Final Expense IMO's for a Beginner

[dbab]

Our focus is still FE. But we have specialists to help if you run across the other business.

We do have downline agencies that focus on MP. I have recruited quite a few Symmetry and Equis agents that do MP as well. I tell them coming in that I won't be much help. But we've gained enough solid MP producers that we have people to rely on if someone has a question.

We've been cross-selling Medicare off of FE leads for awhile and our affiliation with Heartland has just strengthened that 10x.

Heartland had some old school annuity guys that did all their annuity sales off of FE and Medicare leads. They became One Life Advantage. All our guys have to do is bird dog for that money. Then pass it off to the annuity team and they will shop it out, run the illustrations, explain it to the agent and even help the agent close it while they're in the house. They'll get the idea as time goes on, but off the start they don't have to be experts on qualified/non-qualified money, cap rates, indexing etc. We have a dedicated team with 20-30 years experience a piece to walk our agents through the process.

Our core focus is still FE. I start every recruit call telling prospective agents that we believe the "riches are in the niches." Focus on one thing and master it. Then you can add on complimentary products and/or team building if you want.

Most of our agents will never sell anything other than FE.

Wow, that's awesome. Thanks for the clarification.

Am I reading this right? You are selling Medicare and Annuities off of FE leads? How is One Life able to do this when, for the most part, the rest of the world can't? Just what kind of demographics do these FE leads have? Sure doesn't sound like it's the normal demographics!

Why wouldn't that be possible? Is it because FE demographics are usually lower income and people who purchase annuities are higher income?

 

[Todd King]

[QUOTE="dbab, post: 1299881, member: 91142"Why wouldn't that be possible? Is it because FE demographics are usually lower income and people who purchase annuities are higher income?[/QUOTE]

That is exactly why and why I'm inquiring about it.

 

[Newby]

Some of the annuity buyers are in homes you would never expect. I had a guy and his wife that had a house that you wouldn't think they could afford $25 per month. And the truth is, he wouldn't spend one penny that he isn't forced to. Frugle to the point of being a little crazy about it. I mean his house didn't even have wall to wall floors. Caved in floor section right in his living room.

But he was retiring from his factory job that he had for 40-years. Needs to put his pension money somewhere. The annuity was the perfect spot for him. He stuck $125,000 in the annuity and hasn't touched a penny of it 10-years later. It's just accumulating. He comes in to have me help him with his RMDs every year and is very proud that he lives on less than his social security check every month.

I had another guy almost the same as that one but had wall to wall floors. He also worked in a factory his entire life. Won't spend a penny. But he has bought and paid off rental houses his entire life. Has a huge income from all the rents. He had built up 1.5 million dollars from all those rental properties and never spending any money. He did a $350,000 annuity with me and it was off a plain Jane regular old FE lead.

To give you an example of how cheap that 2nd guy was, he took a lady who was another customer of mine on a date. She was about an 8.5 on the beauty scale (adjusted for age of course) and he was about a 3.0. She was very classy and had been a doctors wife but that doctor died young and left her pretty broke. But she was used to nice things.

For their 1st date he took her to a free dinner/sales pitch thing. He was a full blown plate licker and did that all the time. He tried to get her to go to another one for a 2nd date. Didn't end in a love connection.

But there are a lot of annuities out there in homes you don't expect. My speciality was men and women that are scared to death of losing one penny. When you explain indexed annuities to them they can't sign up fast enough. I never sold any to people that were happily investing their money. But when the market takes a dive, if you keep your ears open, you will hear them describing annuities. They just don't know there is really a product that does what they are describing. Until you explain it to them.

I always like using this video to introduce the concept to them.

 

[KRobby]

Of course, they'd have to have a lot more liquidity or cash flow than social security checks for an annuity to be suitable, regardless of how big their qualified money total is.

 

[Newby]

Of course, they'd have to have a lot more liquidity or cash flow than social security checks for an annuity to be suitable, regardless of how big their qualified money total is.

Yes. Those two guys I talked about are both savers and accumulators not spenders. They have several little nest eggs of liquid money but never touch it. My kind of people (as clients.) they can be a little annoying on a personal level because every story is about tactics for being a cheapskate.

Personally I like the middle of the rode. The majority of people spend WAY too much money. But when people spend WAY too little money it's not good either. It's like financial anorexia.

 

[WinoBlues]

Man, this place has changed.

......My kind of people (as clients.).....

Going to wager your FE book is not real heavy with welfare homes.

 

[KRobby]

Man, this place has changed.


Going to wager your FE book is not real heavy with welfare homes.

I remember him and JD saying something like how they don't cross paths often, Scott works closer to middle of the road and JD has no bottom filter and a low top filter.

 

[HoosierLife]

What demographics are you using for your FE leads?

We're targeting the same as everyone else. The numbers we've found is about 5-6 out of 100 FE prospects end up being annuity prospects. Folks like what Newby was talking about.

I didn't believe it either. Until I met with a guy that buys all his downlines agent's FE leads. And in return he passes him the annuity prospects.

And get this, the guy doesn't even have his FE contracts under him, just the annuity contracts.

Too early to be definitive, but our agents that take 20+ leads weekly and have added annuities are selling $100,000 in annuities each month.

Just gotta ask about it in every house. The ones that have money surprise you 75% of the time.

 

[Tahoe Ray]

Too early to be definitive, but our agents that take 20+ leads weekly and have added annuities are selling $100,000 in annuities each month.

Dude...come on. Is this like 3 guys after 2 months? 1.2 million in ancillary annuity sales (when it isn't a major product focus) is a really solid number.

I find it really hard to believe that focusing on the lowest income folks would yield some of the top producing annuity agents.

I'm sure there are plenty like Newby describes but I'd love to know your sample size.

 

[rousemark]

Dude...come on. Is this like 3 guys after 2 months? 1.2 million in ancillary annuity sales (when it isn't a major product focus) is a really solid number.

I find it really hard to believe that focusing on the lowest income folks would yield some of the top producing annuity agents.

I'm sure there are plenty like Newby describes but I'd love to know your sample size.

There are plenty of people that would be in the lowest income group due to the fact they are retired and SS is their primary or even sole source of income that have several thousand in savings. They were not in the lowest income folks during their working days.