Capturing Hearts and Minds

Having successfully communicated the value of independent brokers to Canada’s Members of Parliament during the Bank Act review earlier this year, the Insurance Bureau of Canada (IBAC) is now setting its sights on capturing the hearts and the minds of a wider audience — the Canadian public.

“The more you do something, the better you get at it over time,” IBAC’s new president, Danny Craig, said in a Sept. 22 speech to members attending IBAC’s annual general meeting in Whistler, B.C. “To this end, we must become better communicators. This includes politicians, regulators and consumers.”

Craig noted the importance of maintaining trust with communities based on the 100-year-old broker values of independence, choice, professional advice and local presence. To this he added what he said would be the theme of his IBAC presidency in 2007-08: Brokers, he said, are “people who care.”

“I came across a quote on the Internet that made me think of what we can do and sometimes have to do to succeed as professionals. ‘Too often, we underestimate the powers of touch, a smile, a kind word, or a listening ear — an [example] of the smallest act of caring — all of which have the potential to make a difference in someone’s life. Every day, we are given that opportunity. We can, we do and we will make a difference [as brokers], because we are people who care.”

Craig said as the times change, brokers will need to find creative ways of trying to get this message across to the public.

“We must continue to find and develop new and innovative ways to promote ourselves,” he said. “Who would have dreamed that an ugly little Australian lizard could have made GEICO a household name?”

What kind of animal might a broker be? IBAC is looking for any and all innovative ways to market the independent broker channel. To this end, it is encouraging member associations to send five of their best community awareness initiatives to IBAC so that they can be posted in the members section of the Web site.

Certainly IBAC has already gone on the public relations offensive with its Broker Identity Program (BIP) branding campaign. Last year, IBAC launched its ‘Safety Blanket’ commercial, featuring what appears to be an ordinary housewife falling from more than 10,000 feet in the air into a comfortable purple Bipper blanket on the lawn in front of her home. The commercial aired in a number of high-profile media outlets and prime time slots, including during hockey’s Stanley Cup playoffs this spring.

This year, a number of recognized insurers have invested in the so-called ‘Bipper’ program at a full partner level, giving brokers a sizeable war chest to be further invested in the media promotion of the BIP program.

“At the end of the year, we are pleased to announce that investments [from insurers] exceeded our budget and that we have a healthy surplus to invest in the 2008 media buy,” IBAC’s Annual Report 2007 says. “We were able to increase our media buy to almost $2 million, which translated into a longer advertising period, extending from January to December.”

In September 2006, IBAC had voted for an incremental media buy, focusing more specifically on politicians because of the need to lobby on the Bank Act issue. BIP commercials thus appeared in very exclusive political media markets such as Mike Duffy Live, Question Period, and Politics.

This year, at the annual general meeting in Whistler, brokers were abuzz with the filming being done as part of the National Studio BIP program. IBAC was taking advantage of the industry leadership attending the conference to film a number of videos that members can use at their own discretion. The videos involved asking brokers to use key words to describe the best attributes of the profession.

In addition to stressing communication, Craig said IBAC was preparing programs to address a variety of challenges facing brokers post-Bank Act — including brokerage ownership and succession, education, competition and technology.

In listing the essential broker values (independence, choice, advice and local presence), Craig invoked the importance of keeping brokers within the broker channel when it comes to selling their business.

“Before ever selling our business to a company, or even to other brokers, we must take a serious look at the legacy we leave behind for our way of business and life. That being said, we must respect the rights of individual brokers to make decisions in the best interests of their own businesses. I would ask you all to ponder this question: ‘Is it really in your long-term interest to sell your livelihood? Are there other options? What compelling strategies exist to reinforce the existing strength of our distribution channel?’

“Think carefully about your future. The great Yogi Berra once said: ‘If you don’t know where you are going, you might end someplace else.'”

IBAC has already started working on the broker perpetuation issue. For example, while he was president of IBAC in 2006-07, Larry Kozakevich launched the Broker Perpetuation Strategies Group “to investigate the mechanics and economics of brokerage continuity.” The group’s mandate was to:

* review current challenges facing brokers regarding perpetuation of their brokerages;

* recommend actions to assist brokers in succession and perpetuation planning; and

* provide advice to associations on how to handle the broker perpetuation issue.