One of the main reasons some of my private clients hate offering life insurance to their clients is that they don’t want to put their relationship at risk because of the unpreventable headache that is underwriting. They’ve been burned in the past when a case goes south quickly because of underwriting complications. This can lead to their client losing faith and becoming upset with them, inevitably causing the loss of all lines of business with that client.
But, with a little education—as well as setting the proper expectations up front—this nuisance can be alleviated.
Advisors who offer all lines of business to their clientele are the future of financial services. That future is now, so you better get ahead of the curve and make certain that your clients know you represent all-things financial to them. Otherwise, you’ll risk losing them to the true holistic financial professional who comes along and presents a method that taps into the best of all options.
There are two main issues I’ve discovered concerning underwriting troubles which can easily be handled up front.