Life Insurance

How are you quoting term prices to your client?

Presented by John Schraut Are you just giving them carrier, product and price? Do you just stress death benefit? How about next time you talk about the living benefits. Yes, there are benefits that the insured can take advantage of while living: Disability Income, Critical Illness Benefits, Long Term Care Benefits or Return of Premium. These will add value to the policy and value to you as the insurance advisor. Plus, it will increase the premium which will increase your commission. So next time you quote term, look at the living benefits that you can offer.
Annuities

Suitability issues? Not anymore.

Presented by David Corwin Consider selling a life policy instead of an annuity on your next sale. It allows a lot more dollars to be passed on to loved ones without incurring income taxes as well. I heard a story once where an agent was sued over not offering such a product when it could have worked beautifully. The things to consider: Do they want to live on the money or pass on the most possible amount of money? In other words, are they currently living on the money or is this the last penny that they have, if so, then probably not the best idea. Are they healthy enough to pass underwriting? If they are unhealthy then it wouldn’t make sense to go through underwriting just to get turned down. (Of course, you know that here at Financial Brokerage, we can help determine that.) I ran an illustration recently that allowed a 51 year old male (who had 100k) to purchase a 641k life insurance policy. Now you tell me why that wouldn’t make sense, instead of an annuity. In the title, I spoke about suitability issues so I will cover that too. Now I’m not advocating doing things that aren’t in the client’s best interest. I would only say to offer an annuity as an alternative and allow the conversation to evolve about making such a decision. It’s impacting ones family as to how much is passed on at their death so it should be clearly explained and well thought out.