Objections. Some are real. Some are not. The question is: How do you deal with and answer the objection to close the sale? People write books on answering objections, and I don’t have the space here to deal with them all, so let me tell you what I do when the prospect starts throwing out objections.
First, what are the basic objections? No need, no money, no hurry, no confidence. Everything else is a variation of these. Let’s explore:
No need. While many people feel they don’t need life insurance, they do need what life insurance creates. Money. Certainty. Dignity. Peace of mind. If the client has the time, he or she may be able to earn the cash required. But if they don’t get the time and die too soon, life insurance creates the cash. It’s the only product guaranteed to create the cash when the family or company needs it the most.
No money. “I can’t afford the premium.” If the prospect can’t pay the premium, which is just pennies on the dollar, how can the family or company solve the problem? They will need dollars, and those dollars may cost more than a dollar when taxes and other costs are factored in.
There may be assets that can be liquidated, but at what cost? If a business rival knows the prospect needs to sell an asset, and is interested in buying this asset, he will want to negotiate the lowest price possible, and this may be less than the current market value. With life insurance, the beneficiaries know with certainty what they will be receiving.
No hurry. “I would like to wait.” Why? What will change between now and next week? This is what I say to prospects: “I appreciate your wanting to take the time to make an informed decision, but while you are thinking it over, let’s find out if you qualify for the coverage.”
Remind you client that there is a cost for everything, including waiting: “The longer you wait, the more the insurance costs. Let’s at least guarantee your insurability to buy you the time to make this decision.”
Let me share with you a story of a client who almost waited too long. Each year for 10 years I met with my client to do his insurance review. Each year I tried to convince him of the wisdom of completing his estate planning and purchasing insurance to provide for estate liquidity. Each year he said no. Then one day I received a call asking me to meet him at his home to talk about the insurance I had been proposing for the past 10 years.
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