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Top 5 Insurance Sales Tips and Techniques

For the motivated seller with an outgoing and persuasive personality, insurance sales can offer a promising and rewarding career. But in the beginning, you’ll find that most of your day is wrapped up in the thankless job of making cold calls and trying to cultivate client relationships. This can be frustrating to say the least, especially considering that the amount of money you bring home is directly related to the sales you’re able to close. Over time your job should become a little easier, thanks to clients that stick with you and renew year upon year, not to mention sales associates under you, depending on the company you work for and the type of insurance you sell. The problem for most agents is sticking with the job long enough to get to the point where the majority of your work revolves around managing clients and associates rather than seeking out new sales yourself. Here are just a few tips and techniques that could help you to hit that sweet spot.

  1. Start with people you know. It can be difficult to get started in insurance sales, so a good way to get the ball rolling and practice your technique is to try out your spiel with family, friends, colleagues, and so on. It doesn’t hurt that you’re looking out for the best interest of these people, since you want to make sure that they are not only protected in case of accident, injury, or death, but you also want to keep their costs low. This is the relationship you should cultivate with all of your clients, and some of your first may be the people you know.
  2. Avoid the hard sell. Cold calling is an art form, and you’re just about as likely to get hung up on as have someone give you the time of day. For this reason, you need to proceed in a polite and respectful manner. In most cases you’ll cultivate leads that include people who are open to the prospect of purchasing new insurance policies. But keep in mind that consumers want to be wooed. There’s no such thing as a sure bet when it comes to sales, and you need to do your best to convince potential customers that they only stand to gain by spending their hard-earned dough on the home, car, life, or other insurance you’re offering. When you take the time to talk TO people, rather than AT them, you have a much better shot of reeling them in.
  3. Tell the truth. If your clients discover at some point that you’ve lied, stretched the truth, or omitted important facts, you can kiss their business goodbye. Honesty is the best policy in general, and when you’re in sales that stand to deliver long-term renewals, it’s the only way to go.
  4. Ask questions. If you want to get customers involved in the conversation, you have to make them tell you why they need your policies. The easiest way to do this is to ask hard question. For example, you should ask what people think will happen to their loved ones if they pass away and leave no life insurance policy behind. Will a spouse default on mortgage payments and lose the family home? Will kids be unable to continue their education? Will an elderly parent be left without necessary medical care or supervision? When people start to think about these things, they may be more inclined to sign up for life insurance.
  5. Don’t lose sight of your long-term goals. A career in insurance sales demands that you maintain client relationships, and this requires you to care about the needs of your customers. You can pepper them with famous inspirational quotes and meaningful platitudes all you want, and some of them may even apply, but it’s important to take the time to understand the wants, needs, concerns, and limitations of potential clients. Only then can you keep them happy and properly insured for life.
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