Average FE monthly premium?

Aug 3, 2008

  1. Winter_123
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    What are you guys seeing for an average FE monthly premium approximately when selling to the over 65 crowd?

    Thanks,

    Winter


    ps. I posted this same question a while ago and it was either removed or lost in space so excuse if it appears twice.
     
  2. Joe Moore
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    Some of our better agents have somewhere in the $70-80/month average. Some will only try to quote $5000-$10,000 coverage, hoping to come out with any type of sale which will usually be in the $40 to $60 range.

    One tactic we have used with great success, and taught some of our in-house agents is to say get a price on $10,000-say $52.66/month. Have ready a quote for what $60.00 will buy. Ask the client if they would like to have a figure that is easy to remember that is coming out of their account every month. If the $60.00 doesn't work, ask about $55.00. If you try rounding up, you can usually cover your gas with the extra commissions, even at these gas prices.

    Joe Moore
    National Senior Benefits
    Asurco Insurance Marketing
    PO Box 1954
    Morristown, TN 37816
    1-800-226-1004
     
  3. Winter_123
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    Winter_123 Guru

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    Thanks but I don't work that way.

    Winter
     
  4. GreenSky
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    Neither would any other agent.

    Rick
     
  5. GreenSky
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    GreenSky Guru

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    That's terrific. A dishonest IMO using "tactics."

    You must be so proud.

    Rick
     
  6. Joe Moore
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    What do you see wrong with this?
    It is giving the client a true choice.
    Are you going to take issue with everything I say?
    If you are in front of the client, why not give them some choices?
    It seem there is a lot of negativity and resentment on this board.

    Joe Moore
    National Senior Benefits
    Asurco Insurance Marketing
    PO BOx 1954
    Morristown, TN 37816
    1-800-226-1004
     
  7. rlggray
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    I figure 3 quotes, say for example, $7,500 - $10,000 - $12,000, write them down on the bottom of my fact finder sheet with the monthly premiums directly below them and the daily cost below that and then I just let them pick the one that would fit their budget. To answer your question, I would say the average is probably in the $55-$60 range.
     
    rlggray, Aug 3, 2008
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  8. Newby
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    Hey Joe! Good to see you on the board.

    Basically what I do when selling final expense is find out what they want it to cover. Usually it's for funeral expenses. I ask them if they know what they type of funeral they want will cost currently and usually they will say between $8,000 to $10,000. Then I ask what the oldest age a person in their family has ever lived to. Usually it will be in their 90's.

    So then I project how much they will need if they live to age 90. If they are 65 now and you start with an $8,000 funeral price and add 4.5% inflation rate for 25 years you will have $24,043 as what they need. They usually have a $5,000 to $10,000 policy already so you can subtract that amount and sell a policy on the difference. Many will buy more if they want to leave something for other uses.

    If they want to buy less, that's fine too. But they should understand what they will realistically need.
     
    Newby, Aug 3, 2008
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  9. Newby
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    I don't really see anything wrong with what he's doing. It's the way most agents sell. It's better to base the amount on their needs but I'm sure a lot of people just want to spend "X" amount per month.

    Joe is a good IMO. Gives me good contracts and gives an instant release if needed. He just released my Oxford contract last week as soon as I asked. I still have several things through him.
     
    Newby, Aug 3, 2008
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  10. GreenSky
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    It's the fact that you see this as a "tactic." I don't sell using a tactic.

    The only negativity from me is that I see you as dishonest due to your release policy. Change that, and I'll change my attitude towards you.

    Rick
     
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