Insurance Agent Forum

[MrProvidence]

I have a question (or 2) for the experienced guys here. My past insurance sales experience came from the "funeral sales" arena and obtaining leads in that field is a completely different animal than traditional life and health leads. I am just entering the traditional arena and need to know....

1. What is the most effective way to work FREE leads. I am contracting with a broker that will provide all the free leads I want until I feel like I'm in a financial position to purchase leads. I plan to reinvest 20% of all income back into lead purchase so I shouldn't be using the free leads for long.

2. Understanding that the more you pay for a lead, the more "exclusive" it is to you, I would like to know what the average is that you spend to get good leads without breaking the bank. I think $20.00 a lead is a bit high, but I don't want to be buying $3.00 leads if 50 other agents received the same lead.

3. In your experience, when a company gives you "free" leads (understanding free things are free for a reason), what kind of numbers can you expect from them. As in 100 leads will = how many appointments = how many actual presentations = how many actual sold?

I really appreciate any and all input.

Thanks a bunch
Mike R.

[somarco]

1. There is no such thing as free leads. The MGA who is offering this is taking it out somewhere.

2. Paying more only means you paid more. Quality and exclusivity do not improve by paying more. Nothing wrong with the $3 leads to use a practice. Mix in a few $8 leads but cut your teeth on the cheap leads. You can make money, it just takes a bit more work.

3. Free leads is like free penicillin. It comes with a dose of the clap.

[Newby]

Originally Posted by MrProvidence

I have a question (or 2) for the experienced guys here. My past insurance sales experience came from the "funeral sales" arena and obtaining leads in that field is a completely different animal than traditional life and health leads. I am just entering the traditional arena and need to know....

1. What is the most effective way to work FREE leads. I am contracting with a broker that will provide all the free leads I want until I feel like I'm in a financial position to purchase leads. I plan to reinvest 20% of all income back into lead purchase so I shouldn't be using the free leads for long.

2. Understanding that the more you pay for a lead, the more "exclusive" it is to you, I would like to know what the average is that you spend to get good leads without breaking the bank. I think $20.00 a lead is a bit high, but I don't want to be buying $3.00 leads if 50 other agents received the same lead.

3. In your experience, when a company gives you "free" leads (understanding free things are free for a reason), what kind of numbers can you expect from them. As in 100 leads will = how many appointments = how many actual presentations = how many actual sold?

I really appreciate any and all input.

Thanks a bunch
Mike R.

I also came from the funeral sales background. I can definitely identify with what you are going through trying to figure everything out. It is a different world than what you are comming from.

My opinion is: Get good contracts and buy your own leads. If you have an IMO supplying leads, you probably have a bad contract.

The best plan I can imagine, the one I've done...is find a small funeral home that needs someone with experience to do their funeral insurance and then cross sale the med sups, LTC and other insurance products.

The same families you have been selling funeral insurance to are also buying Med sups, LTC and more life insurance from someone.

[TXINSURANCE]

What type of Insurance are we talking about?

[Invain15]

The type of field you're in is definitely going to determine what kind of leads you're going to need to purchase.

[MrProvidence]

Primarily Health - independent agent that will also offer life. Would eventually like to add property and casualty to the mix. Not sure if I wish to go back to funeral/final expense.

[rapidrobert]

Why do you NOT want to "go back to the funeral/Final Expense?"

Just curious....