CustomerService C U S T O M E R E X P E R I E N C E 2014 R E S U L T S
TABLE OF CONTENTS LETTER FROM SETH HALL, VICE PRESIDENT, CUSTOMER SERVICE...1 RECOGNITIONS, AWARDS & ACCOLADES...3 MAKING THINGS EASIER FOR YOU...4 ROLE OF CUSTOMER SURVEYS AND FEEDBACK...5 STATISTICS... 6-10 ABOUT PHLY...11 PHLYCustomerService A N N U A L S U R V E Y R E S U L T S
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To Our Valued Customers, It is my pleasure to share the Philadelphia Insurance Companies (PHLY) 2014 Customer Service Annual Report. At PHLY, ensuring consistent service excellence is one of our key tenets of success. We constantly strive to exceed your service expectations and provide the ultimate service experience across our 49 Regional Offices. To deliver on this goal, we must be completely and genuinely connected with our customers. We need honest feedback about problems and concerns, because it helps us to address critical issues and continue our progress towards developing a world-class service organization. I am pleased to report that in 2014 we continued to see positive results in our loyalty and service satisfaction scores. I am a firm believer that the feedback you have provided has allowed us to focus on those items that matter, and thus ultimately improve your service experience. The PHLY Voice of the Customer (VOC) Program described in this report is a critical component of these ongoing efforts to collect feedback, improve our products and services, and provide you with differentiated value. Within this program we gather 50,000+ customer surveys annually. The surveys provide invaluable data about your experiences with us. We take the feedback seriously; we measure it, track it, and act upon it. In fact we are so serious about it, that we have a group of employees dedicated specifically to responding to those surveys that require some form of response or action. 2014 marks the third year in which we have shared our annual customer service survey results in an Annual Report. In 2014 we have been once again intensely focused on ensuring we make it easy to do business with Philadelphia Insurance Companies. We know that in today s market, things move swiftly and making it easy to conduct business with PHLY is a critical piece in providing you with superior value. While we are clearly making progress, we still have a lot of work to do. A whole host of efforts are underway to improve responsiveness, communication, and execution. On behalf of the entire Philadelphia Insurance Companies team, I thank everyone who so willingly and honestly shares your thoughts and perspectives with us. We will keep working to earn your trust and exceed the expectations you hold for Philadelphia Insurance Companies to deliver even greater value. Seth W. Hall Vice President, Customer Service 2
RECOGNITION Customer Service has always been a cornerstone of our success at Philadelphia Insurance Companies. This year we again received external validation that our focus and energy on service is paying dividends; as indicated from our record-setting retention levels to the externally based awards and accolades we received in 2014. Listed below are a few of those indicators of success. AWARDS & ACCOLADES PHLY has long been known by many as a great place to work and these 3 accolades in 2014 validate that we believe creating a great place to work is the foundation for establishing a strong service culture. Best Places to Work in Insurance (5th consecutive year) Best Places to Work in Pennsylvania (6th consecutive year) Top Workplaces in Philadelphia (5th consecutive year) PHLY is honored to be recognized as a member of Wards Top 50 for its 14th consecutive year and America s Top 150 Workplaces for 2013. Stevie Awards The Stevie Awards are organizers of the prestigious Stevie Awards for Sales & Customer Service and American Business Awards. We are proud to announce that for the second consecutive year, our Contact Center took home a Gold Stevie for Contact Center (under 100 seats). We also received a Silver American Business Award for Customer Service Department of the Year (Financial Services or Insurance). ACE Awards For the second consecutive year, PHLY earned the Confirmit ACE (Achievement in Customer Excellence) Award. This program celebrates outstanding achievement in customer satisfaction, employee satisfaction, and partner satisfaction. Receiving a Confirmit ACE Award is a distinct honor that demonstrates the recipient s rigorous application of customer feedback processes and its outstanding performance as measured by those processes. For 2014, PHLY received Honorable Mention for Best Use of Feedback in the Contact Center. PHLY is pleased to announce its distinct ranking in two significant Underwriting categories this year: National Underwriter Top 100 Insurance Groups (Tokio Marine) #25 National Underwriter Top 100 Insurance Companies #39 3
Making Things Easier for You! PHLY CUSTOMER SERVICE Did you know The Loss Assistance Hotline provides Management & Professional Liability policyholders with two FREE HOURS of legal consultation with knowledgeable attorneys on any matter that could potentially result in a claim under a PHLY policy You can review billing and payment history online For example: Payment verifications go to MyPHLY on PHLY.com You can pull up and print your invoices and policy documents online You can update your profi le online For example: Billing address or contact information changes We offer live help within seconds: No complicated phone systems 97.3% of our policyholders would refer us to prospective customers* We provide 48 hour turnaround time on small business quotes and policy issuance in less than 10 days We provide interest free installments for accounts that generate at least $2,000 in premium Frequently Asked Questions How can I get information about my