Pet insurance industry could profit from employee benefits
Aquarium Software have featured on Virtual Strategy Magazine's website with Marketing and Sales Director Mark Colonnese discussing how employee benefits schemes could be a perfect platform to sell pet insurance from and howAquarium has just the solution to implement such strategy. You can read the article in full below.
As more British based companies follow America’s lead in offering health and dental insurance as part of their employee benefits packages, pet insurance technology thought leader Aquarium Software believes that such a strategy might be the perfect way for the pet insurance market to boost its popularity and profitability in the UK.Mark Colonnese of Aquarium Software believes the issue is likely to prove one of the hot topics at the forthcoming North American Pet Health Insurance Association (NAPHIA) Summit on 26-28 May 2015.
The US and Manchester (UK) based firm believes it has the perfect technology platform to enable the implementation of such staff benefit programmes, which in the long run will help keep employees happy through a caring approach towards their four-legged friends.
Some insurance brands, including AXA, have pulled out of the pet insurance market because of a lack of profitability and low margins, but with many US insurance companies offering policies as part of employee benefits packages, Aquarium believes this method of internal marketing should be further explored. US brands such as VPI and Pet Plan offer pet policies as employee benefits, with the approach seen as a cost effective alternative way to keep the workforce happy – over and above traditional employee benefits.
“Employer subsidised plans could be a great benefit to both the pet market and the pet owners,” said Mark Colonnese, Sales and Marketing Director at Aquarium Software, “In the US, consumers are very used to buying all manner of insurance products in this way and it comes as no surprise that pet insurance providers have targeted this same avenue. It would seem this channel to market in the UK could be equally successful.”
In the US selling insurance through the employee benefits package is seen as a key way of retaining staff with them offering not only health and dental insurance, but also extending their benefits to home, motor, and now pet insurance coverage.
The UK market has also begun exploring this as a way of selling insurance, however with the exception of health and dental insurance which is regularly on the menu in the UK, pet insurance is still an exception rather than the rule.
Offering insurance as part of an employee benefit package can present additional challenges as policies may be delivered via brokers and managed by third party administrators. What is important is that all interactions are tracked, managed and auditable.
“It is a huge task to manage registrations, collect premiums and handle all the admin and exceptions that follow when it comes to implementing insurance into employee benefits schemes,” said Mark. “This is where Aquarium can help all parties involved manage the complexities from initial quote, buy, policy administration right the way through to claims processing.”