Transcript Empire Financial Group

The Empire Life Insurance Company
Group Marketing &
Distribution
TM
Trademark and marketing identity of The Empire Life Insurance Company.
Policies are issued by The Empire Life Insurance Company.
Empire Life

“Tell me and I will forget. Show me and I might
remember. Involve me and I will understand.”
- Confucius
The Group Marketing Process
Typically Involves:

Negotiated Placement

Closed Bidding

Competitive Bidding
Pre-Sales Activities
We are going to examine some Pre-Sale activities:

Prospecting

Preparation & release of RFP

Decision to quote/no-quote

Analysis of proposals
You Can Sell Group Insurance

Selling Group Insurance is not that much different than
selling Individual Life Insurance

Group Insurance goes hand in hand with personal and
business insurance

Small groups often go untouched because the agent is
unaware and the group specialist can’t be bothered
with small cases
Help through Group Representatives
Help is available through Group Representatives
1. Most insurance companies can provide you with
presentation material
2. Use the carrier’s material to develop your own
reports
What’s in it for you!
• You currently have the customers
• If you have sold business insurance, you have a
potential group sale
• Chances are your individual clients work
somewhere - they can give you key information on
their group benefits
• Group Insurance is an ideal hunting ground for
individual sales - you have an easy and frequent
lead to prospects
What’s in it for you!
• Commissions are substantial and renewable annually
- build yourself a base salary
• Can be an entrée to other sales - no other sales
activity provides you contact with both management
and rank and file employees.
• You can show them the value of working with a
qualified insurance consultant so they can engage
without fears of obligation or high pressure tactics
Getting Ready to Sell
1. Know your products and services
2. Follow up on requests for information immediately
3. Return phone calls / emails immediately
4. Maintain contact with all parties
5. Put everything in writing
6. Never assume that something will be taken care of
7. Send thank you letters
Literature on Products
Study literature on products
1. Take courses such as CEBS or RHU
2. Research your prospect, your prospect’s
company, their business conditions and the
competition
3. Be aware of your competition
Empire Life
Companies don’t buy group
insurance, people do –
BUILD RELATIONSHIPS
Prospecting
1. Does the prospect have or need group insurance?
2. Is your prospect the decision maker?
3. What is the track record of your prospect - how is
their business?
4. Does the prospect have an understanding of the
services you can provide them?
5. Will an insurance carrier accept the risk associated
with that group?
Where to look for Prospects
- Warm Leads
•
•
•
•
•
•
•
•
Your own client files
Personal acquaintances
School Alumni
Former co-workers
Social interests, hobbies, political organizations
Business organizations
Cultural commonality - Religious Organizations
Contacts do not have to be prospects themselves - they
can be referrals - do you work with an Accountant or
Lawyer who can refer you to businesses?
Where to Look for prospects
- Cold Leads
•
•
•
•
•
•
•
•
•
Business directories
Annual Reports
Business or trade publications
Magazines or newspapers
Locals Chamber of Commerce or BBB
Public Libraries
Association membership lists
Government Publications
Internet
Be Referable
The most common source of referrals are
satisfied clients
 Before you ask for a referral, reconfirm their
confidence in you and your products and service.
 When asking for a referral, describe in broad
terms what you are looking for in a qualified
employer.
 Report back the outcome of the referral to the
referrer
Preparation & Submission of Proposal
1. Determine the employer’s objectives
2. Ascertain the resources required
3. Confirm compliance with requested benefits
4. Verify if financially competitive
5. Confirm benefit maximums matched or
exceeded
6. Present a high quality professional submission
What Insurance Needs are Required?
LTD
Life
AD&D
Group Home
Long Term Care
Dental
EAP
Wellness
Weight Loss
STD
Dependent Life
Travellers Insurance
Group Auto
EHB
Vision
Home Health Care
Stress Reduction
Fitness Club
Health Care Spending Account
To Quote or Not To Quote
 the desirability of the risk – Is the group acceptable to
the carrier?
 the completeness of the RFP
 reasons for marketing
 the competitiveness of the current premium rates
 ability to match current or requested plan design
 capability to provide requested administration &
claims
 the timing constraints
 who the current insurers are
Check-List
Information Included in a Proposal
•
•
•
•
•
•
•
Description of deviations, if any
Description of eligibility for coverage
Schedule and description of benefits
Monthly premium rates
How renewal rates and reserves are calculated
Underwriting assumptions or conditions
Description of services provided
Muddy Waters Insurance
Services
11111 – 111 Street
Edmonton Ab
T6J 2P1
Employee Benefits
Request to Quote:
For
Company Name
April 2006
Empire Life
We have been requested to provide quotation for Employee Benefits for
XXXXXXXXX Company. We are marketing this plan because they are
have received several substantial increases in the past few years
Nature of Business
XXX Company is a printer and bookbinder. They are affiliated with a National
printing organization and are able to take some spin off contracts. This
company has grown substantially in the last 3 years and has planned for
steady growth in the future
Company Address
This is an Edmonton company with locations in Calgary and Red Deer or
11795 – 124 Street
Edmonton, Alberta
T5P 2L5
Phone 780-424-6666
Fax
880-424-6661
Website
WWW.XXXcompany.net
Empire Life















