Not a big surprise to learn that most advisors say their practices have been significantly disrupted because of the coronavirus, and most have set up alternate working arrangements (including working from home) for their staff.
But 84% of advisors saying they have changed the way they communicate with their clients in response to the COVID-19 crisis is remarkable nonetheless.
A new LIMRA survey of 550 advisors conducted in late March reveals how they are adapting to meet the needs of their clients as the country faces the safety and economic challenges as a result of coronavirus.
In addition to the 84% saying they have changed the way they communicate with clients, the survey found 63% of advisors say their practices have been significantly disrupted because of the coronavirus; while
another 28% note having been moderately disrupted. Seven in 10 advisors say they have set up alternate working arrangements for their staff.
With more and more states closing businesses and requiring people to implement social distancing practices, LIMRA examined what advisors are doing to stay connected to their clients.
Prior LIMRA research indicates that advisors had already begun to leverage tools such as video conference calls, email and other digital tools to stay in touch with their clients. These tools are invaluable at a time when face-to-face meetings are not an option. Advisors in this most-recent survey said the frequency of communication with their clients has increased—80% of advisors say they are communicating with their clients more often.
What’s on clients’ minds?
In addition to anxieties about staying safe and healthy, consumers are very concerned about the financial impact of the coronavirus on the economy and their own financial security.
Advisors report the top three issues that clients want to discuss are:
- Market volatility: 81%
- Low interest rate environment: 31%
- Current insurance policy coverage in light of the coronavirus: 28%
LIMRA research has shown that having a financial plan in place not only helps people ensure they are taking the necessary steps to remain financially sound but also helps people feel more confident in their financial security.
During the last economic downturn (in 2008), LIMRA found that 64% of people who had contact with their advisor felt the conversation eased their concerns and worries. In addition, 74% said they were likely to recommend this advisor to others.
Adapting to working from home
LIMRA and LOMA also announced this week the availability of some complimentary courses and videos to help advisors adapt to this new virtual working environment.
An online course, Virtual Worker Survival Skills, is free for anyone and can be accessed at this link.
Interested persons can sign up and create a new account in the learning management system (no need for company name or company ID). People can create their own login and password and get started.
Through LIMRA’s partnership with Hoopis, it is offering advisor training videos which provide best practices on running a practice or meeting virtually.
To access the videos, visit this link.