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The Top Closing Strategies for Insurance Agents You Need To Know

If you want to grow your insurance agency, you must focus on acquiring new customers. At the same time, change is hard, and a lot of people are hesitant to switch insurance carriers. That is why you need to pay attention to a few closing strategies for insurance agents. Every client is different, and you need to select the right strategy to help you close the sale. If you have a blueprint you can quickly customize to match the situation of each individual prospect, you can dramatically increase your conversion rate. What are a few strategies for closing that you need to keep in mind?


1. Always Pin Down the Problem First

As an insurance agent, you are selling a solution to a problem. If there is no problem to solve, then there is no reason to have a solution for it. Therefore, you need to figure out what the issue is. Some of the most common problems that your prospective clients might have include:

  • They need to find a way to save money on their current insurance policy.
  • They were recently dropped by another insurance carrier, and they need to get another policy as quickly as possible.
  • They are looking for a cost-effective way to insure a young driver of the house.
  • They are looking for a home insurance policy that will cover not only the structure but also the belongings inside the home.

Before you start recommending options, make sure you understand what the problem is. That way, you can customize your solution to meet the needs of the prospect.


2. Tell a Story, But Quickly

If you can make the situation real, you will have an easier time holding the attention of the prospect. Remember that insurance is always a solution to a hypothetical concern. Their car or house is not damaged right now, so it is difficult for them to envision having to file a claim. You can make the situation real for them by telling them a story.

If you have a story about another client who had a problem with their home or car that your insurance policy solved, share it. Of course, you should not use any specific names, but this is a great way to make the situation real for the prospect. Keep the story short, as people have short attention spans, but this could be a great way for you to improve your closure rates.


3. Use a Lead Nurturing Program

Your time is incredibly valuable, and you cannot spend all of it on a single client. You need to figure out which prospects are most likely to convert, and that is why you should use a lead nurturing program to help you. For example, one of the best tools is Blitz, a sales software program we highly recommend. This is a program that has been specifically designed to help you move leads down the sales funnel. You can use this program to keep in touch with your prospective clients, share helpful information, and customize your conversion strategies. There are many insurance agents who have already benefited from this program, so you may want to take a closer look at how you can use it to grow your agency as well.


4. Don’t Overwhelm With Too Many Options

Overwhelmed insurance client.

You need to make a prospect feel like he or she is in control. Always let the prospect make the final decision about what insurance policy is right for their needs; however, you do not want to give them too many options. Otherwise, you could overwhelm them.

Always limit the choices to just a few options. Explain the benefits and drawbacks of the different coverage choices, and ask the prospect what works best for their needs. If you leave the prospect in control, you will have an easier time getting them to select a policy that works best for their needs.


5. Focus on the Value, Not the Price

Nobody wants to spend more money than they have to. Therefore, as you go through the process, always focus on what the client is getting, not on what the client has to pay. If someone is getting a good value for the insurance policy, the price will no longer matter. Always explain to the prospect why you feel like they need that policy. Remember that you are selling a protective measure, and you need to focus on that.


6. Ask the Right Questions

Even though your prospect will probably have a lot of questions for you, you need to ask the right questions to convince them that they need the insurance policy. A few questions you may want to ask include:

  • How are you going to legally drive your car if you don’t have car insurance?
  • If you are facing a significant repair bill after an accident, how are you going to pay for it?
  • What happens if you don’t get enough money to replace your car following an accident? How will you get to work or school?

Notice that these questions will highlight the reasons why your prospect needs a strong insurance policy. Then, the sale will close itself.


Use These Closing Strategies for Insurance Agents

Ultimately, these are just a few of the top closing strategies for insurance agents. If you have a strategy in mind, you should have an easier time convincing someone to select your insurance agency. Remember that you need to take a look at your metrics from time to time to figure out what is working, what is not, and what you can do to improve your closing rates. Remember that there are also a lot of tools out there that can help you close more sales.

If you want to learn more about closing strategies, network with other professionals in your field through the American Agents Alliance. We strive to help independent insurance agents thrive. Contact us today to learn more about how we can assist you!

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