What do people want when buying life insurance? If you are reading this, you’ve likely been around long enough to know that it’s hard to replicate a one-size fits all approach, especially when it comes to something as personal as life insurance. That’s why LIMRA decided to ask people what they want. This succinct research reveals some interesting insights that you can apply to your future clients when it comes to the life insurance buying process.
While it can be helpful to profile ideal candidates or create formulas for the perfect sales process, it would be better if you knew instinctively how to meet their unique set of needs. Part of a well-rounded financial plan includes life insurance, which protects and provides for loved ones if the unthinkable happens. This alone is generally not enough to satisfy the client and you need to instead replicate a process that builds trust, educates, and ultimately gives them the confidence that they’re making the right choice.
Remove the mystery from buying life insurance
People today have a measurable need to research even if they plan to discuss their options with a professional before they make a purchase. Many reported that they started the process of buying life insurance online. In fact, most individuals gather as much information as possible online first. This self-education allows them to feel prepared, generally knowledgeable about how the products work, and aware of their coverage needs. It also removes some of the “mystery” surrounding the insurance industry. Let’s face it, insurance can be complicated and overwhelming. Yet, people like to know their choices, so as much as you can uncomplicate the process, provide options, and even reviews of carriers or policies, you will be speaking their language.
“Buying in person may offer a higher level of service, a greater understanding of what they bought, and a greater likelihood of buying the right type and amount of coverage.” LIMRA
People want to talk to an advisor
The complication of insurance products and options is why many prefer to speak with a professional before making a purchase. This is somewhat surprising given their affinity for online research. LIMRA’s study shows that regardless of age, there is a strong preference among individuals to complete their purchase with a financial professional. If they have access to most or all the data and in some cases, can complete the entire purchase online, why would they not? Personal advice is hard to replicate when buying life insurance online. Many of the study participants remarked that their ability to speak with someone and discuss their options gave them the needed assurance that they were making the best choice.
Key takeaways for advisors
At the top of the study participant’s lists is to find an advisor who will listen to their needs, give accurate and unbiased advice, and provide post-sale services. LIMRA points out that the most effective advisors take time to understand the needs of the individual, provide price and carrier comparisons, and become an educational resource. In addition, they want to know that you’ll provide customer service after the sale if they have future questions or needs. If you can do these things, you will build trust and increase your chances of meeting the needs of your future clients.
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