Life Insurance: Your Legacy of Love
Presented by Jim Linn Once in awhile I come across a sales idea, concept, video, etc., and feel it merits sharing. This is one of those pieces. This video summarizes the importance of what you do and opens the door to what is important to your clients. Don’t pay attention to the length of the video before playing, as it will become irrelevant once you begin to listen to the message. Turn your speakers on or put your ear buds in. This is a piece that can be shared with your clients and prospects. Your Life Sales Manager would be happy to get you the formal link to send to clients. https://www.youtube.com/watch?v=kVel7Q_mgHUJobs Growth = Life Insurance Opportunities
Presented by Brian Leising Looking for life insurance prospects? Follow the U.S. Department of Labor’s monthly jobs report to find your target markets. From the report for August 2015: “Total nonfarm payroll employment increased by 173,000 in August, and the unemployment rate edged down to 5.1 percent, the U.S. Bureau of Labor Statistics reported today. Job gains occurred in health care and social assistance and in financial activities. Manufacturing and mining lost jobs.” How can this help you? First of all, this is great news! Unemployment is at its lowest point in seven years. People have jobs. If they have jobs, they have income to protect and cash flow for life insurance premiums. If you work with business owners, target employers in the growing industries of health care, social assistance and financial activities. If they’re hiring, they’re growing and need help with benefits. Employees in the declining industries of manufacturing and mining may become retirement planning prospects as they leave the employer that sponsored their 401(k).Benefits of Permanent Life Insurance
Presented by Gary Peterson Many of us look for the easy or quick sale. We forget that most of the public are not familiar with the many benefits permanent life insurance can offer. I saw that a study was done showing that most people believe that life insurance is used for Final Expenses and income replacement. Here are several other ways Life insurance can be used to benefit your clients:- Paying mortgages and debts
- Paying estate taxes
- Creating an estate
- Providing a cash flow in retirement
- Equalizing an inheritance
- Paying for college
- Taking out a loan/borrowing against
- Funding charitable contributions
Laddering Life Insurance
Presented by Brian LeisingLaddering is a way to save your clients money on life insurance and give them exactly the amount of coverage they need at the exact time they need it. Instead of one policy covering multiple needs, your clients will have a separate policy for each need. How does this work? Let me show you an example:
Sample client, married, two children, one mortgage
Let’s say you conducted a needs analysis for a male age 35 and determined he needs $1,000,000 of life insurance for 30 years. Assuming the best health class, the price would be $814 per year. Does your client really need the entire $1,000,000 for all 30 years? What if he has a ten year old child he expects to be independent at age 20? $250,000 may only be needed for the next 10 years. Let’s assume he also has a 5 year old and needs another $250,000 until that child’s age 20 (15 years). He purchased a home with a 30 year mortgage 10 years ago and owes another $250,000 for the next 20 years. Finally, he plans to retire at age 65 and his wife needs the remaining $250,000 for income replacement for 30 years.
How to save $10,000
When you add up the premiums for $250,000 each of 10, 15, 20 and 30 year term the price is only $673.60 per year. That’s a 17% savings for the client. But wait, there’s more! In year 11 when the 10 year term expires, his price drops to just $559.50. In year 16 it drops to $430.50 and in year 21 it drops again to $269.00. That’s a total premium savings of $10,004 over 30 years, a 41% savings over that same time span!