Employee turnover has the power to make or break the financial budget of your insurance agency. It could take up to $40,000 to replace just one employee at your agency. With the rising trend in employee resignations hitting every corner of the country, the number of replacing employees will multiply if you have a higher number of people working in your office.
In addition, replacing an employee isn’t so easy anymore. Job openings in the U.S set a record 10.1 million in August as resignation rates increased – reflecting increased employment options for workers and fewer workers for businesses. With almost 9 million Americans unemployed, there are more jobs open than potential people to fill them.
For an insurance agency, the front office staff is the main powerhouse of the business. Losing your front desk staff could put your agency at risk. So, what should your agency do if it is faced with the issue of turnover? Edge is here to offer you a permanent solution.
According to Zip Recruiter, the average annual salary for an insurance administrator is $39,315. But when calculating the cost, you are not only experiencing the loss of an employee but the loss of productivity that is inevitable when it comes to turnover.
Here is a breakdown of the direct and indirect costs that Insurance agencies face when losing a front office employee:
- Paid time off
- Recruitment costs (job posting, onboarding)
- Training costs
- Background checks
- Drug screenings
- FUTA employee taxes
- Overtime fees
- Manager (or your) time to review applications and conduct interviews
- Lost production during the recruiting and hiring process
- Lost production during the onboarding and training process
- Decreased customer service
- Burnout for yourself and/or remaining team members taking on additional tasks
Apart from all these additional expenses, there is no guarantee that your employee will stick around. With 30% of new employees quitting within just 3 months – we can link turnover back to a range of possible causes such as shorter commute times, larger agencies, and an increased salary, sometimes as little as an additional $1-2 an hour.
But worry not! Edge is here to offer you a staffing solution that won’t require you to spend more money, time, and energy on someone that won’t be able to give you a 100% guarantee.
Solution: Talent as a subscription
Edge is here to minimize the cost of replacing an employee for you. We understand how frustrating and difficult it can be to retain employees which is why we take care of that for you. Our Edge ambassadors are pre-trained, remote employees that have industry-specific knowledge that can help you with front and back-end tasks at a cost-effective rate.
We go through the entire hiring process for you by selecting only the best candidates. Our HR department receives up to 200 resumes on a weekly basis but maintains a hiring rate of only 1.5% after a 3-round interview process. We also conduct thorough background checks. Not only this but all the additional equipment, retention, and employee benefits such as PTO, medical, and life are taken care of by Edge. All our ambassadors go through an extensive training program that is customized for each agency. Each ambassador is specifically trained for your agency to ensure they’re able to take on your busywork from day one.
We follow a Talent as a Subscription model which means you only pay a flat monthly fee for an employee compared to the staggering amounts that add up when it comes to hiring locally.
Remember when we said that a new employee isn’t guaranteed to stick around? With Edge, you don’t need to worry about that. In the rare event that your Ambassador isn’t a good fit – we replace your Ambassador at no additional cost. You continue to pay the same flat monthly fee with no extra charges.
So, let’s review what Edge helps you save on:
- Low employee costs
- No turnover cost
- No recruitment cost
- No employee benefits costs
- No training costs
- Save on time, resources, and productivity
- Minimize burnout rates for yourself and your staff
- Minimize service downtime
- Minimize loss of production
Since the pandemic, it is very clear that the future of employment is remote. So, why waste time and money by hiring locally when you can have a pool of global talent at your disposal. This pool of global talent isn’t going to be affected by local limitations such as a nationwide resignation trend.
Don’t let employee turnover keep you down from reaching your best potential. Save on your time and money by taking charge of your agency and partnering with Edge.