How To Buy Final Expense Insurance Leads

April 5th, 2009

There are a ton of sources for final expense insurance leads from which agents may choose. However, some are more profitable than others for your insurance selling business. Here is a description of the most popular leads available.

Direct Mail Leads

Direct mail leads were one of the first leads generated for agents that are still available today. Typically, a post card is mailed directly to blue collar prospects and retirees between the age of 55 and 80 with the offer of providing additional funeral coverage beyond the minimal amount available through the Social Security Administration.

For many years, this method of lead generation has been the most consistent for final expense leads. These leads are usually the most costly due to the expense of postage, printing, list compilation, and mailing.

Automatic Computer Dialer Leads

In the early 1990’s, with the proliferation of desk top personal computers and affordable telecommunications hardware, new lead companies began generating outbound computerized phone leads. This method involved custom-fitted computers which automatically dialed thousands of homes with a recorded message about obtaining simplified issue life insurance coverage.

Federal and state “Do Not Call” lists have significantly reduced the number lead companies using this method, however, there are still a few who have determined how to comply the laws on computerized dialers. Also, with the continued affordability of computer dialers, individual general agents have purchased these units to generate leads for themselves and their agents.

Internet Leads

Internet leads are quickly becoming the most popular. These leads are usually generated through online websites created to collect contact information of individuals interested in small face amount policies. Internet lead generation companies concentrate on directing targeted traffic from the internet to their lead capture websites, and then distributing them to agents.

Live Telemarketer Leads

Some lead companies actually hire telemarketers to make cold calls to prospects to generate leads for insurance. These leads can be the most responsive for agents because the prospects have actually had contact with two live individuals who have listened to their coverage needs.

The objective with each of these leads is for the agents to contact them by phone or in-person to the discuss the life insurance. Final expense insurance leads have become the lifeblood of many agents who would not be in business without them.

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Leads Can Keep Your Career Alive

March 8th, 2009

Every life insurance agent continually looks for a method to sell more insurance products.

There was a time, especially for final expense sales, when insurance agents went door-to-door looking for prospects to buy life insurance. Fortunately, times have changed. Today, agents have a number of sources to get prospects for their products.

At the beginning of an agent’s career, focusing on friends and family for prospects was a common way to get started. The next step after a sale was made was to solicit referrals in order to keep the sales funnel full of prospects. Asking for referrals is still a very effective way of getting prospects.

Sadly, too many agents leave the insurance business after they have exhausted their list of family and friends, run out of referrals, and have no one else to discuss the benefits of insurance with.

Eventually, every agent finds themselves in a sales slump. It seems like you cannot even buy a sale, no matter how hard you try. Typically, this is when the slumping agent begins to look around for a “new way” of selling or prospecting. Perhaps some new selling system will get you out of the slump. There are so many different reasons that cause sales slumps, but a shortage of prospects to call should not be one of them.

At any given time, there is a huge number of individuals looking to buy life insurance. Every month, there are 2.7 million searches on Google alone for the search term “life insurance.” If there are that many searches inquiring about life insurance, your job as an agent who sells life insurance should be simple. No longer do you have to chase prospects as a pesky salesman. Your job is to place yourself in front of those already looking to buy life insurance.

If you are in the business of selling final expense insurance, finding a source of people looking for your product is essential to remaining successful in this business. Finding a good lead generation specialist to collect and sort these individuals allows you to concentrate on what makes you money, which is selling instead of prospecting.

There are several companies that specialize in collecting insurance leads, and then selling those leads to agents like yourself. You can receive a continuous stream of interested prospects by merely placing an order for the quantity that you feel you can handle. Of course, you should do your homework and conduct your own research to make sure you’re doing business with a reliable lead company.

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Final Expense Insurance Leads – Why Agents Should Purchase Them

March 2nd, 2009

Final Expense Insurance Leads are those individuals who have expressed an interest in either purchasing, or obtaining additional information about a small face amount policy from an insurance agent. Let’s start with the basics and define what this type of coverage is.

What Is Final Expense Insurance?

Final Expense Insurance (referred to as final expense) is usually a permanent whole life insurance policy used mainly to cover the insured’s remaining expenses after passing away. It can often be purchased without a health exam, and requires only 5 – 10 health questions answered by the proposed insured on a simplified short application. Policy face amounts can be purchased from $1,000 to $30,000.

Final expense is different from burial insurance because it does not have to be used strictly for burial costs. It can be used for just about anything including bill payments, debts, mortgage, medical expenses, or whatever else the insured’s survivors may need that a lump sum payout of cash can solve. The passing of a loved one is stressful enough without having to worry about finding several thousand dollars to pay for a funeral, burial, and other miscellaneous bills and expenses.

What Seniors Look For When Considering Coverage?

Now that we’ve defined exactly what these policies are, let’s take a look at what individuals are looking for when they consider purchasing final expense coverage. Even though this type of coverage is available to all ages, it is often purchased by seniors.

The #1 reason most seniors request information about final expense is that they do not want the costs and expenses associated with their death to become a burden to their family and loved ones. This is why this type of policy is mostly popular with seniors over the age of 55. They are looking for a policy that is affordable and easily approved and issued for older and less healthy individuals. Compared to fully underwritten life insurance policies, these type of policies require very few health questions to be answered. In addition, the health questions allow for a wider range of acceptable health conditions for policy issue.

Why This Industry Segment Is Growing So Fast

Everyday, a huge number of baby boomers are reaching age 60, and many of them who are retiring are considering purchasing affordable permanent life insurance coverage to replace their pre-retirement employer-provided insurance benefits.

These smaller face amount policies have become attractive to seniors. They have also become attractive to insurance agents for the following reasons.

  • Agents can provide premium quotes without the need to run lengthy computer illustrations by using a rate book.
  • Seniors usually make a decision to purchase during the first appointment with the agent.
  • These policies are field underwritten and issued quickly, therefore paying commissions to agents 7-14 days after applications are submitted.
  • Renewal commission rates are almost always greater, and are paid for longer periods of time to the agent.

The easiest method of entering this fast-growing market is for the agent to select solid insurers providing competitive products for this marketplace, and then finding a good company that generates leads at an affordable cost.

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