Putting the pieces in order in six phases

Q: Convincing prospects to buy long-term care insurance requires explaining a lot of important information. In what order should the information be presented?

A: Your goal during the appointment is to provide enough generic education to convince the prospect of the need, while avoiding information overload. I prefer the traditional method of presenting, where you have a track to run on. Even if the client asks questions, which is your goal, and you get off on a tangent, you return to your track and cover the rest of the important information before the close. Sharing this approach is Brian Johnson, director of business development at National Long-Term Care Brokers in Albany, N.Y. He uses what he calls the “Six Phases.”

Phase 1: Asking questions
The goal is to get the clients talking. Your questions should help them discover why they need the insurance and the implications of not having a solution. Our job then becomes to show them that LTC protection is the best solution for them.

Phase 2: What is LTC?
I suggest using both a traditional definition and a practical one. Example–to better understand LTC, think of the activities you performed when you woke up this morning: climbed out of bed, walked to the bathroom, used the toilet, bathed or showered, dressed and ate breakfast.

Phase 3: Why plan for LTC?
Costs–discuss the national averages and the local costs for home health care, assisted living and nursing homes. Then briefly discuss Medicare, Medicaid, using your own assets and LTCI. Explain why the insurance is the best answer.