$2,400 in Annual Premium Each Month?

[randomguy]

I'm with a multiline company that has been awesome in training me as a new agent. I receive a base-like compensation portion if I meet minimum production. The first piece requires I close 4 P&C accounts/month. This hasn't been (and I anticipate won't be) an issue.

However, my contract requires (to receive this significant base-like portion) a set amount of life production. The first six months won't be an issue. Here's the issue:

Months 7-60 require $2,400 annual life premium every month (on a rolling basis that carries over). Now that I'm into this a few months, that number scares me.

Any advice on this? How can I supplement my life production above just P&C cross-sell? I just started with purchased life leads. I don't know much about life-only sales. Phone scripts, metrics on doorknocks per account...any of that would be helpful.

We do have an AMAZING assortment of life products though!

 

[Josh]

What is their suggestion about the life production?

The biggest problem you'll probably find with this situation is you're being asked to grow a garden and paint houses. Sure, they look like they're related, but they really require different skill sets. If you're going to sell life insurance it won't just fall in your lap, you'll have to really pump it.

When you say you have an "AMAZING assortment of life products" do you mean in terms of multiple carriers or just the captive shop you're with? If you're with a captive you're going to have an even more rough time because you probably won't be pumping the most competitive products out there. If you can pick from a really good portfolio of products and companies then you could probably fill that gap by getting some internet leads and just working those like a dog (hometownquotes.com is a good place to start).

What company are you with?

 

[randomguy]

Thanks for the help! I'm with Farm Bureau Financial Services. When I talk about the variety of products, we have about 15 different types. If we can't fulfill it in house (like a $5M first-to-die), we have good brokerage access. We are also competitively priced and I'm given access to great training, fact finding tools and a special team of people to ask life questions of (product knowledge related).

Do you think leads would be enough? My area I can easily travel to has about 30,000 people in it.

 

[pcbinsurance]

"We are also competitively priced"
******************
Are you sure about that?

 

[GreenSky]

"We are also competitively priced"
******************
Are you sure about that?

I just love the phrase "competitively priced." That only means that there might be someone more expensive.

For Med Supps carriers think competitively priced means their premium is about the same as UHC - you know, a carrier everyone has heard of.

Rick

 

[randomguy]

Well I'm certainly not going to have the awesome pricing some of the Indy guys will have. I'm saying I know what percentage I close, how many go elsewhere for price, etc... and it is a manageable issue set for me.

The problem is just getting in front of enough life prospects, ultimately.

 

[VolAgent]

Well I'm certainly not going to have the awesome pricing some of the Indy guys will have. I'm saying I know what percentage I close, how many go elsewhere for price, etc... and it is a manageable issue set for me.

The problem is just getting in front of enough life prospects, ultimately.

Ignore the peanut gallery.

Your biggest competition is another six pack of beer, a new toy (boat, golf clubs, pick your poison), etc.

Everyone has different motivations. Some want the absolute cheapest out there, some want a name they know, some want it all bundled together, and some just want an agent they feel they can trust.

Even if you just cross sold life into your existing book, you have several advantages. One, they have heard of Farm Bureau, two they have already bought from you once, and three you have a physical office. None of those are going to make or break you, but they definitely help.

Since you get their birthdates and know the value of the house, I'd give everyone a life quote for the value of their home. Hopefully a P&C agent that is successful at cross selling will chime in, but I'd put the quote front and center in their home and auto insurance packet. I'd make sure everyone saw it.

If you want to get real aggressive, you could quote everyone preferred or preferred best and put some kind of disclaimer like, "as low as.."

 

[randomguy]

Ignore the peanut gallery.

Your biggest competition is another six pack of beer, a new toy (boat, golf clubs, pick your poison), etc.

Everyone has different motivations. Some want the absolute cheapest out there, some want a name they know, some want it all bundled together, and some just want an agent they feel they can trust.

Even if you just cross sold life into your existing book, you have several advantages. One, they have heard of Farm Bureau, two they have already bought from you once, and three you have a physical office. None of those are going to make or break you, but they definitely help.

Since you get their birthdates and know the value of the house, I'd give everyone a life quote for the value of their home. Hopefully a P&C agent that is successful at cross selling will chime in, but I'd put the quote front and center in their home and auto insurance packet. I'd make sure everyone saw it.

If you want to get real aggressive, you could quote everyone preferred or preferred best and put some kind of disclaimer like, "as low as.."

Thanks for the helpful tips. I'm even thinking about hiring a life-only or mainly life sales associate. It would look something like this:
$1 in commission for every $1 in annual life premium produced. If the associate produced a certain amount per month (yet undetermined) they would get a hefty bonus of $1,000 or more.

 

[Gooner]

Thanks for the helpful tips. I'm even thinking about hiring a life-only or mainly life sales associate. It would look something like this:
$1 in commission for every $1 in annual life premium produced. If the associate produced a certain amount per month (yet undetermined) they would get a hefty bonus of $1,000 or more.

All you have to do is sell 4 p&c policies a month? And you're going to hire a sales person to sell life for you...must be a great salary! You hiring?

 

[GAJ638]

I have several friends in my area that have worked for Farm Bureau. A few for a number of years. They do make good money...but one of them told me, FB is nothing but a life insurance company masked as a P/C company. Guy literally lost his job making $70,000 after 3 years because he could not produce enough Life Premium.