The Sales & Closing Process

Transcription

1 The Sales & Closing Process First impressions are everything. Remember, people don't buy the company. They buy you! -Art Williams For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 1

2 The Sales System Manage Activity, Not Sales You win by doing the right thing on the front end. You must first set appointments, make the presentation, recruit a new recruit, etc. before you worry about anything else. Never worry about making money. If you manage activity, your income will follow automatically. Why is managing activity so important? Because this business is, and always will be, a NUMBERS BUSINESS. Those who see the most people make the most money. Remember: You make money IN THE FIELD, not in the office. The leader must "do it first." If you want your people to recruit, YOU must recruit. That's true in every area of the business. Always LEAD BY EXAMPLE! When you get the momentum, GET ALL YOU CAN GET! (You can never recruit too many good people.) Always do a little bit more - one more appointment set, one more recruit, etc Important You must track your appointments. If your team books 40 appointments per week, you Base-shop will do approximately 30-40K in premium and recruit people. 100 appointments booked per week will produce 100K in premium per month. Know your numbers... so that you can step it up if the team is starting to fall short. You must know the pulse of your business. Weekly field training activity goal for full-time people 8-10 appointments set per week. Two presentations a night - four nights a week One new recruit per week Three life sales per week Monitor Activity Track your licensed agents in these areas each week. Number of recruits Number of life sales Number of 1st time appointments. Number of New Guest invites. You must learn to have a sense of urgency with your team. If you are keeping them accountable, they have a better chance to win. Nothing is more important than making sure your agents are consistently setting up appointments and inviting their new clients and new recruits to the opportunity meeting every week. You as the leader must help them GROW by keeping them accountable. Activity Blitz Have a Phone blitz when your momentum begins to slow down... An ACTIVITY BLITZ motivates and excites people to do a little bit more - gives a new MOMENTUM to your organization. ACTIVITY PRINCIPLE: If you ever need one thing to work for you - one sale, one recruit, one leader, etc. you will always lose. You must have "the Law of Large Numbers" working in your favor. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 2

3 The Sales System Keys to Selling: The Primerica Difference We sell only what the consumer needs, not what makes the most money for our company. -Art Williams Keep it Simple All the confusion and complexity in our industry were designed to confuse the consumer so agents could sell the consumer high-cost, low-value products. YOUR JOB is to help the consumer understand our concept and our product. Always put your client first Sell only to the client's need. Example: Young, single people with no family responsibilities might not need insurance now; selling them life insurance might not be the best for them at this point, start a good investment program instead. The only exception is, if they want to leave money to take care of a mother or father that need help financially. No separate policy on wife or children (one policy per family) The average policy fee is $75. If a family has five policies, they could buy one policy and take the administrative cost ($75 x 4 = $300) and buy much more life insurance protection. Maximum of 50K life insurance on children If the client insists, should be a burial policy. The purpose of life insurance is to replace the income of the breadwinner and protect future insurability. Never sell at meetings The ONLY place a sale should ever take place is IN THE HOME, one-on-one, with both husband and wife. You don't have to buy our product to come to work for Primerica Nevertheless, you should practice what you preach by making sure your family is protected. A new person should only buy our product if he/she needs it and qualifies for it. But don't be a phony like so many in our industry who own one thing but sell another. At Primerica, you can't sell yourself the Primerica Life Policy If you desire to buy a Primerica Life insurance product when you come on board with Primerica, you must buy from another Primerica representative. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 3

