Explaining Advantages of Underwriting

[Brian Anderson]

Posted a new article (link below) based on a simple but overlooked sales tip from a session at last week's NAFA IMO Summit. Genworth's Charlie Gipple made a compelling case for the value of explaining to your prospect why a fully underwritten life insurance policy is usually their best bet to secure the best coverage at the best rate. A healthy person that settles for simplified issue is paying more than they think for the "benefit" of quick, non-invasive underwriting.

How do you convince healthy prospects who might be leaning toward the simplified issue route that underwriting is worth the extra effort?

Insurance Forums | Do your prospects know why full underwriting is good for them?

 

[Stevekobrin]

Thank you for raising this issue, Brian. I come across it frequently. I raise two points when prospects are leaning towards the simplified a guaranteed issue routine. The first deals with cost, as you mention. Why would somebody pay significantly more for life insurance just to save a little time in underwriting?

The second deals with what I call "disclosure reluctance." Sometimes basically healthy people have a minor medical condition that they downplay. They are afraid it will be held against them if they go through full underwriting. I explain to them that with the right company and underwriter, very competitive rates could still be possible. It's simply a matter of going through full disclosure and then relying on me to present their profile in the best possible light. Having an expert field underwriter coach them through the marketplace often makes a difference.