Still Selling Groups?

[brandeeno]

I've never sold anything in my life, but I'm going to give my 2 cents. Most of you probably know this stuff anyways...

Most group health decisions are made by the C-Suite these days. You have to get comfortable talking to them and you have to ask yourself what they might be interested in. A lower level manager is worried about the next week or next month. The mid-level manager is worried about the next quarter. The C-Suite are interested in longer time horizons. So, I would take a long term approach when selling group insurance and tailor my presentations for that 3-5 year window. Whatever product you sell them WILL have long term implications even if they only stay in it one year. Think time value of money and that type of stuff....

 

[ABC]

I've never sold anything in my life, but I'm going to give my 2 cents. Most of you probably know this stuff anyways...

Most group health decisions are made by the C-Suite these days. You have to get comfortable talking to them and you have to ask yourself what they might be interested in. A lower level manager is worried about the next week or next month. The mid-level manager is worried about the next quarter. The C-Suite are interested in longer time horizons. So, I would take a long term approach when selling group insurance and tailor my presentations for that 3-5 year window. Whatever product you sell them WILL have long term implications even if they only stay in it one year. Think time value of money and that type of stuff....

That is an interesting point.

What I find the most effective is saving the client money. That usually results in sales. Then that savings with service turns into a long term client.

 

[brandeeno]

What I find the most effective is saving the client money. That usually results in sales. Then that savings with service turns into a long term client.

When you "save" a client money, you trade something for it. Most often times it means more risk for the client or thier employees. As you know, the risk is real. Most of the money-saving strategies by some salespeople are short term in nature. For instance, you could take a client on a rich PPO and dump them in a narrow network HMO. It would probably save them 15-18%. But what do you do next year? Or the year after that? Pretty soon you've gutted the plan design and pushed a lot of the cost on the employees. Then participation is down and they can't get good pricing anywhere. And then you get fired.

Employee Benefit Plans require longer term strategies these days. It requires a much deeper discussion than what it will cost in the next 12 months. You have to think about how these decisions impact culture, retention, recruiting, etc.

I'm not saying that I'm right 100%, but it's just how I see things.

 

[ABC]

When you "save" a client money, you trade something for it. Most often times it means more risk for the client or thier employees. As you know, the risk is real. Most of the money-saving strategies by some salespeople are short term in nature. For instance, you could take a client on a rich PPO and dump them in a narrow network HMO. It would probably save them 15-18%. But what do you do next year? Or the year after that? Pretty soon you've gutted the plan design and pushed a lot of the cost on the employees. Then participation is down and they can't get good pricing anywhere. And then you get fired.

Employee Benefit Plans require longer term strategies these days. It requires a much deeper discussion than what it will cost in the next 12 months. You have to think about how these decisions impact culture, retention, recruiting, etc.

I'm not saying that I'm right 100%, but it's just how I see things.

I would agree with you that you are not 100% right.

You can sell an apples to apples plan and still save money. You go from one national network to another national network. Since you have never sold any type of employee benefits you really have no clue of market conditions or how to sell for and against any one play.

 

[brandeeno]

You can sell an apples to apples plan and still save money.

I never said you couldn't.

Since you have never sold any type of employee benefits you really have no clue of market conditions or how to sell for and against any one play.

You are correct. You are way smarter than me. Carry on...

 

[EugeneM]

Are you prospecting lol. Not to be a smart ass...

I found it easier this season then any others TBH... in California

my arena is in higher employee counts so it might not be the same.

It is the best time of year as 90% of bizz is on a 1-1-renewal.

 

[ABC]

If you are prospecting large groups, I feel that segment has stayed the same under the ACA.


In my state we are really down to just a couple of carriers on the fully insured side. There is no where to move business. The carriers have had all the groups at one time or another which does not help underwriting.

I think the self funded vehicle will become a bigger option in the market.

 

[smokin goose]

Any ideas on closing in the face of objections like "waiting to see what happens with the change in healthcare"

And

Any tips on setting the initial meeting to discuss voluntary supplemental benefits?

Sorry so broad and personal to each persons sales technique. I'm new and just like reading good advice

Do your best to separate vb from obamacare. If an employee is sick or hurt and unable to work they would still need a paycheck, regardless of what is happening with obamacare. It's a separate issue.

You'll still have some employers with tunnel vision though.

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Depending on your carrier, try to work the broker market.

 

[bjames]

I am looking for the same thing. Objections like "waiting to see what's going to happen".