Conversations that make a difference. Beginning (and building) conversations about life insurance

Transcription

1 Producer Guide I Life Let s Talk Conversations that make a difference Beginning (and building) conversations about life insurance As a financial professional, you have a significant opportunity to address a family s unmet life insurance needs and a significant challenge as well, since this can be a difficult conversation to start. Let s Talk can help. Let s Talk is an excellent way for you to start a productive conversation about life insurance with your clients. This consumerfriendly publication has information, advice, and tips that set the stage for dialogue about everything life insurance is designed to do, from providing temporary death benefit protection to generating supplemental retirement income. All you need to do is fill in the blanks. Inside The importance of the annual review Why staying in touch matters so much Overcoming misconceptions and doubts Genworth research shows there are currently 52 million Americans earning between $50,000 and $250,000 who have no life insurance. Another 28 million consider themselves underinsured. (Genworth 2012 LifeJacket SM Study) A step by step guide to Let s Talk /25/14

2 Same time, next year Genworth research shows that your clients need you and they know it. Our interviews reveal that policyowners want to discuss their insurance with their advisor annually. Research also shows that performing a needs analysis makes prospects more likely to buy a policy, and that people adding coverage generally buy more insurance than first-time buyers. Are you meeting your client s expectations? Conducting that annual review gives you an opportunity to develop and maintain relationships with your clients, stay current with the important changes in their lives, and make sure their coverage still meets their needs. An annual review doesn t have to be long and involved: The majority of clients are happy with one hour or less of your time each year. To be able to ask a question clearly is two-thirds of the way to getting it answered. John Ruskin 69% of your clients want to hear from you, their advisor, at least once a year. 1 1 Genworth 2012 LifeJacket Study

3 Being there when they need you For many consumers, key life events are important periods of reevaluation and reflection on life insurance. The top triggers include marriage, the birth of a child, and a job change and their relative importance varies between men and women. Other key transition points include a home purchase and a significant birthday. Keeping in regular contact with a client or prospect helps you be there at the right time to meet their changing needs. More than 70% of consumers who shop for life insurance do purchase it as a result of a financial professional s suggestion, 2 making you one of the most effective of all the motivational triggers. Marriage and milestone birthdays are the top triggers for men to buy life insurance. For women, it s the birth of a child. 3 The majority of working wives will earn more than their husbands in the next generation. 4 The future depends on what we do in the present. Mahatma Gandhi 2 LIMRA, Research Briefings, May Genworth 2012 LifeJacket Study 4 Women, Money and Power, Time Magazine, March 26, Genworth 2012 LifeJacket Study 6 Ibid. Within one year of a life-event trigger, 78% purchased life insurance. 5 Policy reviews and frequent communication build trust, according to 66% of consumers. 6 genworth.com/lets-talk 3

4 Addressing their doubts One of your goals is to remove life insurance from the nice-to-have category into its deserved position among a family s financial essentials. That transition in thinking may involve a reordering of priorities for some and a rebuttal of misconceptions for others. It s going to cost too much. Statistics show that many consumers believe life insurance costs nearly three times its actual price. 7 Your clients and prospects may be surprised and encouraged to learn the actual expense of financial protection. With my health issues, I ll never qualify for coverage. It s now possible for many people with common medical conditions to qualify for preferred health status. Genworth has redefined healthy by considering existing conditions that are being treated or monitored. Today, even with imperfect health, people needn t assume they re uninsurable. I have more crucial financial priorities. Life insurance is one of a family s most important financial priorities because, without it, the loss of the primary wage earner or primary caregiver can derail a family s financial plans. I don t want to think about dying. Nobody does. But ignoring it is a dangerous choice. Plus, today s life insurance can do a lot more than just provide a death benefit. For example, index universal life (IUL) insurance can provide the potential to generate supplemental income by accessing their cash value. Clients can use this for retirement, college funding, or whatever opportunities life brings. 7 LIFE and LIMRA Insurance Barometer Study, 2012

5 Making life easier: Genworth s flexibility on health issues Over half of American adults with anxiety, asthma, and depression and nearly half of those who are overweight are uninsured. 8 Being in imperfect health or at a less-than-ideal weight will not necessarily render your prospects uninsurable. Your professional help can make a difference. Consider Genworth s flexibility on health conditions such as these: Build/BMI Total Cholesterol Blood Pressure Depression & Anxiety Sleep Apnea Arthritis Asthma Ulcerative Colitis 8 Genworth 2012 LifeJacket Study genworth.com/lets-talk 5

