Lower prem vs higher comm and ease of submit

[PhxSunsFan]

hypothetical insured 10,000

prosperity 45.77 comm 120% and easy app
vs
SNL 43.49 comm 110% more diff App. prem diff $ 2.28 per month

prefer to use prosperity,,,, ok to feel good about using prosperity?

 

[bboman23]

I would feel comfortable with it. You can find a carrier that's $2 less than SNL. Then you can find another carrier that's $2 less than that one.

If it's within a few bucks, write what you like to write.

Where you shouldn't feel comfortable is putting a client in a waiting period when you have a carrier (or one exists) that would give day 1 coverage.

 

[BarryNY]

Where you shouldn't feel comfortable is putting a client in a waiting period when you have a carrier (or one exists) that would give day 1 coverage.

This is 100% spot on and is the #1 issue when some "captives" force their agents to sell a waiting period!

 

[rousemark]

hypothetical insured 10,000

prosperity 45.77 comm 120% and easy app
vs
SNL 43.49 comm 110% more diff App. prem diff $ 2.28 per month

prefer to use prosperity,,,, ok to feel good about using prosperity?

Don't have Prosperity but do have SNL. If Prosperity is simpler than SNL to submit then it must be so easy a "caveman can do it"



As to your question, cheapest price is not the only thing to consider. It should be good for the client, the company AND the agent. And, one of the things that makes it good for the agent is using a company he/she is comfortable with.

 

[Newby]

hypothetical insured 10,000

prosperity 45.77 comm 120% and easy app
vs
SNL 43.49 comm 110% more diff App. prem diff $ 2.28 per month

prefer to use prosperity,,,, ok to feel good about using prosperity?

You should never feel bad about what you are selling because they had nothing before you got there. You just wanna make sure you're not getting bad persistency by selling companies that are so high that you're constantly getting replaced by every agent coming behind you.

if you have really aggressive agents in your area that are likely to be coming behind you they are going to be able to sell companies like KSKJ or Life shield or several other more aggressively priced companies and give them $13,000 of coverage for what you sold them $10,000 for.

if that's a problem you run into a lot then I would just make sure you were also selling very competitively priced companies. If you are not running into that then why change anything? All the medium priced companies are within a few dollars of each other. Just choose the one you like best and sell a ton of it.

The other advantage of selling more competitively priced companies is if you are constantly running into people who have recently bought something like prosperity. If you are only selling the mid packers you have to leave that house without a sale. But if you are selling the low priced companies you can save that person around $10 per month or add $3000 more coverage for free. Most people are going to do that. That's the reason they sent in another lead card. Because they wanted to see if they could get a better deal than what they bought. If you can deliver that to them that gives you additional sales opportunities even though you make less commission percentage per sale.

 

[PhxSunsFan]

thanks for the reply... I better know what kskj and lifeshield ls, lol... ive not heard them ever mentioned... as col penn etc is often mentioned