If you’re an agent, your focus is likely the same every day: generating new insurance leads. I hear it all the time, “If I’m not in front of a client, I’m losing money.” If that’s true, why do most agents overlook their best source of new business?
To find this untapped pool, look no further than your current clients.
The easiest sale to make is to a current client. If you want to generate new leads, target a current client. Think the well is dry after one close? Studies show the average person will buy life insurance products 5-7 times in their lifetime. If you move on after one sale, you’re likely missing out on 4-6 additional opportunities.
In a 2017 industry study, consumers revealed they wanted an annual review of their life insurance coverage. That’s right, an annual review of their coverage. When was the last time you spoke with your clients? If it was over a year ago, you’re losing money. Because in addition to death and taxes, there’s another certainty in life: change happens.
Qualifying Life Changes
Year after year, the one thing you can count on is that needs change. People marry, have children, celebrate birthdays, change jobs, buy homes, retire. The list continues. If you need further proof, just consider your own life.
How has the past year affected your needs? If you’re like me, they’ve changed significantly. Mine are changing today in fact. In a few hours, I will welcome another grandbaby into the world. My needs are changing, so I am reviewing my coverage. And in addition to celebrating a new life, I am purchasing a life insurance policy designed for accumulation, which will help send my youngest grandchildren to college.
Your clients undoubtedly experience similar qualifying life changes each year. How many do you think occurred since you last spoke with them? One in three Americans believes they need more life insurance, but more than a third of insured households say they haven’t purchased more because a financial professional has not approached them. As their agent, your clients rely on your expertise. You know the importance of reviewing their coverage, so it’s up to you to be in regular contact.
Timing is everything.
We know changes happen, but the key to growing your business with existing clients is consistent contact. You need to know about their qualifying life changes as they happen. Constant contact ensures you know about their life changes, meaning you have a significantly better chance of closing new business with them. Catch them when they are already considering how their lives are changing. Did you know birthdays are the top reason that Americans begin planning for retirement? Birthdays come around EVERY YEAR.
You can’t afford to leave these opportunities open for another advisor to take advantage of. Call them up to suggest you meet for an annual review of their coverage and their existing family organizer kit. It’s never too late to start a proactive program to be top of mind when life changes happen.
Don’t have a family organizer kit? Contact DMI to schedule a Marketing Deep Dive and develop your custom plug and play system today.