There are many obstacles when it comes to selling Life Insurance. The biggest ones usually come with the objections of clients and their reasoning behind not having a plan. To not only help your client but improve your business, you must understand those objections. By being prepared to rebuttal their reasoning, which can easily have been misinformed, you will need a brush up on the top reasons most Americans don’t have life insurance.
“Life Insurance Is For Old People”
Most people relate Life Insurance with being old and there is a good chance your client is one of those people. We must break down that idea, especially to the younger generations. Life Insurance is for everyone, specifically those who have people they care about and want to protect. With around 17% of the population believing they do not need Life Insurance you must break that stereotype from their mind. Life continues to build up even after someone were to pass away. By explaining that bills won’t stop for a loved one even after they are gone, this might help your client understand the importance of Life Insurance.
Another way to help your clients understand why Life Insurance is important is its ability to create tax-free savings. Most of us are always putting money aside into a rainy day fund. Why not put it away in a guaranteed policy that will give your kids protection? Life Insurance can not only provide a policy that builds up the more you pay into it, but it’s also tax-free. Explaining the benefit’s of this type of protection can easily perk the ears on any client trying to manage money correctly.
“It Cost Too Much”
” I can’t afford it”. We have all heard this statement in some sort or fashion. 52% of Americans choose not to buy Life Insurance because it involves spending more money. A life policy is often compared to nonessential costs, such as eating out, bar trips, or other forms of entertainment. By cutting out two or three of those costly events each month, you will be able to cover the cost of Life Insurance premiums. There are also different types of Life Insurance that drastically cut the cost down.
‘I Don’t Understand The Policies”
The final argument you might hear is that “I don’t understand it”. This is where you come in. As the agent, it’s your job to make it easier for your client to understand the benefits of Life Insurance. By having a strong list of carriers that are balanced you have the ability to fit your client’s needs. There are new Life policies every year and by finding something flexible for your client, you can help them have the coverage they need.