What Are People Really Buying From Their Insurance Agent?

I know a lot of insurance agents who think that their prospects and clients come to them because they need to buy insurance. Do they need the insurance? Yes, but are they taking time out of their day to drive across town and sit face to face with an insurance agent (not known for being the most exciting people on earth) simply because they need to buy insurance? No!

If all they really wanted was to buy the needed insurance they would just get on line or pick up the phone. Then, 15 minutes later they would save 15% on their car insurance and then move on with their life. There are many, MANY ways to buy insurance that are both easier and cheaper than using an insurance agent. They may need the insurance, but they want something more!

They'll hardly ever tell you they want more because often enough they don't even realize it but the fact that they are talking to an actual, living and breathing, local, professional agent should tell you enough. Do they want good rates, sure. Do they want convenience, absolutely. But if that was all they wanted you wouldn't know they existed because they never would have called you. Deep down inside they want more than an 800 number or web site can give them, and if a professional agent has the opportunity to fill those needs, that agent has no competition! At least not from the 800 number and internet insurance companies.

People still want to feel cared for, taken care of and protected. They want someone to put their arm around their shoulder and say "don't worry, you're safe with me." People want to interact professionals who are more concerned with protecting their family than entertaining them with a funny commercial. People want the expertise and knowledge that an agent provides and the peace of mind that comes with knowing that their personal agent is looking out for them. People want an insurance agent! People want YOU and they are buying YOU as much or more as anything else they are buying.

Does everyone feel this way? No, but why would a professional agent waste their time on someone who doesn't? Let those people go elsewhere until they find themselves in a situation without the helping hand and support that an agent brings. Let the prospects focused on cheap go with cheap.  Find the prospects focused on value and you'll build a lasting, successful agency.

So many agents whine and cry about the prospects who went elsewhere because the rates were cheaper. They were never prospects to begin with, they were price shoppers and future headaches. The old saying still holds true, if you win on price you'll lose on price because you won't always have the best price. However, if you educate clients about what they really want - the best value and the best agent - then price is only ONE of the considerations. Quite often, it is not even the primary consideration!

My favorite sales are to new clients who's current price is $200-$400 below mine. I know that if I can help them realize what they want deep down inside and understand the importance of the best value then the sale will not be hard to make. I also know that a client who chooses to pay more to work with my agency will be a client for life and a great referrer of similar clients. My least favorite sale to make are to people who are already paying more and are actually saving money when working with me. I know I'll have much tougher sales to make in the future to the second client because they typically switched started working with me for the wrong reason - price!

Stay focused on what people are buying first and foremost when you sell them insurance. They are buying the peace of mind and comfort of working with you, a local, professional agent. They are buying you first, insurance second.

By Robert Edgin