Is There a FE Agent "mentality?"

[WinoBlues]

Like all life insurance agents, every person a final expense guy/gal works with ends up better off because of it. Is the solution always ideal? Of course not. Nonetheless, it solves a problem!

I completely agree. Then that has to hold true for Lincoln Heritage and Senior Life which is just about price since they perform pretty much the same as any FE product. If the people did not have coverage they are in a better place. In another thread Newby mentioned a participating Whole Life plan that was lower premium and would smoke most FE plans in performance. Also puts them in a better place. I had mentioned GUL which gave a much higher face amount for the same premium. Also solved the problem. I think Ricks question was why does the agent always or nearly always pick the FE product. That and he was trying to cause chit

Yeah, I know I am not an FE agent.

 

[TDFnCali]

Final Expense is a broad term. It is used to describe a product, clients, and agents.

The typical FE client buys on emotion, not logic. They send in a card because they have a particular emotion that compels them to do so. If they still feel the same way, or if you can revive that emotion over the phone, they will agree to an appointment.

During a meeting you build that emotion to a crescendo and take an application and a voided check. To reduce the negative emotion of being separated from their money, you make sure that the premiums are drafted on the third.

Even if it is a healthy person that could be better served by a fully UW policy, that brief moment of clarity that their agent brought to them will not survive the underwriting process. The 3rd will come and go, the electric bill will come in, and that loving daughter that they didn't want to burden, borrowed the Buick to go to work the morning shift at Denny's and didn't bring it until midnight.

Good point ^^! Also, even if some of are clients might be healthy enough for a F/U product (and thats not many that I meet that are CLEARLY healthy enough), you also have to determine their "resolve", or how important it is to them. There's a lot of ppl that if you put them in a SI product & they know they are approved in 3 days after a few questions, you will have no problems & they will pay monthly. But put that SAME PERSON thru a series of more evasive questions, scheduling a paramed, having them go thru a possible extensive PHI & having it take anywhere from 1-4 weeks to get a decision, you will lose them somewhere in that process. And God forbid, if you get a decline & then wanna go back & rewrite them a SI now.....their attitude is "just forget it...Ill wait & look into it another time.

I was taught, the best policy is the ONE IN FORCE! So while health is a big factor, the other factor thats just as big is mentality....they dont have the same mentality as a 35yr old middle class married couple with kids. So health, their mentality & the FE agent's training all are factors....Ive put ppl in F/U products, but not too many.

Lastly, the diff of a SI vs a FU product ISNT close to $70/mo for 10k vs 25k for $50....so thats not a fair comparison. A lot of FU products dont do under 20-25k, so the diff is usually more like "$60 for 10k ($6 per 1k) vs 25k for $100 ($4 per 1k)" but if the client can barely afford $50, she damn sure cant afford $100.

 

[KRobby]

Final Expense is a broad term. It is used to describe a product, clients, and agents.

The typical FE client buys on emotion, not logic. They send in a card because they have a particular emotion that compels them to do so. If they still feel the same way, or if you can revive that emotion over the phone, they will agree to an appointment.

During a meeting you build that emotion to a crescendo and take an application and a voided check. To reduce the negative emotion of being separated from their money, you make sure that the premiums are drafted on the third.

Even if it is a healthy person that could be better served by a fully UW policy, that brief moment of clarity that their agent brought to them will not survive the underwriting process. The 3rd will come and go, the electric bill will come in, and that loving daughter that they didn't want to burden, borrowed the Buick to go to work the morning shift at Denny's and didn't bring it until midnight.

I'd think most fe buyers could sniff out those that are trying to sell on emotions. It's the logic in their mind that creates the emotion.

-KR

 

[smokin goose]

I look at FE as a person paying for their funeral with small monthly payments. And the financial upside is if they die before premiums meet DB, they are still covered for the full face amount.

 

[TwiLight]

You also have to determine their "resolve", or how important it is to them. There's a lot of ppl that if you put them in a SI product & they know they are approved in 3 days after a few questions, you will have no problems & they will pay monthly. But put that SAME PERSON thru a series of more evasive questions, scheduling a paramed, having them go thru a possible extensive PHI & having it take anywhere from 1-4 weeks to get a decision, you will lose them somewhere in that process.

This is more about training and your process rather than a clients resolve. Most FE agents sell a product on price...... Most Life agent sell a need and want vs just another product.

The Selling process for a Life agent takes into account the time it takes to fully underwrite and there are contacts to be made by phone, Thank you Card, Paramed, etc. All of this is wrapped up in a delivery which reinforce the decision to buy the F/U life policy in the first place.

A F/U policy is rarely sold under 25k in the first place by a Life Agent, because the NEED is greater and is sold that way.

The FE agent is trying hard to get a quick yes and move on, never really discovering the NEED in the household and in my opinion should be sold the Small SIWL because that is what the FE Prospect is buying.

I will say this. F/U Life agents make far more money than FE Agents. There are more 7 figure income agents in F/U Life markets than 6 figure FE agents by far.

FE is a NICHE market and it is not a fair comparison to the F/U Life market.

 

[WinoBlues]

Final Expense is a broad term. It is used to describe a product, clients, and agents.

The typical FE client buys on emotion, not logic. They send in a card because they have a particular emotion that compels them to do so. If they still feel the same way, or if you can revive that emotion over the phone, they will agree to an appointment.

During a meeting you build that emotion to a crescendo and take an application and a voided check. To reduce the negative emotion of being separated from their money, you make sure that the premiums are drafted on the third.

Even if it is a healthy person that could be better served by a fully UW policy, that brief moment of clarity that their agent brought to them will not survive the underwriting process. The 3rd will come and go, the electric bill will come in, and that loving daughter that they didn't want to burden, borrowed the Buick to go to work the morning shift at Denny's and didn't bring it until midnight.

I agree on some. On those I write simplified issue or walk away if I do not think they will keep it or I will be chasing them first year. But I do not assume every one is that way. Each problem and solution while similar is unique.

 

[GoCubsGo]

Final Expense is a broad term. It is used to describe a product, clients, and agents.

The typical FE client buys on emotion, not logic. They send in a card because they have a particular emotion that compels them to do so. If they still feel the same way, or if you can revive that emotion over the phone, they will agree to an appointment.

During a meeting you build that emotion to a crescendo and take an application and a voided check. To reduce the negative emotion of being separated from their money, you make sure that the premiums are drafted on the third.

Even if it is a healthy person that could be better served by a fully UW policy, that brief moment of clarity that their agent brought to them will not survive the underwriting process. The 3rd will come and go, the electric bill will come in, and that loving daughter that they didn't want to burden, borrowed the Buick to go to work the morning shift at Denny's and didn't bring it until midnight.

Yep, the typical FE client buys on emotion and isn't going to "work" for it even if they "want" it. You have to make it fast and easy.

 

[Stephen]

I'd think most fe buyers could sniff out those that are trying to sell on emotions. It's the logic in their mind that creates the emotion.

-KR

"There is no try, only do". If you are being sniffed you aren't being genuine.

 

[KRobby]

"There is no try, only do". If you are being sniffed you aren't being genuine.

They know you're there to pickup a payday, not share chocolates. If the logic works in their mind, they'll have the emotion required to buy.

 

[Stephen]

They know you're there to pickup a payday, not share chocolates. If the logic works in their mind, they'll have the emotion required to buy.

Those whose logic rules over emotion do not find themselves at an advanced age without enough insurance or liquid assets to even be buried.