Objection Handling for Cancelling a Policy

[GAInsuranceGal]

I just got news from a relative of mine that they want to cancel their FE policy. They said that they cannot afford it. However if their was a budget in place, I think they can probably afford it.

I want to let them know the importance of this (more important than cable, eating out, etc.) because ultimately my husband and I will be stuck footing the bill to bury them.

Can you let me know how you handle this. I would greatly appreciate it.

I'm sure all agents on this site have experienced this, so I'm sure I will get lots of advice.

 

[bill3173]

You could gently remind them that it never gets any cheaper or something, but if you hesitate about this, you've broken a cardinal rule of insurance sales: Don't screw with family or friends. You can't afford to lose them.

I sell family and friends all of the time, because I've never asked for their business. I am Ned Ryerson otherwise, but not with the two Fs.

 

[moonlightandmargaritas]

I want to let them know the importance of this (more important than cable, eating out, etc.) because ultimately my husband and I will be stuck footing the bill to bury them.

You mean the importance of it to YOU. They don't care. Save your breath, move on and resolve to find better quality clients.

 

[VolAgent]

If you are going to be paying for the funeral if there is no insurance you have a choice.

Pay the premium or pay for the funeral. Your choice.

 

[medsuptage]

I want to let them know the importance of this (more important than cable, eating out, etc.) because ultimately my husband and I will be stuck footing the bill to bury them.


^ Explain this to them. And they should understand.


If they are fine with burdening you and your husband with an emotional and financial loss, well that's just messed up.

Worst comes to worse... pay it for them.

 

[WinoBlues]

I just got news from a relative of mine that they want to cancel their FE policy. They said that they cannot afford it. However if their was a budget in place, I think they can probably afford it.

I want to let them know the importance of this (more important than cable, eating out, etc.) because ultimately my husband and I will be stuck footing the bill to bury them.

Can you let me know how you handle this. I would greatly appreciate it.

I'm sure all agents on this site have experienced this, so I'm sure I will get lots of advice.

What do you think they feel is a priority? The NFL package or your future debt? Simply ask them what they want done if one of them dies? And how is the other one going to pay for it. If they look at you, well you have your answer. If you feel you will be on the hook and it makes sense to pay it, pay it.

I pay for one of my brother's policy. But am just about at the point of cashing it in and letting the county deal with him. His priorities are a new car.

 

[Mr_Ed]

If you are going to be paying for the funeral if there is no insurance you have a choice.

Pay the premium or pay for the funeral. Your choice.

ditto---if you really believe in the value of the product why are you asking for advice... just pay the premium so you won't have to pay the funeral expenses.

 

[VolAgent]

I want to let them know the importance of this (more important than cable, eating out, etc.) because ultimately my husband and I will be stuck footing the bill to bury them.


^ Explain this to them. And they should understand.

We are presumably talking about a senior here, not a 16 year old. It also sounds like it is apparently a close relative. If they haven't learned to be responsible and care about others by this point, it is too late.

 

[GaInsProf]

There is no way to sell ignorance or poverty...seniors- bah, humbug...makes me sooo happy I don't sell to seniors, family or final expenses...the seniors made bad decisions when younger, now their meager savings are paying point zero zero nothing and the see the wolves circling..if its a family member you would have to pay the burial for, tell them you are either gonna put them in the pauper field or cremate their sorry butts, giving them a dose of reality, or bite the bullet and pay the premium...or you could also tell them you will take them to the woods and let the coyotes eat them when they die. Of course these are all scare tactics, which I totally approve of.

 

[Pete Cormie]

The fact that they're family does complicate matters. Whenever I've had someone want to cancel, I ask them why they wanted it in the first place. When they tell me, I say to them "what's changed since then? Did you receive an inheritance or hit the lottery? Because if you let this go, then you're back to square one with no way to pay for your burial. You solved this problem once, now you're creating the same problem again. Is that what you really want to do?" If they still claim poverty, I might try to get into their budget a little to see if they can afford to just reduce their face amount "for awhile" instead of letting the whole thing go.