As an experienced Medicare sales agent, you’ve built a rapport with your clients by helping them navigate one of the most critical aspects of their lives—healthcare coverage. But why stop there? While Medicare ensures their health needs are met, it doesn’t cover everything. One thing Medicare doesn’t cover is protection for your client’s family in the event of their untimely death. That’s where term life insurance comes in. You can offer an affordable, time-limited solution that ensures your clients and their families have the security they need during pivotal stages of life.
Integrating life insurance into your business allows you to provide more comprehensive solutions for your clients. It also helps you grow your business by offering a product that can address the ever–evolving needs of your clientele. Let’s look deeper at why term life insurance is a valuable addition and how you can offer it without feeling pushy or overwhelming your clients.
What is Term Life Insurance?
Term life insurance is a type of life insurance that provides coverage for a specified time period (or term). It is usually sold in 10, 20, or 30-year increments. If the policyholder passes away while the policy is in force, the beneficiaries receive a payout (the death benefit). This makes term life ideal for clients who need coverage only for a specific phase of their life, such as while their children are growing up, during their working years, or while they’re paying off a mortgage.
For Medicare clients, typically seniors or individuals close to retirement, term life insurance can fill an important gap. It offers peace of mind that their loved ones will not be overwhelmed with financial burdens should something unexpected happen at a price point that is reasonable for their fixed income.
Why Offer Term Life Insurance?
Affordable and Appealing to Clients
- Term insurance tends to be a more affordable option than permanent policies like whole life insurance. This means your clients can get substantial coverage without paying high premiums. This affordability makes it easier to sell, especially to those who need coverage for specific financial responsibilities, like raising a family, paying off debt, or living on a fixed income.
A Natural Fit for Medicare Agents
- As a Medicare agent, you may already have a client base that’s concerned with health coverage and planning for the future. Term insurance is an easy add-on, especially for clients who may not have considered life insurance yet. By offering life insurance to existing Medicare clients, you build an additional layer of security for your business and build stronger client relationships.
Attract Younger Clients
- While many of your Medicare clients are older, offering term life insurance opens the door to younger clients—such as the children or grandchildren of your Medicare beneficiaries—who may be interested in financial protection for their families. This expansion of your client base not only diversifies your portfolio but also future-proofs your business.
How to Introduce Term Life Insurance Without Feeling Pushy
Many agents hesitate about offering life insurance, especially when they worry about being overly sales driven. This is a common concern, but with the right approach, you can introduce term life insurance in a natural way that focuses on your client’s needs. Remember, if you don’t offer products because you feel pushy, you are only helping your client as far as you are comfortable. It’s in the best interest of your client to offer them the coverage they need.
Here’s How:
- Lead with Education: When introducing term life insurance, avoid jumping straight into the product’s benefits. Instead, make it a part of your holistic role to help your clients see the benefit of using term insurance to secure their financial future. Educate them about how life insurance provides temporary, time-limited coverage and why that might be appropriate given their current financial situation.
- Make It Part of a Broader Financial Plan: Frame life insurance as part of your client’s overall financial strategy. Ask questions like, “If something were to happen, do you have a plan in place to ensure your family is financially secure?” or “What would happen to your family financially if you passed away unexpectedly?” These questions can open the door to a conversation about life insurance without making your clients feel pressured.
- Offer Solutions, Not Products: Focus on how term life insurance can solve specific problems your clients might face, such as the need for income replacement, covering debts, or protecting their spouse or children from financial hardship. By highlighting the benefits, you make the discussion feel less like a sales pitch and more like a solution to real-life concerns.
Compliance: Setting Up Separate Appointments
One thing to remember is that, due to compliance regulations, you cannot discuss life insurance during a Medicare sales appointment. When the opportunity arises to introduce term life insurance, be sure to explain that a separate meeting will be required to discuss the details. This helps maintain transparency and ensures you’re following industry guidelines.
You can use phrases like, “This is something that would be best discussed in a separate appointment so that we can focus on your Medicare needs today,” or “If you’d like to learn more about term life insurance, we can set up a follow-up meeting to go through your options.”
By suggesting a follow-up appointment, you respect your client’s time and give them space to think about whether life insurance is right for them. This also reduces the pressure they may feel during your initial Medicare appointment, reinforcing that you’re there to provide helpful guidance, not push a sale.
Addressing Common Objections with Confidence
Some agents hesitate to offer life insurance because they fear objections like, “I don’t need it” or “It’s too expensive.” However, these concerns can be addressed with empathy and understanding.
- “I don’t need it.” Explain that while your client may not feel the immediate need for life insurance, their family will often benefit from the coverage. You can say, “You might not need it now, but life insurance is about protecting the people you care about. It ensures they won’t face financial difficulties when you’re gone.”
- “It’s too expensive.” Emphasize the affordability of term life insurance. “I completely understand your concern. The good thing about term life insurance is that it’s often much more affordable than other policies, especially when we tailor the coverage to meet your needs.”
Let NCC Help You Succeed
As an independently owned FMO, National Contracting Center (NCC) understands the unique challenges of offering life insurance alongside Medicare products. We provide our agents with dedicated support resources, ensuring they have the tools and guidance needed to integrate life insurance confidently into their portfolios.
At NCC, our collaborative approach fosters growth and knowledge-sharing at every level of our company. We embrace change to help you adapt and thrive in your business. From contracting to marketing resources, we go out of our way to help you offer more solutions to your clients.
Ready to expand your offerings? Contact NCC today and see how easy it is to grow your business with our personalized support.