4 The Sales System SHOW CLIENT FNA Info. EXPLAIN WHY YOU NEED THE INFORMATION. Real quick, to give you an idea of exactly what we do for our clients I would like to show you this brochure. Would you agree that if you were to take a trip to New York tomorrow that you would need a map to get there? Or could you just get into your car and drive? What we do for our clients is what s called a Financial Needs Analysis, what this is, is a 15 to 20 page report that outlines the most important areas of your financial situation and propose solutions for your financial future. (As you point with your pen all the areas in the brochure) This is a complimentary report, and because it is a free, all I ask is that you do 2 things. If you feel great about the plan that I put together for you that you take care of (recruit s name) and send some people their way. #2 is that if we can offer true value that we would be able to earn your business. Does that sound fair? 2nd CLOSE This FNA talks about your goals and objectives, retirement, education for your kids, which you said was very important to you, other goals and dreams, (homes and travel) IRA options, your debt situation, not only paying bills but totally eliminating your debt faster (How would you feel if you were debt free? Can you even imagine it?). Income protection, which is the foundation of every financial situation. Solutions summary, cash flow and money management. Assuming I could totally impact your financial life in a positive way, is there any reason that you could think of that would prevent you from following a plan? (You are asking this question so you get a commitment from the client. So they do not waste your time. ) Don t go ahead without a commitment! - If they resist, find out why. If they are not serious about improving their overall financial situation, you must not continue further. Well what we need to do now is to gather some financial information and we will go from there. Does that sound fair? (The client will say OK. If they don t want to give you the information, find out why. It could mean lack of credibility or they don t like or trust you yet. Don t go ahead without a commitment to give you ALL the information from the client. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 4

5 The Sales System COMPLETE THE FNA INPUT SHEET Put the Value based selling sheet in view of your clients so they may see their goals and dreams throughout the information gathering process. Move through FAMILY section, (make sure you get the ages, closest to 6 months and note it next to their date of birth) MONTHLY INCOME AND TAXES section, and ASSETS section smoothly and quickly. Get close, approximate numbers. GET A MONTHLY DOLLAR COMMITMENT FOR THEIR FINANCIAL INDEPENDENCE PROGRAM. (Retirement section) This is a very important question. Looking at your goals and dreams, (point to the VBS sheet) what would you say you could sacrifice to make those goals and dreams come true? (Don t pause) Some people tell me, Jim, I am totally focused and serious about making my goals and dreams come true fast, I can set aside $1,000 per month. Some people say $500 per month and some say, $400. Which would best describe your situation? (If you notice that their income is a little lower per month, you can adjust these numbers. Or Pay Yourself First Formula on the FNA input sheet. Do not move forward if they can t give you an amount. It means that they are not willing to sacrifice to make their situation better. Other areas to find money is their debt payments. Some people pay more to a bill than they are required. Or do a Budget sheet for them. Find the Money! Can you commit to that amount? If I set up a game plan to help you financially, to make your situation better, so you could accomplish all of your goals and dreams, could you commit to setting aside $500. for that plan? (If they can t commit to that amount, find out how much too much it is and lower amount.) Can you commit to this amount? Yes 3rd CLOSE At this time you are overcoming the I can t afford it objection, in advance. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 5

6 The FNA Questionnaire (always use the most CURRENT version as of 2/9/2016) DO NOT PROCEED UNLESS ALL DECISION MAKERS ARE PRESENT! The Current FNA Input Form is found on POL in Turbo Apps at top of Home page For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 6

7 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 7

8 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 8

9 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 9

10 The FNA Questionnaire For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 10

11 The FNA Questionnaire The FNA Questionnaire The FNA Questionnaire The FNA Questionnaire For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 11

12 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 12

13 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 13

14 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 14

15 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 15

16 For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 16

17 8 Supplemental sections When to Use these sections: For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 17

