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July 24, 2013 at 09:58 AM
Twelve-step programs are well known as an effective method to address substance abuse, dependency and addiction problems. These programs are comprised of a set of guiding principles that, in essence, serve as an outline for a course of action for recovery. With that being said, it’s time to address a common affliction with annuity agents that needs its own 12-step program. It’s called having an “annuity addiction.”
When you call yourself “Stan The Annuity Man,” and name the company the same thing, that would seem to be feeding into an annuity addiction. However, I am a person who is very tech driven and tracks all calls and meetings and have found that over 34 percent of all prospect interactions over the past few years have ended with me not recommending an annuity after evaluating the suitability and appropriateness of the prospect’s specific situation. That seems to run foreign to the “always be closing” addictive mentality that the annuity industry seems to foster and promote.
In the spirit of full disclosure, and to shut down the “haters” from the start, I stopped drinking over eight years ago so I know a thing or two about this addiction subject. However, with some agents, I see the same patterns of addiction and the justification process of how annuities are sold. Let’s take a look at a synopsized and annuity customized version of this 12-step method, and what you can do to solve the problem and live a life free of “annuity addiction.”
Admitting that you cannot control your addiction to annuities.
The first step to solving the problem is admitting that you have one. Take a look back at your client/prospect interactions and honestly assess how many times you recommended to someone that an annuity solution doesn’t fit. There is no way that every single person you meet needs an annuity, or needs to transfer the annuity that they currently own to another annuity. I am of the belief that this “one size fits all” mentality with some agents is actually an addiction. An addiction to sales, an addiction to money, an addiction to the closing process, an addiction to qualify for the next trip whatever the case, it’s an addiction that is unhealthy and possibly not in the clients best interest.
Recognizing that something that is not an annuity is OK.
I’m a true “burn the boat” annuity guy and only recommend annuities. I don’t even sell life insurance or long-term care in order to remain focused solely on annuities, and refer those cases out when that is the appropriate solution. It’s OK for the solution to not be an annuity, and for you to walk away from a recommendation. Don’t try to fit a square peg in a round hole to get the sale as I occasionally see when agents improperly sell confinement care “doublers” as a replacement for real long-term care coverage. The future litigation on that will be ugly.
Use a sponsor to help you through the tough times.
There are a few “old annuity codgers” that I am always touching base with to run ideas by and tap into their valuable years of experience. And no, I’m not talking about your annuity wholesaler at your FMO of choice. Regardless of how good you think you are, I would advise reaching out to someone you trust and that you see doing good, clean business to mentor you on an ongoing basis. Swallow your ego for a second, because you will never regret implementing this mentoring plan.
