CSIO’s course for 2012-2014, the plan was announced at the centre’s annual general meeting on May 29 in

Toronto. “The plan places a greater emphasis on delivering improved services, solutions and collaborative opportunities that will help members leverage CSIO standards to improve not only their own competitive position, but the competitiveness of the entire broker channel,” Steve Whitelaw, senior vice president of business solutions for The Dominion and chairman of the CSIO Board of Directors, said at the time.

Developed by the CSIO’s board and senior management, in consultation with members, the plan follows a review of where CSIO now is, where it needs to be in the future and how it intends to get there. Four key goals were identified: • improve broker channel efficiencies; • advance high-performance delivery; • deliver leading-edge technology standards and solutions; and • strengthen organizational framework.

The goals are supported by new mission and vision statements, and a new set

of values that includes collaboration, proactiveness, responsiveness and discipline. These values have been crafted to communicate CSIO’s primary purpose — to deliver leading-edge technology standards and solutions that will enable members to offer excellent customer experiences through the broker channel.

With ever-growing competition and customer demands, the need for brokers and insurance carriers to develop “faster, better and cheaper” ways to collaborate and share data has never been greater.

“As a member-driven organization, we take seriously our commitment to developing and improving the services we provide to our members,” says CSIO president Catherine Smola. “By investing in this strategic process, we are building a strong, responsive and collaborative organization committed to improving the competitiveness of the broker distribution channel for the benefit of all CSIO members.”

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August 2012 / The Ontario Broker

11

MIS UPDATE

Kristopher Ryan-Watson Web Directory Administrator Insurance Brokers Association of Ontario

Word Play Copywriting as an advertising tool focuses on convincing the addressee to buy a product or subscribe to the viewpoint expressed by the text.

In the realm of the internet, however, copywriting may be a different endeavour than it has been traditionally: the goal is to persuade the public user to make an informed decision based on his or her

wants and needs at the time.

That brings an interactive call to action. For example, the public user (or possible customer) is on the website of a camera manufacturer, checking out the specs and new features of a new camera; or a small business owner is reviewing the “About Us” section of a web design agency to determine if the agency is a good fit for revamping the company’s website.

In both cases, the goal for the website visitors is to become better informed, but also to make a monetary investment based on their needs. Their call to action may be to buy that new camera online, or to call or email the design agency to inquire about development costs.

Brokerage profile pages located on My Insurance Shopper are really not much different. Among other things, the “About Us” section could be used to share your history and experience with customers visiting your profile on the website. By outlining your professional integrity and

how long you have been in business, this gives the prospect more confidence about what broker would be best to approach to discuss his or her insurance needs.

A profile page is an opportunity for you, the broker, to introduce and connect with business prospects and offer them the promise of quality service. Bear in mind, however, that the goal is not simply to write enough copy to secure the request for a single quote. The aim should always be long term — selling your products and services with a customer’s emerging and future needs always in mind.

By doing so, it will advance the customer’s call to action — making the decision to fill out the necessary details for a quote or, ideally, call the broker directly.

Inviting prospects to do so offers a welcome of new business long term.

Brokers would benefit from using a professional to help write your profile for use on My Insurance Shopper. It may help your business sell itself long-term.

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We play to our strengths and use those strengths to better serve you.

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The Ontario Broker / August 2012

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MEMBER BENEFITS

Lindsay Bowers Account Manager A.K.A. New Media Inc.

Netting Presence There is no denying the number of internet users has risen substantially over the past five years. Many activities that used to be strictly offline have moved online.

One can buy groceries, read a favourite book, complete banking transactions or even research a local brokerage. But can your brokerage be found online?

A Harris Interactive survey last year found that roughly 43% of consumers research a business online before visiting.

Marketing and advertising methods that may have worked in the past — the phone book, direct mail, print ads or billboards — were found to be less effective.

An online presence is key for any modern insurance brokerage. A simple and outdated website no longer suffices.

