Senior Life Unannounced Rate Increase-Normal/Abnormal?

[theinsuranceman]

Wait! I think I have misunderstood the whole thing. They still have to pay out of pocket $2950 in addition to paying the $4.00 per month?

Yes. They would pay $2950 via Legacy or pay the funeral home. At today's prices the funeral home would be charging approx. $7000- $8000. Most families would prefer to pay $2950 instead of approx. $7000-$8000. for the casket, vault, and monument. The $4 monthly membership is not significant at all. $48 per year or $480 per 10 years. The funeral home's prices will have risen much more than $480 after 10 years.

Using the rule of 72, and assuming the ave. interest rate is 3%, it would take 24 years for the funeral home's prices to be double, all other factors constant. And after 24 years Legacy would still provide that casket, vault, and monument for $2950 to that same member AND their 4 family members they added to their membership at no additional charge.

Since you've never sold a policy bundled with Legacy it may be hard for you to understand. Ms. Jones has never told me she didn't want Legacy. They always see the value. Only $4 per month for these savings for her and 4 family members.

 

[theinsuranceman]

One thing for sure Greg . We can argue about whatever we desire . But the truth is there's very little loyalty in the fe game . Noah's correct when we walk out they forget what we say . If there's was loyalty we'd have very few people to see as few would mail the card in . Ever been back to see a client a few yrs later ?Many have bought another policy wether online or from tv . Many sure didn't call us . A good salesman can replace a good policy with an expensive one if he desires . Them be the facts

Yea loyalty is not the greatest. That's where Legacy helps us. The 13 month persistency averages approx. 9% higher., at least that's what the figures were about 3 years ago when they studied it a little closer.

That's why I can almost guarantee you'll see other carriers come up with their own "Legacy type" program. Some of them will need that improved persistency to stay afloat, especially with the super low interest rates they are getting on their reserves.

When something good comes along there will be copy cats later. Look at FE tele-sales for example. Sr Life started FE tele-sales back in 2004 , over a decade before the other carriers started. Same thing will happen with carriers developing their own Legacy programs over the next few years.

After that what will be the next new thing that a carrier can do to differentiate itself from the competition? Probably start buying or building funeral chains. Don't laugh. I can easily see that as an extension of their profit streams.

 

[titeye]

Wait! I think I have misunderstood the whole thing. They still have to pay out of pocket $2950 in addition to paying the $4.00 per month?

Yes, they still pay out of pocket. Any casket the member wants is $1,500. The cost of the burial vault and headstone is on top of that. I think Greg's point is, so long as the funeral home meets Legacy's prices, the family wins either way. It is the owner's responsibility, however, to educate their beneficiary of the existence and benefit of Legacy, not just the life policy.

 

[theinsuranceman]

Heck, it looks better than the policy! Upon death Legacy jumps into the family's corner to help negotiate the funeral's price. The beneficiary gets the check and Legacy helps protect the family from assigning an assignment form. And Legacy does speak with the family and also the funeral home on behalf of the family, with the sole purpose of lowering funeral expenses, etc.


You really get your down line to believe that's how the death claim is processed ?

They "jump in" and "protect" the family from planning their loved ones funeral

You must be hittin' on some good stuff over there !

Here's some validation for you since you're quite the skeptic.



If you're a field agent and you play this short video for Ms. Jones this video will help you make a few extra sales to those procrastinators that can't seem to ever make a decision.

Here's another video that, when played in the house for Ms. Jones, will help you close more sales. This is another example of how Legacy increases an agent's closing %. This video will help weak agents make extra sales too. Higher closing % means happier agents and less agent turn over.

Dropbox - In Home Legacy Video For Recruits.m4v - Simplify your life

If anyone has any questions, or looking for a great opportunity in the final expense industry where they can enjoy a higher closing % please call me anytime 9am est to 7pm est Mon-Sat. @ 252-292-3350.

 

[rousemark]

Yes. They would pay $2950 via Legacy or pay the funeral home. At today's prices the funeral home would be charging approx. $7000- $8000. Most families would prefer to pay $2950 instead of approx. $7000-$8000. for the casket, vault, and monument. The $4 monthly membership is not significant at all. $48 per year or $480 per 10 years. The funeral home's prices will have risen much more than $480 after 10 years.

Using the rule of 72, and assuming the ave. interest rate is 3%, it would take 24 years for the funeral home's prices to be double, all other factors constant. And after 24 years Legacy would still provide that casket, vault, and monument for $2950 to that same member AND their 4 family members they added to their membership at no additional charge.

Since you've never sold a policy bundled with Legacy it may be hard for you to understand. Ms. Jones has never told me she didn't want Legacy. They always see the value. Only $4 per month for these savings for her and 4 family members.

The $2950 would not represent any savings on the average funeral in may area. As you can see from this partial GPL, the average price for casket and vault is $2500.... Some spend more, some less..

Serenity Funeral Home & Cremation Center | Parting

 

[theinsuranceman]

Yes, they still pay out of pocket. Any casket the member wants is $1,500. The cost of the burial vault and headstone is on top of that. I think Greg's point is, so long as the funeral home meets Legacy's prices, the family wins either way. It is the owner's responsibility, however, to educate their beneficiary of the existence and benefit of Legacy, not just the life policy.

Exactly right. If the funeral home wants the business of selling the casket, vault, and monument they will have to lower their prices as low as, if not lower than, Legacy's prices. And the funeral home will also need to provide a casket that looks like the one that "momma" picked out from Legacy's selection. The family wins no matter if they pick Legacy or picks the funeral home. So it's pretty easy to see that bundling Legacy with their Sr Life policy is the right thing to do.

 

[titeye]

\Ms. Jones has never told me she didn't want Legacy. They always see the value. Only $4 per month for these savings for her and 4 family members.

I understand your passion, Greg. If you don't believe in what you're selling, no one will.
However, I think it's a big stretch to say, "they always see the value and no one ever says they don't want Legacy". That suggests you would have a 100% closing ratio, so long as you thoroughly explain the benefit of Legacy.

 

[BibH]

What's slice recording ? Are you asking all the health questions your asking when the phones on speaker ? If so are you typing all the info on your tablet ?

 

[theinsuranceman]

The $2950 would not represent any savings on the average funeral in may area. As you can see from this partial GPL, the average price for casket and vault is $2500.... Some spend more, some less..

Serenity Funeral Home & Cremation Center | Parting

That's a great price for the funeral. They charge only $4925 for a funeral. That is a rarity as most funeral homes will charge $10k-$12k or there abouts.

 

[titeye]

The $2950 would not represent any savings on the average funeral in may area. As you can see from this partial GPL, the average price for casket and vault is $2500.... Some spend more, some less..

Serenity Funeral Home & Cremation Center | Parting

The long term benefit seems better than any short term benefit. There is a lot of truth in inflation increasing the costs of funeral merchandise. I'm just not smart enough to calculate the breakeven point.