Marketing Corner – LTCI AWARENESS SALES KIT

Marketing Corner – Tuesday November 15th, 2016

Long-Term Care Insurance Awareness Month Sales Kit

ltcbedsideNovember is Long-Term Care Insurance Awareness Month. This is a great opportunity to discuss how LTCI coverage can fit within your clients’ and prospects’ retirement portfolios. With longer life expectancies, the need for long-term care has increased and many consumers don’t consider the impact LTC can have on their retirement.

The impact is not just physical–the costs associated with a long-term care condition can be quite expensive, eroding significant portions of retirement income. Genworth’s 2016 LTC survey found that the monthly national median for care in an assisted living facility is $3,628, for a home health aide, $3,861, and for nursing home care in a semi-private room, $6,844. Based on these numbers, a year’s worth of semi-private nursing home care could be $82,128.

These numbers are only estimated to rise, with Genworth estimating that in 2026 (just ten years from now) the monthly national median for nursing home care in a semi-private room increasing to $9,198—or $110,376 per year.

longtermcare3nurseWhen you consider that the average amount families age 56-61 have saved for retirement is $163,557, you can see how a long-term care condition, even a short one, can take a huge bite out of a consumer’s retirement portfolio.
So use the rest of November to have LTC conversations with prospects and clients. To assist agents and advisors in this endeavor, Legacy Financial Partners has created an exclusive LTCI Sales kit that includes:

  • LTCI Pre-Approach Letters
  • Key Long-Term Care Statistics
  • LTCI Client Presentations
  • LCTI Concept Sheets

Fill out the form or call 1.877.614.0141 to request your complimentary copy.

Complimentary Long Term Care Marketing Kit

Fill out the form below to receive
your complimentary copy.

Tuesday Tips – November 15th, 2016

Alerts

John Hancock to Discontinue LTCI Sales

John Hancock has announced that they will be discontinuing individual LTCI sales. John Hancock cited the significant capital requirements of the LTC product as a reason for the discontinuation. John Hancock will accept applications until December 2, 2016. All policies must be issued and paid for by February 10, 2017.

California Assembly Bill 2884

California recently passed Assembly Bill 2884 which places restrictions on fixed annuity surrender charges. This goes into effect January 1, 2017 and will result adjustments to fixed annuity products offered in California including surrender charges, caps, bonuses, etc.

Sales Concept

1035 Opportunities

1035’s are a great tool to help a client purchase a new life insurance policy that better suits their needs. Two strategies that can be very beneficial are MEC Rescue and Mirrored Loan strategies. For clients that have a policy that is a MEC and aren’t as concerned about the death benefit MEC Rescue is a potential solution. With this strategy you 1035 the cash value into a life insurance policy that has a chronic or ltc rider attached to it. In the event the client has an LTC need they can now advance the death benefit income tax free because the advancement falls under LTC tax guidelines. With the mirrored loan strategy if a client has an outstanding loan on a policy that they can’t pay off one potential solution is to 1035 the cash value and loan to a new carrier then use the cash values to pay off the loan resulting in a paid up policy. There are only a handful of carriers that will do this so make sure to give us a call if you have this type of scenario.

Industry News

Pension Buyouts

More and more companies are looking to pension buyouts in an effort to rid themselves of pension plan liabilities. Pension buyouts now top $18 trillion.

Hot Rates

F&G Retirement Pro

The Retirement Pro by F&G is a competitive FIA designed to maximize retirement income. The product is on a 10-12 year chassis depending on the state and offers a 7%-5% bonus depending on the state. The products is specifically designed for income and offers a stacking rollup with a base 4.5% rate partnered with annual point to point caps of 13%, monthly point to point caps of 4.5%, and a monthly average cap of 20%. Call today for additional product details and state availability.

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Tuesday Tips – November 8th, 2016


Alerts

North American Suitability Form
North American has updated their suitability form and has added 2 questions. The new forms must be used for all business submitted November 23, 2016 and after.

Legacy Marketing Group
LMG has announced effective November 8 the Liberty Optimizer fee as well as death benefit fee will be applied at the end of the year instead of the beginning. In addition to this they have increased rates on the fixed interest accounts of several products.

