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LIFE INSURANCE: �THE BASICS AS �AN INDEPENDENT�BROKER

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AGENDA

Introduction: Life Insurance Basics

Building confidence: Using your tools

Engaging the audience: Build Rapport & Trust

Materials & Supplies: Badges & Carriers

Final tips & takeaways

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Basic Understanding of Whole Life and Term Life

Term Life Insurance – This is a vehicle that provides coverage for a certain amount of time (typically 10-30 years). You get a ”death benefit” that will pay out if the insured should pass during the term of the policy. This benefit is typically tax-free and can help financially support the beneficiaries.

Instant Decision Term Series Overview - Americo Training Videos (wistia.net)

Final Expense / Whole Life Insurance – This a vehicle that last the entire lifetime of the client as long as the premiums are paid. This also carries a “death benefit” with it. The premiums for this are usually higher as it not only covers the cost of insurance but also build cash value.

Americo Final Expense ClientPresentation.pdf (americofinalexpense.com)

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Simplified Issue vs Full Underwriting

With a simplified issue policy, there's no requirement for a full medical exam, bloodwork or urine sample, so a client can have coverage in place in minutes– not weeks or months.

Our max death benefits for simplified issue:

(Varies by carrier, and this is based on a healthy client)

Term – Up to $2 Million

IUL – Up to $1 Million

Final Expense – Up to $50K

95% of the insurance policies sold at FFL/PWP are simplified issue. Our clients love the ability to have coverage in place right away and most of all, not have to do a medical exam/bloodwork/urine sample.

The Medical Information Bureau provides consumer reports (not credit reports) for the exclusive use of insurance companies which are members of MIB Group, Inc. In a nutshell, the MIB helps insurers in charging and classifying applicants based adequately on mortality risk and therefore keep rates affordable. Insurance carriers use the MIB to perform a prescription check during a simplified issue life insurance application.

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What is Whole Life Insurance?

KEY TAKEAWAYS

Permanent life insurance refers to coverage that never expires (unlike term life insurance).
Most permanent life insurance combines a death benefit with a savings component.
Whole life and universal life insurance (IUL, which we are covering tomorrow) are two primary types of permanent life insurance.
Life insurance policies enjoy favorable tax treatment.
Permanent life insurance policies have much higher premiums than term life insurance policies, which lack a savings component.

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What is Final Expense Life Insurance?

Final expense life insurance, sometimes called funeral expense insurance or burial insurance, is a inexpensive policy designed to cover all of the costs associated with someone's passing.

It is a form of Whole Life built for individuals typically 50+ years old. The max death benefit is $50K unless you stack carriers (Yes, you can do that). Health underwriting is much more lenient than term or standard whole life. Transamerica FE does start at age 18.

All simplified issue. Traditionally, these policies come with a 50% Terminal Illness Ryder and do build a very small amount of cash value.

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Health Underwriting Approval Ratings

Term and IUL

Final Expense

(Prosperity grid shown below)

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What are Living Benefits?

Living benefits are often referred to as accelerated benefits or living benefits riders. These are designed to help policyholders meet financial needs during times of serious illness or other specified situations.

Critical Illness Benefit: This will allow policyholders to receive a portion of their DB if they are diagnosed with a covered critical illness such as cancer, heart attach, stroke, or a sever neurological disorder.

Chronic Illness Benefit: Provides financial assistance if the policyholder becomes chronically ill and is unable to perform certain things without assistance. This can cover LT Care expense (nursing home or in-home care).

Terminal Illness Benefit: Allows policyholders who are diagnosed with a terminal illness with a short life expectancy (typically less then 12-24/mo.) to access a portion of their DB.

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Prerecorded Trainings (Self paced learning)

https://fflcard.com (Great all-around resource to learn all different product types and selling tools)

https://srstrainingcamp.com/ (The best IUL and FIA bootcamps in the industry)

https://www.familyfirstlifeschool.com/p/recruiting (Recruiting and growing an agency bootcamp)

https://ffl.americo.com/ (Best carrier site to learn Whole Life and Term Life)

https://www.youtube.com/@FamilyFirstLife (Live Weekly Trainings by Top Producers and Agency Owners)

https://familyfirstlifeschool.com/p/baseshopbuilderscall (Weekly call to learn from the best agency builders in the industry)

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How to Submit an E-App

Americo Demo - https://tools-demo.americoagent.com

AIG SIWL and GIWL - https://www-115.aig.com

Mutual of Omaha - https://producer.mutualofomaha.com/enterprise/portal

Aetna - https://www.aetnaseniorproducts.com/ssi/login

F&G - https://saleslink.fglife.com

(TransAmerica is VERY similar to MOO as they both use iPipeline software, best on Google Chrome)

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What is an IUL?

IUL – Indexed Universal Life Insurance

With a IUL you can get a death benefit, premium flexibility, cash value component, index-based growth and tax advantages. (Called the “Swiss Army Knife” of the insurance world due to all of it’s benefits)

IUL insurance offers a combination of life insurance protection and potential for cash value growth tied to market performance, making it attractive to individuals for a mix of investment and insurance.

