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Show Me the Mailbox Money

Recently, a major disability insurance carrier ran a 20-year income projection assuming a producer wrote just one disability insurance app per week, with an average premium of $2,000 a year. The total income to the producer over that 20-year per ended up accumulating to over $6 million! Can you find another financial product that could ever come close to those numbers? Think about it. With virtually zero service work required for a disability insurance policy – Disability Income is arguably the most profitable product you can sell.

I refer to it as Mailbox Money. Income Protection products not only pay great first year commissions, but also continue to fund your piggy bank for years to come. If you sell a 40 year old a disability policy today – you can expect to receive renewal commission on that one piece of business for the next 20 to 25 years.

Here Is The Opportunity:

When it comes to DI coverage, there is no competition for you to go up against.

The average age of the insurance advisor today is over 55. A majority of the advisors I speak with daily made their entire career off of selling Disability Insurance to their baby boomer counterparts in the 80’s and 90’s. And yes – they are still collecting their renewal premiums even 25 years later.

These same brokers have now taken their aging DI clientele and turned to selling them Life and Long-Term Care Insurance products.
Now there are fewer producers selling disability insurance than ever before – leaving a huge gap in the under age 50 population with no income protection.

What About The Up-And-Comers? 

Millennials are now taking over the workforce in waves and our economy has never before seen a buying group this large. Numbering 92 million strong, the Millennials dwarf the 79 million Baby Boomers who contributed to a majority of success of the Disability Income industry back in the day.

Studies show that Millennials recognize the need to protect their income and want help configuring their financial lives. So if you are a young advisor, working with the younger population, your future is bright.

Millennials will most likely hold several careers (not jobs, careers) in their working lifetime. Having a portable individual disability insurance policy in place could be one of the smartest financial instruments they will ever own.

Avoid The Assumptions:

Don’t be fooled into thinking that Millennials will do everything online in an attempt to avoid human interaction.

Go to a coffee shop, it is filled with Millennials talking to people. Go to a bar, more Millennials talking to people. My point: Millennials still want relationships. The challenge lies in how you initiate those relationships, so you can enjoy an iced latte or cold brew with them.

Yes – Millennials will do a lot of online research, but they will also seek out a professional to help them implement the strategies needed to help them achieve their financial goals.

Consider this: You have an opportunity with unlimited prospects, virtually no competition, phenomenal compensation, great products – a generation of “young’uns” who want to buy this product. Are you interested?

Contact your CPS Disability Income Specialist for marketing ideas and strategies to make selling Income Protection a strong part of your practice.

Additionally, DID YOU KNOW?  CPS Insurance and Disability Specialists Inc. (DSI) CPS Insurance and Disability Specialists Inc. (DSI) have developed a Disability Insurance Program for members of the Alliance, Members have the option of choosing any or all of the following programs at a discounted rate:

The following coverage is issued by Principal Life, an A+ rated insurance company (AM Best January 2012):

  • Disability Income (insures your earnings)

  • DI Retirement Security (insures your retirement savings)

  • Overhead Expense (pays the fixed expenses of your business)

Log in with your username and password to learn more about the discounted disability insurance program for agency principals. 

About the Author: Tom Nicols is the DI Sales & Marketing Manager for CPS Insurance Services located in Newport Beach, California.  He can be reached at 1-800-326-5433 Ext. 155 or via email at


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