How to sell insurance and Why do I need insurance

An insurance or insurance product is a service that cannot be touched, held in your hands. It is essentially air. But exactly until the insured event occurs. And this makes such a sale more difficult - not every potential buyer sees the meaning and need for such an acquisition. Nevertheless, the challenge before us is how to sell insurance, which is discussed below.

A few points that will help to cope with the difficult task of selling an additional financial protection product.

How to sell insurance

Expert Image

Buyers making a purchasing decision pay attention, among other things, to the seller himself. It is in this that it is worth looking for the reason that one manager is being bought and the other is not.

If the client sees an expert in the manager, then his proposals will be perceived in a completely different way.

An expert is not a person with whom you can talk about such trifles as price or that "this is a game in which I do not participate".

They listen to the expert’s opinion and trust him. In order to become an expert in topic how to sell insurance, you need:

• Get to Know your product, know the problems that your product solves.
• Knowing customer needs.
• Know all the difficulties that our customer faces.
• Knowing the features of the market and niche
• Use links to norms. To do this, we use phrases such as “research speaks of ...”, “according to statistics ...”, “as experience shows ...” and so on
• When asking questions, the client needs to show that each such question has its own meaning. We explain to the interlocutor why we ask him.

Correct terms

Different words can cause completely different emotions. Even if different words have the same meaning.

For example, the word "insurance" can cause negative emotions in a client - our customer may have prejudices about this product. Other terms can be found instead.

For example, the term “financial protection” will convey the same meaning but cause other associations and emotions.

Price division

This is a classic method that allows you to work with the price of a product that will be used for a long time.

So, for example, instead of talking about the full cost of a financial protection program, it makes sense to divide this cost by its duration.

For example, if the full price of insurance for two years is 168 USD, then dividing by the number of days we get a figure close to 0.2 USD per day. Only 0.2 USD and this is less than the price of a pack of chewing gum.

Less focus

It makes sense to make a presentation so that the client wants to refuse our additional offer, must take the initiative.

For example, in the United States, in order to convince employees of one of the companies to voluntarily deduct 2% of their income to a pension fund, they simply reworked their employment contracts.

By default, in the new contract, the employee himself had to check the box opposite the item for refusing deductions.

As a result, only a small part of people took the initiative to refuse deductions, which significantly increased the budget of the company's pension fund.

You should not do something to mislead the client - this is a dead-end and the buyer should be able to refuse an additional offer.

Life examples

The best way to demonstrate something is through real-life examples and stories. People tend to identify with the heroes of these stories and “try on” their adventures.

Stories from real lives where insurance products saved the same customers can be a good argument. 

Often the source of the arguments that can be used in the presentation is the client himself.

At the stage of identifying needs, we can learn about the experience of our customer.

And quite often the experience of our counterparts suggests that the presence of an additional financial airbag could help out a lot.

This is often used for example when insuring a vehicle: “To avoid such risks, we can offer a financial protection program ...”

Dialogue instead of selling

This cannot always be achieved. But success in sales can be achieved where we have achieved trustful communication.

You ask your interlocutor, he shares with you his thoughts and problems.

At this level, we are on the side of our counterpart and can advise him. At this level, our potential buyer is inclined to trust us, because we do not sell, but advise.

For example, understanding is worth referring to voiced doubts. Doubts as opposed to unambiguous refusals - request for additional information.

Say, if the client speaks about the offer of other companies, then this is not a refusal. The client wants to understand what you can offer him.

This is an invitation to dialogue. But such a dialogue is not always possible, but the closer we are to such a model, the better.

Why do I need insurance and how to sell insurance

In order to sell something, like selling life insurance, car insurance or even health insurance, you need to talk about the benefits for the buyer.

The sale of bank insurance products is no exception. The manager’s question “do you want to take out insurance” expects the expected answer - I don’t want to.

And this is not surprising, because the client does not see their benefits in this, they see in this proposal only extra expenses.

 At the same time, banking product insurance has its potential benefits. If our offer will satisfy the needs of the client, then the sale will certainly take place.

Benefits of insurance products:

What if something happens

A loan, especially for a large amount of money, is a commitment for many years. In our unstable time for customers, awareness of possible uncertainty can ruin your nerves.

The question is constantly scrolling in his head - “what if something happens?”. How to sell insurance to a client?

You need to make it clear that insurance is needed just to close such issues. And if the client’s situation changes, an additional insurance product will ensure stability.

More favorable terms

We need insurance, among other things, and for more favorable conditions for obtaining loan products.

Some banks increase their loyalty in the case of insurance - the client gets the opportunity to get a loan with a lower interest.

In some cases, the time for consideration of applications is reduced, and the probability of a positive decision becomes higher.

Confidence in the future

Credit product insurance can significantly reduce risks.

So, for example, if the client in the future for some time will not be able to pay the loan, then the insurance company will help him in this. And this will save the credit history.