Clients frequently ask me "which is the best policy"? The short answer is that there is no one perfect insurance policy for every situation. However, for every situation there is a perfect policy. Here are a few elements for pairing the right insurance policy with the right client.
Budget-- This is the single most important factor to consider. The most comprehensive, benefit-rich plan in the world is a poor choice if it is not affordable month after month. A plan should fit comfortably in within the client's budget, with room to spare. Remember; the coverage will not stay the same price forever. Leave room for increases.
Coverage -- The importance of the right level of coverage comes second only to budget. The purpose of purchasing health insurance is to manage and reduce risk of loss. Guide the client to coverage that fits their individual needs and situation. For example: a client that is healthy and rarely ever goes to the doctor has little need of an office co-pay. Instead route those premium dollars into an accident/critical illness plan or life insurance. In essence this is assuming a small amount (low hundreds) in exchange for removing large (several thousands) risks. Build the benefits of the plan that are appropriate, and then let the premium guide to the right deductible.
Ancillary Options -- Always make sure that the plans you sell are differentiated from the rest of the market. A great way to do this is with optional benefits that enhance the coverage. Choose those benefits that give the client greater coverage and longevity, and that are not available on other plans that your competition is selling. These optional benefits build extra value into the package, and will influence your client to keep this coverage in place for a longer period of time. This is of great benefit to client and agent alike. When a client says "yes", they are accepting the package of benefits that you are presenting. Give the client the best benefits you offer that fit within their budget. These include benefits like accident supplements, critical illness supplements, rate guarantees, and life insurance.
When workings with a client always remember that you are the professional. You are the one with the license, and with all the training and materials at hand. When a client seeks out help from an insurance agent, it means they do not know how to choose the "perfect" policy on their own. They need help and guidance. Never be afraid to recommend the insurance policy that you feel is perfect for your client.
Author: Ryan Atkinson
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