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New Markets To Grow Your DI Sales

The need for an income protection plan is not just for the Executive, Doctor or Attorney earning in excess of $150,000. According to the United States Census Bureau, in October 2020 the Median Household annual income in the United States was $67,521 from all occupations.
 
Average everyday working people (Middle America) are just as dependent on their income to provide for themselves and their families as anyone in those higher tax brackets.
 
Your opportunities are endless – reach out to your clients, friends, or family.
 
Ask if they have an income protection plan in place should they get sick or hurt. You can offer them an affordable plan to protect them and their family. Of the advisors I speak with every day, Life Insurance Agents, Health Insurance Agents, and P&C Brokers, 92% are not talking to their clients about income protection and how affordable it can be.
 
You can differentiate yourself as an advisor just by offering valuable coverage to your clients that no one has ever spoke to them about.
 
Here’s an example:
 
Did you know that the premium for a 40 year old Male Office Administrator for $3,400 monthly benefit is only $41.63 per month? There are affordable plans for even part time Dental Hygienist and Registered Nurses working as little as 24 hours per week.
 
Talk about opportunities, there are over 192,800 Dental Hygienist in the US earning an average annual income of $97,250* and 2.7 million Registered Nurses earning approx the same income.
 
Never let premium be the reason your client’s income is left unprotected from an injury or sickness.
 
The new affordable DI plans can fit most any budget. The premium for a 35 year old Female Dental Hygienist for $2,500 monthly benefit is only $55.52 per month. A 40 year old Male Insurance Agent can purchase $4,000 monthly benefit for $60.28 per month.
 
Your clients want to buy Income Protection, but they need someone they know and can trust to ask them about it. You are at the front-line to educate your Middle America clientele about the vital need for income protection in the event of an injury or sickness and how affordable it can be.
 
Discuss income protection insurance with all your prospects and clients, because they may not understand the risk of losing their income should an injury or an illness strike.
 
Contact your Disability Experts for Marketing Tools and Sales Ideas to help your clients.
 
*according to the Bureau of Labor Statistics
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How To Increase Your DI Sales

Full-Time Independent 1099 contractor groups are now eligible for multi-life discounts or Affinity Business Discounts.
 
Typically the employee must be part of an employer group, work full-time, and receive W-2 wages to qualify for a multi-life discount.

Now, small groups of 3-14 employees and contractors can qualify for an Affinity Business Discount without any employer sponsorship and receive only 1099 income.

Who is eligible?
 
Under the Business Affinity Discount Guidelines, eligibility is available to groups of 3 or more individuals applying at the same time who are:
 
  • Employees and/or 1099 contractors under a common employer
OR
 
  • Are members of a local professional employer organization
Each applicant must have an issue age of between 18 to 70, and Occupational class of at least 3A. The launch of the Business Affinity Discount makes now a great time for you and your clients to discuss the exceptional benefits of Disability Insurance at an even better price.
 
The following professions also represent potential sales opportunities:
  • Accountants
  • Independent Insurance agents part of an agency
  • IT Professionals
  • Real Estate Agents
  • Consulting Groups
Please contact your Disability Income Sales Rep for additional information.
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5.82% Investment Return “Equivalent” Guaranteed

Some clients may understand the need for Disability Income Insurance, but still resist purchasing because they don’t want to “lose” those premium dollars if they never use the coverage.

For many, the purpose of buying Disability Insurance (DI) is so they can sleep at night knowing if they get sick or hurt one day everything will be okay financially.

But what if nothing serious happens to your client during their working lifetime that prevents them from working? They have paid premiums to a policy for years that never was used. Having some peace of mind may have a cost, but there is a way to mitigate that cost.
 
There are income protection plans available with return of premium options that pay back the premium to your clients (income tax free).
 
This is how it works:
  • A 39-year-old male Real Estate Agent earning $110,000 qualified for an Income Protection Plan that would pay him $5,000 each month (tax free) if he got sick or hurt and could not work.
  • The premium for the coverage is $123.39 per month.
  • If he reaches age 67, his total premium paid would be $39,257.96.
  • If he adds the Return of Premium Advantage the additional cost would be $81.43 per month for a total premium of $204.82 per month.
  • At age 67 with no claims being paid, the Real Estate Agent will receive a check for a tax-free amount of $65,168.32 – which is the investment return equivalent of 5.82% guaranteed* on the additional $81.43 monthly premium.
This “money back DI” solution can be offered on a long-term or even short-term policies. One option of the return of premium rider provides a lump sum return of a specified percentage of the premium paid even before age 67 should the client decide they no longer need income protection coverage and want to cancel the policy .
 
Reach out to your clients to find out if they have been reluctant to purchase individual DI coverage because they feel they would be throwing money at a policy they will never use. Although policy premiums will be higher with the return of premium option, emphasize the “value” of being able to use the returned amount any way your client wishes – perhaps a lump sum payment on the mortgage or add to their retirement fund.
 
Contact your Disability Income Specialist with any questions or if you would like to see a proposal for yourself.
 
