A 3-Step Sales Process for Long-Term Care Insurance

  • Originally published July 20, 2012 , last updated April 26, 2017
A 3-Step Sales Process for Long-Term Care Insurance

The future of long-term care insurance (LTCi) is planning, not selling product. You’re selling a plan to protect your client's assets and their family, not just a policy. When you sell only the product, you essentially have to rely on quoting statistics and basically scaring your prospects into buying.

Some of you may have tried selling only the LTCi product and found it less than successful. That’s because you didn’t take the time to understand the role LTCi plays in your client’s family and finances. By helping your clients understand how LTC fits in with their overall financial picture, you are better able to handle objections and properly implement the product to maximize its benefits for your client.

The following three-step sales process will help you position LTCi as part of an overall plan to protect both the client's assets and family.

3-Step Sales Process

  1. Establish the Need — First you must firmly establish in the prospect’s mind the possibility that they may live a long life. This shouldn’t be hard to do considering most people already think they’re going to live a long life. If they didn’t, then outliving assets in retirement wouldn’t be the No. 1 or 2 concern among most retirees. Next, establish the fact that the longer they live, the more likely it becomes that they will need care at some point.
  2. Impact on Family & Finances — Once you’ve established the strong possibility of needing care, you need to show the client how that could affect his or her assets and family. The old thinking said to focus on the client here. For example: “You won’t be able to get into a good nursing home,” or “You want to pass money to your children.” Don’t make it about them. Make it about their family. For example: “It can tear them apart.”
  3. Lack of Financing Options — So a long-term care situation can have dire consequences, now you need to establish that there is almost nothing that can pay for care except assets and income otherwise allocated for retirement. Impress upon your clients that LTCi is simply insurance for their retirement portfolio. They insure all their other assets, why not this one.

Car — Car Insurance
Home — Homeowners insurance
Family & Kids — Life & Health Insurance
Estate — More life insurance
Salary — Disability Insurance
Retirement Portfolio — ?????

By following and believing in this 3-step sales process, you will close more sales and get a larger piece of the massive, and largely untapped, LTCi market. With 81 million people over age 50, 80% of them are eligible for LTCi, and an average annual premium of $1,768 there is the potential for $64 billion in LTCi sales. Following this 3-step process will help you get your share.

Get more information about the process by calling 1-888-456-8884 Opt. 4 or sending an email to LTC@seniormarketsales.com.