Dear Insurance Agents,
At the heart of our profession lies the opportunity to provide valuable assistance to our clients when they need it most. Consider this scenario: What is your clients' level of confidence in their financial situation when they pass away? Do they have sufficient resources to cover the expenses associated with funerals and end-of-life arrangements? And, perhaps most importantly, will there be anything left to provide for their spouse, children, or grandchildren?
As we all know, baby boomers constitute a significant portion of our population and are the second-largest age group following millennials. By 2030, every baby boomer will have reached the age of 65. Unfortunately, for many of them, while the median retirement savings hovers just above $200,000, over half have no savings at all, leaving few with substantial nest eggs to fall back on. It is precisely this demographic that presents a substantial market for final expense insurance, and as agents, it's our responsibility to tap into it.
What Is Final Expense Life Insurance?
Final expense life insurance is a tailored solution designed for seniors. It offers a comforting financial safety net by paying out a death benefit to beneficiaries to cover funeral costs and other related expenses. It's about giving your clients the peace of mind that they won't burden their loved ones with the financial complexities of end-of-life arrangements.
When discussing final expense insurance with your clients, you can simplify the concept by describing it as a form of permanent life insurance with a modest benefit paid upon the policyholder's passing. Some may refer to it as burial insurance or funeral insurance.
To understand the significance of final expense insurance, consider the substantial cost of funerals. The median funeral expense in the United States stands at $7,360, but this amount can be significantly higher in some states. For instance:
Who Needs Final Expense Insurance?
The ideal candidates for final expense insurance policies are typically advanced in age or dealing with health conditions that make it challenging to qualify for other types of life insurance. Individuals who previously had employer-provided life insurance but lost it upon retirement are also excellent candidates for final expense insurance.
One notable advantage of final expense insurance is its affordability. Unlike typical term life insurance policies, final expense insurance comes with lower premiums due to lower coverage amounts. Coverage usually ranges from $5,000 to $35,000, making it a practical choice for clients aged 50 to 85 who seek an affordable way to provide peace of mind to their loved ones.
How To Find Final Expense Leads
Now that we've explored the significance of final expense insurance let's delve into how you can tap into this potential revenue stream by acquiring leads.
Securing leads is just the first step; the ultimate goal is to close the sale effectively. Here are some strategies:
There's no better time to tap into the potential of the final expense insurance market. You have access to your existing clients' networks, and lead-generation providers like Nectar can offer valuable leads. To get started on your journey in selling life insurance, explore Nectar's real-time, unique lead generation software, enabling you to target life insurance customers in your area efficiently. You can customize the types of leads you receive and when you receive them.
Don't hesitate; begin selling final expense insurance today and make a meaningful difference in the lives of your clients and their families.
Patrick Kilhoffer has helped companies grow really fast, while making a profit. In one case from $200,000 to $20 million in sales in just two years.