Selling Final Expense

[LadyYaYa]

Ok, I am very proficient at selling medicare supplements but not at final expense. I know it's an easy sell and I've looked at the training on how to sell it.

I looked at a rate of one for $5000 @ $30.50/month for a 65 year old. That means after 13.5 years they will have paid into it as much as the face value is worth. Does a FE plan increase in cash value over the years? Or does it make sense to offer a term plan?

 

[0b1kanobee]

Good question and is this stuff explained if one joins the ILIAA?

 

[Todd King]

Good question and is this stuff explained if one joins the ILIAA?

I would say that would be an excellent source for learning all about final expense.

LadyYaYa, The cash values do in fact increase, but the face amount does not. Sometimes it does make sense to write term, but for a 65 year old please realize that the term will eventually run out. The conversion rate would be very high at that point.

It would be good for your client if you could write him a fully underwritten WL policy as opposed to the Simplified FE product. Many Seniors will balk at doing the medically underwritten app though.

 

[Fisher]

Does a FE plan increase in cash value over the years? Or does it make sense to offer a term plan?

Generally speaking, no to both questions.

 

[pfs.bjohnson]

Ok, I am very proficient at selling medicare supplements but not at final expense. I know it's an easy sell and I've looked at the training on how to sell it.

I looked at a rate of one for $5000 @ $30.50/month for a 65 year old. That means after 13.5 years they will have paid into it as much as the face value is worth. Does a FE plan increase in cash value over the years? Or does it make sense to offer a term plan?

You're over analyzing the situation.....just sell the policy!

 

[Newby]

Ok, I am very proficient at selling medicare supplements but not at final expense. I know it's an easy sell and I've looked at the training on how to sell it.

I looked at a rate of one for $5000 @ $30.50/month for a 65 year old. That means after 13.5 years they will have paid into it as much as the face value is worth. Does a FE plan increase in cash value over the years? Or does it make sense to offer a term plan?

If you are talking about a healthy woman you are pricing her a real bad choice.

If you are talking about an unhealthy woman she needs to decide if she thinks she will live over 13.5 more years.

And yes some plans increase the face amount each year. They are less common though and the premiums are higher.

 

[Allan Gilbert]

I can sell a 65 female for $5,000 whole life for $22.34 a month... $30 is too high... If you were to sell it let me know so I can replace it

 

[captain94]

@ 65 I would talk about a 15k min prbly a 20k policy. 5k wont cover a funeral today let alone 20 years later

 

[Allan Gilbert]

Captain I totally agree with you... actually a No Lapse UL is perfect for this customer

 

[Fisher]

Captain I totally agree with you... actually a No Lapse UL is perfect for this customer

And you know this how?

(I know, I know... you're just working that post-count thing.)