Selling Insurance for the First Time? Here’s What You Need to Know

Updated on November 5, 2020

Selling insurance, such as health care and life insurance, can be tricky for inexperienced or budding agents. These professionals, for instance, may have difficulty finding new leads or encounter many customers who will say “no” to their offer.

Although insurance may be a tough product to sell, this profession isn’t impossible to pull off. If you’re a rookie insurance agent, you can build a profitable and rewarding business or career with the right outlook, mindset and strategy.

Here are eight insurance sales tips to help you succeed:

Be Observant

Careful observation is important, especially if you’re new to sales. If you’re working for an insurance company, for instance, you have to watch, read and listen to what the firm’s top salespeople are doing. This could involve learning how to obtain leads, talk to clients and use the company’s new client onboarding platform to properly orient customers who recently bought insurance.

When you take the time to learn from the pros, you find out what’s best for your selling style. You could also use the information you’ve gathered to set yourself apart from the sea of insurance agents.

Never Rush the Sales Process

Insurance selling is not a sprint. It’s a marathon. If you disregard the important steps along the way, such as qualifying a prospect and educating your lead, you’ll likely miss on a sales opportunity. When you’re just starting, be patient yet understand how and when to move the insurance sales process along.

Don’t be Afraid to Receive a “No”

Many sales professionals, even those outside the insurance industry, dread the word “no.” If you did your homework and due diligence, however, hearing a decision from a prospect or lead is better than silence.

Here’s why: A “yes” translates to a closed deal. Pat yourself on the back for that. On the other hand, a “no” means that they aren’t qualified. If you do receive a rejection, don’t hesitate to ask the reason behind their decision. Then, move on to the next prospect or lead. Never let rejections demoralize you from doing your job.

Dress for Success

First impressions matter a lot. As an insurance sales agent, you have to dress appropriately. Sporting a professional appearance conveys success. Customers will likely take you seriously when you keep your look clean and classy. If you need inspiration, watch a few business movies to get an idea of what people in the corporate world would wear.

Listen More, Talk Less

You may be tempted to make sure that your prospect understands the insurance product you’re selling. Talking a lot, however, won’t win you favors.

As much as possible, resist the urge to talk too much about yourself, the company you’re working for and the insurance product. You may miss the chance to discuss a solution that addresses the customer’s concern. What’s more, discussing a specific insurance product in great detail for several minutes will make you look like a know-it-all.

Rather than you doing all the talking, adopt a “give a little, get a little” approach to selling insurance. If you find yourself doing all or most of the talking, stop and focus on your lead or prospect. Ask questions and clarify concerns regarding the product you’re selling.

Ask for Help When You Need It

If you’re working as an independent insurance agent, you don’t have to be in a silo. Get encouragement, training and tips from your support team. Alternatively, you could get in touch with insurance agent associations for further assistance.

Avoid Rehearsing or Memorizing a Sales Script

Rehearsing or scripting your calls and client presentations can be tempting, especially when you’re just starting. After all, the product information and sales positioning are all in the script.

This strategy, however, isn’t going to work out. Following a script to the letter could make you sound robotic. When selling insurance, think on your feet, process the new information provided by your customers and provide a custom response that resolves their concerns.

Mirror the Behavior and Interests of Your Prospects

When you’re meeting a prospect, make them feel at ease. If you’re going to sell to a yoga instructor, for instance, sit on the floor if they want you to sit cross-legged.

Also, keep your language simple and avoid using complex jargon. If you need to use an insurance term, be sure to explain it in layman’s terms. At the end of the day, your goal should be to develop a connection with your potential customers.

Take note of these eight suggestions when selling any kind of insurance to prospects and leads. Selling insurance is a tough profession, as it takes time, failure and effort to become a master. Don’t worry, though, as success will come if you put in hard and intelligent work.

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