Are you more aware of the need for disability income insurance than you were in April? Now that May’s disability awareness campaign is over, it’s time to make DI a way of life. Consider becoming an individual disability insurance specialist. The industry needs more DI producers and even more importantly, so do working Americans. Need convincing? Here are some solid reasons to consider specializing in disability insurance followed by easy ways to get started.
Specialization is becoming more common among financial professionals. Practices consolidate often assigning producers to specific product lines. Advisors look for ways to differentiate themselves with clients. Proficiency in two or three special areas is one way to drive business your way. Many agencies do not have an individual disability income insurance expert. Expertise in an underpenetrated market multiplies the value you bring to the agency and to clients.
The disability insurance market is huge. Less than ten percent of workers have individual disability insurance. Those covered by an employer-sponsored plan often don’t know how the benefit works. Employees may feel confident in their employer benefit but may not realize the salary restriction of their plan or understand the tax consequences of an employer plan. So many workers are unprepared for an unexpected emergency like an injury or illness that prevents them from working. Workers need disability insurance. If you are considering specialization, select a product, like DI, that has large market potential and few advisors working in that area.
Developing a practice specialty is often a strategy to increase income and referrals. Disability insurance offers very attractive first year income along with smaller renewal commission for years afterward. If you have a referral agreement with a CPA or attorney, specialization means even more leads from those sources. Agencies with multiple sites and many producers benefit when a DI expert is on staff. Clients are less likely to talk to a competing advisor about their need for disability insurance and more likely to remain an agency customer.
Developing your specialty
Learning the product is the first step to develop your expertise. Lucky for you, you’ve got DIS to help you through the learning curve. For starters, download DIS Crash Course to learn product basics, terminology, definitions of disability and policy benefits. Then look to your DIS representative to fill in.
Spend some time honing your client approach. A DI sale usually takes place over a number of client meetings or conversations while you are learning about the client’s financial priorities and concerns. Educating the client about the product will be another large part of your discussions. DIS has several tools to help you develop your marketing approach. The fundamentals are presented in our DI Boot Camp. Follow-up with Sales Strategy #1, Present Highest Benefit, Lowest Cost for a step-by-step guide on how to position premium relative to the benefit.
Align with a distributor you can rely on. Working with a distributor that is reliable and offers access to a wide variety of carriers is essential to developing a product specialty. DIS will serve you well. In addition to education and sales tools DIS will work with you to present the best product for your client factoring in their financial goals, health history, and budget. We’ll serve as your advocate with the carrier. Consider us your back office team.