a person on the phone overcoming objections in insurance sales

Working in the insurance industry can be a rewarding career option. But, if you’re on the sales side of insurance, you need to be prepared to handle roadblocks from time to time. One of the keys to excelling is knowing how to deal with objections in insurance sales.

When you communicate with prospective customers, it is important to know what you’re doing. A good sales script is helpful, but you also need to have a plan for people who may be reluctant about agreeing to buy an insurance policy. Use the following tips to help you overcome objections in insurance sales.

Avoid the Hard Sell

As an insurance agent, it is natural to want to close as many sales as possible. But, when a potential customer is hesitant or expressing objections, avoid the hard sell. Pushing too hard can backfire, and a customer may decide not to buy a policy at all.

Being prepared for objections will help you avoid hard-selling a reluctant customer. Having the right tools will allow you to work with a customer who is on the fence about buying a new insurance policy.

Establish a Connection With the Person You’re Speaking With

It is not uncommon for people to request an insurance quote online to get a better idea of what a policy costs. However, most do not expect a phone call, so they may not be eager to speak to you. In this type of situation, you may be told that the customer did not request a quote.

If you have the contact information of a person who said they did not request a quote, don’t try to convince them that they actually did. Instead, establish a connection with the person you’re speaking with. Simply state that since you’re already on the phone, you would love to do your best to find them the right insurance policy. Make it known that the process will only take a few minutes.

Offer to Schedule a Time for a Phone Call

The majority of people lead busy lives, so it can be difficult to properly time a sales phone call. Someone may be very interested in buying an insurance policy, but your call just comes at the wrong time. If a prospective customer tells you that he/she does not have time to talk, it is most likely the truth.

When someone says that they do not have time to speak to you, that doesn’t mean that the sale is lost. Don’t simply hang up and call back at another time. Instead, offer to schedule a phone call for a time that is convenient for the customer. Doing so will increase the likelihood of being able to talk with a potential customer and make a sale.

Don’t Forget to Follow Up

Sometimes, a potential client may just not be ready to make a purchase. However, that doesn’t mean that they won’t do so in the near future. Don’t write off a person who doesn’t buy an insurance policy right away.

Following up with reluctant customers can make a big difference. But you don’t have to spend your valuable time sending out texts and emails. A good insurance agency management system can take care of follow-up for you. Many of your follow-ups can be automated, so you can focus on connecting with as many potential clients as possible over the phone.

Establish a Customer’s Budget

One of the big objections that insurance salespeople hear is that a policy is too expensive. An easy way to avoid hearing this objection is by establishing a prospective customer’s budget upfront. When you know a customer’s budget, you can present policies at the right price point.

Knowing how much a person is willing or able to spend on an insurance policy can make a big difference. You won’t have to spend time trying to sell a policy that is more than a person will spend. Offering insurance policies that meet the needs and budget of the customer will allow you to close more sales.

Offer to Communicate via Email

In this day and age, more and more people are becoming accustomed to doing everything online. So, it is not surprising that some potential customers may not want to speak to an insurance salesperson over the phone about buying a policy. Luckily, you can still close the sale, even if it is not over the phone.

When a prospective client balks at speaking over the phone, offer to do everything via email. Just make sure that you collect essential information over the phone and verify their email address. You can then communicate via email to help the customer purchase an insurance policy.

Final Thoughts

In an ideal world, every phone call that an insurance salesperson makes would result in a sale. However, that is not the case. But, knowing how to react when a prospective client is reluctant makes a difference. Many people still opt to buy insurance directly from an insurance professional. For example, many people begin shopping for auto insurance online, but 50 percent of people end up buying a policy after directly interacting with an insurance professional. Being prepared for objections in insurance sales will help you close more deals.