I finally understand the attraction of senior life

[myinsurebiz]

I almost went to Senior Life. Their “zero roll up debt” was one thing I never heard before and is a good concept. But yeah you’re exactly right.

“zero roll up debt”

No such thing.

 

[Newby]

Fact is, if you are selling policies based only on rates, all of them can be replaced. It is very difficult to replace the most expensive policies out here, when the agent has built a solid relationship with the client. Most policies that get replaced are being sold by product pushers, not by someone who is seen as a trusted and valued advisor. Don't underestimate the value or perception of a relationship.

I never found it to be true that it was difficult to replace more expensive policies. Some of them LOVED their State Farm Agent. Right up until they got shown how much they were over paying compared to other life insurance companies.

 

[jdeasy]

Fact is, if you are selling policies based only on rates, all of them can be replaced. It is very difficult to replace the most expensive policies out here, when the agent has built a solid relationship with the client. Most policies that get replaced are being sold by product pushers, not by someone who is seen as a trusted and valued advisor. Don't underestimate the value or perception of a relationship.

Don't overestimate that crap. I haven't seen that to be the case on any product over 20 years.

I've heard that story from people pushing overpriced products for 20 years though.

It is not difficult at all to replace that stuff. I had one a couple years ago that had bought OA. Almost $100/mo more than the best price for the husband and wife. Husband was a former Combined agent. They were a little reluctant to change because "she was so nice. She sat down right there on the floor and told us all about her life story and how hard she had had it and raising 2 little girls alone now. We really liked her". So I asked if it was worth paying too much to have her as an agent. They said no. I wote the two applications. He said since he was a former agent he knew how that would affect her so he was going to send her some money.

This wasn't instant approval but they were approved and when I delivered the policies I asked him if he sent the other agent the money he was talking about. He said, "no, the more I thought about it she just used that BS to get us to pay too much".

And the other side of that is that they can get good, (better), service and have a relationship with a "trusted and valued advisor" that gets them the best price. I find the agents that sell the overpriced products are the ones that are pushy and don't provide any extra value. That lady didn't deliver the OA policies. They came in the mail. I'm a $100/mo less and I delivered the policies. When one of them. or both, die I will be helping with the claims. That lady is probably out of the business.

When you pay too much you don't get more. You just paid too much!!

 

[titeye]

Don't overestimate that crap. I haven't seen that to be the case on any product over 20 years.

I've heard that story from people pushing overpriced products for 20 years though.

It is not difficult at all to replace that stuff. I had one a couple years ago that had bought OA. Almost $100/mo more than the best price for the husband and wife. Husband was a former Combined agent. They were a little reluctant to change because "she was so nice. She sat down right there on the floor and told us all about her life story and how hard she had had it and raising 2 little girls alone now. We really liked her". So I asked if it was worth paying too much to have her as an agent. They said no. I wote the two applications. He said since he was a former agent he knew how that would affect her so he was going to send her some money.

This wasn't instant approval but they were approved and when I delivered the policies I asked him if he sent the other agent the money he was talking about. He said, "no, the more I thought about it she just used that BS to get us to pay too much".

And the other side of that is that they can get good, (better), service and have a relationship with a "trusted and valued advisor" that gets them the best price. I find the agents that sell the overpriced products are the ones that are pushy and don't provide any extra value. That lady didn't deliver the OA policies. They came in the mail. I'm a $100/mo less and I delivered the policies. When one of them. or both, die I will be helping with the claims. That lady is probably out of the business.

When you pay too much you don't get more. You just paid too much!!

A few things, JD.
1. I did say it is difficult to replace the most expensive policies. Perhaps I should have put limits on that. Paying $100 more per month is excessive, especially when we are talking about the average FE demographic's financial situation.

2. Those clients in your example felt they were doing the agent a favor. They never related to him as a valued and trusted advisor.

3. Those pushy agents that don't provide any extra value are the same one's I was defining in my argument. That was my point, exactly.

You are the opposite of that type of agent. You walk into an appointment and you literally show prospects how, why and where they are not benefitting. This level of service is the beginning of a relationship built on the truth, which will naturally lead them to listen to what you have to say. Once they see and believe the product you have shown them is is more favorable or suitable, they start to value you as an advisor and product replacement takes effect. That kind of relationship is hard to overcome.
Now, let's say an agent comes behind you with a less expensive product. One that is new to market that hasn't come to your attention yet. Provided it's not grossly underpriced, 9 out of 10 times your client will call you first. Not because you gave them a sob story about how hard life was coming up, or your grandchildren need new shoes. I would like to believe that they will call you because they value you as their advisor, and they believe that if something out there was so much better, you would be the first to tell them.

 

[Newby]

A few things, JD.
1. I did say it is difficult to replace the most expensive policies. Perhaps I should have put limits on that. Paying $100 more per month is excessive, especially when we are talking about the average FE demographic's financial situation.

2. Those clients in your example felt they were doing the agent a favor. They never related to him as a valued and trusted advisor.

3. Those pushy agents that don't provide any extra value are the same one's I was defining in my argument. That was my point, exactly.