An IUL grows its cash vale through an ”equity index” account.

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What are the Benefits of an IUL?

Tax-deferred growth
A unique way to capture growth from stock market volatility without stock market risk
Tax-exempt access to both your principle and growth even before age 59.5
A tax-free death benefit that doesn’t automatically expire after X years
Tax-free distribution – Eliminate the dependency on the tax rate at retirement age
Retirement Income
Potential lifetime access to the death benefit in cases of chronic illness, critical injury, terminal illness, or other situations requiring long term care
Protection of lawsuits and creditors
It’s a key strategy used by the wealthy to stay wealthy, and pass down generational wealth

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Target Markets for an IUL

Tax Free Retirement Planning + Life Insurance + Living Benefits + Accelerated Cash Value Accumulation

Business Owners (1099)
Individuals who put money into a 401K
Reasonably heathy clients
Younger kids (up to Elementary) to plan for college education and beyond
Older kids to secure their financial future

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Index Universal Life (IUL) Comparison

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https://srstrainingcamp.com/ (IUL SRS TRAININGBOOTCAMP)
https://fflcard.com (EVERYTHING IUL)
https://www.youtube.com/watch?v=QjoqslKt2II (IUL 101)
https://www.youtube.com/watch?v=eVqVVGcboVg (IUL Product Training)
https://www.youtube.com/watch?v=yIRYOvJ99CU (Everything IUL & Compound Interest, BYOB)

IUL Training Resources

Every Thursday at 12PM EST

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MOO IUL EASY SOLVE

https://www.youtube.com/watch?v=yyTnspyEJyM&feature=youtu.be

Winflex

WinFlex is the industry’s standard platform used to illustrate carrier products and create advanced sales proposals. Used by a large segment of brokerage and independent producers, WinFlex provides carriers valuable shelf space when it comes to illustrations and product selection.

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Our IUL Carriers

Americo ($450K Max DB, Easy Solve Option, Simplified Issue, Instant Decision)
Mutual of Omaha ($300K Max DB, Easy Solve Option, Simplified Issue, Instant Decision)
Ethos (Ameritas - $1 Million Max DB, Easy Solve Option, Simplified Issue, Instant Decision)
F&G ($1 Million Max DB, Accelerated Underwriting, Blood and Urine might be requested, will be simplified issue/instant decision by early 2024)
Foresters (Most lenient for clients with blood sugar issues)
NLG (National Life Group)
Corebridge, and more to come!

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Illustrations

What are IUL policy illustrations? When you sit down to discuss IUL policy options with an agent, you’ll be shown illustrations. These are projections of the policy’s cash value growth, based on predicted interest rates, fees, payments, caps, participation rates and loans.

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Explaining an IUL to a Client….

Start with a simple overview of the product: It’s a type of permanent life insurance that combines a DB with a cash value component that’s linked to a performance of underlying index.

Understand the clients' goals: You must know what they are looking for when it comes to financials. Understanding will help you tailor your explanation to their specific situation.

Benefits: Lifetime Coverage, Tax advantages (tax deferred growth of the cash value and the potential for tax-free withdrawals)

Cash Value Component: Part of the premium payment going into a savings or investment account within the policy. The cash value has the chance to grow over time with protection against the market losses.

Highlight the Risks: The potential risks is the fact that the policy’s returns are tied to market performance.

When talking with the client about the IUL option you wan to ensure that you keeping it clear to them. Making sure you that you keep the conversation client-focused and avoiding the jargon and technical language that may confuse them.

Confused clients DO NOT BUY. Make it simple to understand.

Scripts

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OVERCOMING NERVOUSNESS

Confidence-building strategies & the tools to help you

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MINDSET

You MUST put the numbers in your favor when it comes to buying leads.

You can’t measure success in bite size portions in this business. Consistency is what makes a GREAT agent.

You must remove the emotions/feelings from the business. Trust the processes that are in place, it's been already proven to work.

Call your support system for positive reinforcement when times are tough (it’s going to happen).

Don’t take anything personal when interacting with clients.

Run your business just like business.

If you treat this as a hobby it will cost, you more than you know.

Get obsessed and go ALL IN!!

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SUCCESSFUL SCHEDULE IN THE INSURANCE INDUSTRY

What you put into it, is what you will get out of it.

Consistent Activity is the KEY to an agent’s success.

The first 9 months you will have to go to war and make sacrifices. Once you hit months 10-12, that is when you start seeing backend commission compound from previous polices written.

8AM – Dial TIME (Set an appointment goal)
12PM - Lunch/Break
1PM – Dial TIME (Set an appointment goal)
4PM – Break
5PM - Dial TIME ( Set an appointment goal)
9PM – END

Early morning, nights and weekends are going to be KEY times to be on the phones!!

You should be blocking out non-negotiable time to put in activity.

