Zurich Financial Services has suggested a number of tips for advisers to assist with a positive start to 2012.
The insurer’s December 2011 Risk Pulse publication includes an article by its Head of Marketing, Retail Risk, Richard Dunkerley, that outlines a number of strategies to help advisers hit the ground running in the first quarter of the new year.
… maximising revenue and acting in the best interest of clients do not have to be mutually exclusive
Noting that maximising revenue and acting in the best interest of clients do not have to be mutually exclusive, Mr Dunkerley’s tips (with thanks to Zurich for permission to reproduce this extract) include:
Promote level premium cover
Level premiums start off higher than stepped but see the customer ahead down the track. Because they help your client avoid those age based increases they play a major role in boosting your retention rates, and as such can be especially valuable with trauma cover, where age increases can see people cancel cover just as they are likely to need it. Level premiums also help your client budget better as they have more certainty about what they will be paying each year.
Recommend child cover
Imagine: you have put in place a rock solid protection portfolio for your clients, a well-off professional couple. They have the top income protection contract, term insurance with a solid sum insured, own occupation TPD cover and the best trauma insurance available.
If anything – absolutely anything – happens to either of them, they are covered.
But what if something terrible happened, not to them, but to one of their children?
The lack of child trauma cover can be the real weakness in an otherwise comprehensive risk portfolio.
This ‘chink in the armour’ of many recommendations is even more inexplicable given that child trauma cover is relatively inexpensive; around $10 per month buying a moderate level of cover. For many parents this type of cost for the peace of mind is a no-brainer. Just one sale per week covering two children can instantly add $12k to your annual revenue stream while at the same time giving your clients a more rock solid risk portfolio.
Review every client who changes their address
You no doubt have a regular client review process in place, but sometimes the most obvious candidates for a review can be overlooked. Moving house generally means a change in circumstances, whether that be a new job or new relationship. It could also mean changed financial circumstances (positive or negative), such as a bigger mortgage. Whatever the circumstances, it is highly likely that the assumptions underpinning your original advice are no longer valid, creating the perfect opportunity to review your clients needs.
Make a new year commitment with your referrers
Make early contact with your key referral sources and lock in your planned meetings, training sessions and any incentive plans. Equally as important is getting their new year commitment on the level of referral business that your partnership should create. Put some formality around the 2012 calendar for your relationship and then keep to your commitments!