BUSINESS
Nature of Business
Affiliates and Subsidiaries
Length of Time in Business
EMPLOYEES
Number of Employees
Union Employees
Contract Employees
Waiting period for new hires
Waiting period for current employees
Coverage is Mandatory or Optional
EE’s not covered by Workers Compensation
Definition of Full time
Definition of Part Time
Bonus or Commissions
Empire Life
















DISABLED EMPLOYEES
Number of Disabled Employees
Prognosis
DURATION of Disability/Return to Work date
Has Life waiver been accepted
Current Carrier
How many years with current carrier
Reason for marketing
Benefit
ER Contribution EE Contribution
Life
AD&D
Dependent Life
STD
LTD
Health
Dental
Empire Life
Benefit
Basic Life
AD&D
Dependent Life
Short-Term
Disability
Long-Term Disability
Health Benefits
Single
Family
Dental Benefits
Single
Family
Rates Effective Rates Effective Rates Effective
Mar 1/99
Mar 1/01
Mar /02
$0.21
$0.21
$0.27
$0.05
$0.05
$0.05
$1.67
$1.67
$1.89
$0.67
$0.73
$0.79
$1.29
$1.29
$1.37
$23.17
$42.04
$35.00
$63.50
$35.00
$63.50
$34.21
$55.07
$32.00
$52.50
$32.00
$52.50
Empire Life
Claims History
Short Term Disability
Policy Year
Jan 1/01-Dec 31/02
Jan 1/02-Dec 31/03
Jan 1/03-Dec 31004
Paid Premiums
Incurred Claims
$0
$0
$0
$0
$0
$0
Loss Ratio
Extended Health Benefits
Policy Year
Jan 1/01-Dec 31/02
Jan 1/02-Dec 31/03
Jan 1/03-Dec 31004
Paid Premiums
Incurred Claims
$0
$0
$0
$0
$0
$0
Loss Ratio
Paid Premiums
Incurred Claims
$0
$0
$0
$0
$0
$0
Loss Ratio
Dental Benefit
Policy Year
Jan 1/01-Dec 31/02
Jan 1/02-Dec 31/03
Jan 1/03-Dec 31004
Empire Life
Name/Employee
number
Occupation
Birthdate/
Age
Earnings
Start
Date
S/F/W
Gender
Province
Analysis of Proposals
1. Compliance with RTQ
2. Service capability
3. Financial competitiveness
4. Guarantees
5. Quality of provider (stability)
Empire Life
Marketing Comparison
XYZ Company
Print Sheet
Current Carrier
Rates
Premium
Empire Financial
Rates
Premium
(Carrier #2)
Rates
Premium
(Carrier #3)
Rates
Premium
(Carrier #4)
Rates
Premium
Benefit
Volume
Life Insurance
per $000
3556000
$
0.156
$
554.74 $ 0.174 $
618.74
$
0.120
$
426.72
$
0.120
$
426.72 $
0.150
$
533.40
Accidental Death
and Dismemberment
3556000
$
0.050
$
177.80 $ 0.050 $
177.80
$
0.050
$
177.80
$
0.060
$
213.36 $
0.050
$
177.80
22
$
1.87
$
$
45.98
$
1.750 $
38.50
$
1.400 $
30.80 $
1.250 $
27.50
Weekly Indemnity
per $0
14267
$
0.470
$
670.55 $ 0.520 $
741.88
$
0.450
$
642.02
$
0.400
$
570.68 $
0.360
$
513.61
Long Term Disability
per $00
56566
$
1.397
$
790.23 $ 1.490 $
842.83
$
1.550
$
876.77
$
1.700
$
961.62 $
1.400
$
791.92
7
16
$
$
71.01
167.87
$
$
497.07 $ 65.47 $
458.29
2,685.92 $ 154.78 $ 2,476.48
$
$
26.00
50.00
$
$
182.00
800.00
$
$
25.00
52.00
$
$
175.00 $
832.00 $
22.00
52.00
$
$
154.00
832.00
7
16
$
$
66.29
66.29
$
$
464.03 $ 31.08 $
217.56
1,060.64 $ 77.70 $ 1,243.20
$
$
20.00
49.00
$
$
140.00
784.00
$
$
21.00
52.00
$
$
147.00 $
832.00 $
19.00
45.00
$
$
133.00
720.00
$
6,942.12
$
4,067.81
$
3,883.23
Dependant Life
per family
Extended Health
Single
Family
41.14 $ 2.090
Dental Care
Single
Family
Total Monthly Premiums
$ 6,822.76
$
4,189.18
Empire Life
Extended Health
-AnnualMaximum
Unlimited
Unlimited
0/0
0/0
Drugs
80%
80%
Health Coverage
100%
100%
Pay Direct Drug Card
Yes
Yes
-Generic Drugs(Y/N)
Yes
Yes
LM:Fert$4000(50%)/Smk$300
LM:Fert$4000(50%)/Smk$300
Pooled
Pooled
$500
$500
-Paramedical Per Visit Maximum
no maximum
no maximum
-Private Duty Nursing Maximum
$10,000
$10,000
-Vision Maximum
$200
$200
-Eye Exams (Y/N)
Yes
Yes
-Semi-Private Hospital
Yes
Yes
-Private Hospital
Not available
Not available
-Hearing Aids
$500/5 years
$500/5 years
-Annual Deductible
Reimbursement
Drug Plan
Life Style Drugs
Stop Loss Minimum
All Other Coverage
-Paramedical Maximum
Empire Life
Extended Health
Travel Assist
-Out of Country Emergency (Y/N)
Yes
Yes
- Out of Country Duration (# days)
60
60
Retirement or to age 70
Retirement or to age 70
2
2
Other Notes
-Termination Age
-Survivor Benefit ( # years)
-Other Notes
Post-Sale Activities

