Have you tried talking with your clients about the importance of disability income insurance only to have the conversation cut short by their insistence a disability will never happen to them? Yet the odds are one in four of your clients will become disabled before they turn 65. Instead of talking about disability insurance, change the focus to what they need to protect—their income.
Changing the Focus to Protection
Americans are five times more likely to suffer a disability than die, but they are more financially prepared for death. Most people are willing to have the life insurance discussion because it’s clear what it’s designed to protect—their future commitments to their families. It’s typically a family protection discussion concerning covering the mortgage, ensuring the kids can pay for college, and securing the family’s financial future.
The disability discussion is no different. But it shouldn’t be about “disability” or the odds of becoming disabled. It should be about income protection. They’ve insured other valuable assets such as their house and car. It’s time to protect their most valuable asset.
It’s about Protecting Your “MUG”
Experience shows that advisors have more success when they boil the conversation down to relatable terms their clients can understand. While they can’t relate to a “disability,” they can feel the emotional tug of not being able to fulfill their commitments to their family.
They have a house, which they’ve insured against damage or loss. But attached to that house, they have a mortgage (M), which must be paid regardless of whether they are generating an income. To live in that house, they need to be able to keep their utilities (U) going and groceries (G) in the fridge. They need to cover their MUG to keep a roof over their head and preserve their savings for future commitments. Most people don’t fear becoming disabled, but they do fear not being able to pay the bills.
Offer a Solution, not a Product
As a financial advisor, you are in a unique position to solve a problem your clients may not know they have—or at least didn’t want to think about. The solution is not disability insurance; it’s an income protection plan that will ensure they can meet their future commitments while preserving their current and future lifestyle.
The advantage of working with First American Insurance Underwriters is we can help you find an income protection solution custom-fitted for your clients’ needs and circumstances. Just send us your case, and we’ll make you look like the ultimate problem-solver.
– By Ed Stone, LTC, DI & Annuity Specialist