Here is a brief insurance sales guide to tips that show when someone is lying. Discover insurance buyers methods that give away that they are telling you a lie. A sales situation is often a game encountering the prospect and the insurance sales person. The showdown game involves the sales agent persistently pursing insurance buyers, and these prospects avoiding buying.

Lying insurance buyers have no regret. They have made no obligation to buy. If you are the sales person you want to determine why you did not get the sale. First and foremost was this person really a true prospect.? Did your presentation stink? Most likely your prospective buyer started lying to you, and you didn’t pick it up.

Determining lying does not take a genius or irate parent. By keenly observing both the verbal and visual signs you uncover lying. Once you learn the lying signals, you will observe almost a clear pattern. Let’s start the guide to lying signals going in this insurance sales report.

1. The insurance prospect starts stuttering or you notice a slurring of words together

2. Suddenly your prospective client touches his nose.

3. You hear the phrase, “To be completely honest with you.”

4. You notice your prospect licking his lips

5. He makes sighs, or takes a deep breath

6. Your prospect shrugs his shoulders

7. His or her lips tighten up.

8. He speaks in phrases, inserting “oh” uh” type fillers

9. You observe lots of movement from a hand to the stroking the facial area

10. He replies, “As far as I know”

11. The insurance prospect starts taking more frequent, but longer swallows while drinking from a cup.

12. He turns his body more away from you, and looks downward or to the side.

13. You notice the hands tighten, and hand motions are reduced.

14. He changes his thoughts midway through his reply

15. The prospect starts picking up nearby objects and slowly handles the object.

In an insurance sales presentation catching your prospect lying does not often turn in your favor. Never expose the lying or you just lost the possible sale. However be fully alert after you pick up on the first little white lie. Now quickly cut to the chase, and immediately start to go for closing the sale. Chances are very good that you do not have a true buyer. Quit wasting more of your time. Otherwise you are going to be spinning your wheels all the way home.

By: Donald Yerke

What are my insurance claim rights? Is there any consumer protection against companies that abuse the consumer? The answer is yes! Every State has administrative entity that regulates insurance companies.

The 1945 Federal McCarran-Ferguson Act codified in U.S. Code Title 15, Chapter 20 gives the states the power to regulate the business of insurance as they see fit. This is the reason why all policies and regulations are different in each state. All states have enacted statutes that apply to insurance companies, agents, brokers, adjusters, and just everyone else that has to do anything with the business.

These statutes give power to the states to create the “Department of Insurance.” They also codify the claim rights a consumer has against an insurance company. For example, the Revised Code of Washington (RCW) 48.01.030 states “The business of insurance is one affected by the public interest, requiring that all persons be actuated by good faith, abstain from deception, and practice honesty and equity in all insurance matters. Upon the insurer, the insured, their providers, and their representatives rests the duty of preserving inviolate the integrity of insurance.” This language is common to all states with very little modification.

This language is very specific and sets forth the requirement of good faith and fair dealing. Most states define exactly what your consumer rights are or what claim practices are forbidden.
Misrepresenting pertinent facts or insurance policy provisions; Failing to acknowledge and act reasonably promptly upon communications with respect to claims arising under insurance policies; Failing to adopt and implement reasonable standards for the prompt investigation of claims arising under insurance policies; Refusing to pay claims without conducting a reasonable investigation; Failing to affirm or deny coverage of claims within a reasonable time after proof of loss statements have been completed; Not attempting in good faith to effectuate prompt, fair and equitable settlements of claims in which liability has become reasonably clear. In particular, this includes an obligation to effectuate prompt payment of property damage claims to innocent third parties in clear liability situations. If two or more insurers are involved, they should arrange to make such payment, leaving to themselves the burden of apportioning it; Compelling insureds to institute or submit to litigation, arbitration, or appraisal to recover amounts due under an insurance policy by offering substantially less than the amounts ultimately recovered in such actions or proceedings; Attempting to settle a claim for less than the amount to which a reasonable man would have believed he was entitled by reference to written or printed advertising material accompanying or made part of an application; Making claims payments to insureds or beneficiaries not accompanied by a statement setting forth the coverage under which the payments are being made; Asserting to insureds or claimants a policy of appealing from arbitration awards in favor of insureds or claimants for the purpose of compelling them to accept settlements or compromises less than the amount awarded in arbitration; Delaying the investigation or payment of claims by requiring an insured, claimant, or the physician of either to submit a preliminary claim report and then requiring subsequent submissions which contain substantially the same information; Failing to promptly settle claims, where liability has become reasonably clear, under one portion of the insurance policy coverage in order to influence settlements under other portions of the insurance policy coverage; Failing to promptly provide a reasonable explanation of the basis in the insurance policy in relation to the facts or applicable law for denial of a claim or for the offer of a compromise settlement; Unfairly discriminating against claimants because they are represented by a public adjuster; Failure to expeditiously honor drafts given in settlement of claims. A failure to honor a draft within three working days of notice of receipt by the payor bank will constitute a violation of this provision. Dishonor of any such draft for valid reasons related to the settlement of the claim will not constitute a violation of this provision; Failure to adopt and implement reasonable standards for the processing and payment of claims once the obligation to pay has been established. Except as to those instances where the time for payment is governed by statute or rule or is set forth in an applicable contract, procedures which are not designed to deliver a check or draft to the payee in payment of a settled claim within fifteen business days after receipt by the insurer or its attorney of properly executed releases or other settlement documents are not acceptable. Where the insurer is obligated to furnish an appropriate release or settlement document to an insured or claimant, it shall do so within twenty working days after a settlement has been reached; Delaying appraisals or adding to their cost under insurance policy appraisal provisions through the use of appraisers from outside of the loss area. The use of appraisers from outside the loss area is appropriate only where the unique nature of the loss or a lack of competent local appraisers make the use of out-of-area appraisers necessary.