*The IRR will vary subject to clients age, occupation, and benefit amount.
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Secure Total Protection for Your Clients

Picture a rising star in the world of professional baseball, a young shortstop with a promising career. As his performance continues to impress, his current team is eager to sign him into a long-term contract worth over $150 million.

Although he’s not yet a free agent, one of his trusted advisors realizes the importance of proactive planning to guard against any unexpected risks that could potentially derail his future earnings.

The Challenge

In this critical moment, the advisor, alongside the player’s agent and financial advisor, faced the challenge of securing comprehensive permanent total disability insurance.

The objective was clear: protect the athlete’s future contract and ensure financial stability should a career-ending injury or illness occur.

The Solution

We crafted a tailored two-year permanent total disability insurance policy valued at $12 million. Additionally, we included an exclusive Critical Injury rider offering up to $500,000.

This policy guarantees a lump sum benefit if the player experiences a permanent total disability, while the Critical Injury Rider provides added protection with a one-time payout for select accidental injuries 24 hours a day, on or off the field.

Let’s Connect

We specialize in crafting high-value, personalized solutions for professional athletes and high-net-worth clients. Our deep industry expertise enables us to provide unparalleled protection, ensuring your clients are shielded from life’s uncertainties.

Get in touch today to learn more about how we can help protect your clients’ financial well-being with the most comprehensive coverage available.

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Opportunities In The Critical Illness Market Today

Many middle-class Americans who face cancer, heart disease or other serious illnesses also face thousands of dollars of debt. Even with Health Insurance, the additional cost for specialist care, unique treatments, and high deductibles add up quickly upon a critical illness diagnosis.

Fundraisers on crowdfunding websites like GoFundMe have become a popular way to find financial help in times of a healthcare crisis – yet only 1 in 10 campaigns meets the financial goal.

The Need Is Real
 
Think of the difference $50,000 could make for a person who has just been diagnosed with a serious illness such as cancer or heart attack. There’s never been a better time to reach out to your clients who have a family history of cancer or heart disease and offer Critical Illness (CI) Insurance.
 
We’ve taken steps to streamline the process with our Critical Illness Insurance carriers. A client can get up to $75,000 benefit with no exam or interview. Simply submit a complete online application through www.cpsinsurance.com and you will have an answer within 48 hours.
 
Higher deductibles and healthcare costs are adding stress to people’s lives and budgets. Your clients will understand the importance of Critical Illness Coverage when you mention it to them. Help them fill the financial gap at a time when they need it most.
 
Contact your dedicated CI Specialist. We will guide you through the simplified process and provide you with everything you need to add this to your product offering. Spend 30 minutes with us to become proficient at offering Critical Illness Coverage.
 
Source: Chicago Tribune, “Medical GoFundMe campaigns are a symptom of a sick health insurance system,” August 23, 2018.Source: Chicago Tribune, “Medical GoFundMe campaigns are a symptom of a sick health insurance system,” August 23, 2018.
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Disability Insurance For The Part-Time Employee

Do you have any clients who earn significant income while working an inconsistent schedule or in a part-time occupation?
 
For traditional Disability Insurance, it is a requirement that the client work full-time in a particular occupation in order to qualify. This requirement eliminates many potential prospects that may have irregular work schedules or uncommon occupations.

We can provide you with an outlet to obtain Disability Income Insurance on clients who may not work 30+ hours per week.

How does it work?
 
We will help to qualify your clients based on their annual income without consideration to whether they earned that money in 36 days or 365 days.
 
Some instances where this comes into play are the physician who decides to scale back their work schedule to be more involved with raising a family or the musician who may only tour for a few months and not work for the rest of the year.
 
Other occupations such as fishermen and oil rig operators also have inconsistent work schedules that require special consideration for Disability Income protection.
 
Whether you have a highly compensated part-time worker, a celebrity or athlete, we can help you obtain coverage when the traditional carriers can’t or won’t.
 
We can also review previous Disability clients who may have previously been declined for coverage.
 
Our team is here to help find coverage on these otherwise difficult to place cases by collecting the proper information and working with you to develop and customized plan design.
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Protecting Your Client’s Income And Their Ultimate Retirement Goals

With the economy the way it is, most would agree that saving for retirement in these trying economic times can be challenging to say the least.
According to a CNBC study, 36% of American’s making over $100,000 a year, said they aren’t contributing a dime to retirement savings such as a 401k or IRA account.

Now imagine trying to save for retirement if you are too sick or hurt to go to work and earn an income. It quickly becomes next to impossible.

We have several carriers that offer solutions to help protect your client’s ultimate retirement goals if they were to get sick or hurt and could not work. One example is called DI Retirement Security.

DI Retirement Security allows your client to continue saving for retirement even if a disabling event should unexpectedly arise, by making a retirement contribution of up to 15% of their income or a maximum of $4,550 every month for the length of any long-term or total disability event.
 