For online consumers, a brokerage may have just one chance to make a good first impression. That objective can be advanced by a well-designed site that projects professionalism. Whether a small brokerage in Northern Ontario or a large operation in downtown Toronto, not having a website means you are losing business to other companies that do.

Below are a few tips to help ensure your brokerage secures a solid online presence.

Intuitive Structure Navigating a website should not be a challenge. A homepage should offer easily identifiable access to contact information, frequently visited pages and links to quote forms. If users cannot quickly find what they are looking for, they will move on.

In addition, search engines do not like to send users to poorly structured sites.

Search engine spiders can actually determine a site’s layout and organization based on its URL structure, site map and file hierarchy. Utilizing intuitive and logical website architecture is critical to achieving good search results.

Content Management Having current news and up-to-date content on a site is important to appear relevant and to increase return visitors. If a website is outdated, people may assume

the business is as well. Integrating a blog directly into the structure of the website may prove a valuable strategy since it serves as a vehicle for adding new and relatable content. This increases the number of relevant keywords that can, in turn, enhance search engine ranking.

Using a content management system (CMS) can make updating content and blogs a quick and simple process.

Integrated Social Media Your website should be a springboard, offering links to your social media sites and providing a simple way for users to join. Most of your brokerage’s consumers are likely already part of communities such as LinkedIn, Twitter and Facebook.

Relaying useful information and articles through these different platforms not only helps create a culture of knowledge associated with your brokerage, it also promotes having first or one-time visitors become return visitors.

Above all else, your website should be an extension of your brokerage. When users visit your site, it should reflect the experience they would have during an actual visit. They should understand who you are and what you represent.

To learn more about how A.K.A. Broker can help you achieve an online presence, visit www.akabroker.com.

STILL YOUR BEST OPTION

August 2012 / The Ontario Broker

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Community View State of Play Members of the Insurance Brokers of Toronto Region recently presented the Redwood Shelter with a cheque for $5,000, money that will be used to revamp the children’s playroom.

A BIPPER blanket event was also held at the location.

Left to right: (front row) Andrea Raspa, Emma Lewzey (fundraiser, Redwood), Andrea Lawson and Anne-Marie Gardiner (executive director, Redwood); (back row) Nancy Dorling, Alex Sousa and Cathy Costa.

Tim Hudak (right) visited IBAO past president Peter Blodgett (left) at his office, Darling Insurance & Realty Ltd. in Peter­borough, to discuss issues concerning brokers.

Building Smiles The Insurance Brokers of Toronto Region (IBTC) helped to bring some fun into the life of an Ontario girl who is battling cancer. As part of Million Dollar Smiles, 20 volunteer builders from IBTC put together a special playground at the family home of Romina Porcelli.

Relaying Aid The Leeds & Grenville Insurance Broker Team took part in Relay for Life in Row’s Corner on June 16. Team efforts raised $6,250 for the Canadian Cancer Society.

Left to right: (bottom row) Gary Warner, Penny Warner, Amy Simpson and Carol McGivern; (middle row) Nancy Randall, Cathy Russell, Bipper Mascot (Tara Kirkey), Jackie Kirkey and Roberta Riddell; (back row) Dan McGivern, Jennifer Disheau, Jennifer Hurlbut and Tony Leeder.

Prepare to Survive

Left to right: Justin Rodrigues, Darren Rodrigues (VP of IBTC), Greg Robertson (president), Anne Di Bello (board member), Alex Guthrie (board member), Christina Alacqua (board member), Anna Lopes (director of Million Dollar Smiles), Rebecca Comtois and Nick Homiak (board member).

RIBO Election 2012 The Registered Insurance Brokers of Ontario (RIBO), our self-regulating body, will once again be electing three members to council in November. This is your regulator, and RIBO needs quality brokers to be on its council. This is your opportunity to represent your region and fellow brokers.

Nominations; a brief biography of less than 110 words, outlining professional qualifications and your record of community service; and a colour photograph must be received at the RIBO office no later than 4:00 p.m. on September 17, 2012. Elections will take place on November 5, 2012.

866.364.9696 www.agilityrecovery.com

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Once again, IBAO will be promoting member broker candidacy submissions received by RIBO in the October edition of The Ontario Broker.

