In-Home Presentation
Mortgage Protection
In-Home Presentation
Selling Mortgage Protection To Clients Over 60
Video Notes
Selling Mortgage Protection To Senior Clients
1. Setting up the appointment properly:
Recognize that selling to seniors is different from younger clients.
Focus on setting up the appointment properly to ensure success.
Understand the unique financial situations and health issues seniors may have.
2. Selling to Single Seniors:
Start with the end in mind - determine the client's goals and what product will best protect them.
Emphasize the burden their passing might place on their family, such as selling the house.
Ask about the family dynamic and who would have to deal with the property.
Explain that the bank doesn't need the whole mortgage paid off, just the monthly payment.
Highlight the importance of ensuring equity goes to their heirs, not the bank.
Offer a solution where the client covers a specific period of payments to ease the transition for their family.
3. Selling to Senior Couples:
Discuss potential changes that might occur if one spouse passes away, like downsizing or moving in with children.
Emphasize that the bank only needs the monthly payment, not the entire mortgage amount.
Highlight the potential challenges of selling the home immediately after a spouse's passing.
Suggest a solution where the client covers a specific period of payments to ease the transition.
4. Shifting Perspective:
Focus on changing the client's perspective on coverage by highlighting the importance of covering payments rather than the entire mortgage.
Help them understand how this approach benefits their family and reduces their financial burden.
Explain that clients have the option to cover the entire mortgage, but it may not be necessary or practical.
5. Getting Policies Out:
Request the client's existing policy for review.
Frame the request as a benefit to the client, explaining that it will save time during the appointment.
Highlight that finding the policy will result in a faster and smoother process.
Emphasize that it's for their convenience, not to replace their existing coverage.
Mortgage Protection
Cash Back Option
Video Notes
Win-Win-Win Pitch:
Word Track: "Mr. and Mrs. Smith, with this mortgage protection plan, it's a win-win-win situation. If you die, you get paid. If you live, you get your money back. And when you choose this plan, I also get paid."
Initial Savings Questions:
When meeting with clients, it's important to ask how much they save per month. Clients who are already saving can reallocate some of those funds into the mortgage protection plan because with the cash back option, clients get all their money back. The cash back option acts as a forced savings account.
Amortization Schedule:
Calculating an amortization schedule is a key step. It provides clients with a clear picture of how much they'll owe on their home in any given year. You can use this information to show how a cash back mortgage protection plan can help them pay off their home early.
Paying off the Home Early:
If clients express an intention to pay off their home early, the agent can leverage this by showing them how the mortgage protection plan can help achieve this goal while simultaneously providing protection for their family.
"Do you plan to pay off your home early? If so, how much do you apply toward the principal each month? I'll show you how to pay off your home early while staying protected."
Explain that while paying extra toward the principal is a great financial move, it doesn't provide the same level of financial security as having an insurance plan in place.
Ask clients questions like, "What if you or your spouse were to pass away before the mortgage is paid off?" This highlights the vulnerability of relying solely on extra principal payments.
Present the Dual Benefit:
Here's where you tie it all together. Explain that the mortgage protection plan allows them to continue paying down the principal while also ensuring that their family won't face the burden of mortgage payments if they were to pass away. It's a way to secure both their financial future and their family's well-being.
Equity Protection Close - Matt Smith
Video Notes
Illustrate the financial impact:
Paint a clear picture of the potential financial burden on the family if the client were to pass away without adequate protection.
Emphasize the potential for equity growth and how real estate tends to appreciate over time.
"Your house is likely to appreciate, so your family could have around $270,000 when you pass away."
Create value by focusing on protecting the equity:
Stress that it's not just about the monthly premium but what the policy protects:
"John, you're not just paying for coverage; you're protecting that $270,000 equity."
Discuss how the policy can help provide options and flexibility:
"With this $40,000, you can refinance your mortgage or even reverse it if you qualify."
"Having options is better than being forced into selling your house and losing your hard-earned equity."
Highlight legacy planning:
Connect the policy to the client's desire to leave a legacy:
"You've worked hard for your equity, and now we want to ensure it goes to your loved ones, tax-free."
