Insurance agents are under tremendous pressure due to dramatic shifts in property casualty markets. While premiums and retention, as well as commissions and policy retention, have fallen, overhead and workload have increased. It has led to a scramble of agents trying to figure out what they should do next in order to keep the ship afloat.
Independents and large captive carriers alike are beginning to realize the immense power of “fully monetizing” client relationships that remain on the books. It’s difficult to do. Moreover, I spend a lot of time consulting property and casualty agents about the mechanics and strategy of adding financial services and life insurance to their practice. This means that life insurance selling to property and casualty agents can be one of the most powerful tools for navigating the turbulent waters of the new insurance reality.
Pure life agents would love to have hundreds of homes that know you and are willing to help you. For more life insurance prospects, they would chew off their left leg. You’re sitting with a group of great prospects, but you’re still complaining about the tough market for your agency.
Engaging clients in conversations about life insurance and retirement planning opens their eyes to the potential value you can bring to their overall planning. Building a relationship with clients is the key to building a stronger relationship. Selling life Insurance Once you have helped them to discover their true needs, their deepest fears, and their love of their family, then everything else can be done.
If you’re a property and casualty agent interested in selling financial products and life insurance, you owe your clients and yourself the obligation to do so in a professional manner. It is likely that you will lose your expert status if you do not take the time to get it right. Before you embark on your journey, make sure to consider the overall strategy. You can transform your income and relationships by helping your clients.
How do you accomplish this? First, avoid selling life insurance in the same way you would sell a fire policy. This is why many property casualty agent and agency owners have concluded that they cannot succeed in property casualty as well as life insurance. It’s an either/or proposition for them. This misconception is a result of not understanding the intrinsic motivations that lead people to buy life insurance. People do choose to buy life insurance, and they are doing so online in record numbers. That should tell you something.
Life insurance is different from other types of insurance. This means that you need to approach it differently. A successful conversation about life insurance is, in essence, just that: a conversation. It is not a pitch or a script. It’s a thoughtful, objection-free conversation that allows prospects to navigate the necessary discovery phases and reach their own conclusions. You help the prospect create their life insurance plan, and then you facilitate their purchase. There is no selling involved. After they have identified their needs (with your assistance), you can simply guide them through the process and answer their questions. Asking questions is a great way to start a conversation.
” Have you ever done any planning for life insurance?
This is an example objection-proof question that will help make you stand out. How many of your competitors live planning as you do? You’re not the only one, I promise. You can create objection-free discovery questions that allow for natural conversations. This allows prospects and clients to discover their needs, rather than selling them products. They will see you as an expert in planning and not just a salesperson.
Selling life insurance is a satisfying experience that can transform an agency both financially and relationally. Your clients want life insurance. They’re willing and able to pay for it. Why aren’t they offered it?