18 Keys to a Successful FNA (Closing) Finish filling out the FNA input sheet. EXPLAIN THE BUILDING FOR FINANCIAL INDEPENDENCE (STRESS HOW LIFE COVERAGE IS THE FOUNDATION OF EVERY FINANCIAL PROGRAM. At this time I have gathered all I need to produce your FNA. What I am going to do now is change gears into some financial education. I don t know if anyone has ever shown you this before but I try to take an educational approach with the families I serve. I would like to take a minute to show you how financial programs work. Go to the building on the values based selling page and say... If you were to build a building, high-rise, sky rise building, (with your hands physically raise them up like a building) what would you say is the most important thing to keep it standing? They will say, The foundation. I agree. Well, when you analyze any financial program the foundation is equally important. (Draw a foundation on the bottom of the building. Fill in the foundation block with the words, AUTO, LIFE, MED, HOME. ) Think about it: you pay $200. to protect the hunk of metal outside every month. Why do y o u think people own auto insurance? (Listen to answer) If they say, It s the law. Simply say, Even if auto insurance was not the law, do you think that it is a wise thing to have? Why is it that people have medical insurance? (Listen to answer) (They say because if you get sick you will be taken care of) Why is it that most people have the proper amount of life insurance? (Listen to answer) If we die unexpectedly, we want our families to be taken care of, right? (Wait for answer) Why is it that people buy home insurance? (Listen to answer) If our home burns down we need it to be fixed, right? 5th CLOSE The key is to get your client to say everything! (Questions) If you say it, they doubt it. If they say it, they believe it and you. You are only asking questions. If they have half a brain, they will answer the questions exactly as you want them to. They will tell you that these areas are to protect the family and their financial situation. Like you said, the foundation is the most important part of the financial situation because it is the area that protects us against unforeseen events. You see, when I examine your current financial plan, this is what is amazing: you are currently paying $200 per month to protect your car. You know, the hunk of metal sitting outside. You are currently spending $75 per month to protect your health. And you are at this time, investing $80 per month to protect your home. What s really amazing is that you are spending $0 dollars to protect the thing that you told me earlier was the most important thing in your life to you. Kind of amazing, huh? Wouldn t you agree that this is an area that you should explore? You are at this time, circling the word FAMILY on the VBS sheet. The main area, when I look at your financial plan, so far, the only area that I find a deficiency is that your life coverage is not there. If God forbid Jane, your husband, John didn t come home tomorrow, would it be financially devastating to your family? Don t you agree that having protection for your family is pretty important? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 18

19 COMPLETE 10X INCOME CALCULATION TO FIGURE OUT LIFE INSURANCE NEEDS. I don t know if anyone has ever shown you this before or not but I am going to look at a couple of numbers. Ie: $25,000/YR Income = $250,000 Insurance Simply said that if something happened, you take the $250k of insurance and at 10% = your $25K annually. Kind of nifty how that works? Huh? Has anyone ever shown you that before? Life insurance is not to make someone rich, it is there just to replace the income that was already coming through the household. Most people would want their families at least at the same standard of living or like you said even a higher standard of living. Does this really make sense to you? Do you see how that works? Really get a good feeling that they truly understand what you just explained to them. This formula must be clear to your clients. If it is not clear, this could ruin your whole presentation. 6th CLOSE Next you ask the questions If under protected: Can you see that your family is dangerously under protected? If you died prematurely would you feel comfortable having your family struggle financially? If we put together an affordable plan that properly protects your family would you implement that plan today? (or next time we get together) What I m going to do real quick, I m kind of curious, bear with me for a couple of minutes, I am going to run a couple of numbers. Proceed to Quotes section. Give minimum three quotes below. GIVE 3 PLANS FOR COVERAGE (Draw 10x Income equation) Use Primerica app Ask the three questions and run your quotes. What I wanted to do was to put together a few numbers, I was kind of curious what your situation would come out to. If you look at the numbers I put together for you, God forbid something were to happen to John, 600K + Mary 300K + 25K on your children, God forbid, that is coverage that would cover your families same standard of living, comes out to $125 per month. That s Term coverage that would stay level, based on your age, for a period of 35 years. The other scenario I put together was for John to have 700K for a higher standard of living, Mary 350K and 25K on the kids. That s only a difference of $10 per month. So bottom line, John and Mary, looking at your situation, looking at what you feel is important to your family, 7th CLOSE looking at what you feel is the right thing to do and... looking at what is most financially possible, if you had a choice between this one (draw an X by the first box) and this one (draw an X by the second box), which one would you feel would be in the best interest of your family for the long term? They pick one and you say: I just want to let you know up front, that I can t actually guarantee that we can give you this coverage. I can t guarantee you that you would be medically qualified with us. I ll tell you what I m going to do, I m going to ask you a few medical questions and we ll go from there. Does that sound fair? As you gr ab the Turbo app, you will hand the client a Primerica brochure and, or Privacy brochure for the client to look at. It will get them to take their attention away from you getting the application. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 19

