The Needs Assessment Tools You Should Use To Sell Life Insurance Successfully

Life Insurance Needs Assessment Resources for Insurance Agents

Learn how to sell life insurance to those who don’t see the value of it with these helpful tools.

As an advisor, you may often feel like you’re in a tough position as you navigate the challenges that come with selling life insurance. On one hand, you have clients who view life insurance as another monthly expense and don’t understand its value. And on the other, you hear people say that they regret not purchasing life insurance at a younger age when rates may have been better.

As a life insurance expert, you can educate them on the true value of life insurance, and ultimately, sell them the right amount of coverage. But how? Using needs assessment tools is a great way to overcome the obstacles you may face while selling life insurance.

Top Life Insurance Needs Assessment Tools

You may have some resources that help you show clients the factors that impact how much life insurance they need–however, the more resources you have in your arsenal, the better. 

Here are some online resources we found to evaluate your client’s need for life insurance and convey this need effectively. Use these in tandem with what you already have to provide the best experience possible.

Cross-Selling Reports

Using an agency management system (AMS) with reporting and analytics features can be extremely useful in identifying your client’s coverage gaps. AgencyBloc, for example, lets you run cross-sell reports (pictured below) so that you can easily identify what clients of yours lack life insurance. 

Screen shot of AgencyBloc's Policy Cross-Sell Report feature

Cross-Sell Report in AgencyBloc

If you’re selling to current clients, you will want to run a cross-selling report in your AMS before using a client needs assessment (CNA), which we’ll discuss next.

Client Needs Assessment Questionnaire

Another top tip for selling life insurance successfully is using a client needs assessment, or CNA. You can use this one-page questionnaire to guide your appointments with prospective clients or existing ones that don’t have life insurance.

The CNA will help you identify your client’s goals and where their coverage falls short in meeting those goals. Then, you’re able to easily make the case for the benefits of life insurance and, hopefully, convert them.

Client needs assessments can be used across your business for more than just life insurance, as well. They’re handy tools to identify cross-selling opportunities for life insurance, ancillary products, etc. 

Life Insurance Needs Assessment Calculators

Overall, there are some basic things every client needs to consider when purchasing life insurance (keep this list handy, or create a small card or handout to give your clients at your meeting):

  • Income–their own and their partner’s
  • Child expenses
  • Mortgages
  • Private student loans
  • Business expenses
  • Other debts that would be a burden on family members

Thankfully, there are helpful needs assessment calculators online that you can use to easily determine the right amount of life insurance coverage for each of your clients with these factors in mind.

Generic Life Insurance Needs Calculators:

Life Insurance Needs Calculators from Insurance Companies:

Beware that some of these ask for information and are used as a way for them to capture leads; however, they are good examples for helping you build your own!

Other Tips for Selling Life Insurance

Helping clients see the value in something intangible and that they can’t physically use can be challenging. Here are some additional things you can do to successfully convince prospects about the benefits of life insurance coverage: 

  • Use Testimonials: Tell stories of how your current clients have benefited from your services or provide examples of reasons (beyond covering burial expenses) that people buy life insurance. For example, it can help with leftover bills, like student loans, that aren’t always forgiven at death. Not sure where to start? Read our blog about how to gather reviews and testimonials.
  • Share Case Studies: Case studies are a great way to share your current clients’ stories with prospects or during cross-sell meetings. If you’re new to creating case studies or looking to improve yours, use our free downloadable case study templates
  • Leverage the right marketing tactics: The best way to sell life insurance successfully–especially to people who don’t see the need for it–starts with education. Use neuromarketing techniques to speak directly to the decision-making part of the brain and effectively communicate the need for life insurance.
  • Follow Up: Whether you sold the policy at that same meeting or not, you should always follow up.

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This blog was originally published on September 15, 2020, and updated on October 4, 2022.

Kelsey Rosauer

By Kelsey Rosauer on October 4, 2022 in Selling

Kelsey is the Brand Manager at AgencyBloc. She plans and creates educational resources to help insurance agencies organize, automate & grow their business. Favorite quote: "I am convinced that life is 10% what happens to me and 90% how I react to it." —Charles R. Swindoll  More articles

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