Client retention is the foundation of any successful insurance business, yet it remains a significant challenge for many advisors. While attracting new clients is important, retaining existing ones is often more cost-effective and valuable in the long term. Various factors can contribute to client attrition — ranging from unmet expectations to a lack of personalized service. Addressing these challenges effectively requires a strategic approach that focuses on trust, consistent communication, and tailored solutions. Ankita Agarwal, a four-year MDRT member from Bhubaneswar, India, shares her insights on effective client retention strategies and the metrics that define success in this area. 

 

Consistent communication and personalized service 

When it comes to retaining clients, consistency and personalization are non-negotiable. “I have always believed that regular communication helps reassure clients and keeps them engaged,” says Agarwal, who currently serves high-net-worth individuals and business owners. This involves not only periodic updates but also making an effort to understand clients’ unique financial goals. “Every client has different aspirations — some might focus on retirement planning, while others are more interested in wealth accumulation. I ensure that my advice is tailored to their specific needs,” she adds. Agarwal recalls a client who was particularly anxious about market volatility affecting their retirement fund. “Instead of offering generic advice, I took the time to analyze their portfolio and suggest adjustments that aligned with their risk tolerance. This personalized approach not only helped ease their concerns but also reinforced their trust in my expertise,” she shares. 

 

Proactive re-engagement: Turning challenges into opportunities 

Client attrition is sometimes inevitable, but it can also be an opportunity for re-engagement if approached correctly. “One of the biggest mistakes financial advisors make is assuming a client is lost forever after a period of disengagement,” Agarwal explains. Instead, she advocates for a proactive approach to reconnect with clients whose priorities may have shifted. She shares an example, “I reached out to a former client with a personalized email that included market insights relevant to their past interests. I also offered to discuss any new financial goals they might have. This gesture not only revived the relationship but also led to deeper discussions about long-term planning,” Agarwal recalls. By taking the initiative to re-engage, she transformed a potential loss into an opportunity to strengthen the client relationship. 

 

Seeking feedback: A path to continuous improvement 

Feedback is essential for understanding what clients value most and where improvements are needed. Agarwal emphasizes the importance of actively seeking feedback through follow-up calls and surveys. “Clients appreciate when their opinions are heard and acted upon,” she says. For instance, as most of her clientele are high-net-worth individuals and business owners, she recognized their need for regular updates on India’s economic movements. To address this, she launched a monthly newsletter that delivers tailored insights on market trends, policy changes, and investment opportunities. This initiative keeps her clients up to date, enabling them to make well-informed financial decisions while reinforcing her role as a trusted advisor.  

“In response, I started a monthly newsletter with market updates and tips, along with live Q&A sessions. This not only addressed their concerns but also made them feel more connected and valued,” she explains. 

 

Measuring success: Beyond retention rates 

For Agarwal, the true measure of success in client retention goes beyond just numbers. While repeat business and low attrition rates are vital, she believes the quality of relationships is equally important. “The highest compliment a client can give is a referral,” she says. “When clients refer their friends and family, it’s a clear sign that they trust my advice and service.” She also tracks engagement metrics such as responses to newsletters and attendance in Q&A sessions. However, the most fulfilling feedback comes from clients who express how her guidance has positively impacted their financial well-being. “When a client tells me that my advice helped them navigate a challenging financial phase without stress, it reaffirms that I am on the right path,” she shares. 

 

Building trust through transparency and reliability 

Trust is at the heart of client retention, and for Agarwal, it is built on transparency and reliability. “I make it a point to be upfront about both risks and opportunities. Clients appreciate honesty, especially when it comes to financial matters,” she explains. Reliability, on the other hand, means being consistent with follow-ups and delivering on promises. “If I commit to providing an update or addressing a concern, I ensure it’s done promptly. Clients need to know they can count on you, especially during uncertain times,” she adds.   

Client retention, in Agarwal’s view, is not just about preventing attrition but about building relationships that last. “It’s like long-term investing — the effort you put in today pays off significantly in the future,” she says. By focusing on personalized service, transparent communication, and proactive engagement, Agarwal has been able to turn clients into long-term partners, creating a foundation for sustainable growth.  

“When clients feel that you genuinely care about their financial well-being, they stay — not just as clients but as advocates for your services,” she concludes. 

 

Contact: MDRTeditorial@teamlewis.com