Insurance Industry Joins our Hall of Shame

Contributed by: Adam Elliott

When I got to the office this morning, our office manager handed me some of the mail from last week. Of particular note, she mentioned that I had a bunch of mail from one of our insurance providers. In fact, there were 9 letters from same un-named company. We happen to have 2 separate life insurance policies with the company. When I opened up the letters, I was surprised to find that 8 of the letters were almost all identical duplicates. Each was a simple letter that mentioned that we had recently changed our corporate address from Northfield to Arden Hills Minnesota.

For some reason they decided it would be good idea to send 4 duplicate letters for the 2 policies. I have the pile of letters and ripped open envelopes sitting on my desk. While grateful that the insurance company is taking precautions to deter identify theft, it is just the manner that they chose that adds them to our Hall of Shame (or as we like to say – our sales pipeline). It probably cost them over $10 to mail all those letters. With so many businesses moving locations each year – this is millions of dollars.

While banks are beginning to understand that there are much more effective ways to deal with address change processing, insurance has a ways to go.

Oh, and for those of you wondering about that 9th letter. We recently applied to different companies for a better rate. The 9th letter was a request to give them the chance to bid and get our facts straight before we left them. And of course, you know which address they sent it to. The old one of course. I don’t know, maybe they are down at the old Northfield office at this very moment trying to get that meeting.


Date Posted: April 30, 2012 Author: Category:   Featured, IDI Blog

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