Here are some sales approach tips:
  • Sell Individual DI Insurance and DI Retirement Security together
  • Approach clients who are at their maximum issue limits for Individual DI
  • Approach clients who are contributing the maximum to their 401(k)
  • Talk with business owners about providing DI Retirement Security as an employee benefit for executives and key employees
To find out more about how you can couple Individual DI Insurance with DI Retirement Security to help your client reach their ultimate goal of retirement, please contact your dedicated DI Associate today.
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Complete Income Protection for All

Modern day Disability insurers are forever fearful of accidentally over-insuring their clients. This is particularly true when dealing with highly compensated clients.
 
In the past, the income replacement percentage was often subjectively determined by a particular carrier’s underwriter.

As of late, the Council for Disability Awareness has tried to modernize the approach by implementing a statistical analysis approach that determined the need to replace at least 65% of income.

Traditional carriers often meet and sometimes surpass the need for low to middle income earners, but fall short with incomes greater than $150,000.
 
Whether your client is generating a modest income or is highly compensated, there is an essential need to provide adequate income protection to help sustain an individual or family’s lifestyle during periods of non-productivity or severely diminished cash flow due to a short or long-term disability.
 
By stacking additional income protection on top of the coverage the traditional carriers provide, the client’s ability to maintain their current lifestyle turns from fiction to reality.
 
Contact your dedicated DI Specialist today to learn more about how you can offer your clients a complete income protection plan.
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Are You Including Disability Coverage In Your Client’s Buy-Sell Planning?

When most producers and their clients think about Buy-Sell Planning for their business, they consider Life Insurance as the only vehicle needed in order to provide a source of funding for the buy-out of an owner.
 
It’s true that Life Insurance will provide for sufficient funding of a business continuation plan if the insured owner dies while the policy is in-force, but what happens if the partner doesn’t pass away and instead, they become injured or sick to the point where they are no longer capable of working in their normal capacity?
 
If you have used Disability Buy-Sell Insurance coverage as a companion to Life Insurance planning then your clients will be prepared for exactly this situation.
 
Including a Disability Income Policy in a Buy-Sell Arrangement Can Serve Two Main Purposes
 
It provides a source of funds to their business for the purchase of a disabled owner’s interest in a business while also providing compensation to a disabled owner for his or her equity in the business.
 
We can provide you with fact finders, valuation questionnaires and approach letters to help you to either review an existing Buy-Sell arrangement or to help you plan for the implementation of a new business continuation plan.
 
Once you have discussed and assessed the company’s need for including DI inside of their Buy-Sell arrangement, you can use it as a spring board to then promote Key Person Disability coverage, as well as personal DI coverage for any employees.
 
Success Story
 
Recently, we were contacted by a producer looking to secure a basic Term Life policy on a business owner. In discussing the need for the coverage, we brought up the concept of including Disability Income inside of the Business Continuation Plan.
 
The result was an individual DI policy for the owner and we are now working on providing plans for all of the Key Executives. Prior to this case, the producer had never sold a DI policy with us.
 
Getting Started
 
If you have written Buy-Sell Insurance Policies in the past but did not include any Disability Income Protection, it is never too late to reach out to your clients and offer them a complimentary policy review to ensure that the planning is still sufficient for their business.
 
While reviewing the Life Insurance inside of the plan, you can discuss the need to have DI policies including in the Continuation Planning.
 
Helping to protect your client’s business interests in the event of an untimely injury, sickness or death will further solidify your role as their primary insurance professional and will likely lead to additional sales opportunities within the business and referrals for new client opportunities elsewhere.
 
Call us today for help in starting the review process or for ways to enter the business insurance marketplace.
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5 Key Reasons to Sell Disability Income Insurance

Adding Disability Income Insurance (DI) to your product portfolio can greatly benefit both your clients and your business. Here are 5 compelling reasons why selling DI is a smart decision:

Meets a Critical Client Need

According to the Social Security Administration, one in four people will experience a disability lasting 90 days or more before retirement age. DI ensures that clients can continue to cover essential expenses, such as mortgage payments, healthcare, and daily living costs, even if they are unable to work due to illness or injury.

Expands Your Product Range and Boosts Sales

Disability Income Insurance pairs well with life and health insurance, offering an opportunity to provide more comprehensive coverage and creating a more complete financial strategy.

Offers Attractive Commission Opportunities

DI typically offers strong first-year commissions and ongoing residual income for as long as the policy remains active – providing agents with a steady, recurring stream of income beyond the initial sale. Plus, many insurance carriers offer performance-based bonuses for selling DI.

Distinguishes You from Competitors

Not every agent offers Disability Income Insurance, which gives you an edge in a competitive industry. Positioning yourself as a provider of comprehensive financial protection can enhance your reputation as a knowledgeable, client-focused professional.

Fosters Long-Term Relationships

Selling DI builds strong, lasting relationships with clients who will appreciate your holistic approach to their financial security. These relationships often lead to higher retention rates, more referrals, and a stronger bond between you and your clients.

By incorporating Disability Income Insurance into your offerings, you provide clients with an essential layer of protection, support them in navigating financial risks, and strengthen your position in the marketplace.

Contact your DI Specialist today for assistance.

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