“That’s interesting but I don’t want life or health insurance.” As a life insurance agent you will hear this phrase a lot, so your objection handling game needs to be on point.
It can seem a difficult statement to content with, but in reality you don’t need to be afraid of it. With plenty of practice, you will become an expert at answering it, as well as many other popular rejection phrases. It will also do your cold call game the world of good.
Sometimes instead of a straight “no” you will get “I don’t care” or “I don’t need insurance”, for example. There are various ways that people respond when the subject of health and life insurance comes up.
How should you handle it? Let’s see shall we?
Objection handling: an introduction
Right then, straight to the juicy stuff. There are some simple steps to take so you can convert these “negative” leads into customers. It’s all about your approach and then your re-approach or follow-up. These 4 tips will help you on your way.
1. The golden rule
No, not the biblical version here, but the life and health insurance one. If you’re new, it is a common mistake to focus on products instead of benefits. Truth be told, nobody cares and nobody wants to talk about insurance. So, your first rule o thumb is always, don’t sell products, sell benefits.
2. Seek the problem
Don’t try to create a problem that you – and only you – perceive as a problem. Good objection handling is about trying to find out what could actually help them from a practical perspective. Before you offer to provide a solution, be sure to fully explore a lead’s needs. This can not always be possible of course, but you must exhaust the possibilities before going ahead. Check on who your audience is and what needs they could have. Make a list on paper or make a diagram to help you. Every time you should be able to choose the right benefit to approach, based on what they need or care most about.
Your objection handling approach should always be one of caution and having checked all the details in advance. Don’t try and “wing it”, as they say. Your lead, more of often than not, genuinely do not know or realize that they need insurance. And, it can be hard to explain how they can benefit. Sometimes they have not even thought of it. Your approach could focus on:
Standard of living
Instead of the death benefits, it is more useful to talk about how to retain a high standard of living, no matter what happens, i.e. accident, illness or anything.
Talk about the ways that your leads can save money, such as tax benefits, college funds or use the cash values to eliminate debt or use it for retirement funding.
4. Try, fail and try again
Last but not least, remember that it doesn’t matter if at first you fail. Be prepared for it because it is inevitable. For someone who doesn’t know or understand fully the benefits, it is hard to sell life and health insurance to them. And it may take more time than you think to convert a lead. So, follow up! Even if you get an “I don’t care” answer, circle back and approach them again with a better offer. Tell stories of people you know who benefited by having insurance. The “I don’t need insurance” response sometimes is a knee-jerk reaction because they’re trying to avoid you. But, once you offer what they’re interested in, it gets easier to convert.
If you only remember one thing…
The single most important thing to remember in your objection handling is that it’s not about selling. It’s about informing, raising awareness first and then eventually being at the top of a lead’s mind once they are in a position that they are deciding whether or not to buy.