Perspectives Q4 2021 Perspectives Q4 2021 | Page 10

MARKETING
Gearing Up from page 9
Barbara Crowley is CEO of Brokers Clearing House , Ltd ., a LIBRA Insurance Partners organization . She has served on multiple carrier advisory boards , as well as past chair of NAILBA and having served on the NAILBA Charitable Foundation Board .
For Ms . Crowley , the greatest opportunity right now is in partnering with others who are in the financial services industry . Specifically , her idea zeroes in on directing efforts to the “ fiduciary ” market .
“ The insurance industry has long been filled with ‘ sales ’ concepts that illustrate how various insurance products can be used strategically to make a sale to a consumer . Often these concepts are solid strategies that simply propose a different way to think about and position insurance . A rapidly growing population of financial advisors , however , who represent a significant opportunity for insurance professionals are unreceptive to ‘ sales ’ concepts .
Latest buzzword
“ Fiduciary has become a buzzword in the financial services industry , with advisors flocking to use this title to identify how they do planning . Many wealth managers , financial planners , Registered Investment Advisors ( RIAs ), and others use this word as the foundation of their business model and philosophy . While some of these professionals certainly deliver on their promise to serve as a fiduciary for their clients , one could argue that most do not . This is especially true when it comes to mitigating risk by including insurance within the client ’ s financial plan .
“ Most of the firms that use the word fiduciary derive most or all of their revenue from managing their clients ’ assets . Some firms charge service fees or retainers , but most receive revenue as a percentage of the assets managed . When you ask these firms how they approach the important area of mitigating risk through life insurance , long-term care coverage , and disability planning , most will recite verbiage from their website about the comprehensive nature of their planning . A deeper dive into most of their businesses , however , provides a different picture .
Elephant in the room
“ For nearly 20 years , our managing partner served as a consultant and keynote speaker in the fiduciary space . It can be difficult to point out the elephant in the room , which is the fact that many advisory firms are not what their glossy brochures say they are . To effectively partner with these firms , it is important for insurance professionals to avoid approaching them with sales ideas or concepts . Instead , we need to offer evaluation services to assess decisions that have already been made and to ensure that these decisions will help clients reach their goals . To provide truly comprehensive services , a financial advisor needs to develop a plan that not only helps clients achieve their financial goals but also addresses risks that could derail even the most wellintentioned financial plan .
Gearing Up continued on page 12
It can be difficult to point out the elephant in the room , which is the fact that many advisory firms are not what their glossy brochures say they are .
Barbara Crowley
10 Perspectives Q4 2021