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Agent’s Sales Journal February 2006



Short Takes

How to Sell In Tough Times

Tough times call for different selling strategies than good times. When fear and loathing of equities dominate investor psychology, you need to think about changing the perspective clients bring to the table. We have found a strategy that works...

When Are Annuities Appropriate For Seniors?

Annuities can be ideal investments for seniors, providing guarantees, tax deferral, and, optionally, a stream of income. But lately the industry has been plagued with scandals. Regulators in several states are charging that agents and financial...

Nine Traits to Look For in a Mentor

Many successful financial services professionals have benefited from having a mentor. Mentors often act as sounding boards, providing newer professionals with advice derived from their years of experience. Mentors can have an enormous influence on...

Mentoring Key to Future of the Industry

The Agent’s Sales Journal spoke to MDRT mentors and proteges to find out what makes their mentoring program work. Despite the opportunities for growth in the business, there are far fewer agents entering the insurance industry today. Where...

Use Variable and Index Life to Meet Clients’ Specific Needs

There are people who hear the words “life insurance” and remember some boring guy who came to the house after dinner and sat at the kitchen table with their parents. It’s possible that many of your clients and prospects may...

Using EIULs to Establish Private Retirement Plans

Social Security and company pension plans are in the news almost daily. People are worried about whether or not Social Security will be there for them when they retire. Even if Social Security is still viable in the future, it’s naive to...

EIUL: The New Rising Star in Life Insurance

During the 1990s and early 2000s, variable life insurance was the shining star of the life insurance industry. It was a product agents loved to sell and clients loved to buy. As a routine part of the variable sale, each client was asked to complete...

Things to Consider Before Recommending a Variable Annuity

Some conversations in our industry make no sense, like the argument that variable annuities are great (made by those who sell them) or terrible (made by Wall Street types who hate any insurance product with fees). Variable annuities (VAs) are...

The Real Cost of a Variable Annuity

A great deal of recent press coverage has focused on the expense of variable annuities. An apples-to-apples comparison, however, shows that the real cost differential between variable annuities and mutual funds in 2004 was only 96.2 basis points...

How to Illustrate EIA Designs for Your Client

As the 10-year-old equity index annuity (EIA) industry has matured, it has grown both in complexity of products and product selection. It’s so complex, in fact, that manual analysis of competing products is no longer feasible. Responding to a...

Don’t Count EIAs Out

On August 8, 2005, the NASD issued a “Notice to Members.” The official NASD executive summary reads: “This Notice to Members addresses the responsibility of firms [broker-dealers] to supervise the sale by their associated persons...

Beacon Study Reports Best-Selling Products

Beacon Research released its third-quarter 2005 rankings of the top fixed annuity products. MasterDex, an Allianz Life index annuity, was the top-selling product in Beacon’s Fixed Annuity Premium Study for the fifth consecutive period. Also...

Ten Issues to Address Before Recommending an Annuity

An annuity is a flexible financial retirement vehicle combining guaranteed lifetime income payments, insurance benefits, and tax-deferred savings. Americans who are considering the purchase of an annuity to help save for or provide income during...

The American College Alumni Volunteer in First National Financial Awareness Day

With over 150,000 financial practitioners in its alumni association, the nation’s leading financial services educator is launching a national initiative designed to enhance consumers’ financial security. On March 6, 2006, graduates of...

Magazine Names John Hancock Best in Class

John Hancock Retirement Plan Services was recognized for its best-in-class services to 401(k) plans with under $5 million and to plans with between $5 million and $50 million in plan assets by PLANSPONSOR Magazine’s Annual Defined Contribution...

Study on Issues Affecting Banks’ Insurance Sales Released

A new study by the American Council of Life Insurers and the CF Effron Company LLC found that a majority of banks and insurers plan to increase their insurance product distribution programs through banks. About two-thirds of banks and insurers...

Health Care Back-Office Services Move Offshore

Add health care services to the growing list of businesses being outsourced to overseas entities. Many traditional offshore locations such as India and the Philippines have developed successful back-office services for the health care field. In a...

U.S. Life Expectancy Reaches New High

You’ve been hearing for some time that Americans are living longer. Now it’s official. According to the latest government calculations, a child born in 2003 can expect to live 77.6 years on average, up from 77.3 the year before. In 1990,...

UAW Union Endorses Ford’s Tentative Health Care Agreement

The United Auto Workers National Ford Council endorsed the union’s tentative health care agreement with Ford Motor Co. According to the agreement, Ford’s active and retired auto workers will pay more for their health care. Up to...

Sales Review

The Secrets of Their Success

He’s the guy who outsells every single person in your office month after month. She’s the one who effortlessly closes sale after sale while attracting hordes of new clients with grace and ease. You probably know at least one person like...

Perspectives

Going Solo

“Do what you love and you’ll never work a day” is an old adage that still rings true. For years I worked as a waitress and then as a secretary. Then one day I realized that less-skilled, younger people were being hired over me...

Providing a Push in the Right Direction

How do I develop effective sales techniques? How should I approach prospective clients? How will my dedication to a sales career affect my family? We all remember the questions and anxiety of our first few years in the financial services business....

Weathering the Storms

Every year has its crisis. Last year it was accusations of bid rigging at some of the large insurance houses. This year it’s the specter of EIAs being turned into securities that require special licenses and tighter controls. What trouble will...

Marketing

Six Steps to Achieving Your Sales Goals

Persistence and goal-setting play major roles in achieving success in the insurance industry. But before you focus on your goals, determine your purpose. Agents need to be clear about the purpose of achieving their goals. Step #1: Clarify your...

Three Ways to Earn Your Clients’ Trust

A lot of people think that being a good salesperson is the same thing as being a trusted advisor, but it’s not. Becoming a trusted advisor is not just another way to sell products; it’s an entirely different process and requires an...

Products

Establishing a Buy-Sell Agreement

Working with an attorney, you can help a company establish a buy-sell agreement that sets down in writing what happens to the company’s ownership structure in the event a member of the ownership group or a major shareholder dies or becomes...

Guiding Your Clients Through Medicare Part D Plan Options

How to bring value, insight to your clients’ prescription drug plan decisions The rollout of the new Medicare Part D program opens a new world of prescription drug insurance options for America’s Medicare beneficiaries. As with any new...

Objection of the Month

Objection of the Month February 2006

How would you respond to a prospect who says… "Index and variable annuities sound too complicated, and I’m afraid I might lose my money." “There are a lot of things in life that seem complicated at first, like your...

Other Stories

How to Sell In Tough Times

Tough times call for different selling strategies than good times. When fear and loathing of equities dominate investor psychology, you need to think about changing the perspective clients bring to the table. We have found a strategy that works...

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