After working over 25 years with health, annuity, and life insurance marketers and recruiters, I am still amazed. Too many teeter around like inexperienced rookie insurance producers. They skip every opportunity that provides modern techniques, eliminates time wasting, and requires investing money in their success. MOST FAIL, thousands of others earn less money than a good experienced, and knowledgeable insurance agent makes.
The goal of this article is to make successful insurance marketing professionals more successful. For those not yet at that level, heading upward is rarely achieved without the guidance few others can provide. Because I like to tell it like it is, heed this warning. You should be currently mastering at least 9 of the key factors below. Otherwise your chances at recruiting or marketing success is slim to none.
THE 12 KEYS for Insurance Independent Marketing Organizations, National Wholesalers, State Managers, General Agents, Insurance Company Recruiters, Brokerage Directors, Independent Broker-Dealers, Insurance Company Regionals, Territorial Product Managers, MGA’s, and similar individuals or companies.
1. Understanding Your Competition Are they marketing the same product or how different is it from the one you are offering? Is their emphasis on higher commissions, better product benefits, or exceptional service. You should also know how many competitors in your territory exist, how they prospect for agents, how many producers are contracted, and copies of their brochures and contracts.
2. Why Insurance Marketers Fail As you might already know, in the first eighteen months of their career, 85% of life and health insurance agents fail to survive. Reasons broadly range from lack of management, ineffective prospecting, and poor planning to the unwilliness to spend money to make money.
3. Total Insurance Base Few marketers take the time to find out how many life and health insurance agents exist in their territory. How many of these agents are brand new. In contrast, what is the total that survived the critical first four years? The marketer or recruiter may be biting off more than they can handle. On the other hand, there has to be enough agents ready to bite.
4. Agents: Who to and Not Concentrate On This is what separates the young and old boys from the pros. Right now, thousands of agent recruiters are not concentrating their time on target marketing. Face the Facts! Not every life and health insurance agent wants your product. Nor are they healthy for your producer force. There are 4 basic groups of life and health agents, and your target lies within 45% of the total licensed representatives.
5. Importance of your Prospective Agent List A top priority item. Do you even have a targeted prospective agent list for your territory? If you do, you are in the smart minority. Even smarter, if your list closely matches agents currently selling a similar product to what you are offering. An experienced agent list compiler might be able to help you. Other sources, such as list brokers, directories, and even insurance departments rarely can.
6. How Types of Prospecting Differ Here is an area where recruiters and marketers stray far off. The choices include emailing, telemarketing, personal calling, trade magazine advertising, direct mail letters or postcards, attending association meetings, and others. There are not only wide differences in costs and personal time consumed, but in legal requirements. For example, a wrong phone call could cost you an $11,200 fine.
7. Best States to Recruit In This is critical knowledge for those whose territory is national or covers a grouping of states. Insurance marketers hit some states in your territory 7 times as hard as other states. Likewise, some agents in your marketing region receive 10 times the solicitation of others. Learn why sometimes it is better to stay out of big metropolitan areas. Test your territory to explore results, or talk to an experienced insurance recruiting advisor.
8. Increasing Income Techniques It is a fact that you are going to have to invest money, and consistently have a plan of continuous insurance marketing and recruiting. So many recruiters do not know what ROI stands for, or how to figure it out. A good ROI-Return on Investment (over 3 years) for recruiting agents could range from 5 to 1, or much higher. Experienced insurance marketers will respond that a producing agent/broker is worth at least $3,500 to them. That amount is more than at least 30% of self-considered marketers invest on recruiting in a year!
9. Prospecting Techniques to Reach Willing Agents To be successful in developing an agent to write your insurance products three things must be present beforehand. All three are almost of equal importance. First, your message must go to the right qualified agent. Second, your product must excite a need in the agent to want to sell it. Third, you must reach this right agent, with the right product, at the right time.
10. Tricks and Tips Increasing Response Very few worthwhile tips will be extracted from your competitors. Some you may luckily stumble upon. Marketing masters close guard the secrets to their success. One of the big tips is to make your marketing sparkle with tricks and tips not practiced by your competitors. Just implementing one good trick can increase your response rate by an additional 40% increase. P.S. Some insurance marketing writers, like me, will share them in insurance articles.
11. Wording and Designing Your Insurance Message Over 80% of insurance messages made visible to agents by ALL prospecting techniques will never be fully read. Most messages through out bait like vacations, cruises, bonuses, and tripling income within 12 months. Sadly, few realize the simple fact, “what is your product going to do to benefit me”.
12. Agent Recruiting Seminars This is one of the greatest ways to recruit numerous agents to produce business for you with one informative face-to-face meeting. To pull it off, you need to know how many qualified agents are in driving range. Next, you need to develop a formula of the correct prospecting techniques, tricks, and treats to get the maximum traffic to virtually guarantee success.
Remember that insurance marketing success is an upward journey. It is not a destination point where golden eggs are then constantly produced.