# Explain an insurance premium increase to a policyholder

An honest renewal explanation of why a premium went up and what the policyholder can do about it.

- Topic: Customer Support
- Framework: Few-Shot
- Level: Standard
- Tags: Customer Support, Explain & Teach, Fill-in Template
- Source: https://www.thinkwithprompt.com/prompts/explain-an-insurance-premium-increase-to-a-policyholder

## Prompt

```text
Help me explain a premium increase to a policyholder at renewal.

**Line of insurance:** [e.g. "homeowners", "auto", "small business package", "commercial property"]
**Old and new premium:** [AMOUNTS]
**Reasons for the increase:** [LIST what actually applies - e.g. rate filing approved in the state, higher replacement cost or insured value, claims history, change in risk (new driver, renovation), loss of a discount, reinsurance or catastrophe costs, market conditions]
**Options available:** [higher deductible, coverage adjustments, discounts they might qualify for (bundling, security devices, telematics), payment plans, marketing to other carriers if I am a broker]
**Relationship:** [agent/broker to client, or insurer to policyholder]
**Format:** [email / letter / phone talking points]

Write:
1. An opening that states the new premium and effective date upfront - no burying it.
2. The reasons, in order of impact, in plain language. Explain industry-wide factors briefly without using them to hide account-specific ones.
3. Options to manage the cost, each with what they gain and what they give up (e.g. a higher deductible means more out of pocket on a claim). Flag any option that could leave them underinsured.
4. Clear next steps and the date by which they must act.
5. A short version for a phone call.

Do not invent reasons or discount amounts; mark unknowns [CONFIRM]. Do not advise reducing coverage below lender or legal requirements.
```

## What to fill in

- AMOUNTS
- agent/broker to client, or insurer to policyholder
- email / letter / phone talking points
- CONFIRM

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