Monthly Direct Final Expense Companies

[efo2009]

I know is no good, but sometimes no other choice and help customers with NO bank accounts,etc.

Which carriers other than American Amicable or Lincoln Heritage will accept this mode of payment, monthly?

Foresters accept it, but quaterly, I believe.

 

[theinsuranceman]

I know is no good, but sometimes no other choice and help customers with NO bank accounts,etc.

Which carriers other than American Amicable or Lincoln Heritage will accept this mode of payment, monthly?

Foresters accept it, but quaterly, I believe.

You can also say "Ms. Jone we have 3 ways you can pay for this..once a year, once every 6 months, or once every 3 months...which do you prefer"?

 

[palerider]

I believe North Carolina Mutual still does this, but they are more for your high risk clients.

 

[Mark]

Most of the monthly bank drafts fall off the book in no time at all.

 

[theinsuranceman]

Most of the monthly bank drafts fall off the book in no time at all.

WRONG! Most of the monthly bank drafts STAY on the books. It's the monthly direct bill business that falls off the books. Probably just an oversight on your part.

 

[jdeasy]

Industry wide the monthly direct has a low persistancy. Personally, my direct bills stay on the books. I've never lost a quarterly or semi annully pay client. My monthly direct are around 85% persistancy . I've got one monthly direct client that pays $205/mo and has for 5 years now. Never once missed a payment. He calls occasionally to tell me the bill from the company is late.

My experience is that a person that intends to pay for their insurance will and the ones that don't won't.

 

[theinsuranceman]

Industry wide the monthly direct has a low persistancy. Personally, my direct bills stay on the books. I've never lost a quarterly or semi annully pay client. My monthly direct are around 85% persistancy . I've got one monthly direct client that pays $205/mo and has for 5 years now. Never once missed a payment. He calls occasionally to tell me the bill from the company is late.

My experience is that a person that intends to pay for their insurance will and the ones that don't won't.

What is your secret to keeping DIRECT BILL business on the books better than the industry ave.? Thanks in advance.

 

[jdeasy]

What is your secret to keeping DIRECT BILL business on the books better than the industry ave.? Thanks in advance.

I don't have a clue. I only do monthly direct when the person wants the insurance and there is just no other way. I don't do it just because I can. I've had some drop the coverage just as I've had some stop their bank draft.

My presentation with everyone weeds out the tire kickers anyway. Again, if a person wants the insurance, they will find a way to pay for it. If they don't want it, they will find a way to stop paying for it no matter the mode.

 

[Mark]

WRONG! Most of the monthly bank drafts STAY on the books. It's the monthly direct bill business that falls off the books. Probably just an oversight on your part.

LOL, I had a brain fart and typed it in wrong. I meant to say that most of the montly direct bill falls off the book.

Back in my Americo days, over 70% of the direct monthly bills didnt make it.

 

[theinsuranceman]

I don't have a clue. I only do monthly direct when the person wants the insurance and there is just no other way. I don't do it just because I can. I've had some drop the coverage just as I've had some stop their bank draft.

My presentation with everyone weeds out the tire kickers anyway. Again, if a person wants the insurance, they will find a way to pay for it. If they don't want it, they will find a way to stop paying for it no matter the mode.

Could you share with us how you eliminate the tire kickers..either on the phone or face to face?