6 Using Let s Talk Let s Talk explores dozens of issues, concerns, positives, tips, and avenues to get a conversation started about life insurance: the one clients or prospects should have with their family members, and the one they will have with you, their financial professional. Pages 4-5 Outline the reasons clients should talk about protecting their lives and their families, and offer suggestions as to who should take part in the conversation. Pages 2-3 Introduce the importance of holding a conversation about life insurance, and explore the contributions that such protection can make in their lives. Pages 6-7 Provide tips on starting the conversation, making it more productive, and anticipating family members reactions and responses

7 Pages 8-9 Guide clients through an assessment of their financial situation, introduce the major types of life insurance, and go over a worksheet that helps estimate the amount of insurance they will need. Pages Go over some triggers that lead people to buy life insurance, stress the importance of updating a policy, and review the process of achieving the right coverage. Back Cover Encourage clients to have an ongoing conversation about life insurance and to contact you with questions or concerns. Pages Emphasize the power that life insurance may bring to a family and the increase in options that may come with it. Stress the importance of covering both spouses. 56% of advisors do not regularly talk with their clients about life insurance. 9 Let s Talk can help initiate those conversations. Pages Explore the new flexibility in working with people with managed health conditions, and examine myths and misunderstandings clients may have about life insurance. 9 FA News, Advisors Avoiding Life Insurance Issues, 5/2012 genworth.com/lets-talk 7

8 Resourcing other Genworth materials Introduces life insurance concepts Motivates clients/ prospects to talk about life insurance Suggests those to include in the conversation Insert/Statement Stuffer (Form #141736) Insert this piece into a regularly scheduled communication such as a statement or an annual review letter. Reminds clients to talk with loved ones about life insurance Consumer Slim Jim (Form #117124) Use this piece as a shortened version of the large tabloid-sized Let s Talk. Fits easily into folder or envelope. Directs them to the Let s Talk website for resource materials Prospecting Process Guide & Letter (Form #141735) Use this step by step guide to approach prospects (or current clients without life insurance). A sample letter is provided to help explain the need for protection. Annual Review Process Guide & Letter (Form #141815) Use this step by step guide to schedule an annual review. A sample letter is provided to remind them of the importance of an annual review.

9 Postcard (Form #115606CST) This piece is intended to be co-branded, making you the resource for them to call. Provides a quick, brief introduction to the importance of life insurance conversations Coverage Worksheet (Form #113025CK) Provides guidance for determining amount of coverage needed Promotes your role in helping with planning Conversation Starter Cards (Form #109000L & box) Use cards during exploratory meetings with clients and prospects, or as take-home resources for them. Pose open-ended questions to spark thought and conversation Cover topics related to life insurance, retirement planning, and long term care Get the conversation started. genworth.com/lets-talk 9

10 Life is a moving target There is an unmet demand for life insurance, a demand that responds to more information and seeks simplicity and ease in the purchase process. Genworth has created and collected a number of resources to help financial professionals respond to this interest and need. We invite you to explore how these materials can be helpful to you. Life insurance can meet the needs of a wider range of people than you or your clients may think, addressing both temporary and long-term goals. If families are unable to afford the coverage suited for their needs, they should know that some life insurance is better than none. It s not an all or nothing proposition. The goal is to move towards an ideal coverage over time. The needs of a young family without its primary wage earner are different from the needs of a widow facing retirement, but life insurance has the potential to secure the future for both. To unlock the potential of life insurance for your clients, help them have conversations with their loved ones and help them see the role that it can play in their financial security.

11 Notes genworth.com/lets-talk 11

12 Life Insurance Underwritten by: Genworth Life and Annuity Insurance Company Genworth Life Insurance Company, Richmond, VA Genworth Life Insurance Company of New York, New York, NY Only Genworth Life Insurance Company of New York is admitted in and conducts business in New York. Insurance and annuity products: Are not deposits. Are not guaranteed by a bank or its affiliates. May decrease in value. Are not insured by the FDIC or any other federal government agency.