The Ontario Broker / August 2012

M-1136

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M-1136 Aug CU-June12.indd 1

6/28/12 2:42 PM

IBAO School of Insurance EDUCATION FOR BROKERS BY BROKERS

UPCOMING PROGRAMS Courses & Seminars Uncovering Customer Needs What does it mean to be customer-focused? Brokers who address customers’ needs effectively, gain the customers’ trust and respect, as well as a competitive edge in uncovering new selling opportunities. This program will help you uncover the real needs of today’s consumer and better equip you to be the successful broker with the ability to give guidance-based current consumer needs.

Time 9:00 a.m. – 4:30 p.m.

Locations & Dates London – Sept 13

6 Personal Skills Hours

Belleville – Sept 19

Fee: $209 Members Only.

Certificate of Liability and Evidence of Insurance for Rental Companies This seminar is designed to highlight the various types of Proof of Insurance Certificates in use today.

Since many certificates are issued without extensive underwriting, this seminar will bring to light the binding effects they may have on an Insurance Broker/Agent. Discussions will also highlight the many demands made by third parties and the effects these demands and additions to the certificates will have on the right to subrogate.

Locations & Dates Kingston – Sept 25

Sponsored by: www.ibao.org/education

Purposeful Sales Conversations During this full-day interactive sales lab, you will be presented with the 5 Phases of the Purposeful Sales Conversation. Based on your own customer scenario(s) teams will be applying the strategies, tools and techniques to one of your own insurance customers or prospects. A follow-up group coaching conference call is built into this program, ensuring that your business realizes an ROI with incremental sales to offset your investment.

Time 9:00 am – 4:30 pm

Upcoming SeminarS, coUrSeS & WebinarS PAYING BY CREDIT CARD, BIPPER BUCKS or COUPONS/VOUCHERS? 1. Log in to the IBAO website (www.ibao.org/register) and go to the Event Calendar.

2. Select the event you wish to Attend.

3. Enter your IBAO membership # and your last name (this field is case sensitive) to Login.

4. Continue through the online steps to register for one or more events.

PAYING BY CHEQUE Download a registration form from www.ibao.org/registrationform.

QUESTIONS? Contact the IBAO School of Insurance at 416-488-7422 or 1-800-268-8845.

Locations & Dates

Markham – Sept 6 Mississauga – Sept 18 Cambridge – Sept 20 Belleville – Sept 26 Kitchener – Nov 6

Fee: $209 Members Only.

Sponsored by:

6 Technical Hours

Time 10:30 a.m. – 2:30 p.m.

Toronto – Sept 26

Fee: $160 Members Only.

Webinars IBAO is pleased to offer these upcoming Webinars:

Personal Umbrella Liability August 28 Cyber Liability September 13

6 Personal Skills Hours

Collingwood – Sept 13 Hamilton – Sept 19 Cornwall – Sept 25 Ottawa – Sept 27 London – Nov 13

Insurance Needs of Home Based Business Owners September 19 Recreational Vehicles September 25 Visit ibao.org/events to register online and to see a full listing of upcoming webinars.

10th Annual CSIP Retreat November 7 to 10, 2012 Deerhurst Resort, Huntsville, ON IBAO is pleased to offer this 3-day Retreat that gives CSR and Personal Lines Managers the chance to be both educated and rewarded for exceptional performance. It enables you to step away from the day-to-day hectic brokerage activities into a relaxed, yet refined learning environment where you will become equipped with the best practice solutions that define the CSIP program. Fine tune your customer service skills and network with professional peers at one of Ontario’s première resorts – Deerhurst Resort in Huntsville, Ontario.

CSIP Workshop & Retreat Package Price: $1,600 per person (Includes all taxes, education materials, three nights’ accommodation, meals, wine with dinner and all scheduled group activities. Single occupancy only.)

Space is limited to the first 30 registrants, so register soon!

Register online at www.ibao.org/events or Download a Registration Form from www.ibao.org/registrationform.