You are the opposite of that type of agent. You walk into an appointment and you literally show prospects how, why and where they are not benefitting. This level of service is the beginning of a relationship built on the truth, which will naturally lead them to listen to what you have to say. Once they see and believe the product you have shown them is is more favorable or suitable, they start to value you as an advisor and product replacement takes effect. That kind of relationship is hard to overcome.
Now, let's say an agent comes behind you with a less expensive product. One that is new to market that hasn't come to your attention yet. Provided it's not grossly underpriced, 9 out of 10 times your client will call you first. Not because you gave them a sob story about how hard life was coming up, or your grandchildren need new shoes. I would like to believe that they will call you because they value you as their advisor, and they believe that if something out there was so much better, you would be the first to tell them.

The whole “if you sell on price you will get replaced on price” is the nonsense that marketers of high priced products pitch to their agents to try to get them to stick around. It has zero basis in reality.

Agents who sell the more competitively priced companies ARE the better servicing agents. The #1 service you can provide for your client is to get them MORE death benefit for their premium dollar. Giving a professional presentation and answering your phone when they call are a given.

But if you do everything else right but leave the price to death benefit door wide open you will get replaced if another agent gets in the house. The science is in on that.

 

[jdeasy]

A few things, JD.
1. I did say it is difficult to replace the most expensive policies. Perhaps I should have put limits on that. Paying $100 more per month is excessive, especially when we are talking about the average FE demographic's financial situation.

2. Those clients in your example felt they were doing the agent a favor. They never related to him as a valued and trusted advisor.

3. Those pushy agents that don't provide any extra value are the same one's I was defining in my argument. That was my point, exactly.

You are the opposite of that type of agent. You walk into an appointment and you literally show prospects how, why and where they are not benefitting. This level of service is the beginning of a relationship built on the truth, which will naturally lead them to listen to what you have to say. Once they see and believe the product you have shown them is is more favorable or suitable, they start to value you as an advisor and product replacement takes effect. That kind of relationship is hard to overcome.
Now, let's say an agent comes behind you with a less expensive product. One that is new to market that hasn't come to your attention yet. Provided it's not grossly underpriced, 9 out of 10 times your client will call you first. Not because you gave them a sob story about how hard life was coming up, or your grandchildren need new shoes. I would like to believe that they will call you because they value you as their advisor, and they believe that if something out there was so much better, you would be the first to tell them.

I don't think so. If an agent can come behind me, and they do, and offer a better deal then they will most likely get the business.

A few call me and say an agent is there. I rarely get replaced and even more rare to be knowingly replaced. But I get the people the best deal they qualify for. Only way that's not the case is if their health is changed now and they haven't told me so I could do better or maybe quit smoking and didn't tell me. But usually it's an agent there trying to write a smoker as a non smoker. And they succeed at that sometimes. Those are usually easily fixed. If I know. Many agents do not do replacement forms. I usually know anyway because I follow up on any missed payments. No matter how long it's been on the books.

It's no going to happen many times because if a well priced product hits the market and I lose people to them, I'm not fighting uphill. I will just pick up that company.

That's how I got RNA many years ago. I had never heard of RNA. An agent replaced me using RNA. I looked at it and it was good. I called Scott to see how if he knew about it and if he had it. He said no but he knew someone that did. That someone was Travis. That's how I met Travis. To get an RNA contract.

People don't give 2 shits about you! Or me! It's still about, what's in it for me?

These agents going around showing pictures of their family and giving a little booklet about their "story" are just fooling themselves and getting bad training. Offering to take their shoes off, sitting in the floor, etc. is just getting the job done. People care about one thing, what's in it for me?

And that case I said might have been extreme at $100/mo more. But it would have been the same outcome had it been $20.

And maybe someone is reluctant to change over $5/mo. But switch that to $1000 more coverage for what they are paying and it's game over.

Now, maybe not if one is just cold calling or cold canvassing? But I'm not doing that. I'm seeing people that are shopping. They requested the info. They want to be sure there's not a better deal.

And I tell them to do just that. "you need to do what's best for you. Not what's best for that other agent. Not what's best for me. Not what's best for that company. Do what's best for you!"

I just a lady on delivery last week that about her husband's policy. It wasn't issued as applied. I told the company I would present the OTAF offer but they probably wouldn't do it. He wasn't home when I delivered her policy. So I just told her the details. Iwas $20/mo less but not as good a policy. They liked the $20 savings. She asked what they should do. I told her, if you want to do what's best for me, you will accept. If you want to do what's best for you then stay where you are. That's what they are doing.

You have a point about service and being trusted. But you don't have to sell overpriced policies to service and be trusted.

 

[ValeRosso]

“zero roll up debt”

No such thing.

Well there are companies that have this as a benefit of their IMO, so either they are lying or you know something I dont know.

 

[jdeasy]

Well there are companies that have this as a benefit of their IMO, so either they are lying or you know something I dont know.

They are lying if they, or anyone, told you no roll up debt. Everyone rolls up debt to whomever they can get to pay it.