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ENGAGING THE AUDIENCE

Make eye contact with your in person appointments to create a sense of intimacy and involvement
Weave relatable stories into your presentation using narratives that make your message memorable and real. You are not a robot
Encourage questions and engage with your clients and strive for their feedback. This builds rapport and trust
When dialing leads remember it’s customer service. These people asked for assistance and more information about life insurance. You are simply responding to help them find the answers they are looking for. It’s a service you are providing; you are not selling.

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Getting Good On The Phones

Tonality and control. Do not sound overly excited or happy on the phone. You want to sound slightly clinical or professional and not like the average telemarketer. For the first 20 seconds or so, have a rather vanilla tonality like a person working in a cubicle as an underwriter, who’s job is to simply to verify information filled out by the prospect. You are not “trying” to sell them. Never leave dead air, always keep the conversation going / ask questions
Disarming posture but always leading the call
Make the client laugh whenever you can, add humor (Makes you more human)
Establish who you are and why you are calling within the first 5-10 seconds (You are getting back to them)
Use lead specific information early on during the interaction (Beneficiary name, Favorite color/hobby, etc), to reinforce that you are not a solicitor and that you are getting back to them
Always appear busier than the client, and that you will have to fit them into your schedule
Use the beneficiary name(s) often
Answer all questions/objections with the 3 A’s;

Acknowledge
Answer
Ask (Asking a question lets you take back control of the interaction)

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Biggest Fear for New Brokers

How to underwrite so many carriers and products?

How to quickly and accurately quote?

https://insurancetoolkits.com/signup/?referral=13942

Insurance Toolkits Full Demo - Quoting, Underwriting, + POS Software - Fex, MP, + Med Supp Products - YouTube

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USE THE TOOLS AVAILABLE TO YOU

Use the provided Client Worksheets to guide you and Underwriting Guides to help you find the best carrier for your client:

FEX In Home Worksheet

IUL Virtual Worksheet

FEX/TERM Underwriting Gridsheets

Disclaimers (for personal information objections)

Call the carriers for Risk Assessment help if you are unsure of a client’s potential approval rating

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Carrier Contact Numbers

Americo: 1-800-231-0801

Mutual of Omaha: 1-800-867-6873

Prosperity: 1-866-380-6413

American Amicable: 1-800-736-7311

Aetna: 866-272-6630

John Hancock: 1-877-606-7779

Foresters: 1-877-622-4249

Transamerica: 1-877-234-4848

Columbian Financial Group: 1-800-305-1335

AIG: 1-877-686-7954

Athene: 1-888-266-8489

Royal Neighbors: 1-800-770-4561

Global Atlantic: 1-855-887-4487

National Life Group: 1-800-906-3310

North American: 1-866-322-7068

Fidelity & Guaranteed: 1-800-445-6758

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Attacking Warm Market

Example message to send via messenger on Social Media:

What’s up (insert name) hope all is well.

I know you’ve probably seen me post about health/life insurance before, but I wouldn’t be doing my job if I didn’t personally reach out to you and try and SAVE YOU MONEY on your health/life insurance coverage.

A quote is FREE, and you miss 100% of the shots you don’t take so why not?!

If I can’t do anything better than what you have already, I will pay you $150 cash for any referral you sent me. $200 per referral if you do become a client of mine.

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MATERIALS & SUPPLIES

Badges and Carrier Materials

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State ID Badges and Digital Business Cards

Very important to have these type of tools to build trust when doing telesales, booking appointments and working warm market
Digital state badge, digital business card, go-verify page, referral JotForm, etc

Digital Business Cards | HiHello

You can order custom State ID digital badges from FFL VP Cristina Marson by contacting her at (954) 410-8261

Digital badge cost: $5 per state, $25 for printed

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CARRIERS OFFER MARKETING MATERIALS AND SUPPLIES AT NO COST

Each carrier allows you to order supplies whether it is through the agent portal or order form. This is a great way to not only learn more about the products but also build legitimacy and trust with clients you are sitting with by showing them brochures and company materials.

Whether it is an in-person sale or telesale always give your client a receipt packet with the company materials and a policy summary with your contact information and business card.
For retention and customer service, send a thank you note to your clients.
Order supplies directly with each carrier; usually $0 and free shipping
Best Carriers: Mutual of Omaha (ask for folders!), Fidelity and Guaranty Life, Corebridge (AIG), Aetna, Transamerica. All can be ordered in agent portal; Mutual of Omaha is an order form.
Digital versions are all available at no extra cost

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FINAL TIPS & TAKEAWAYS

Set yourself up for success: Stick to a schedule, hold yourself accountable, don’t give up
Strengthen your product knowledge with the tools available to you
Refine delivery style for telesales

Pacing, tone, and emphasis

Get used to looking up answers; use your resources

You may not know every product, but you can get used to finding the information you need quickly. Create a workflow for yourself

Ask for help
It will be scary and difficult; it’s normal to get frustrated. Embrace it! We are all facing the same challenges!

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THANK �YOU

Cristina Marson

Initial Sales Manager

954.410.8261

Cmarson@McIndyLifeServices.com