Generally speaking, I believe that you’re almost always better off trying to get referrals based on your process rather than your product. LTCi is one product that might be an exception to that rule. For many clients, LTCi itself is a referable product. However, when you have a great process in place, you double your chances for referrals.
I don’t have to tell you that many candidates for LTCi aren’t even aware of the insurance, and many more have mistaken assumptions about it. And I’m sure you’ve experienced the dynamic that when someone fully understands the importance of Long-Term Care Insurance they often want to spread the word to others they care about. If you’re getting some referrals from your LTCI clients – which I hope you are – then imagine what you could do if you were a little more proactive.
It Starts with Referability
Getting referrals without asking for them and having a willing participant when you do ask, is all about being referable. Your client has to understand and appreciate the value of your product. But often more importantly, they have to understand and appreciate the value of your process. You know your process is referable when you’re getting referrals without asking for them; when people say things like, “My sister should know about this.”
A referable process usually consists of asking good questions (that get your prospects thinking in ways they haven’t thought before); educating your prospects; having a compelling argument for why they should consider LTCi; and being passionate about the product.
About 10 years ago, I had the opportunity to hear Phyllis Shelton speak about long term care insurance. It was my first exposure to LTCi and to Phyllis. Her talk was the perfect blend of statistics and passion. Her passion for the product (or problems it prevented) made me listen to her logical arguments. I immediately went to my financial advisor to see if I was a candidate for LTCi (which I was).
Remember, every buying decision is based on emotion. If you don’t strike an emotional chord with your prospect, your chances of making the sale and getting referrals are diminished. Just like at the heart of purchasing LTCi is an emotional decision, so too is your clients’ willingness to give referrals. Make sure your passion for LTCi (and the problems it prevents) come through on every appointment.
Being Proactive for Referrals
Several articles ago I laid out my VIPS Method™ for Asking for Referrals. Now I’d like to apply that proven process to the LTCi environment.