Sales Concept

Insure The Uninsurable
Many individuals know they need life insurance but don’t act on it until they have a change of health. Unfortunately, for some of those people they end up being uninsurable and their only option is guaranteed issue coverage which can be very expensive. One of the insurance carriers offers a workaround for this on one of their products. They will allow for a parent and child to be on a survivorship universal life plan. So for example lets say you have a 60 year old uninsurable child and an insurable 85 year old parent. More than likely the parent is going to predecease the 60 year old which means the death benefit will pay out at the death of the child. This strategy also solves another problem with guaranteed issue plans, typically you can only get small face amounts of coverage. Utilizing this strategy the client can get a fully underwritten plan so they can actually get the amount of coverage they need. Call today for additional details.

Industry News

Judge Rejects NAFA Lawsuit
On Friday the federal judge overseeing the NAFA lawsuit rejected it. The judge cited several reasons including the open comment period seeking input from the industry in regard to FIA’s and IRA transactions.

Hot Rates

Nationwide No-Lapse Guarantee SUL II
Nationwide offers an incredibly competitive SUL for wealth transfer. The product writes ages 35-85 and in addition to competitive pricing the product also offers a true LTC rider which can be split between the insureds. The product also allows for multiple death benefit payment options. Call today for additional details.

Please fill out the form below to learn more

Marketing Corner – Don’t Give Up On The Year

Marketing Corner – Thursday, November 3rd, 2016

Don’t Give Up On The Year 

holidayMany advisors view the end of the year as a dormant period, a time to wind down. The reality is that the final two months of year present many great opportunities for clearing more production, earning new clients, and gaining visibility with in your community. Here are ways agents and advisors can finish this year strong and be primed for success in the next.

Holiday Marketing

One of the main reasons advisors ease off toward the end of the year is because the period is loaded with holidays. This means that prospects and clients are likely focused on family and travel, rather than their big picture financial concerns. Advisors themselves may enjoy the ability to comfortably wind down, spend time with family, and reset for the new year. But this period presents several opportunities for marketing.

Now, you may know that a holiday—especially a big one like Christmas—is a great reason to touch base with you clients and prospects. Generally advisors will issue Christmas greeting cards to their existing clients and perhaps even to targeted prospects. It’s a nice way to keep your name in front of consumers and to show your current book of clients how much you appreciate them.

However, overlooked is Thanksgiving. This is arguably as relevant of a holiday as Christmas and presents another great opportunity to reach out to your target market. Plus, since not many advisors use Thanksgiving for holiday marketing, you will have a better shot of having your message stand out.

So what kinds of marketing should you do?

You may elect to do a simple holiday greeting card or you could incorporate the holiday into a marketing push around a specific program or service. (“Be Thankful for Lifetime Protection and Accessible Cash Value with our Life Insurance Solutions”). However you do it, be sincere, respectful, and professional with your holiday marketing.

Employ Pull Marketing

employeepullPerhaps you draw a lot of your business from seminars and presentations throughout the year. Many of the advisors and agents we work with run successful seminar programs. In our digitally driven world, seminars can still be very effective. However, at the end of the year, this style of marketing can be challenging. Since the last two months are busy for everyone, you might not see your usual attendance numbers and end up spending time and effort on busted seminars.

Here is where digital pull marketing solutions can work to draw consumers to you and help make up lost opportunities. Pull marketing generally refers to non-intrusive methods that work to draw consumers who have an interest in your services. This often includes SEO (search engine optimization), PPC (pay-per-click campaigns) and other digitals means of marketing. While a good marketing plan is going to incorporate many different platforms and methods, focusing on pull marketing can help overcome the challenges at the end of the year with push marketing. While pull marketing may not bring the same number of leads as a good seminar, it is not as time-involved and relatively inexpensive. It also identifies consumers who are actively seeking financial services help.

Use End of Year Tax Concerns to Target New Business

Toward the end of the year, consumers–especially high-earners and business owners–may have specific concerns about their tax liabilities. Some may be actively looking for ways to reduce their overall tax bill and some may be unaware of solutions for minimization. November and December present last chances to make choices that will have a positive impact for the year come tax time. These opportunities will vary depending on the consumer’s unique situation, but they are opportunities nonetheless. Beyond looking at deductions and credits, many of these beneficial tax arrangements may involve financial products like life insurance, annuities, and retirement accounts.

Incorporate Programs That Use Real-Time Leads

To squeeze the most out of the end of the year, you may want to consider using a real-time lead generation program to boost your production opportunities. Legacy Financial Partners currently has a new enhanced real-time lead program available to our clients. Like pull marketing, real-time lead programs deal with consumers who have shown an interest in relevant topics and positions them to you. However, in the case of real-time lead generation, these consumers may be vetted, qualified, or further enhanced through an intermediate specialist lead-gen affiliate.