For more information about your state insurance and tariff law, visit our site for the most common prohibited practices in your state

By: Hector Quiroga, J.D.

Each day, more and more Insurance Agents are leaving the captive corporate world to venture into the realm of independent insurance agent. Rather than being locked into selling one major insurance carrier’s branded product line, they opt to offer a larger variety of policies, services and costs; coinciding with the demand of consumers wanting to have choices and options at competitive prices.

As we are well aware, this is no longer a “seller’s market”, but an “informed buyer’s”. People, in general, are armed with more information than ever before. So, how do you, the independent insurance agent, stand out from the other 100’s of agents in your city? What marketing avenues are available to you so that you capture the prospective buyer’s attention and convert them into a prospect and ultimately a long-term client? And which ones work?

Regardless of your target audience, whether you have niched your focus to be product specific, or if you are targeting a certain population segment; you need to investigate the various forms of advertising available to you, the costs of such programs and the pros and cons.

Below is a breakdown of the most commonly used forms of advertising for the independent insurance agency, and the pros and cons of each.

Television Advertising


As the average American spends more time in front of the television, it should be no surprise that this is one of the most sought after forms of marketing available.

Pros:

Ability to reach a larger and more diverse segment of the insurance seeking population
You can specify time of day and network, reaching your intended audience easier
Since most consumers are engaged by a combination of movement, color, what they see and what they hear, this gives most businesses a platform to achieve full sensory contact
Gives a business instant credibility and prestige


Cons:

Cost for the commercial air time and/or multiple runs
Cost for hiring a marketing agency to lay-out and film your insurance commercial
Consumer expectation – no longer are we impressed with someone reading off a teleprompt, they want to be entertained
Competition for the consumer’s attention
Popularity of digital recorders has increased, giving consumers the ability to fast-forward through commercials when watching their favorite shows


Many experts would agree that if you have the extra capital in your marketing budget to incorporate television into your advertising that you should. However, it is important that you research different advertising firms to help you explore your options with regards to creating your on-air advertisement, the best way to target your audience and keep within your planned budget.

Newspaper advertising and local weekly shoppers


With regards to print advertisements, some independent agents turn to local newspapers and weekly shoppers to advertise their agencies. Since many households either subscribe to at least one newspaper, or pick them up at their local newsstands, it is a fast and simple way to gain recognition by consumers.

Pros:

Ability to reach more than one target audience by placing various advertisements in the different sections of a newspaper
You have the choice of large or small circulation papers to advertise your insurance agency
Consumers who turn to the newspapers and weekly shoppers are looking for advertisers who offer deals or bargains
Multiple advertisement ad sizes to correspond with various budgets


Cons:

Newspapers and weekly shoppers are usually read once and discarded
Smaller advertisements have a more difficult time standing out when placed next to a larger ad
Quality of the print may distort images and photos in a way that can hurt your marketing rather than help
Ads, regardless of size, have to compete for the reader’s attention


Like television advertising, it would be prudent to consult with a professional marketing firm, preferably one that specializes in insurance marketing, to help you design an advertisement that best captures your targeted audience’s attention. The smaller the ad space the less detailed and complicated the ad should be.