insurance? There are 5 different ways to contact Customer Service Customer Service 877.438.7459 Customer Service Fax 866.847.4046 Customer Service E-mail: custserv@phly.com Customer Service online chat PHLY.com Contact Us When can I contact Customer Service? Customer Service is available Monday - Friday from 8:30 a.m. - 8:00 p.m. EST What forms of payment does PHLY accept? PHLY accepts 3 forms of payment: Check sent to the lock box Check by phone payments through our IVR (877.438.7459 Option 1), website, or contact center representatives Credit card payments through our live contact center representatives (Visa, MasterCard, and American Express) Claims Average policyholder fi rst party automobile losses settled in 10 days or less Same or next business day acknowledgements of newly reported and opened claims Claims representation nationally with Commercial Liability Claims Examiner Niche expertise 24/7 claims service. Staff effi ciencies with paperless and industry leading systems Staff of Subrogation and Recovery Examiners exclusively dedicated to recovery efforts for policyholder paid losses Experienced, consistent staff and department structure Risk Management Services National network of in-house risk management professionals providing direct support to policyholders Product specifi c web-based risk management solutions through PHLY.com Interactive Driver Training online courses and examination at no additional charge Regular e-fl yer communications on relevant risk management issues Strategic partnerships with best-in-class vendors for discounted MVR checks, abuse training, GPS, and many more Automatically included on most accounts PHLY Bell Endorsement - Includes $50,000 limits each for Business Travel Accident Benefi t, Donation Assurance, Emergency Real Estate Consulting Fee, Identity Theft Expense, Image Restoration and Counseling, Key Individual Replacement Expenses, Kidnap Expense, Terrorism Travel Reimbursement, Workplace Violence Counseling. $25,000 limits for each Conference Cancellation, Fundraising Event Blackout, Political Unrest ($5,000 per employee), Temporary Meeting Space Reimbursement, and $1,500 Travel Delay Reimbursement. Honors, Awards, and Ratings America s Top 150 Workplaces Best Places to Work in Insurance (5th consecutive year) Stevie Awards ACE Awards Top Workplaces in Philadelphia Ward s Top 50 (14th consecutive year) National Underwriter Top 100 Insurance Groups (Tokio Marine) #25 National Underwriter Top 100 Insurance Companies #39 Philadelphia Insurance Companies is the marketing name for the insurance company subsidiaries of the Philadelphia Consolidated Holding Corp., a Member of the Tokio Marine Group. Coverage(s) described may not be available in all states and are subject to Underwriting and certain coverage(s) may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds and insureds are therefore not protected by such funds. 2014 Philadelphia Consolidated Holding Corp., All Rights Reserved. *All statistics contained herein were generated via an internal company survey of active policy holders. Ed. 102114 PHLY.com 4
ROLE OF CUSTOMER SURVEYS AND FEEDBACK PHLY s Voice of the Customer (VOC) Program was launched in 2011 and takes a focused approach to gathering customer feedback and developing ways in which to make it actionable for employees across the organization. Our leadership team has made the conscious decision to invest time and energy in truly listening to the feedback and then using it to drive business decisions. We can collect all the data in the world, but unless we actually pay attention and act on it, those efforts are futile. Each week, a case resolution report is provided to Customer Service management outlining those survey responses that indicated an opportunity for service recovery. We have a dedicated team of professionals reaching out to those customers in an effort to repair a broken relationship, provide needed service, or simply explain and apologize for not being able to accommodate a request. The true value comes in tracking the cause of those negative surveys and being able to adjust or revise business practices that are resulting in negative outcomes. Each month, every Marketing Regional Vice President receives a report outlining the feedback received for accounts in their region regarding service requests, loss control, and claims. Armed with this knowledge, they are able to apply a broader understanding of the service you receive throughout your experience with Philadelphia Insurance Companies and apply what has been learned elsewhere to their relationship with you. Each year, we invite every agency contact on record and a random selection of insured contacts to complete our Annual Customer Service Survey. This year, we received 4,313 responses. The next few pages outline the feedback provided in this survey. Our goal is to take the feedback you provide us and continuously improve the experience and service delivered to you, our customer. 5 48.3 Net Promoter Score 38 SECONDS Contact Center Average Speed of Answer
STATISTICS Responder Demographics Pecentage of respondents that were agencies. The remaining 4% are customers How Do You Contact PHLY? 55% By E-mail 35% By Phone 5% Internet/Online Chat 2% Other 2% In Person 1% Through Agent/Broker When asked how you had most recently contacted Philadelphia Insurance Companies, 55% noted that you had corresponded via e-mail, with another 35% via telephone. This reflects slight decrease in telephone and increase in e-mail and chat when compared to 2013 results. These trends support that our industry is becoming more and more dependent on internet channels of communication. 6 287,300 Total Number of Service Inquiries handled by the Contact Center
