During a recent sales support unit staff meeting, one lively topic of discussion was ethical behavior. The topic seemed to come up for two timely reasons. One is the proliferation of news on business ethics from the world at large. The other is the importance of ethical behavior in the voluntary benefits business, in particular.
Among the business news items and points we discussed:
Enron executives were found guilty. A Business Week interview with Sherron Watkins, former Enron vice president of corporate development, showed how one brave person can be pivotal in turning the tables on unethical behavior. Watkins is generally regarded as the whistle blower of the Enron scandal. Her advice to anyone who witnesses unethical, illegal behavior inside an employer's operations is to go ahead, blow the whistle -- but be prepared to lose your job.
Discussion at our table ensued, and I assured people that there would be no job losses. If staffers still had that concern they could call matters to my attention anonymously and I'd put my own job on the line. If you manage others, you should, too.
We also agreed to be an organization that encourages discussion of ethical behavior. We then proceeded to hold a roundtable discussion about some ethical issues facing the voluntary benefits business and actions to address these issues:
- Customers buying voluntary benefits products place their families' security in your hands. As a benefit counselor, clients rely on you to honestly and ethically discuss and meet their needs.
- Everyone must be on the same team and of the same ethical mind.
Selling the right product seems obvious, but consider the potential harm to a customer and his family if a voluntary benefit is misunderstood. We discussed the importance of accurately depicting a voluntary benefit or any other benefit product.
The proposal process is an area with a history of questionable ethics. Well-documented bid-rigging examples in the benefits market can and should be discussed with your staff.
It's my organization's policy to put our best proposal on the table after probing the producer for the most accurate info on which to base our bid.
Think seriously about holding your own ethics roundtable and/or training session. Walk through your proposal process with staff members and discuss the overall importance of following ethical procedures in this and every other area.
The organization I represent is one of the charter members of Insurance Marketplace Standards Association. We periodically undergo third-party ethics audits conducted by IMSA representatives concerning our training procedures, marketing materials, and complaint handling. Our customers translate IMSA membership as an ethics "seal of approval."
How does ethical behavior lead to a competitive advantage in the voluntary benefits market? We are in a business that relies on Trust. Our customers trust us with their money. They trust us and our products to deliver the benefits -- whether life, health, or disability -- that they and their families need. There's no question that ethical business behavior is an essential part of building such trust in the voluntary benefits industry.