Also keep in mind the days the most sought after papers and weekly shoppers are printed. The rates for a large advertisement over the weekend will be greater than the same sized ad featured all week long.

Billboards and Signs


While most forms of outdoor advertising are contained within billboards and large signage, some independent agencies have broadened the term to include park benches, posters and seat rails at public transit stops. This form of marketing has become a popular, less costly way, when compared with television and print advertising, to reach a larger audience in major metropolitan areas.

Pros:

Potential clients cannot simply discard or “turn off” outdoor advertising
Name recognition is higher with those consumers who walk or drive the same route each day
Billboards and signs vary in price due to size and location making it is easier to find one in your budget


Cons:

More often than not, outdoor advertisements do not fully engage a consumer’s attention for more than a few seconds
Advertisements have to be simple and interesting enough for the consumer to remember
Outdoor advertisements are usually contracted for a longer period of time than most independent agencies had anticipated securing them for
Posters and bench signs at public transit stops work well in major metropolitan areas where lower, middle and upper class alike share the same transportation systems, however, not as effective in areas where public transportation is not as common


If you feel various forms of outdoor advertising would be a compliment to your business and marketing plan, consider placement wisely. Consult many firms for input and advice on the best way to stretch your marketing dollar and how they can help you create eye-catching and simple designs for your sign.

Phone Book Directories


Since exposure to the advertisements in phone book directories is voluntary, meaning consumers actually turn to the phone book for its ads, this form of marketing for independent insurance agencies has become an industry standard.

Pros:

Certain targeted audiences utilize the phone book regularly to find businesses in their area
Many phone books also have an online directory giving agencies a more broad exposure
You can tailor your exposure to cover a large metropolitan area, or just the city you work in
Traditionally, consumers will keep a phone book versus discarding it like a newspaper


Cons:

Cost – as more consumers turn to the internet, the cost for print ads in the phone book has increased to cover profit loss
Marketing ineffectiveness – with so many insurance agencies buying ads, it becomes more difficult to capture the consumer’s attention, and once again, stand out from the 100’s of other agents in your market
There are so many phone books in which to advertise, which one do you choose to feature your agency


As with any form of advertising, be sure to read all the features and benefits that come with your paid advertisement. Does it include a featured ad online, or is that separate? What is the target area or audience of the phone book you are looking at? Is the cost monthly, quarterly or annual? Is there an automatic renewal clause or will you have the option of not renewing your contract? Where will your advertisement be placed in comparison to the other featured ads? Will someone employed by the phone book assist you with an eye catching advertisement, or do you have to hire a marketing agency to do that for you, and what is the cost?

Internet Advertising


Roughly 90% of all the households across the United States have access to the internet either at home, at work or at school; making advertising on the internet the fastest growing marketing medium for independent insurance agents. That household percentage goes even higher for those families with a combined income of $100k or more. However, internet advertising gaining its strength only in the last decade or so, there is still a lot an independent agent would need to research, as with any form of advertising, before making a financial commitment.

Pros:

Cost- you can spend much or as little as your budget allows
Levels the playing field – the internet gives the independent agent a chance to compete with the large insurance carriers with regards to search engine placement
Whether a web site, a PDF brochure, an affiliated network or a video; any and all forms of advertising can be featured and found on the internet
Advertisement exposure is voluntary. Only the websites relevant to a consumer’s online search will pull up for them to look at. Someone searching for insurance agents in their area are more often than not, looking for an agent to speak with


Cons:

People expect to be educated or informed by an agent’s personal website – having out-dated information or poor graphics can actually hurt your credibility
The ever changing internet – each of the major search engines change what they search for on websites constantly with regards to how well they rank. Staying on top of these changes can be very time consuming or expensive if you pay a firm to do this for you.
Fear of identity theft – consumers are becoming skeptical of entering their personal contact information online for fear they will have their personal information stolen or sold to telemarketing companies and be subject to unwanted emails or phone calls


There are so many options and services available to the independent insurance agent to effectively market themselves and attract more leads. The form of advertising you choose will depend largely on the audience you intend to target, the area in which you do business, and ultimately your budget. Be sure to ask questions. Know what you are getting and what you are not with whatever forms of marketing you decide to use.

By: Christee Fontanez