Gameplay and the Human Touch - The Insurance Agent's Role as an Educator

| 10 Apr 2019

I don't have to tell you how difficult it is to sell insurance. You're already well aware of the long hours, the endless convincing, the rejections, and a customer base that is more likely to understand the value of insurance only after something bad happens. It's that last point that really stings. People aren't getting out of bed in the morning with a proactive desire to buy insurance from you. They aren't waking up thinking that difficulties will strike so they had better be prepared. No, they are waking up thinking everything will be fine and then spending their money elsewhere.

Convincing them that insurance is necessary is an artform in itself. We all know how true that age-old saying “Insurance is sold not bought” is. I also fully appreciate just how hard it is as someone who has worked in the insurance industry in a number of countries, and who is currently working with insurance distribution to create strong engagement, leads, and sales through Gameplay.

Greg Martin is the Group CEO of The Praxis Company, a financial literacy Gameplay firm operating in Singapore, Malaysia, Thailand, Philippines and Vietnam. He leads Praxis on strategy, marketing, product, operations, and human resources with 22 years of experience in management consultancy and financial services firms like Sun Life Financial and Zurich Financial Services.  

 

Making it relevant

Nod if you’ve ever been in a situation where you’ve explained a plan that you know would be a great fit for your client, only to see them zone out. It’s deflating at best, humiliating at worst. How can the client not care about securing theirs and their family’s future?

There are a handful of reasons, but I want to focus on one: financial literacy, or the lack thereof.

The numbers are rather bleak. According to a survey done by Standard & Poor in 2015, only a third of adults globally were able to demonstrate an understanding of basic financial concepts. Perhaps more concerning was that only 38% of financial service account owners could be deemed financially literate. The numbers are marginally better in advanced economies, but still much too low given how important financial services are. It stands to reason, then, that people are unlikely to understand the insurance plan you are trying to sell in any meaningful way.

Despite its importance, people tend to view financial literacy as boring. They accuse the industry, perhaps rightfully so in some cases, of making financial services too complex. That puts the onus on you, the insurance agent, to become, in essence, an educator. You need to find a way to make financial literacy fun to learn, enjoyable to teach, and, importantly, relevant.

 

Boring requires creativity

Traditional teaching techniques aren’t known for being enjoyable for the learner because they are built on the premise that being told something, either verbally or in writing, is the best way to learn it. While this may work for some, it doesn’t work for all. Not everyone will truly understand compound interest by reading about it. Some will need to go much deeper into it than that. They’ll need to experience it at a more practical level. One of the ways to achieve this is through a concept called Gameplay.

Gameplay in learning boils down to the idea of making learning fun and, therefore, more effective. It allows people to “learn by doing” in a simulated, fun environment by combining the impartation of knowledge with Gameplay elements. Abstract and difficult concepts become tangible and learnings are brought to life.

Now, this isn’t to say that agents should avoid traditional techniques like explaining financial concepts or providing reading material. These can be valuable. What I want to stress is that you could take an integrated approach. Understand your client’s level of financial literacy and then develop an approach that teaches them what they need to know in an effective manner. If you rely solely on offloading information in the hope that it sticks, you may find yourself falling into the trap of using confusion as a way to convince your clients to buy from you. Instead, provide them with the means to learn by doing. It’s a far more powerful way to share important information. And, believe it or not, it’s fun.

 

Gameplay and the human touch

People appreciate, and actually need, the human touch when dealing with insurance companies. Because, let’s face it, a computer isn’t going to convince someone to care about insurance. You need to be personally invested in your clients, which means taking an active role in their financial literacy. You may be lamenting the fact that you don’t have enough time to properly educate all of your clients. Fair point, however Gameplay may well hold the key to powerful learning opportunities, time savings, and efficiencies.

Games are a form of experiential education in which people get the chance to apply and test their knowledge of financial literacy in a low-risk environment. As Michelle Katics, CEO and founder of simulation firm Bankerslab explains, people can see the results of their actions immediately in a game, something that would normally take months or years in the real world. Imagine allowing your clients to test the impact of insurance using Gameplay.

Benjamin Franklin was right when he said, “Tell me and I forget. Teach me and I remember. Involve me and I learn.” Gameplay doesn’t just teach, it involves people in the process to significantly increase learning capabilities. You may find yourself asking how that’s possible. According to Helen Routledge, author of Why Games Are Good For Business, games make such great learning tools because they “blend principles of rewards and habit-building with pieces of knowledge that are embedded into our long-term memories.”

For example, a 2011 study by Traci Sitzmann, associate professor of management at UC Denver, found that trainees using game-based learning methods demonstrated 9% higher retention levels than trainees who did not. These game-based learning methods were also found to be 17% more effective than traditional lectures, a one-way download of information (sound familiar?).

 

What steps can you take to incorporate Gameplay into your approach?

One of the best places to start is by creating quizzes that illuminate your clients’ lifestyle habits. Questions could include asking about hobbies, weekend activities, dining out habits, and travel. The answers help segue into a natural discussion about needs, dreams, and plans.

As an insurance agent, you want clients who are financially literate, clients who understand the value of insurance. To get there, it’s going to take a different approach than many of those currently being employed. Gameplay has been proven to increase learning ability, make the entire process more enjoyable, and greatly increase take-up rates. It also allows for the all-important human touch and fun factors. Clients feel more involved and demonstrate a greater understanding of the topic. You, in turn, need to see yourself as more than just a salesperson. By taking on the responsibility of educator, you will be at the forefront of a global movement for better financial literacy, as well as growing your business.

 

Take your mind off stress and read these instead:

Three shocking facts you don't know about the insurance world

Proven LinkedIn recruitment blueprint - Calvin Lee, AXA

How can Financial Advisers and Insurance Agents Succeed on Facebook? - Part 4 (Final)

 

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