Cross-Selling, Life Insurance

Adding Final Expense to your Portfolio

Episode Summary

This podcast episode focuses on how Medicare agents can expand their business by offering final expense insurance.

The host opens the episode by introducing the guest, Joel Flores, who works in the life insurance department of The Brokerage. Joel provides some background on his experience in insurance and how he came to work for The Brokerage.

The host then asks Joel to explain what exactly final expense insurance is. Joel outlines that final expense, also called guaranteed whole life insurance, provides guaranteed coverage to seniors, usually in amounts between $10,000 to $20,000. It is meant to cover funeral and burial costs so that seniors don't leave this financial burden to their families after they pass away.

Key features of final expense insurance are:
- Guaranteed level premiums that will never increase
- Guaranteed death benefits that will be paid out to beneficiaries
- Simplified underwriting with no medical exams required for guaranteed issue policies

Joel notes that many Medicare agents are unaware of final expense insurance, but their clients are often familiar with it from television advertisements. He emphasizes that agents should be prepared to discuss this product since clients are constantly marketed to about it.

When it comes to commissions, the average final expense commission per policy sold in 2019 was $765. This creates a very lucrative opportunity for Medicare agents to significantly grow their income.

In terms of getting contracted, Joel explains the process is much faster and easier than Medicare:
- Takes just 1-2 weeks to get appointed with final expense carriers
- No AHIP certification required
- Only need to complete simple industry training like AML

Therefore, it is relatively simple for Medicare agents to add final expense insurance to their portfolio. The product is complimentary, allowing agents to bring it up during Medicare annual reviews or open enrollment follow-ups. Offering final expense can open the door for broader life insurance conversations as well.

Joel provides tips for agents looking to integrate final expense:
- Add a question during Medicare reviews
- Include final expense flyers in packets
- Set up a dedicated final expense lead gen campaign
- Attend a carrier product training
- Leverage the Brokerage team for licensing, quotes, underwriting, etc.

In summary, this episode makes a strong case for Medicare agents to consider expanding into final expense insurance sales. With huge market potential, limited barriers to entry, and the ability to easily integrate into existing workflows, final expense represents an excellent opportunity to significantly grow a Medicare insurance business. The Brokerage provides full support to agents getting started in final expense sales.


(0:00:07) - Broker Link podcast features Joel Flores from the life department
(0:02:05) - Matt: A lot of our agents aren't aware of final expense
(0:06:47) - So a major objection that we've discussed with Rod is the medicare agent
(0:09:52) - Cross-selling final expense is much easier than just selling Medicare
(0:14:54) - The life department at the Brokerage is smaller than the Medicare team

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