Lifeblood of the industry
Fired up
There are lots of cool products meant to last a lifetime , provide an income in retirement years , building wealth , etc . But term insurance is the most pure way an individual can protect loved ones .
Hallett
There are a group of strong believers in the value of term insurance who remain almost on fire for the product itself . One such fervent term insurance marketer is Scott Gilpin . Mr . Gilpin is the life insurance supervisor at brokerage general agency Producer ’ s XL in Salina , Kansas .
“ Term insurance is crucial to our product portfolio ,” explained Gilpin . “ Term insurance is the most basic and fundamental form of life insurance ; playing a huge role in the planning and protection of the vast majority of clients . It is a versatile product that can be used for personal and business needs , and it is straightforward and easy to understand for both agents and clients alike . We work with a lot of property / casualty agents , and term insurance is a great way for them to get into selling life insurance .”
There ’ s no one product that ’ s best for an entire group of people . It comes down to finding the right solution to specific client needs and concerns .
Gilpin
Another marketer who sees term as crucial to his firm ’ s business is Jeremy Hallett , CLU . Mr . Hallett serves as vice president of Quotacy , a national direct-to-consumer insurance company . Hallett described term insurance as “ the lifeblood of our industry . It is a pure life insurance product play .”
Hallet further explained , “ term insurance is typically the first life insurance product that anyone buys , and the client buys it because he or she loves someone . There are lots of cool products in the market that are meant to last a lifetime , provide an income in retirement years , utilize a preferred income tax code for storing and building wealth , etc . But term insurance is the most pure way an individual can protect loved ones during the years when his or her young family is deeply dependent on them .”
Matt Rohrer , president and owner of Rohrer & Associates in Otsego , Minnesota , also weighed in on the value of term insurance to the industry and to his brokerage firm ’ s business . “ Term is such a versatile and important product for many reasons ,” Rohrer said . “ It allows many families a cost-effective and easy entry into the life insurance protection space . Business owners can use it as a valuable planning and protection tool . The biggest drawback for this product , like others in our business , has always been the process of buying life insurance .”
Strategic move
Rohrer shared a little about the strategic thinking behind term insurance becoming such a key part of his agency operations , as well as his use of some insurance tech solutions to increase the effectiveness of the sales process . “ Our strategy has been very intentional . I realize that today ’ s consumers are looking for a different experience or journey . Amazon has proven this to be true . Otherwise , everyone would still drive to the store for all their shopping needs . Consumers are willing to pay a small premium for ease and an experience suited for them .”
Because first-time insurance buyers often seem to choose term insurance over other options , often apparently for cost reasons , I was curious as to whether these experienced experts had prospecting advice that takes this into account . In other words , how does an advisor or a marketer search out first-time insurance buyers ?
“ Most people who own life insurance outside of the group life insurance they are offered at work own term insurance ,” stated Hallett . “ Term is by far the most common kind of life insurance .
Term insurance continued on page 34
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