20 Overcoming Life Insurance Objections Hear them out - I understand how you feel. Feed it back - Ask them to elaborate. Question the importance - Do you consider that area of concern critical in arriving at a final decision? Answer it - overcome the objection. Confirm the answer - Now that settles that, doesn t it? Change Gears - Mentally take them elsewhere with the buy the way. Your Test Close is I just want to let you know up front, that I can t actually guarantee that we can give you this coverage. I can t guarantee you that you would be medically qualified with us. I ll tell you what I m going to do, I m going to ask you a few medical questions and we ll go from there. Does that sound fair? Ask a reflex question John What is your height and weight? Give them a Primerica Credibility brochure or Privacy Brochure while you ask them that question. Defending Against Misinformation Unlike many other things, such as electricity or medicines, that make our lives safer today than they were generations ago, life insurance has no limitations regarding its availability. The world will never run out of life insurance. What is scarce -- what the world needs more of are people who can help others face their need for life insurance and motivate them to act in their own interests. Just as every day many people with sizable estates die without having completed wills, so do thousands die without adequate life insurance, leaving the ones they love facing not only grief but also financial hardship. An associate who can help clients consider and prepare for unpleasant possibilities is performing a great service and, potentially, changing many lives in the process. In the course of talking with clients, you will face clients with concerns and even objections. Be confident that you can meet these questions head on and help your clients design a protection management solution that is right for them. With all the bills we have, we just can t afford life insurance right now. That s precisely why you need adequate life insurance coverage and why term life insurance may be the solution for you. Can we start by completing a Financial Needs Analysis and seeing if, perhaps, there isn t some money we could free up, perhaps by eliminating some debt & taxation, that you could use not only for life insurance but also to bolster your savings program. Or something like this Mary, if things are tight financially now, what would it be like if all of a sudden you didn t have Bill s income? Would you be willing to budget the $2 or $3 a day it would take to properly protect your family? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 20

21 I have a Group policy at work. Is that policy adequate to replace your income in the event of your death? What if you were to lose or change your job? As a rule of thumb, life insurance for those with families should replace between eight to ten times their annual incomes. Or something like this How much coverage do you have at work? (Usually it is between 1 and 2 time s annual income) Is that amount adequate? Mary, how long will that money last if something happened to Bill? Any coverage that you have at work is wonderful. Congratulations, that s gravy. But do you see yourself still working there in the next 25 or 30 years? Have you known anyone, who was laid off, cut back or dislocated, or whatever they call it? One of the reasons that we found out why people end up financially devastated is that they have abdicated their financial future to someone else. They abdicate their financial responsibility. They think that the government will take care of me, or that my job will take care of me. If you don t take care of yourself, who will? If for $2 or $3 a day we can properly protect you, would you go ahead and get the coverage you need? Is Primerica a marketing pyramid? Absolutely not. Our agency structure is similar in many respects to the general agency system used by most insurance companies in which agents, at different levels receive proportionate commissions from the business written by down-line agents. No compensation is paid for recruiting only for sales. No one is required to purchase our products. We are different in that we offer qualified people the opportunity to work part-time as independent contractors. We are proud of our innovative distribution system. It has enabled us to successfully deliver term insurance to a huge under-served market. A lot of Primerica representatives are part-time. Does this mean they are not as knowledgeable as other industry agents? All Primerica representatives, whether full or part-time, must meet the same state insurance licensing and education requirements as the agents of any other company. Our representatives are able to take an educational approach to marketing our products. This allows our representatives to put the needs of their clients first. Is there any truth to the rumor that Primerica Life Insurance Company doesn t pay death claims? None. Primerica Life is a legal reserve life insurance company. If a Legal Reserve company were to not honor its contractual policy obligations or fails to comply with state requirements, it would have its license to operate revoked by the appropriate state insurance department. If a competing agent contends or implies that Primerica Life does not honor its con- tracts, ask them put such a statement in writing and include their agent number on the paper. They will probably refuse to do so, but if they do we will take up the matter with the proper regulatory agencies. Or something like this So in other words, if I can prove to you that we pay all of our legitimate death claims, would you agree to go forward? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 21

