As crazy as it sounds now, rumor has it that in 1902, thecommissioner of the Patent and Trademark office recommended thatthe office be closed. His reason? He was pretty sure that anythingthat could be invented had already been invented. Truth or fable,it makes you think twice about innovation and change.

And as much as we are all aware of change and know on a certainlevel that it's inevitable, we often fall into a trap of not trulyappreciating how much different tomorrow will actually be,especially when it comes to the boundaries of our businesses.

When it comes to our businesses, there are two boundaries thatare most relevant. The first boundary is defined by what weperceive to be the needs of our clients. And with that boundaryestablished, we then set the second boundary of “what we do,” to bealigned with the first.

Starting off with no boundaries

When we were kids, we had no boundaries on what we could do. Aska little kid, “What do you want to be when you grow up?” and youwill get every kind of answer from an astronaut to a cartooncharacter. They perceive no boundaries. But, as we get older, theboundaries become more and more narrow.

I'm guessing there aren't many of you who would have answeredthe “what do you want to be?” question with “insuranceprofessional.” Yet, despite the fact that most of us end up hereaccidentally, very few of us leave once we're here.

The reason seems pretty obvious. This industry offers rewardsthat I can't imagine being available in many other industries. Wehave the opportunity to make nice incomes. We have a reasonablework/life balance (outside of fourth quarter, anyway). And we getto make a meaningful impact on the businesses of our clients.

However, as much as I believe these are all appreciated, I thinkthey pale compared to the final two: A recurring revenue stream (weget paid really well when we sell something, and we keep gettingpaid well year after year); and the fact that everyone has to buywhat we sell.

The rewards of the industry are so great that we are willing tomake a “deal with the devil.” In order to have those rewards forourselves, we accept the very narrow boundaries of an industry thatis myopically focused on the fact that everyone has to buyinsurance. We fall in line and narrow the boundary of what ourcustomers need down to the one single need of insurance. And,because we will always align the boundary of what we do to meet theneeds of our customers, we narrow that boundary down to “we doinsurance.”

Competitive boundaries

The deal with the devil doesn't end there. We also accept aboundary on how we can compete and how we get paid.

The insurance that brokers are so focused on is a commodity.And, if you are dealing with a commodity, you now have competitiveboundaries imposed on you. With a commodity, you can only competebased on lowest price. This then forces you to see who can bolt themost features onto the product, and then you try to differentiateyourself by promising better service.

Revenue boundaries

You also accept a boundary to be placed on the revenue cominginto your business. As generous as it has been in the past, thedeal with the devil means we have only been able to get paid basedon the pre-determined commission schedules provided by thecarriers.

In the past, the narrow insurance boundaries have been fine. Weknew that if we had enough activity, we would write a new group.When times were good, those existing clients would grow by addingemployees or even a new location. And, along with the predictablylarge increases, percentage-based commissions assured you ofgetting nice increases to your income, even in years when youdidn't necessarily write new business.

Oh, how times have changed.

Because of all the threats on the benefits side of the business,our results are less predictable than ever before. Virtually everyreward that has kept you in an unintended industry is now underattack (commission schedules are shrinking and the work/lifebalance is fading). It doesn't mean you can't still have thoserewards, because I believe they can be greater than ever, but youwill have to work for them like never before.

Redefine based on what customers want

As Abraham Lincoln said, “The best way to predict your future isto create it.”

Creating our future means redefining those critical boundariesof our business. We must start by redefining what our customers need. Asmuch as customers have to buy insurance, theywant so much more.

Including those of you who have the responsibility of buyinginsurance for your own agency, buyers resent the fact they have tobuy insurance. But it is an important part of what they reallywant.

What business owners really want is to be an “employer ofchoice;” to attract and retain the employees who will make themmore successful; to have higher levels of employee engagement aspart of their work experience.

With this new boundary of “what our clients need/want” defined,we must start to redefine what we do in order to meet that need.This means you are no longer merely in the insurance business; youhave to be in the make our clients better business.

Redefining how your business works

Redefining the boundary of what your business does is not anendeavor to be taken lightly. However, given the threats to thecurrent boundary of your business, it is also not an endeavor ofchoice. It has to become a necessity.

If you have members on your team who aren't willing to grow withyou as you grow the business, you have the wrong people on yourteam. If you have clients who won't accept anything other than aninsurance answer from you, it's only because you haven't taughtthem to have greater expectations of you and their relationshipwith you.

You have to be willing to grow your business in such a way thatyou outgrow some of your current team members and some of yourcurrent clients. If you don't, the best of both will outgrowyou.

Raise your game

We also hear the excuse, “But all we have ever done isinsurance.” This may be true, but being in the benefits insurancebusiness, I guarantee you are doing it differently than you did afew years ago. It wasn't that long ago than none of you readingthis could carry a conversation about PPACA. Yet, because yourecognized the need to master PPACA for the benefit of your clientsand your own survival, you can now carry a conversation aboutperhaps the most complicated piece of legislation ever written.

Because your survival depended on it, you studied and expandedthe way you can help your clients. You now need to use that samewillingness to learn new ways of helping your clients. Expandingyour boundaries depends on it and the very survival of yourbusiness depends on it.

The role of the broker has never been more important, and yourclients need you in ways they never have before, which means youhave to work in ways you never have before.

Sure it's scary, but just look at PPACA. You've already provenyou're capable. And, as we all know, facing your own fears is thefirst step to becoming the feared competitor in your market.