Why Not Insure Print Sales?
Distributors can profit by providing the voluminous amount of printed
documents utilized in the insurance industry.
There is insurance for just about everything these days—health, life, disability, home, auto, long-term care, travel, even J. Lo's... The bottom line is that the insurance industry generates tons of paperwork—both standard and non-standard documents necessary to comply with individual state regulations—creating opportunities for forms professionals to lend expertise in document design to accentuate the positive and eliminate the negative.
"Forms don't sell themselves," observed Jenny Schidecker, sales and marketing professional for Vandalia, Ohio-based Megaform Computer Products, Inc. "We help distributors develop creative flow with forms by showing them how to condense three or four different forms into a one-page form. Not only does this streamline workflow," she continued, "but it also reduces inventory and creates a one-pass print job that cuts costs."
In addition, more efficient, user-friendly forms can give insurance companies a competitive market edge, particularly among consumers who have grown up with the Internet and who tend to evaluate service and base their expectations on their experiences in the retail market. When shopping for an insurance provider, they're looking for quicker turnaround, simpler products and simpler processes to follow.
One document that Megaform Computer Products manufactures is the Evidence of Insurability (E of I) form, where those seeking coverage provide information regarding pre-existing conditions, as well as other pertinent information. In this case, a special Miyakoshi press featuring customized Japanese technology adds value.
Schidecker's father and company owner, Jim Browning, commissioned the press from Mr. Miyakoshi in 1992, when Browning sought to capture specialized niche market business. Its unique capabilities allow the press to produce continuous form lengths ranging from 30˝ to 250˝ and unit set widths ranging from 251⁄2˝ to 250˝—perfect for combining related forms into one efficient long form. "We are the only manufacturer in the United States with this capability," noted Schidecker.
"The E of I is printed as a two-page unit set, four across, for a 34x11˝ form that breaks down into four 81⁄2x11˝ documents," she explained. "One page is given to the customer, and the other is retained by the provider." In addition, the E of I unit set features a "tough tear" perf so that it won't easily come apart through routine handling. And, although the Miyakoshi press has four print towers for printing jobs in up to four colors, cost containment is also a hot button with insurance companies. "The E of I is printed in black ink on white stock," continued Schidecker. "It's a non-standard, no-frills document that this provider utilizes more for its own protection."
At any given time, print orders for E of I forms may be as small as 1,000 to 2,000 pieces and as large as 50,000, although Schidecker explained that the insurance provider has a yearly, ongoing estimate for 500,000 pieces. She added that it requires two plates for production—one for static information and one to accommodate each particular states' own terms, rules and qualifications for providing insurance coverage. Once the documents are completed, they are shrink-wrapped in quantities of 50 or 100 per carton and sent out to be combined with other materials the insurance provider uses in a packet.
Megaform Computer Products also produces an application for Medicare supplement, and Schidecker's company had just finished an order for 50,000 pieces. Again, the Miyakoshi's specialized length capabilities provide added value, creating a document that is printed six across for a 51x11˝ form that is folded into 81⁄2x11˝ forms. As with the E of I, it features a stub with a glue line across the top, which helps to keep the perfed pages of the unit set in registration as it is being filled out by consumers.
It's in the Mail
Efficient document design is not the only value-added service forms distributors can offer insurance providers.
According to Peggy Carlson, sales and marketing representative for Special Service Partners (SSP), Neenah, Wis., insurance is a hot market for all types of printing, including letterhead, envelopes, business cards, direct mail pieces and ad specialties. "It's truly a market where distributors can promote one-stop-shopping convenience to the customer," she observed.
Carlson noted that market research has shown that direct mail continues to be an effective way for insurance providers to advertise products and services and increase their market share, whether it's prospecting pieces for individual sales agents or saturation mailings for a major provider.
"Everyone is concerned with cutting costs, but the name of the game is still service," noted Carlson. "Insurance providers are discovering that conducting business online does not offer the consumer the necessary level of service. A simple, yet cleverly designed direct mail piece still gets results."
Here again, the manufacturers' capabilities add value. At SSP, an eight-color Mark Andy press produces a unique, laminated mailer/business card combination featuring process color and ion depositioning. In one design, the back of the business card is printed with a calendar, while in another, a bend-and-peel labels containing contact information is offered for the recipients' convenience.
Carlson recommended that distributors begin by contacting the insurance providers' marketing departments to establish relationships for direct mail. "Distributors are going to have to hustle for these accounts," she said, "but the benefits of providing direct mail pieces include healthy profit margins, long-term relationships with customers and tremendous growth potential."
By Maggie DeWitt