22 Is Primerica in good financial condition? YES. Primerica Life, formerly MILICO, has operated continuously since As of 2015 Q3, Primerica assets totaled $10.56 Billion and it had $ Million in capital surplus. Primerica currently has Revenue of 1.35 Billion and Net Income of $ Million. In 2015 they paid out over $1 Billion in Death Claims and has over $700 Billion of Life Insurance in force. An A+ Rating with A.M. Best. (Only 15% of all Life companies) We have paid over 92% of all claims within 14 days. With financial strength of this magnitude, you can rest assured that Primerica Life has enough resources to pay any possible claims and still remain financially healthy. We serve 4.9 million life insurance clients & 2.5 million investment clients. We have more than 100,000 licensed representatives & an average of $2.5 million in death claim benefits are paid every day. I don t know if I believe in life insurance. Bill, do you believe in taking care of your family while you re alive? (YES) Then Bill, tell me why would you penalize your family because of their misfortune of you, the primary bread- winner, dying prematurely? I don t understand how your responsibility, which you obviously are taking care of while you are alive, would change upon your death. I believe you would want to continue taking care of your family if you died prematurely? I would like to talk to my agent. I understand Bill. Your agent has always had your best interest at heart hasn t he? (YES) Then I am sure he would have offered you the finest product his company had to offer. By the way Bill, the concept of Buy Term and Invest the Difference is at least 60 years old and he had this option available but obviously chose not to give it to you. And you agreed that this concept was substantially better, didn t you? (YES) So given all the facts, if your agent truly had your best interest at heart even he would encourage you to go ahead and make the change that is obviously in your best interest, wouldn t you agree? (YES) Great, whom shall we make the primary beneficiary? I already have a financial planner. Great, but if you could do substantially better, you would want to wouldn t you? Well all I am requesting is to explore the possibilities. All I need is to look at your current program, compare it, and if I can make a substantial difference, you d want to improve, wouldn t you? If I can t, help, you haven t missed a thing. Is that fair? All I need to do is drop by, pick up your current program, leave a receipt, and take your current program back to my office to do a comparison to see if there might be basis for going ahead. *Reps are not certified financial planners I have too much invested in my current policy to change. That s a pretty common reaction. But if I could show you that by repositioning your cash values and investing in low cost term insurance, you would probably have more coverage and the potential for greater cash savings at retirement, you would at least explore the possibility, right? If I can t make a substantial difference that is totally in your best interest I won t even ask for your business. And if I can do that, can I assume you would seriously consider making a change? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 22

23 I wonder if Cash Value insurance is better. Well, each family s finances are different and call for personalized solutions but I can tell you that term insurance is generally the least expensive for majority of people who are raising a family. Also, many people have the potential to come out far ahead by separating their investment and life insurance solutions. My spouse is the primary breadwinner and we have a policy on him. Would your spouse be able to pay the mortgage, tuition and other bills without your in- come or would your family s life be disrupted by having to move, leave school or change their lives in other ways? What about the other support you offer your family? Would your spouse be able to care for household needs by himself or herself? Also, coverage supplied by your employer would, most likely, not follow you if you were to move to another employer or if you were laid off. Also, as time progresses, your insurability could change, so that you might not be able to buy coverage in the future, or coverage could become a lot more expensive. I want to think it over. If you've done everything else properly this should only be a stall. The challenge with it is it is almost like a ghost. Our goal is to use a strategy to move the stall into a concrete final area of concern. Phraseology: "That's fine, Judy. Obviously, you wouldn't take your time thinking this thing over unless you were seriously interested, would you? So, then may I assume you will give it very careful consideration? Just to clarify my thinking, what is it about protecting your family that you want to think over? (Don't pause after the word 'over') Is it the quality of the service I'll render? Is it me? Is it something I've forgotten to cover in my presentation? Is it my company? Seriously, Judy, please level with me. Could your hesitation in any way be the money? (Many times they'll say yes and you can then handle the money objection.) It costs too much. Phraseology: "John, today, most things do. Can you tell me about how much too much you feel it is?" THE REDUCTION TO THE RIDICULOUS CLOSE -Converting total or monthly amounts of money into daily amounts. Step #1: Use the "It Costs Too Much" Close to get a fixed amount. Phraseology: "John, today most things do. Can you tell me about how much too much you feel it is?" Step #2: Establish how many years they will enjoy the product or service. Step #3: Divide amount by years to get the annual amount. Step #4: Divide annual amount by 52 weeks per year to get the weekly amount. Step #5: Divide weekly amount by 5 or 7 days to get the daily amount. YOU MUST KNOW YOUR MATH!!! OR Divide the monthly dollar amount by 30 days and say Do you feel that $2 per day is too much to protect your family s financial future? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 23

