- 58% of American don’t have life insurance because they think it’s too expensive.1
- Life insurance can accrue cash value and be used for more than its death benefit.
- No matter the life stage, now is the time to buy life insurance.
Talking about life insurance with your clients isn’t always easy. No one enjoys thinking about the end of his or her life. That’s why it’s important to discuss how it could help your clients at every stage of their lives. It can give them the chance to build a stronger financial foundation without the worry of what might happen should the primary wage earner pass away.
Whether your clients are young and healthy, newlyweds waiting to have kids before they purchase life insurance, or empty nesters looking forward to their golden years, they still likely want to provide their loved ones with financial security. Purchasing life insurance today will help provide this protection no matter the life stage.
Start by asking a simple question: Would you be in immediate financial trouble if a primary wage earner died? If your clients are like a third of American households,2 they’ll probably say yes, they would feel it within a month. Such a loss could put a family in a precarious financial situation, but you can help to change that.
Keep it simple. After all, 11% of Americans say the confusing nature of life insurance makes them avoid buying a policy and that they haven’t had time to figure it out.3 That might be a reason why 40% of Americans don’t have any form of life insurance.4
What many people don’t know about life insurance is what it may offer aside from a death benefit. Showing your clients the other benefits that certain life insurance products may offer might make them more eager to get the protection life insurance can provide.
For example, telling your clients that some life insurance policies accumulate cash value they could use for emergencies may come as a pleasant surprise, especially to young couples who are likely less concerned with their longevity. For people who’ve already built a strong set of assets, life insurance can provide the means to help safeguard their loved ones, and those assets, in any sort of unexpected financial emergency.
When it comes down to it, it really doesn’t matter what stage of life they’re in. Talking to even your most prepared clients about the benefits life insurance offers, while keeping it simple, could offer the best path toward better financial security and protection for American households.
Things to Consider:
- Keep things simple when it comes to talking about life insurance with clients.
- Show clients how life insurance can accumulate cash value.
- No matter your clients’ life stage, show them how life insurance could help them.
1“Survey: Why Most Americans Don’t Have Individual Life Insurance Coverage,” Bestow, February 2018
2"Insurance Barometer Study", LIMRA 2018
3"Six Reasons Americans Don't Have Life Insurance — And Why They're Bogus," USA Today, May 2019
4"New Study Reveals More Than 40% Of Americans Don't Have Any Form Of Life Insurance," MarketWatch, September 2018
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Transamerica Resources, Inc. is an Aegon company and is affiliated with various companies which include, but are not limited to, insurance companies and broker dealers. Transamerica Resources, Inc. does not offer insurance products or securities. The information provided is for educational purposes only and should not be construed as insurance, securities, ERISA, tax, legal or financial advice or guidance. Please consult your personal independent advisors for answers to your specific questions.