What is up life agents? It’s Pete Fournier coming at you for a minute to show you why retention is such a pivotal point of your business.
Note: If you are more of an audio learner, check out this YouTube video
30% Of Your Business Is Falling Off The Books
Insurance agents are constantly on the hamster wheel of trying to outwrite premiums and keep writing more and more production every year. How about if we just spend an extra 2-5 minutes in every presentation that we make, whether it be on a phone or in the field, to me make sure we retain those clients? How much more money could you make if your persistency was 85%, 90%, 95%? Do you know what the average persistency for most people is? 70%, that’s nuts! 30% of your business is falling off the books!
Let Me Show You What I Mean
Let’s say you write $100,000 of issue-paid life insurance premium, and you have 70% retention, that’s $70,000. Now let’s say you’re at 100% contract, so $70,000 would be $6,000 a month, which is $1,500 a week.
You make $1,500 a week, let’s say you write this on just 20 direct mail leads a week. You’re a pretty good agent and your average premium is not bad. Maybe you’re running final expense in the field, 20 direct mail leads a week. Let’s say those leads cost you $375 per thousand, you spend $750 a week on leads and you’re expecting a 1% lead return. So you are making $1,500/week and spending $750/week on just leads alone.
Right there you’re losing half of your money on a weekly basis. So your net net commission is $750 bucks a week. Now that doesn’t include gas mileage, phone expenses, wi-fi, or any of your other bills. That’s not so sexy for writing $100,000 and making 100% commission.
Change Up Your Script
What if we can change that? What if you could take your script that you’re already using and just add another 2-5 minutes to it and maintain a 90% retention rate off of that same $100,000? That’s going to add an additional $20,000 into your pocket just by changing up your script and retaining your clients!
Now, how do you change up your script? Well, I have an answer for you. I put together a webinar, based solely on increasing your retention rate and getting you to 90% plus persistency. So that way you’re spending an extra 2-5 minutes solidifying that sale whether you’re in the house or on the phone, and that’s gonna lead to an additional $20,000 in your pocket, every single year.
But that’s only if you’re writing $100,000. I know some of you out there right now are like, “$100,000? I write $400,000 and my persistency is 70%.” Awesome, well if you’re at 100% contract and you’re writing $400,000 and I teach you to go from 70% to 90% retention, you’re going to put an additional $80,000 back into your pocket with this webinar.
I promise it will help you, go check it out right now at -> Pete Fournier.com