Insurance Pros Share Best Practices for Delivering Tough News to Clients

Insurance professionals frequently face the challenging task of informing customers about claim denials or coverage limitations, often leading to emotional reactions from the insured. A Reddit thread has become a valuable resource for those in the industry, sharing strategies and phrases to help navigate these difficult conversations more effectively.

The consensus emphasizes the importance of clear, concise communication and setting the right tone from the outset. "Thank you for your time" is preferred over "Have a good day" to conclude calls where bad news is delivered, recognizing the sensitivity of these interactions. The thread reveals a widespread issue: professionals routinely have to deny claims due to policy exclusions or limitations, sparking a range of responses from customers.

One key piece of advice is to ensure customers understand that the denial is based on the policy terms, not a personal decision by the adjuster. Presenting the denial as a matter of contract compliance can help depersonalize the situation. Demonstrating this by showing the specific policy language related to the denial is also advised, making it clear that the decision is grounded in the contract both parties agreed to.

Another strategy highlighted is the importance of managing expectations early in the claims process. Giving customers a heads-up about potential issues with their claim can prevent shock and frustration when a denial is ultimately issued. It’s also suggested to refer customers to their agents for further clarification or disputes, maintaining a professional boundary while ensuring customers receive comprehensive support.

The thread also touches on the emotional aspect of delivering bad news. Empathy, understanding, and patience are crucial, with some professionals adopting a softer approach depending on the client’s context. Offering additional resources or advice, even in the face of a denial, can provide a silver lining to an otherwise disappointing conversation.

From utilizing silence as a tool to maintaining professionalism without sounding insincere, the shared experiences underline a collective effort to improve customer interactions during the most challenging parts of the job. This exchange of strategies reflects a commitment to professionalism and customer care in the face of the inherently difficult task of delivering bad news within the insurance industry.