• actively sold employee benefits for 1 – 9 years. They have survived at least one full year in the business but still have the bulk of their career in front of them.

• incomes between $50,000 – $199,999 in 2016. They are earning at least enough to stay in business, but are not (yet) elite performers.

The remainder of this article compares these up-and-coming brokers to the other advisors in the study. Knowing these key differences better positions carriers to develop relationships with tomorrow’s star brokers.

Is age just a number?

Most up-and-comers have youth on their side. Only 45 percent have celebrated their 45^th birthday (compared to 83 percent of the other brokers). This accounts for divergent perspectives on technology. For instance, they hold better impressions on how carriers leverage social media, and rate themselves higher in this area than do other brokers. Up-and-comers also sense a greater need for customer access to online tools such as web chat, portals, and those for claims submission.

“Make the billing real time and easy to use. In addition, make the implementation process smoother with more communication, go online and be proactive. It would be big to have flexible underwriting. It is all about making the employer and the brokers jobs a lot easier.”

Broker from Michigan; 7 – 9 years of industry experience; 2016 income range of $150,000 – $199,999.

Up-and-coming brokers tend to focus on somewhat different product lines compared to other advisors. They are more likely to sell permanent life products and the fast growing benefits types that commonly accompany high deductible medical plans (i.e., hospital indemnity, critical illness, and cancer coverage). Conversely, up-and-comers offer disability options to their clients less often.

Seeking greater knowledge

Up-and-coming brokers display significant interest in the training and development opportunities offered by carriers. Many of these advisors are in their formative years and eager to expand their industry knowledge. While learning specifics of carriers’ product offerings has the greatest appeal, other training programs also strongly resonate with up-and-comers (Table 1).

Table 1 — Importance of Carrier Training and Development Opportunities

Percent Strongly Agreeing These Programs are Important

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Grading the carriers

When brokers consider what carriers can do to help them grow their business, providing qualified leads is the top mention. This is especially true of up-and coming brokers (cited by 31 percent compared to 18 percent of the others).

“Have a lead generation spot on their website and pass those along to the brokers. So many times, employers don't know where to start when looking to put benefits in place so they reach out to carriers. It would help us and the carrier grow business as you’re loyal to someone who helps give you a leg up on the competition.”

Broker from Georgia; 4 – 6 years of industry experience; 2016 income range of $150,000 – $199,999.

Less experienced advisors also pay closer attention to the cost of coverage and their compensation. They often consider price important in selecting insurers, with over 70 percent agreeing that it has the biggest impact on their recommendation (versus 58 percent of the other brokers). The speed of policies/certificates issue is another consideration more instrumental in up-and-comers’ choice of carriers. Although they view claims processing as a priority (their second highest rated item overall), they place less importance on this trait compared to other brokers, and more often identify it as an attribute that carriers need to improve upon.

Carrier impressions for up-and-comers generally align with or surpass those of the other brokers. In addition to better harnessing social media, they view their top carriers more favorably when it comes to:

• informing them of regulatory/legislative changes

• helping them manage their business, and

• onboarding their clients

Brokers in the LIMRA survey experience the most challenges with carrier onboarding and billing processes compared to other areas. Each item was selected by roughly 1 in 5 brokers overall. However, the up-and-comers find greater frustration in carriers’ reporting capabilities than other brokers (13 percent versus 7 percent), and encounter fewer obstacles during the RFP process (4 percent versus 9 percent) or with routine service provided to their employer clients (1 percent versus 7 percent).

Take the reins

Today’s distribution blueprint will determine tomorrow’s success or failure. While recruiting established veterans and developing rookie advisors can each pay dividends for workplace benefit providers, professionals in-between these extremes offer great promise. Brokers with moderate earnings and industry experience have already made a commitment to the business and show a high propensity for future success. In order to capture more business from these brokers:

• Help them elevate their practices. Providing sales leads accelerates present growth, while meaningful professional development will ensure a brighter future. Use these programs to build loyalty.

• Embrace technology as a differentiator. Update your company’s tools frequently, closely monitor effectiveness, and constantly strive for improvement. Almost all carriers now offer online enrollment and administrative systems. How many truly pique consumer interest via social media, or support real-time virtual interactions with clients and prospects?

“I think that carriers can always work to improve their technological capabilities and help service employees in different ways.”

Broker from New York; 4 – 6 years of industry experience; 2016 income range of $50,000 – $99,999.

Developing early relationships with up-and-coming salespeople can pay off for years to come.