When I talk to prospective agent trainees, one of the first discussions we have is lead budget. As I mentioned in a previous article, the most successful final expense agents source their business from leads, specifically direct mail. And since I want my agents to emulate success, I want them preferably buying direct mail leads.
Since I source direct mail directly from the vendor, the up-front price is typically the highest for direct mail leads. I tell prospective agents you need between $420 to $640 a week to invest in leads on a consistent, on-going basis. I also explain to them that you will need to invest your money in marketing for several weeks before you begin to receive your leads. So, in order to start off right selling final expense, you need to be able to put up around $2500 to $3800 into your direct mail before you sell your first policy.
For some aspiring agents, this is not possible; they do not have the financial reserves nor the credit to do so. And this is why I’ve written this article.
This article is for agents who can’t invest $2500 to $3800 in leads before making their first sale. There are several alternatives for final expense leads you can try out, and below I will detail each:
1. Telemarketed Leads: Telemarketers call on 50-80 year olds and ask them if they have interest in learning about final expense plans. Pricing for telemarketed leads range from $15-$22, depending on the vendor. The advantage to telemarketed leads is the fast turn-around; it takes 2 or 3 days to fill an order of 15 to 20 telemarketed leads, versus 3-4 weeks for direct mail leads. This means you can get out and sell faster, placing business and generating commissions within your first week of buying leads. Expect to pay between $300 and $400 for 15 to 20 telemarketed leads.
2. Door-To-Door Cold Canvassing: This is the method you’ll use if you literally have zero money to invest, but have an indomitable desire to succeed in this business. First, buy a list of people 50-80 years old. You’ll want a list of names in a blue collar neighborhood, or a small country town. Secondly, get your hands on a sample lead card to use. You’ll need to fill it out as a mock lead to show prospects later. Contact me and I’ll send you a sample if you need one.
Now, take this list and go door to door. If you can commit to knocking 30 doors a day, asking for an appointment to show the prospect what you have to offer regarding final expense life insurance plans, you’ll be flat-out amazed at business you’ll literally trip over. I have heard of agents generating 4 or 5 deals weekly with this method and level of activity, which is outstanding, as you have literally zero marketing and expense overhead.
I have a ton more on this subject in my upcoming book, “The Final Expense Agent’s Playbook,” so consider picking it up if this is your only way to get into this business.
On a limited basis, I train new agents on door-to-door cold canvassing; I don’t prospect door-to-door personally, but I have plenty of experience cold canvassing in other industries. If you’re passionate about this business and are ready to take it on, please listen to my Truth About The Final Expense Business, then click on the Contact Page above, fill out the form, and we can discuss my training program more in-depth.