September is Life Insurance Awareness Month, which makes it an important 30 days for the team here at Symmetry Financial Group . Every day, thousands of families face the loss of a loved one, and are left to handle their loved one’s bills, mortgages, and final expenses. September is a great time to help your clients evaluate their life insurance needs, and if they already have coverage, it’s a great time to discuss any updates they might want to make to their current coverage.
2021 has been a busy year for life insurance. In the wake of the recent pandemic, people nationwide are reevaluating their financial needs. A survey by LIMRA and Life Happens showed that 25% of its participants bought insurance because of COVID-19. Still, the same study showed that 46% of Americans have put off purchasing a policy they know they need.
Because of this period of reflection, it’s a great time to discuss life insurance options with clients. Helping fill the gap for your clients means breaking down a lot of the misconceptions surrounding life insurance.
LIMRA’s annual Life Insurance Barometer Study identifies four perceptions that Americans have around life insurance and their attitude towards purchasing a policy. In 2021 the largest misconception is that life insurance is too expensive. The study found that more than half of Americans overestimate the cost of life insurance, and in some cases, their estimate was three times more than the actual cost of a policy. With that in mind, it is the responsibility of insurance agents to educate clients on the true cost of a policy. By giving your clients several options, whether it be term or whole life policies, you’re sure to make an impression and help more people get the coverage they need.
LIMRA also found that 29% of Americans think the life insurance their employer provides is enough coverage. However, the truth is that 42% of families would experience financial hardship if they only relied on an employer-sponsored policy, and 25% would see that hardship within a month of losing the income. This misconception can be resolved by explaining to your clients the need for multifaceted coverage that protects every aspect of their finances. The life insurance clients get from their employers is not enough to cover the loss of income their families would experience if they were to pass away unexpectedly.
Another misconception the study found was that younger consumers assume they won’t need life insurance products until they’re older. Younger generations are waiting to buy life insurance after saving for a home purchase or paying off student loans. This misconception is largely attributed to the idea of insurance costing too much. The reality is that life insurance is significantly cheaper for clients who are young and healthy. The survey found that 4 in 10 Americans with coverage wished they had purchased coverage earlier. By helping younger clients with coverage, you’re helping them protect their future early while securing the most affordable rates available. Life insurance is generally most affordable for young and healthy individuals as their rate is based on their health at the time of application.
Life Insurance Awareness Month also means finding coverage for your clients no matter what stage of life they’re in. Whether they’re thinking of protecting their families for when they pass or need help tackling student loan debt, we have a product that can help!
If you’re working with clients who have just purchased a home, a term policy like mortgage protection would be an excellent fit. With mortgage protection coverage, your clients can rest easy knowing their mortgage would be covered in the event of death, critical illness or disability.
You might have clients who are instead focused on achieving financial freedom while they’re young. You might guide them towards our Debt Free Life product . Debt Free Life uses the cash value of a permanent insurance policy to pay off your client’s debts. This would be especially appealing to clients who are younger and want to eliminate large debts while also focusing on saving for retirement.
If you have older clients who are concerned with covering the cost of burial and funeral expenses, you might help them find a final expense policy that fits this need. As an insurance solution, final expense coverage would be ideal for helping the client ensure their family is not taking on an additional financial burden when they die.
Regardless of your clients' needs, there is a policy that fits their budget and goals. By spreading awareness about the different ways insurance can solve financial needs, you can expand your ability to help families nationwide.
With more Americans doing research and showing interest in life insurance, there has never been a better time to join a company that helps families every day.
As a Symmetry agent, you will have access to high-quality life insurance, disability income insurance, critical illness insurance, and annuity products from more than 30 well-known insurance companies. This gives you the flexibility and reach you need to tailor plans to meet clients' individual coverage needs.
To learn more about how to begin a fulfilling career as a life insurance agent, contact us today .
