Master Your Insurance Sales Pitch with These 5 Key Steps

Insurance Agent
11 Jun, 2023
Author : PolicyBoss
Insurance Agent

In a world where financial security and protection are of utmost importance, insurance plays a crucial role in people's lives. However, convincing potential clients to buy an insurance plan can be challenging. The reason is simple - the technical jargon and lengthy terms and conditions mentioned in the policy document often make people fearful of choosing the right product. However, with the right approach and an effective sales pitch, you can assist your clients in selecting the most suitable insurance product while also elevating your insurance sales.

The Point of Sales Person (POSP) programme offered by PolicyBoss provides the training you need to develop your sales skills. You can learn from industry experts and use this commission-based business opportunity to earn additional income on your own time. What's more? You don't need any major qualifications to become a POSP with PolicyBoss. As long as you are above 18 years of age, you can use this opportunity to your advantage and grow as an insurance agent!

In this blog, we will discuss five essential steps to confidently lead an insurance sales pitch and achieve outstanding results. But before diving into these steps, let's first understand what a sales pitch is and why it is important.

Why is a sales pitch necessary?

A sales pitch is a carefully crafted message designed to engage potential clients, address their needs, and make them understand the significance of a product in their lives. With a complex product like insurance, it can be a challenging word for a layman to comprehend its true value.

An effective sales pitch simplifies these complexities and conveys the importance of insurance in protecting against unforeseen risks and providing financial security. Furthermore, a sales pitch showcases your knowledge and expertise about the product you are selling, thereby building trust in the minds of your potential customers.

5 Steps To Lead An Insurance Sales Pitch

Here are the five steps to lead a health or life insurance sales pitch:

  1. Analyse your Audience: When selling insurance, you are likely to encounter diverse prospects with unique needs. Therefore, it is crucial to thoroughly analyse the audience and tailor your approach and messaging to their specific requirements and preferences.

    Let's look at a couple of simple life insurance sales pitch examples. For instance, if you are pitching a life insurance product to a middle-aged couple with kids, your pitch should focus on providing them with peace of mind and financial security for their children's future. On the other hand, if your audience consists of young earners, you need to emphasise how buying term life insurance at an early age can lower their premium rates for remainder of policy paying period.

  2. Understand their Concerns: You need to carefully listen to the client's needs and concerns before pitching an insurance product. Try to understand their unique situation and customise the pitch accordingly. By showing genuine interest and empathy, you can build trust and establish a stronger rapport with the client.

    Let's understand this better through an example: If a client is seeking motor insurance coverage for his brand-new car, you could start the conversation by asking open-ended questions to learn more about the client's profile, such as their driving experience, location, and any specific requirements they might have. If you find that the client is a first-time buyer, you can familiarise them with various types of motor insurance policies, such as Third-Party Liability Insurance and Comprehensive Insurance and stress upon the importance of recommendations for relevant add-ons viz. Nil Dep, Engine Protection and more.

    In some situations, the prospect may not realise the need for a particular type of insurance. This is when you need to indirectly pitch a product that aligns with the overlooked requirement. Also, don't forget to demonstrate that you genuinely care about their well-being while pitching a product indirectly.

    For instance, when pitching life insurance to a young couple with a newborn baby, instead of diving into technical details, personalise your pitch to make them understand the need for the product.

    Life Insurance Sales Pitch Example: "Congratulations on becoming parents! I can imagine the joy and excitement you must be feeling, along with the added responsibilities that come with it. Buying life insurance may not be something on your mind right now, but this is a good time to think about the financial protection of your loved ones to ensure their and your dreams continue uninterrupted."

  3. Offer a Solution by Highlighting Benefits: After listening to their concerns and requirements, offer them the right solution. While pitching an insurance product, avoid overwhelming them with a list of features or technical details. Instead, focus on the benefits and value proposition that your product offers.

