In the insurance agency sales world, life insurance sales is in a class of its own. Most insurance customers are comfortable with paying for health, auto, and home insurance since they are either lawfully required to or they are seen as more immediately valuable. Oftentimes, both are true. But when it comes to life insurance, many consumers do not see the value in paying monthly for a service they will never personally use. This problem is even more apparent during lean economic times.

Nevertheless, life insurance can be a lucrative product to bolster in your insurance agency sales campaigns, but you need to know how to sell it. Luckily, that’s exactly why we wrote his article.

Here are the best life insurance sales tips and techniques.

Sales Presentations

No life insurance sales tips list would be complete without mentioning the life insurance sales presentation. Your life insurance presentation is your opportunity to show your potential client why they need life insurance, and what kind of policy you can offer them.

Your life insurance presentation should include statistics about life expectancy, living expenses in case of death or disability to one’s self or loved ones, how much money it takes for children to go through college these days, etc. These facts are all vital when trying to sell life insurance because they actually show people why life insurance is a good idea for their family’s security.

Your life insurance presentation has one ultimate goal: get the client interested in the product and wanting more information. Once and only one that interest is established should you enter the stage of your sales pitch.

Consultative Sales Technique

Life insurance consultative sales is all about asking the right questions to find out exactly what kinds of life insurance your clients are looking for. If you’re not asking about what they want in their life insurance policy – like sick or injury coverage, coverage for job loss due to illness or injury, or just traditional life insurance that covers the loved ones they may leave behind one day – how will you know what kind of life insurance to sell them?

Concept Selling

Another great life insurance selling strategy is concept selling. Your goal as a life insurance consultant is to get your client thinking about certain life insurance concepts, like life expectancy which can help them determine how much life insurance they need, or financial stability which is vital for life insurance planning. Once these concepts are introduced and addressed, your prospect will begin seeing life insurance in a new light. 

How to Handle Objections

Objections are common in life insurance sales. Many prospects will either say they don’t need life insurance, or they can’t afford life insurance. These objections are common but many life insurance providers don’t know how to handle them. 

One very transparent life insurance sales technique is to bring up reasons that life insurance is beneficial even if you never use it yourself (or lose a family member). Even if clients do not plan on using life insurance themselves, they will likely want to hold onto their policy so that when loved ones pass away, money will be there to help cover funeral expenses and other financial obligations. 

This covers the “don’t need” objection. To address the “can’t afford’ objection, paint the picture of just how affordable life insurance is. In fact, it’s one the least expensive types of insurance, common or not. 

Close on the objection

A pro life insurance sales tip is to use your prospect’s objections as a resource to close the deal. You do this by restating the objection, ask specifically why they are objecting, then suggest a product or feature that solves the problem. You see, objections are really just questions formed by fear of spending money. They are often signals that your prospect wants to buy but they aren’t completely sold on the product yet. When you look at objections as questions for more information, you can then better understand what’s important to your prospect, answer their questions, and address their concerns.

Breakdown Cost by Current Income

Another good life insurance sales tip for objection handling is to explain how much money they could leave behind for their loved ones and compare it to their current means of providing now. If the client makes $100,000 per year and they lose their life (even if they are not the life that is insured), their life insurance policy could end up providing their loved ones with nearly $5 million over 20 years for health care and other life essentials.

This life insurance sales tip works well because clients may otherwise feel too self conscious of their financial situations to think about what will happen when they die. When you tell them how much certain services will cost after death, it has the effect of making them feel more secure in buying life insurance simply because they do not want their loved ones to live without these life essentials.

The Right Technology to Sell Life Insurance

The last life insurance sales tip is to find and utilize the right technology, including an Agency Management System platform (AMS) and a Customer Relationship Management platform (CRM). You need both an AMS and a CRM that is designed specifically for the insurance world. When it comes to the right CRM – InsuredMine CRM fits that need perfectly with a robust offering of automation, communication, and task management tools. Book your demo and try InsuredMine free today!

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