Engage With Your Community

communityWhile business can slow down in the final months of the year, there are many ways for you to interact with your community. Consider allotting a marketing budget and sponsor fall activities. While you might not reap direct clients from this, you will help to build your brand and stay in front of consumers during a down period. This can plant the seeds of business you harvest in the next year.

For more tips on community engagement, see our post, Five Best Practices For Community Engagement.
Create A Marketing Plan For Next Year

Even if you are content with your level of production, the final two months of the year still offer you key chances for improvement. Evaluate how well you did for the previous year and carefully consider what you would like to (or need to) accomplish next year. Many practices operate without a well-defined marketing plan or are diverted by daily operation tasks. Use the end of the year to work with your team and create a marketing plan that has clearly defined and actionable goals. For more on how to create an insurance marketing plan see our previous post, Your Insurance Marketing Plan.

Complimentary “Informed Advisor” Guide

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Tuesday Tips – November 1st, 2016

Alerts

Legacy Marketing Group Sales Incentive

Legacy Marketing Group has announced a sales incentive that runs from November 1, 2016-January 31, 2017. Eligible agents can earn up to $750.00. To qualify you must submit at least 3 applications of at least $25k each. Call today for the complete guidelines.

Athene Rates

Athene has announced a rate decrease for their MYGA product that takes effect November 15. High band rates will stay the same but low band rates will decrease slightly. Call today to request an updated rate sheet.

Sales Concept

Term Alternative

We have identified a pricing opportunity within one of the life insurance carriers we represent. One of their UL products allows you to run a premium equal to whatever the cheapest term rates are in various pricing cells. The benefit to the client is that they get a permanent product that builds cash value, don’t have to worry about conversion periods, and can get access to additional riders. The benefit for the agent is that the target is typically double what the planned premium is and the product has a rolling target so the agent gets paid twice. Call today to learn more.

Industry News

Genworth Financial Sold

Last week it was announced that China Oceanwide Holdings Group has agreed to purchase Genworth Financial for $2.7 billion. The deal is subject to approval by Genworth shareholders as well as insurance regulators.

Hot Rates


Nationwide SUL II

Nationwide offers an incredibly competitive SUL product that offers a unique LTC rider. The rider is fully underwritten and provide a benefit for both insureds. The product writes ages 35-85 and has a minimum death benefit of 250k. Call today for additional details.

Please fill out the form below to learn more

Marketing Corner – Key Stats For Long-Term Care Insurance Awareness Month

Marketing Corner – Key Stats For Long-Term Care Insurance Awareness Month


Don’t Miss LTC Insurance Awareness Month Opportunities

longtermcare3November is Long-Term Care Insurance Awareness Month. This is a great opportunity to discuss the important benefits of a LTC policy and your chance to drum up more business as we head toward the slow end of the year. Between carriers, brokerages, and industry organizations, you have a wealth of resources available to help your LTC prospecting efforts, so don’t sleep on this opportunity. As part of our LTC Awareness Month coverage, this week for Marketing Corner, we are presenting statistics and information that demonstrate the value of owning a long-term care policy.

According to longtermcare.gov, in 2010 the average cost of a semi-private room in a nursing home was $6235 per month, care in an assisted living facility was $3,293 per month, and $21 per hour for a home health aide.

Genworth, in a study conducted with CareScout of April of 2016 finds that the national medians for monthly care have risen since the government stats of 2010. For instance:

  • care in an assisted living facility is $3,628
  • care in a semi-private room is $6,844.

Consumers underestimate the cost of home healthcare by nearly fifty percent.

longtermcare1A recent research brief conducted by the Center for Retirement Research at Boston College found that 58% of women used nursing home care at age 65 or after. For men, the percentage was 44%.

Longtermcare.gov estimates 70% of those turning 65 can expect to need some form of long-term care.

According to a Government Accountability Office analysis, the average Americans aged 55-64 have only $104,000 put away for retirement. This figure seems to include only those who have something saved (via Investopedia).

