The title of this commentary was used in the November issue of “Best’s Review.” It was based on an interview that Jeff Roberts had with the new CEO of LIMRA, David Levinson. The article also included insight from the former LIMRA CEO, Bob Kerzner. The article touched on the new road map being developed by the life insurance industry. It also pointed out that much of the product designs and marketing plans were being developed in the home offices, as opposed to really focusing on the needs of the customer. I also feel that it is not considering the needs of the agent.
There were some interesting numbers in this piece. To start with, sales of life insurance were down 3% in the first quarter, and down 5% in the second quarter. LIMRA also stated that 40% of Americans are uninsured. 50% of Americans are underinsured and the underinsured “gap” is $200K. While insurance companies view this as a significant problem, I see it as a great opportunity. Think about this: If life insurance claims continue to accelerate due to the death of baby boomers, and sales continue to go down, profits will be hit in the insurance company financials. But, for us the agents, there is a tremendous opportunity to assist our clients with “dream completion” using life insurance.
For those of us working in the younger markets, a simple, easy to issue term life policy with return of premium could be the easy access point to that market. The same holds true for critical illness sales. Bottom line, if we have a consultative relationship with our clients, and not a transaction oriented relationship, we can total account develop our clients and the generation that they have given birth to. So, if you need help developing a “New Road Map,” give us a call. Thanks to LIMRA for the inspiration.
There were some interesting numbers in this piece. To start with, sales of life insurance were down 3% in the first quarter, and down 5% in the second quarter. LIMRA also stated that 40% of Americans are uninsured. 50% of Americans are underinsured and the underinsured “gap” is $200K. While insurance companies view this as a significant problem, I see it as a great opportunity. Think about this: If life insurance claims continue to accelerate due to the death of baby boomers, and sales continue to go down, profits will be hit in the insurance company financials. But, for us the agents, there is a tremendous opportunity to assist our clients with “dream completion” using life insurance.
For those of us working in the younger markets, a simple, easy to issue term life policy with return of premium could be the easy access point to that market. The same holds true for critical illness sales. Bottom line, if we have a consultative relationship with our clients, and not a transaction oriented relationship, we can total account develop our clients and the generation that they have given birth to. So, if you need help developing a “New Road Map,” give us a call. Thanks to LIMRA for the inspiration.
 | Until next time… good selling! Raymond J. Ohlson, CLU, CRC, LACP President and CEO of The Ohlson Group 1-877-844-0900 |
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