Create a sense of urgency:
"You don't have the finances to not take action on this. It's time to secure your future."
Selling Mortgage Protection To Young Clients
Video Notes
The New Approach:
Don't ask too many questions upfront.
Take charge of the conversation, explaining how the appointment will proceed.
Presenting options without overwhelming the client. Keep it simple.
Explaining How the Plan Works:
Explain the plan: "The way this plan works is if you die anytime in the next 30 years, your home will be paid for."
Address concerns about burdening family members: "So, your parents won't get stuck with your house."
The 25-Year Plan With Cash Back
Highlight that if they live for 25 years, they'll get back their entire premium.
"You'll get back the entire premium that you paid in and you can use that money to pay your house off five years early."
Brad Allan - Mortgage Protection
Video Notes
Discussing Mortgage Details:
"The objective here is to make sure that in the event of your death or disability, your stuff stays with your people."
Income and Expenses Questions:
"Monthly household income, approximately?"
"You guys put down 20% when you bought the house, right?"
"How much do you spend on utilities?"
"How much is your car insurance?"
"Any credit card debt?"
"Do you guys drive a lot? How much is gas in a month?"
"Charity, do you give to friends, family, or church?"
"Do you have any miscellaneous expenses?"
Explaining Bi-weekly Payments:
"You know that you can save yourself some money if you make two half payments."
"A 30-year mortgage with 26 half payments means one extra mortgage payment but spread out over the course of a year."
Calculating Potential Savings:
Discussing Equity:
"Do you know what the equity is in your place?"
Explaining Return of Premium:
Return of Premium life insurance is a unique policy that combines the benefits of a traditional term life insurance policy with a savings component.
Here's how it works
Like regular term life insurance, an ROP policy provides coverage for a specific period, which is often 20 or 30 years. During this time, if anything happens to you, your beneficiaries receive the full death benefit just like with any other life insurance policy.
Now, here's where it gets interesting. With an ROP policy, you pay premiums throughout the term, just like you would with a regular term policy. However, at the end of the term, if you're still alive and well, you get all the premiums you've paid back – in full!"
Reinforce The Value
Emphasize that life insurance is an asset, not an expense,
Final Expense
In-Home Presentation
8 Steps to Final Expense In Home Presentation
Video Notes
Step 1: Mind Set (0:11-0:54)
This step emphasizes the importance of getting your mindset right before meeting with the client. It encourages agents to visualize success and maintain a positive attitude.
Step 2: Who You Are (0:54-2:43)
Agents are advised to introduce themselves and explain that they are not just salespeople but underwriters who can provide options from various carriers based on the client's unique situation.
The script also mentions that these are state-regulated programs, reassuring clients that they can find a plan within their budget.
Step 3: The Reasons Why (2:43-4:00)
This step explains the three main reasons why people seek protection:
Cover final expenses
Replace income,
Leverage their legacy.
The goal is to identify which of these reasons resonates most with the client.
Step 4: The Three Things to Accomplish (4:00-5:20)
Agents should communicate that there are three key objectives:
Affordability,
Qualification
Understanding.
Affordability means ensuring the client can sustain the plan financially.
Qualification involves confirming that the client can actually get approved for the selected plan.
Understanding means making sure the client comprehends the plan they are purchasing.
Step 5: The Process (5:20-6:00)
This step outlines the process after selecting a suitable plan, including sending a request for coverage and waiting for approval.
The script emphasizes the agent's commitment to finding a plan that qualifies and meets the client's needs.
Step 6: Financial Inventory (6:00-10:27)
The financial inventory allows the agent to gather essential information and build a comprehensive understanding of the client's needs.
These questions are crucial for maximizing sales opportunities.
Step 7: Quoting (10:27-12:57)
The goal is to provide quotes that align with the client's financial capacity.
Step 8: The Close (12:57-15:23)
The final step encourages agents to close the sale by addressing the emotional aspect of the client's needs.
Agents should ask questions that make clients envision their financial situation after a loss, which can create a strong emotional connection.
The script emphasizes that emotional responses drive decision-making.