Related to the stat above, nearly 41% of those approaching retirement age have nothing saved for retirement. The Motely Fool points out that this group may have assets such as a pension or home that can be used for retirement income. This group will also have Social Security as a resource.

healthcarecostsWhen you factor the high-cost for long-term care, both groups face a significant financial risk. Those who have little or nothing saved face an obvious hardship. But using Genworth’s numbers, the average retirement savings (based on the GAO figures) will only get you about 28 1/2 months in an assisted living facility and a little over 15 months care in a semi-private room. While the duration of long-term care will vary—with some only needing a few months and some needing a few years—if the only source to pay for these long-term care expenses is an accumulated retirement account, the individual recovers with a diminished retirement. That is, if they had, retirement resources to begin with.

An analysis of the Dept. of Health and Human Services 2014 Survey of Long-Term Care Awareness and Planning found that 66.4% of participants acknowledged that having “some LTC insurance will give me peace of mind.” However, almost half stated they have competing priorities for the their money.

**

What’s the takeaway from these stats? That many consumers are greatly under-prepared for longer retirements and a potential LTC situation. This is why it is important to discuss LTC with your clients as appropriate. Thankfully, with the variety of modern products and strategies that now exist, LTC can often be incorporated to other solutions, i.e. LTC riders and hybrid policies. Long-term care is important in retirement planning for two reasons: the medical care and quality of life it can provide and the asset buffer it provides to other hard-earned retirement resources.

2016 CD Replacement Kit

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your complimentary copy.

Tuesday Tips – October 25th, 2016

Alerts

Sagicor Sales Incentive

Sagicor is running a sales promotion from October 24 through the end of the year on sales of their single premium whole life product. To qualify you must submit at least 2 applications with a combined 200k of premium and will receive an additional .50bps commission. Call today for additional details.

AIG Raising Rates

Effective 10/24 AIG has raised rates on several annuities. The increase includes their income annuities. Call today for an updated rate sheet.

Sales Concept

Permanent Coverage Too Expensive

We’ve all run into a prospect that balked at the price of permanent life insurance. One strategy that can reduce the cost of insurance is the use of an LTC rider on a gul with select insurance companies. In this strategy you dial the death benefit guarantee down to a lower age such as 90. Once the insured needs home health care or a nursing home you trigger the rider which eliminates the premium for the policy thus extending the death benefit out until the insured passes. During which time the insured is receiving tax free distributions from the policy. Call today for additional details and to find out which carriers offer this strategy.

Industry News

Scottrade Sold

TD Ameritrade along with its largest shareholder Toronto-Dominion Bank have agreed to buy Scottrade Financial Services. The deal was done for $4 billion through the use cash and stock and is expected to be completed by September 30, 2017.

Hot Rates

LSW Flexlife II

LSW has rolled out the newest version of their Flexlife Product. New features include a benefit distribution option which allows the death benefit to be stretched out, charitable matching gift death benefit, and a fixed participating loan option. In addition to this the product offers a free accelerated benefits rider, lifetime income benefit rider, and 6 different crediting options. Call today for additional details.

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Marketing Corner – The Effects of Black Monday Are Still With Us.

Marketing Corner – Thursday October 20th, 2016

The Effects of Black Monday Are Still With Us

600px-black_monday_dow_jones-svgOctober 19th, 1987. A day in which the Dow Jones Industrial Average dropped a staggering 508 points, representing a record percentage loss (a record that still stands today). A day preceded by mini-crashes and an all-time high just two months prior. A day that is known as Black Monday.

Yesterday was the 29th anniversary of the Black Monday crash. While there are many factors that led to this event, the effects of Black Monday still linger, even with the economic volatility we’ve experienced in the intervening 29 years.

As markets tanked in 1987, consumers pulled out of exposed investments and transferred their money into Certificates of Deposits.

Hence October and April are now CD replacement months, with six-month and twelve-month CDs up for renewal. For some consumers, CDs can seem like a great option for their money—certainly they did in 1987. With guaranteed interest rates and FDIC backing, CDs seem like a relatively sturdy ship to navigate the sometimes choppy waters of the market.

However, because of their low interest rates, CDs do not hedge against inflation well, when compared to other products, like certain annuities. This is especially true with long-range CDs that many consumers automatically renew out of habit. This means that some consumers may be losing real-world value that could be parlayed into another solution that works better against inflation and could provide lifetime income.

Obviously every consumer presents a different situation. For some, CDs may track well with their needs. Others may not even be aware that there are other options. However, what this means is that April and October are good opportunities for review, discussion, and product sales.