    For instance, if you are pitching a health insurance policy with comprehensive coverage to a potential customer, here is how you could look at highlighting some benefits:

    1. Extensive Medical Coverage: The recommended health insurance policy offers a wide range of coverage options, including pre- and post -hospitalisation expenses, free second opinion consultation, OPD expenses, consumables and more. This means that you and your family can access top-notch medical care without worrying about the financial burden during any emergency.
    2. Cashless Hospitalisation: The recommended policy comes with a wide network of partner hospitals where you can avail of cashless treatment. In close proximity to your residence, 5 hospitals under this policy offer cashless treatment. This means the insurer settles the bills directly with the hospital, reducing your out-of-pocket expenses and offering complete peace of mind in case of an emergency.

    By emphasising these benefits and presenting real-life scenarios, you can clearly illustrate how the health insurance product you are pitching provides them with the comfort and protection they deserve. Remember, it's not just about the features, but about how the policy can positively impact their lives when it matters the most.

  4. Address Objections like a Pro: When buying a complex product like insurance, it's natural for customers to have concerns and objections. However, these objections can be turned into sales opportunities with skillful handling. The key lies in understanding the reasons behind their objections and responding to them effectively.

    Here are some tips to convert objections into sales opportunities:

    1. Attentive Listening: Pay close attention to what your customer has to say that's not giving the confidence to go ahead and finalise the purchase decision. Listen actively and empathetically, making them feel heard and understood
    2. Avoid Arguments: Avoid the temptation to argue, even if the objection seems unreasonable. Remember, your goal is to address their concerns professionally and respectfully
    3. Acknowledge their Objections: It's crucial to acknowledge and empathise with your potential customer's objections, even if they seem uncertain or skeptical about purchasing insurance.

    If you believe that you have a solution that can address their specific needs and worries, approach them with empathy and offer your solution in a thoughtful and understanding manner.

    For example, if you are pitching a health insurance plan and the client objects, saying, "I already have insurance through my employer," consider it an opportunity for pitching "Higher coverage or comprehensive protection."

    Health Insurance Pitch Example: "It’s great that you already have insurance from your employer. But do you know these policies often come with certain limitations? Have you checked the cashless hospital network and coverage of consumables of the policy? Mostly, in my professional experience, consumables are not covered as extensively in an employer provided health insurance plan. In the recommendation I have made, you don't have to worry about this aspect as there is full coverage of all possible consumables including but not limited to gloves, syringes, cotton swabs, gauzes and more".

  5. Offer a Clear Call-to-Action: End your insurance sales pitch with a clear call to action, guiding your prospect on the next steps to take. Encourage them to make an informed decision and emphasise the urgency of securing their financial future.

    For example: "Mr. Sharma, I recommend reviewing the policy details I've provided and particularly make note of the inclusions, exclusions and wait times for pre-existing diseases. Once you're ready, we can proceed with the application process to secure your family's health."

Here are some additional tips to lead an effective sales pitch :

  1. Establish Credibility and Trust: Highlight any relevant qualifications, certifications, or awards you or your company have received. Customer testimonials and reviews can also help build trust.
  2. Be Transparent: Honesty and transparency are crucial in the sales process. Be upfront about the coverage, premiums, and any limitations of the insurance policies you offer. Transparency builds trust and credibility.
  3. Offer Comparisons: If it's feasible, compare the insurance products available in market. You need to highlight how your recommended policy offers superior features and benefits. This can help you stand out from your competitors.
  4. Use Data and Statistics: Back up your claims with relevant data and statistics. Numbers have a powerful impact on decision-making and can help build trust with potential clients.

Crafting an effective insurance pitch plan takes practice and refinement. You need to pay attention to the feedback you receive from clients and continuously work on improving your pitch.

Remember that the sales process doesn't always lead to an immediate conversion. Even if your prospect doesn't commit to purchasing insurance right away, continue to follow up with them and maintain a personal connection. They might not need insurance at present, but nurturing the relationship could lead to future opportunities.

By following the above tips and using the examples provided, you'll be well on your way to mastering the art of the insurance pitch and achieving greater success in insurance sales. You can also learn from industry experts and significantly enhance your skills by joining the POSP programme offered by PolicyBoss.

Work from anywhere, and at any time as per your convenience, and receive timely remuneration. This commission-based opportunity will not only train you to master the art of pitching insurance, but will also expose you to various insurance products and market practices, thereby enabling you to grow as an insurance agent. Make the most of this opportunity and become a POSP with PolicyBoss today!

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