24 How can I be sure you will pay my claim? I understand your concern. Fortunately, you ll be doing business with Primerica, the #1 producer of individual life in the industry. We have an "AA" Excellent rating with Standard & Poors. Primerica has been in business since 1977, and is also part of the Legal Reserve System. Since 1977, Primerica Life has paid every single legitimate death claim without exception. From a solvency standpoint, Primerica is very secure. The company has no debt and Billions in assets. Mr. Jones, would it make sense, from a marketing standpoint, for a company of our size to risk its entire future by not paying a legitimate claim? Client: No. That settles that doesn't it? I don t believe in life insurance. REP. Do you believe in taking care of your family while you are alive? Client: Yes REP. Tell me how would that responsibility change upon your death? Client: I guess it wouldn't, but I just don't believe in it. REP. if you were able to protect your family for free, would you? Client: Yes I would. REP. It really isn't that you don't believe in life insurance. It's the money isn't it? Client: Yeah, it just costs too much. REP. How much would be comfortable for you to invest in replacing your income if you died premature? Client: I guess about $40 per month. REP. So if my company were able to protect your family for $40 per month, would you go ahead? Client: yes. ***CAUTION: If the client absolutely does not care about their family and can't See the value in protecting their income -you should not write the sale. The sale will probably lapse and charge back. If the client is responsible then you should close by getting the client to see the value in protecting his income. I want to talk with my agent before I go ahead. That's fine John. May I ask you a question? Your agent always has your best interest at heart, doesn't he? Client: I think so. REP. You have seen our new proposal compared to your old program and you agreed that it is substantially better, didn't you? Client: Yes it looks that way. REP, your agent would have proposed our concept if he truly had your best interest at heart wouldn't he? Client: Maybe he didn't have it then, but does now. REP. Buy term and invest the difference is over 60 years old. Your agent chose not to give you the option between the two and you said that if you were given the choice you would have chosen term and invest the difference. So now if you talk to your agent he will tell you that he can do what we can do. John he had that opportunity before and he knew it was better for you then but he chose higher commission vs. what was better for you. John wouldn't you agree it's time to do what's right for you now? Client: Yes it's time. Great, what is your social security number? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 24

25 Why is your program so inexpensive? That's a great question, Mr. Smith. We are fortunate that our company, Primerica, chose to market financial products in a revolutionary way. First. By deciding not to advertise, which the consumer ultimately has to pay for in the form of higher priced products. For Example, Prudential spends $60 million a year, we spend zero. We chose to hire people on an independent contractor basis and not pay salaries. We pay our people only if they produce. The traditional industry pays salaries and 85% of the new agents in our industry quit by the 4th year, which cost company's millions, which again you ultimately pay for. Our 12,000 plus offices are owned, operated and financed by our agents who independent contractors are saving Primerica millions of dollars. The traditional industry pays all those expenses and passes them on to you, the consumer. Finally, Mr. Smith, we don't sell 50 different programs. We offer strictly term insurance at the most competitive price in the industry. By doing that our administrative cost to issue and service our business is as low as one tenth that of the traditional industry. We have basically streamlined our marketing system so you could take advantage of the tremendous value. Does that take care of that? So if you had a choice between this one and this one, which one would you feel would be in your best interest? For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 25

