Advisor Today - July/August 2016 - (Page 45)

SALES & MARKETING SALES IDEAS By Tom Henske and Damon S. Winter, LUTCF, CFS Ideas to Expand Your Practice These helpful hints will demonstrate your value as a trusted advisor. E very advisor knows that looking out for his client is the best way to move ahead. In this article, two industry heavyweights explain how going the extra mile helps their clients-as well as their business. * When selling LTCI, suggest the use of a combo product. There has been a noticeable uptick of articles in the media about long-term care (LTC) expenses in retirement. The stand-alone, long-term-care insurance (LTCI) market has gone through tremendous changes, especially within the last five years. Insurance carriers have significantly changed their product offerings, and as an advisor, we have to stay up-to-date on these changes and make sure we communicate them to our clients. Several insurance carriers have tried to gravitate away from standalone LTC products and offer "combo" products (otherwise known as hybrid products), such as life insurance-based policies with LTC access features associated with them. These riders are designed to offer life insurance policy owners access to a certain percentage of their policy's death benefit, should they experience an event that triggers LTC during their lifetimes. While different from individually owned LTC insurance, this coverage can be used as partial protection to those clients that want to protect their assets from not having to be used for LTC expenses. In my office, we have experienced success when we have included this option in our discussions with clients. Historically, it was left to a binary decision to either insure with stand-alone coverage or simply self-insure. If you include the option to use a combo product (life insurance policies that have an LTC access rider) it provides the client with a middle ground that many find appealing. Discussing this option with your client: * Shows the client a more comprehensive picture of multiple options to solve their desire to insure the risk of a potential LTC claim. * Demonstrates to the client our extensive industry knowledge and problem-solving capabilities. * Lowers the probability of a client not taking action because they were only shown one solution. * Introduces your expertise on more than just LTCI by demonstrating a knowledge base of life insurance products as well. Clients traditionally would self-insure because they viewed traditional stand-alone LTCI as "use it or lose it." Now, they have the option to either use the insurance policy's benefits in the form of an LTC claim to access cash value during their lifetime, or leave it for their heirs in the form of a death benefit. By communicating all options to clients, you demonstrate exceptional personal knowledge, expertise and client service. (Tom Henske is the founder of Henske Advisors, which was acquired by National Financial Partners. His focus is on financial planning in asset and risk management and raising money-smart kids. He is a 10-year MDRT member and has two Court of the Table qualifications.) By communicating all options to clients, you demonstrate exceptional personal knowledge, expertise and client service. * Encourage your clients to continually monitor their credit. "The one lesson I have learned is that there is no substitute for paying attention," said Diane Sawyer. We have all paid some attention to recent security data breaches. As advisors, we should be even more motivated to challenge our clients to monitor their credit information. Perhaps you have even made a passing suggestion to your clients that they should review their credit report from time to time. We are well past the point of casual consideration regarding the monitoring of our personal identity now. A serious breach of identity or credit is not a matter of "if" but of "how" and "when." With busy lifestyles, most of our clients are not inclined to pay close attention to their credit and identity. However, clever identity thieves are unquestionably delighted to pay attention for them. Often, victims have no idea they have been targeted and may not find out about it for months. According to the Identity Theft Center, 72 percent of people don't know where or when the identity theft occurred. TransUnion, a global leader in credit information, points out the following: * Identity theft is the fastest growing crime in America. * T he number of identity theft incidents has reached 9.9 million a year, according to the Federal Trade Commission. * Every minute, about 19 people are victims to identity theft. cont'd on page 47 July/August 2016 | ADVISOR TODAY 45

Table of Contents for the Digital Edition of Advisor Today - July/August 2016

From the Editor
Viewpoint
A Question of Ethics: Reflections on the Dol Fiduciary Rule
Getting the Wealthy Investor to Hire You
Positioning Whole Life for Success
Rewarding Clients for Engaging in Healthy Activities
Feel the Heat: Sizzling Strategies for Boosting Worksite Sales
The Challenges of Writing Business Insurance
A Lifetime of Success
Safeguarding Your Business Interests
NAIFA Presents Nominees for Election
NAIFA News
What’s Behind Brand Magic?
Making an Effective Call Back
A Story for All Your Clients
Ideas to Expand Your Practice
Advertiser Index
Back Page

Advisor Today - July/August 2016

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