Thought for the day:
A good battle plan you act on today can be better than the perfect one tomorrow.
Gen. George S. Patton
If you will read no further:
In these times of increased uncertainty and market volatility, one of the most dangerous comments I hear from Financial Advisors is “my client has plenty of money and doesn’t need long-term care insurance”. At least one in three of your clients will have to payfor care someday. At the very least, you should have a serious conversation with them so that there is an agreed upon strategy in place. And while you’re at it, ask them to take two minutes for this:
Thought for the week:
How NOT to sell insurance products to your clients
- Wait until the client asks you for a price quote…a sure sign that he has been informed of some serious health issues and is unlikely to qualify.
- Show the client a proposal, but do NOT advise that it is the best choice to address his needs for income or to protect his portfolio from risk and volatility.
- Present an insurance product but make sure the client has no sense that you consider this a serious recommendation.
- Present insurance as the whole solution rather then a part of the overall investment plan.
- Don’t read the proposal or fully understand the product before presenting it to the client so that you are unable to give a clear and compelling presentation.
- Do tell the client everything you know about insurance instead of focusing in on what it will do to improve and help assure the results of his financial plan.
- DON’T RECCOMEND IT! Just throw it out there as “another approach” or better yet, send the client a proposal and/or a brochure in the mail.
- Avoid moving money in the portfolio you are managing because it will reduce your annual fees.
- Start the presentation with “I don’t like insurance companies and I rarely recommend insurance, but in this case…..”
- Use some source other than Westland Financial Services as your source for Life Insurance, Annuities and Long-term care strategies.
You have probably already read much about the American Taxpayer Relief Act of 2012. I’m not sure where the “Relief” part comes in, but at least there are several positive long-term commitments made on tax rates and other provisions in question. Read it here from AVIVA for an excellent summary of the important features of the law.