26 The Sales System Summary BUILD RAPPORT WITH POTENTIAL RECRUIT OR CLIENT (Get them to like you and trust you and build common ground) VALUES BASED SELLING Asking Questions The fork in the road recruiting process and sales process? SHOW CLIENT WHAT THE FNA IS. Explain who we are, what we do and why you need the information. COMPLETE THE FNA INPUT SHEET. Key close: GET A MONTHLY DOLLAR COMMITMENT FOR THEIR FINANCIAL INDEPENDENCE PROGRAM. Key close: MOVE ON TO THE PROTECTION SECTION. Key close: EXPLAIN THE BUILDING FOR FINANCIAL INDEPENDENCE (stress how life coverage is the foundation of every financial program.) Key close: COMPLETE DIME CALCULATION TO FIGURE OUT LIFE INSURANCE NEEDS. Key close: GIVE 3 PLANS FOR COVERAGE MAIN CLOSE So bottom line, John and Mary, looking at your situation, looking at what you feel is important to your family, looking at what you feel is the right thing to do and... Looking at what is most financially possible, if you had a choice between this one (draw an x by the first box), this one (draw an x by the second box), and this one (draw an x by the third box) which one would you feel would be in the best interest of your family for the long term? I just want to let you know up front, that I can t actually guarantee that we can give you this coverage. I can t guarantee you that you would be medically qualified with us. I ll tell you what I m going to do, I m going to ask you a few medical questions and we ll go from there. Does that sound fair? Fill out Turbo App or Paper Application Give company Brochure / Give Privacy Brochure / Page 4 /page 3 / page 2 / page 1 Wisconsin disclosure Get authorizations / explain the underwriting process/ Get check / get endorsed and give to the client Fill out Quality of Business Sheet / Review with the client 4 Step Process Sheet / Get Referrals Repeat Process until Financially Independent! THE 4 STEP PROCESS. FILL OUT QBI QUESTIONS SHEET AND GET AUTHORIZED BY CLIENT. ALWAYS INVITE TO OPP NIGHT. GET REFERRALS. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 26

27 FNA PRE-TEST 1. What does the acronym FNA stand for? 2. For whom is an FNA an appropriate financial planning document? 3. The accuracy of the solutions developed by the FNA is completely based on the accuracy of the used in the imputing process. 4. In the end, the solutions outlined in the FNA are designed to meet one overall objective, what is it? 5. Is the original FNA sufficient, or will there normally be several per client? 6. How many pages does a complete FNA have? 7. Are PFA s required to have all their licenses before they are legal to run FNA s? 8. On the retirement page the objective is to get the red line to relate to the green line in which way? 9. Assuming the client cannot qualify for a debt consolidation what other alternative does the FNA give them? 10. What is the maximum interest rate the FNA will allow to be projected? % 11. If the client has a future inheritance they know they will receive in the future should I include that in the FNA? If so, where? 12. Most of the FNA deals with real life needs, but one page deals with wants, which one is it? 13. What revealing fact is exposed which opens the door for recruiting? 14. What are the three areas of management the FNA deals with? 15. What does minimum payment mean when imputing current debt information? 16. Explain net worth. 17. Typically the FNA will determine there should be a % replacement on income. 18. An FNA should be re-run: Annually Semi-annually Quarterly Monthly 19. The best feature of the FNA from an Associate s standpoint is that it protects you in the area of. For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 27

28 FNA PRE-TEST - ANSWERS 1. What does the acronym FNA stand for? Financial Needs Analysis 2. For whom is an FNA an appropriate financial planning document? Everyone 3. The accuracy of the solutions developed by the FNA is completely based on the accuracy of the data used in the imputing process. 4. In the end, the solutions outlined in the FNA are designed to meet one overall objective, what is it? Financial Independence 5. Is the original FNA sufficient, or will there normally be several per client? Several 6. How many pages does a complete FNA have? Full FNA is 23, but can be less. 7. Are Rep s required to have all their licenses before they are legal to run FNA s? No 8. On the retirement page the objective is to get the red line to relate to the green line in which way? Either to match or have the green rise above the red. 9. Assuming the client cannot qualify for a debt consolidation what other alternative does the FNA give them? Debt Acceleration 10. What is the maximum interest rate the FNA will allow to be projected? 12% 11. If the client has a future inheritance they know they will receive in the future should I include that in the FNA? If so, where? Yes, Future retirement dollars 12. Most of the FNA deals with real life needs, but one page deals with wants, which one is it? Goals and Dreams 13. What revealing fact is exposed which opens the door for recruiting? Shortfall 14. What are the three areas of management the FNA deals with? Protection, Debt and Asset Management 15. What does minimum payment mean when imputing current debt information? 2% of Balance or $15 is normal 16. Explain net worth. Assets minus Liabilities 17. Typically the FNA will determine there should be an 80 % replacement on income. 18. An FNA should be re-run: Annually Semi-annually Quarterly Monthly 19. The best feature of the FNA from a Rep standpoint is that it protects you in the area of Compliance For Educational & Training Purposes only. Not to be distributed to the public. Sales, Closing & FNA Process ( ) 28