Clients with High Face Amount FE Wants?

[TPAAgent]

What are some the ways you guys are handling a client who wants way more coverage than they can afford. That is one of the areas where I seem to stumble. I can usually get through it but I have to believe there are some smoother ways of doing so.

I have two appointments tommorow and both have told me they would like to get $50,000 worth of coverage. They are both 60year old tobacco users on limited income and we all know they can not afford that type of premium. In the car business doing F&I we were always taught to bounce them off the ceiling to raise their sights, but I don['t beleive that is a good approach when selling insurance, as all they have to do is stop making payments and its chargeback city. I would rather lower there expectations to a more realisitic number before I give them any numbers at all.

If they are in decent health- try AA Easy UL-

 

[Rearden]

What is their NEED versus their WANT?

Have you had a conversation (needs-analysis) on why and what reasons they need $50k in coverage?

I get the facts first, then pre-qualify on health, then sell on premium, then give them the honest truth and WHY that is (term versus whole).

95% of our prospects know little to nothing about insurance. Most of them hate the idea of spending money on something they'll most likely never see (term).

"Are you planning to kick the bucket BEFORE 80... or AFTER 80?"

"What's the point of paying for something your loved ones will never see the value of?"

"You get what you pay for, right, Mr. Prospect?"

I did that today. Albeit it was a work down from $20k to $10k. I went through what was most important (burial) and educated her on a reasonable number ($10k) to pay it. Then I assured her she could always come back later down the line and buy more, *like most of what my clients do anyway*.

 

[WinoBlues]

$50,000.00 could be for Finale Expenses.

One of my Hmong families called me today to write one of the grandmothers. Their funerals are high and low of $40,000.00 now.

It is easier to write them now than when I first wrote them 20 years ago. In the past justifying the face amount v income was a problem. Some companies are more aware of the traditional cost now.