Enrolment of employees

Installation and administration

Ongoing service and renewals
Enrolment of Employees

Explaining the group benefits

Completing the enrolment material
Installation and Administration

Deliver billing, contract, ID cards, certificates,
employee booklets, claims forms, administration forms

Train administrators
Ongoing Service and Renewals

Establish rapport with client and employees

Provide ongoing statistical information

Resolve problem issues
Becoming a Better Sales Person

The Seven Deadly Sins in Selling
– This valuable information comes from the book “If You
Were Arrested For Selling…. Would there be enough
evidence to convict you?” from author Ian Selbie who is
also the founder and CEO of Conselleo.
http://www.conselleo.com/
– Ian’s book discusses the effectiveness of being a good
sales person, which are tools I am sure all of us can
use.
THE SEVEN
DEADLY SINS
IN SELLING
1
Calling at non-decision making levels
2
It’s about “qualifying” not “closing”
3
Not using a consistent, systematic sales process
4
The premature proposal trap
5
Lack of a documented and measurable sales plan
6
Not using customers as a powerful sales tool
7
Thinking that “software” alone will correct an
inconsistent or ineffective sales process
SIN #1
Calling at non-decision making levels
•
“yes or quick no” vs “slow no”
•
most precious sales asset... time
•
beware of the influencer lock
•
double your win potential by calling high first
SIN #2
It’s all about qualifying not “closing”
•
the closing problem perception
•
the harder they push, the further away the deal gets...
•
understand the client’s pain, why they need it…
•
then qualify: why, who, when, how much, who else...
SIN #3
Use of a systematic sales process
•
sales people & sales processes
•
client inconsistency
•
sales management nightmare
•
inaccurate revenue forecasting
•
best sales practices... consistent approach
SIN #4
The premature proposal trap
•
fastest way to get rid of a sales person?
•
no commitment to needs assessment... no proposal
•
“just fax me your proposal”
•
trusting them to sell it for you
•
forecasting fluff
•
always present your proposal
SIN #5
Not having a documented & measurable sales plan
•
if you fail to plan, you plan to _______
•
annual sales plan documenting:
- strategies, activities, goals, revenue targets
•
resting on the laurels of past wins
•
assign revenue AND activity quotas
•
you can’t manage results, just the activities that
lead to results
SIN #6
Not using your very best sales tool
•
most powerful sales tool is “proof”
•
the customer reference letter
•
relationship, reference, repeat referral
•
put your clients on your sales team
SIN #7
Thinking that software alone will correct an
inconsistent sales process
• good process must come first
• 70+% of CRM projects fail to meet expectations:
- no process prior to software
- no buy-in from sales (time/ROI)
• the right process, with a methodology, then the tool
How to be Successful!
Empire Life

Conclusion and Questions?