To help advisors and agents take advantage of CD replacement opportunities, Legacy Financial Partners has prepared an exclusive sales kit that includes:

• Taxable Equivalent Yield Chart
• CD vs. Annuity Comparison Chart
• Split Annuity CD Beater Strategy
• CD vs. FIA Sales Strategy
• CD Prospecting Letter
• Customizable Fact Finder
• Retirement Pitfalls Presentation
• Going Broke Safely Presentation

Complimentary 2016 CD Replacement Kit

Fill out the form below to receive
your complimentary copy.

Tuesday Tips – October 18th, 2016

Alerts

Allianz FIUL Promotion
Allianz has announced a sales promotion through the end of the year on placed business. The promotion applies to policies approved October 10, 2016 and after and are $10,000.00 of target or more. Once issued if the policy is in force within 15 calendar days Allianz will pay an additional $500.00 bonus on top of commission. In addition to this Allianz is running an additional promotion. Submit a life app of 5k of target or more through December 31, 2016 and place it in force by March 31, 2017 and receive a free high-capacity 3 port power charger. Call today for more details.

Year End Dates
Insurance carriers have begun rolling out year end dates for submitted and pending production. Call today to get a breakdown of year and dates for your business.

Sales Concept

Estate Planning Mistakes
Many individuals when they think of an estate plan think that it only high net worth individuals need one. The reality is that an estate plan applies to anyone who has assets or property that will be transferred to someone else. What this means is that many people make common mistakes in regard to their estate. It also means there are a lot of planning opportunities for advisors. Available for download is a guide that discusses 10 common estate planning mistakes individuals make and how to fix them.

Industry News

Wells Fargo Class Action
Customers who try to file a class action lawsuit against Wells Fargo may find it difficult to get a court to hear the case. This is due to a mandatory arbitration clause that protects banks from class action suits and instead requires private arbitration.

Hot Rates

Lincoln WealthAdvantage IUL
The WealthAdvantage IUL is a low cost FIUL that offers accumulation with death benefit guarantees. In addition to this they offer a table shave down to a table 3. The product offers multiple index options with caps as high as 10%. Call today for additional details.

Sales Concept Downloads

Marketing Corner – 5 Body Language Tips for Keeping a Prospect Interested

Marketing Corner – Thursday October 13th, 2016

5 Body Language Tips for Keeping a Prospect Interested

Body language and non-verbal communication is as important to landing a sale as the persuasive string of words you issue to a prospect. Last week we discussed seven redflags that indicate you are losing your prospect and this week we wanted to discuss key body language tips that advisors should know. While many of these may seem common sense, it’s important to reiterate their simple power.

eyecontactBalance Eye Contact

Eye contact is a signal that you are speaking directly to the prospect or listening closely to the information they are providing. However, too much eye contact can be as bad as too little. This is because the connection can become forced, awkward, and unnatural. Many sales people are taught the importance of eye contact, however, many take this to an extreme. The better approach is to make deliberate eye contact to emphasize or underscore key points.

Balance Gestures

Gestures can be used to physically draw a prospect’s attention into the points you are making. Most people gesture without really thinking too much about it; hands rise when discussing positive movements, hands lower when discussing decreases, etc. Gestures are often used for emphasis or to break up long periods of speaking. As with eye contact, it’s best to have a natural balance. Too many gestures, and you’ll distract the prospect and come across as hesitant. Too little, and your points are denied opportunities for emphasis and you’ll come across as stiff.

positiveKeep Your Body Open, Facing The Prospect As Much As Possible

A hunched-over or closed off posture can signal many things, such as rejection, coldness, or disinterest. Likewise turning away from the prospect, even turning your back for a moment, can take them out of the spell of the appointment.

Maintain a Positive Posture Without Being Intimidating or Too Confident

What’s a positive posture? For advisors with different personalities and presentation styles this will vary. But generally a strong posture will be straight, a little loose, and comfortable. The idea is to project confidence without looming or being too dominant. Confident people sell confidently, but confidence, like eye contact, can be hammered too hard. The trick is to present yourself comfortable, assured, and friendly. You already own your space—you don’t need to assert your power.

nervousDon’t Fiddle

We all do it, even when we aren’t bored or disinterested. But fiddling, like swirling a pen around or playing with a piece of paper, can come across as dismissive and unsympathetic, especially if your audience is a pre-retiree discussing their retirement fears. Likewise, if you are presenting information, fiddling can severely undercut the power of your message.

CD Replacement Product Spotlight

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