Selling Insurance: Overcoming Buyer Objections

Overcoming buyer objections is a crucial part of the sales process—no matter what you’re selling. And chances are, if you’re selling insurance, your prospects will have plenty of objections. Here are a few very common objections to almost all insurance products—and some tips for getting prospects to look past them.

I can’t afford it. This is probably the most common objection when selling individual insurance. There are several paths you can take to showing your prospect that they can, in fact, afford what you’re selling.

In the case of most insurance products, one of the most effective methods is by turning this concept on its head—and showing the prospect that, in fact, they can’t afford not to buy your product. Whether you’re selling health or life insurance, personal lines, auto insurance, or some other product, start by painting a detailed picture of the financial consequences your prospect could face if disaster strikes—and they aren’t covered.

It can help to break down the cost of the product to its lowest regular payment. For example, if your product is $75 per month, that’s only $2.50 per day—less than the price of a coffee at Starbucks. If your prospect could provide coverage and protection to themselves and their families for such a small sum, can they really afford to say no?

I don’t need it. Some prospects truly won’t need what you sell. But if someone has gotten far enough through your sales qualification process to be having this conversation with you, chances are they do need it. But getting the customer to understand that can involve asking some questions. The process depends on what type of insurance you’re selling.

Some insurance products, such as life insurance or long-term care, deal with unpleasant aspects of the future that many people would rather not face—and so they haven’t taken conscious steps to plan for them, and if you bring it up, they might tell you they don’t need these types of insurance.

In the case of life insurance, it’s not uncommon for people to believe they don’t need life insurance because they have an alternative savings plan. But if you dig a little deeper, you may find that the individual hasn’t started saving yet, or doesn’t yet have enough to protect dependents if they die tomorrow—it’s common for prospects to assume death is a long way off.

With long-term care insurance, many people would like to believe they’ll be healthy and active well into old age—and won’t need long-term care. Illustrating the high numbers of people who need long term care—and the limits of Medicare and Medicaid—can be eye-opening.

Let me talk to my spouse (or attorney, or your competitor, or another family member). When a prospect tells you they’re not ready to buy yet and want to talk it over with someone else—or even go home and think about it on their own—it may indicate a lack of trust in you. It may also indicate that you haven’t yet found and addressed all their concerns.

First, ask the prospect if they have any other concerns you haven’t yet addressed. If you do some digging, you may find that their real objection is something you haven’t even thought of yet.

There are several ways you can inspire trust in the person you are dealing with. Showing them that you carry the same line of insurance yourself can go a long way to doing that—this indicates that you believe in the product you sell. You can carefully go over the other person’s concerns and questions—and if it’s clear that another company or product might be best for them, don’t try to persuade the person not to choose that product. If the individual tells you he or she wants to discuss the issue with a spouse or family member, invite the person to bring that individual in for a joint consultation.

There are plenty of online resources that will help you overcome buyer objection for specific lines of insurance. Follow these tips, and you should be able to overcome many of the basic objections you face—and boost your insurance income.

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