Overall Customer Service Satisfaction It is evident that our efforts to listen to the feedback and apply action to address your concerns have a direct impact on the customer experience. Achieving a high satisfaction rating from our customers demonstrates our ability to manage to the needs of those customers. Sufficient Information on the Internet The questions below were asked in reference to your most recent service interaction with Philadelphia Insurance Companies. Based on these responses against the past two years, we ve been able to enhance the information available on our website so that you are able to easily locate the resources available. 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% Strongly Agree Agree Neutral Disagree Strongly Disagree 2014 2013 2012 7 SECONDS Average 7 Speed DAY of TURNAROUND Answer 250,000 time Total on Number small of business Service and Inquiries all new handled business by the quotes Contact Center in a year
Duration to Resolve Problem PHLY is pleased to see that we are following through to make sure all problems are resolved. However we do recognize that our survey responses indicate a slightly lower less than one day satisfaction rating this year over last year. So even though we were able to improve our response time within the immediate mark, we understand that our customers expect timely resolution, and our goal will be just that. Being responsive, accountable, and equipped with the right skills to immediately resolve an issue will lead us to building the most positive relationship desired. 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 2014 2013 2012 5.0% 0.0% Immediate Less than one Between 2-3 Between 4-5 More than a Problem skills day days days week not resolved Calls Needed to Reach Resolution We remained relatively steady year over year as to our ability to resolve issues within the first request. Our efforts in 2015 will continue to focus on increasing this percentage as we continue to train our staff and to educate our customers. 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 2014 2013 2012 0.00% Once Twice Three Times More than Three Times 8 7.4 DAYS Number of Days to Paid Commission 90.31% Contact Center E-mail Turnaround in 24 hours
Flexibility in Underwriting Service 56% of responses indicate that you Agree or Strongly Agree that PHLY shows flexibility in underwriting as compared to 56% in 2013 and 65% in 2012. Because PHLY prides itself in having a team comprised of both a driven marketing staff and creative underwriting staff, all of whom understand the needs of each niche industry, we will continue to increase our efforts around flexibility with our decision making to meet customer needs. Agree Neutral Strongly Agree Did Not Respond Disagree Strongly Disagree New Quote Turnaround Time Survey responses continue to indicate strong overall satisfaction scores for new submission turnaround times, but we recognize a slight bump in the dissatisfaction rating and will continue to put forth effort to improve our turnaround time to meet the customer demand. We truly understand the impact that new business efficiency has on the value of our relationships and we are committed to consistently meeting and/or exceeding your expectations. 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 2014 2013 2012 10.0% 5.0% 0.0% Very Satisfied Satisfied Neutral Dissatisfied Very Dissatisfied 9 16 DAYS FROM RECEIPT Number of Days to Process Endorsement
Renewal Turnaround Time Approximately 72% of respondents were Satisfied or Very Satisfied when asked about renewal turnaround times. Our National Processing Center handled more than 41,600 automatic renewal policies this year at an average of 24 days prior to the renewal date. We recognize an opportunity here to improve our customer experience and as such, we have realigned resources to make sure these renewals are being processed in the timeliest manner for our customers. 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 2014 2013 2012 5.0% 0.0% Very Satisfied Satisfied Neutral Dissatisfied Very Dissatisfied Effective, User-Friendly Technology We at PHLY continue to make many updates to our website at the customer s request and we are pleased to see that many of you find the system to be effective and easy to use. However, with a larger than normal population declining to respond (11%), we recognize that we will need to continuously stay one step ahead of technology to ensure all customers have the most positive experience with our website and all it has to offer. Agree Strongly Agree Neutral Did Not Respond Disagree Strongly Disagree 10 4,847 Total Number of New Business Fast Track Quotes 98.18% Customer Service Quality Score
ABOUT PHLY We design, market, and underwrite property and casualty insurance products for niche markets, incorporating value-added coverages and services. We compete on coverage, customized solutions, and consistent pricing, and maintain a disciplined underwriting philosophy. We approach the market through multiple distribution channels: preferred producers, firemarked producers, independent insurance producers, wholesalers, and the internet. We continuously review and refine our business processes to improve efficiency and the ease of doing business with us. We seek out the best people, provide opportunities, and recognize their achievements. We partner with local and national charitable organizations to give back to the communities we serve. We have 49 offices in 13 regions strategically located throughout the United States. 11
Thank You Thank you for honestly sharing your thoughts and perspectives with us. With your continued partnership we look forward to seeing our results reflect even greater satisfaction in 2015! 12
CustomerService Philadelphia Insurance Companies is the marketing name for the insurance company subsidiaries of the Philadelphia Consolidated Holding Corp., a Member of the Tokio Marine Group. 2014 Philadelphia Consolidated Holding Corp., All Rights Reserved