Why Not Specialize in Term Insurance?

[WinoBlues]

Definitely some great advice. I guess the reason why I haven't signed on with EZLife is because I usually complete low-touch apps (ie: get everything signed upfront - app, Kaiser releases, special auths, etc.). I always ask the client who their PCP is and then check the PCP's website in order to see if there's a special auth required to pull an APS.

I will say, to not have to do anything else other than completing a 1pg app, is pretty nice, but I usually submit the full app with special auth and don't really have to f/u with the client too much, other than for little requirements, if any. Because I only write about 5-10 cases a month, the around 20-30% comp differential (I'm in the 100-115% range) that I'd be losing doesn't really justify it for me. That may change, but at this point, I'm looking for as much comp as I can get.

Lastly, I have a good friend who is in the biz and deals mostly with life settlements. He used to write a TON in AP, and make a lot of money, back in the 2000-2008 era. He has a broker back East, where he gets about 130-140% with almost every carrier - He even sent me over the grid. I think he gets these levels, as his lifelong friend owns the brokerage and doesn't even require him to have any production requirements.. Pretty crazy stuff.

Sounds like you have it dialed in pretty well.

are you mostly F2F or phone?

 

[term2u]

Sounds like you have it dialed in pretty well.

are you mostly F2F or phone?

Yeah, thanks - All of these are by phone, no F2F. I find that most people never want to meet with me, even when they're local and I offer to deliver the policy to them in-person... I guess they have better things to do and I completely understand.

I still have a lot to learn. I just always try to get clean files upfront, so that there are less UW issues down the line. Meaning, I always ask for PCP info and get releases signed, and I also prequal all of their health issues, so that I usually only have to f/u on UW requirements about 1-2 times during the entire process.. Sometimes, never. I don't ever bother completing the Part II as I mentioned previously. Just take the basic info and lifestyle questions after prequaling them and it seems to work pretty well.

That's why I'm not a fan of the iGo eApp.. I hate having to ask all of the medical questions. I wish more of the carriers accepted DocuSign/eSignatures, as that would make my process a whole lot smoother - I'd complete the app on a .pdf, and send it over via email for eSignatures - DONE!

I'm also still trying to get my friend to give up his source with the higher comps. I was just looking at the grid he sent over and he actually consistently gets 140-145% on most 20-30yr terms, which is insane - Never seen it that high.

 

[RookieYankee]

Yeah, thanks - All of these are by phone, no F2F. I find that most people never want to meet with me, even when they're local and I offer to deliver the policy to them in-person... I guess they have better things to do and I completely understand.

I still have a lot to learn. I just always try to get clean files upfront, so that there are less UW issues down the line. Meaning, I always ask for PCP info and get releases signed, and I also prequal all of their health issues, so that I usually only have to f/u on UW requirements about 1-2 times during the entire process.. Sometimes, never. I don't ever bother completing the Part II as I mentioned previously. Just take the basic info and lifestyle questions after prequaling them and it seems to work pretty well.

That's why I'm not a fan of the iGo eApp.. I hate having to ask all of the medical questions. I wish more of the carriers accepted DocuSign/eSignatures, as that would make my process a whole lot smoother - I'd complete the app on a .pdf, and send it over via email for eSignatures - DONE!

I'm also still trying to get my friend to give up his source with the higher comps. I was just looking at the grid he sent over and he actually consistently gets 140-145% on most 20-30yr terms, which is insane - Never seen it that high.

How do you normally get your leads? I've been trying to add term clients to my FE base just to expand my knowledge of the life insurance business. I also really like how most term is sold over the phone.

 

[MYOWNCO]

How do you normally get your leads? I've been trying to add term clients to my FE base just to expand my knowledge of the life insurance business. I also really like how most term is sold over the phone.

I'd like to know the same thing - trying to broaden my product knowledge an ad term clients to my business and also love on the phone...
Where do you find decent leads for this market??
Thanks

 

[term2u]

How do you normally get your leads? I've been trying to add term clients to my FE base just to expand my knowledge of the life insurance business. I also really like how most term is sold over the phone.

Luckily, these are all from current clients (we have about 5k clients) who have all previously purchased term from us, so I don't have to buy leads. I just call current clients and complete policy reviews.

I am going to start making a push for the online term market, as I feel like that's where everything is going, but that will take some time. I've also never purchased leads, but was thinking about throwing some money at HTQ and maybe doing some aged leads as well. I'd love to hear everyone's thoughts on viable lead sources.. Of course, if the lead sources are good, they probably won't give up too much info.

 

[Gooner]

Second ................... ---------- I have been doing term by phone a long time. I also work my book like no other agent I know. A lot of the 20-year term we are rewriting and converting I wrote 20 years ago, my inventory. My wife does all our admin. She was first licenced in 1986. We do not need EZLife for the little volume that we do now versus what we did years past. I still email and mail apps to clients. Conversions, of course, are a couple signatures and done so we do those. But we use them more and more. Especially when we get busy or have other things we want to do. Our time is more valuable. As I am typing this she is submitting the EZLife order online on two cases, about $3,500AP. The PIs do not have email so will need wet signatures. We most likely will not need to touch this again till I review the issued policy. I know that he will be table rated so we may need to flip to another company. Their underwriter will review the case and advise. If we need to submit to another company they handle it. Need a special APS auth or Kaiser is being a pain, they handle it. They handle the stuff that frustrates the crap out of me. Do I have higher contracts with some carriers? Yup, but I only have so much time and time has value. Oh and my frustration bucket has gotten much small as I have gotten older. Remember you can dual contract most of these companies. ---------- Maybe, if you are selling $500,000 of term for $32 a month to a P+ 35 year old.

Haven't finished reading all of the post, but damn...that's exactly right.

You hit...

1). Time value of money
2). Ease of issue/doing business
3). Dual contracting for the "bigger cases"
4). $500k to a 35 yo P+

pretty funny how the pompous can't help but manifest.

 

[MYOWNCO]

Luckily, these are all from current clients (we have about 5k clients) who have all previously purchased term from us, so I don't have to buy leads. I just call current clients and complete policy reviews.

I am going to start making a push for the online term market, as I feel like that's where everything is going, but that will take some time. I've also never purchased leads, but was thinking about throwing some money at HTQ and maybe doing some aged leads as well. I'd love to hear everyone's thoughts on viable lead sources.. Of course, if the lead sources are good, they probably won't give up too much info.

Great business model. Bravo man! Good for you! As far as lead sources, for me this forum is about sharing to and learning from and unless you're in somebody's backyard or you're going to be there direct competition, most of the posters on here are pretty good at understanding what the forum is about and do a great job of sharing and helping. Most. Continued success to you. Thanks for sharing.

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Haven't finished reading all of the post, but damn...that's exactly right.

You hit...

1). Time value of money
2). Ease of issue/doing business
3). Dual contracting for the "bigger cases"
4). $500k to a 35 yo P+