With the end of summer approaching and the new school year beginning, it’s an excellent time to begin disability discussions with your clients, especially millennials born between 1980 and 2000.
The millennial generation is reaching their prime working and spending years. As they reach their mid-30s, they are building their careers and growing their families, and they still have high education debt. Despite all this, many have no disability income protection through their employers. And if they do have group disability plans, they often comes with weak definitions of disability and short benefit periods.
What’s even more concerning is most people do have some life insurance protection, which is the least likely risk—especially for millennials. In fact, milleniennals and baby boomers are more 3x likely to be disabled then to die during the working years. Yet, disability insurance sales lag behind life insurance sales.
Studies and surveys have shown people care about protecting thier paycheck, but they are not savvy about income protection policies. So, you are likely to gain some disability income sales by approaching the topic with your clients…especially clients who have purchased life insurance from you.
Because the risk of disability is higher than death, the premiums are higher and health underwriting can be more stringent. Working with the knowledgeable disability income specialist at Source Brokerage, Inc, can help you overcome premium objections and tailor policies that meet the financial and professional profiles of your clients.
For example, although disability income policies with own occupation defintions of disabiliy and non-cancellable contracts are good, sometimes they are not necessary. Perhaps a modified own occupation definition and a guaranteed renewable contract will cover the risk and make the premium more affordale for your client.
Make September the month you celebrate income protection with your clients. Baby boomer and millennials report they value financial security, so there is plenty of opportunity for you to provide income protection.
For more DI tips and sales ideas, contact Steve Crowe at ext. 222, Ellen Crowe at ext. 223 or Brian Hettmansberger at ext. 230 Chris Bussey at ext. 220.
