How to Obtain, Qualify, and Contact Insurance Leads Effectively

Numerous options exist for procuring insurance leads. Some of these methods are:

Getting Leads Directly from an Insurance Company or Agency

• You don’t need to shell out cash for leads that may not convert into sales.
• You don’t have to compare lead costs and lead providers. You have more time to reach out to leads and sell your insurance products.
• Your insurance firm or agency is likely to offer sales assistance and support if you encounter trouble selling to these leads. Since your company is the one spending its resources so you can have the leads you need. It, therefore, wants you to close as many of them as possible.

Buying Leads from Third-Party Insurance Lead Providers

If your insurance company or agency does not provide you with good leads, you may approach a provider to give specific pieces of information, such as the number of leads you want to order, your zip code, and the relevant contact details. Then you pay upfront, and the company will provide you with the leads.

Unlike insurance companies or agencies that decrease your commission rate in exchange for leads, purchasing third-party leads from a lead provider will not affect the amount of commission you will earn. This is highly advantageous to insurance agents with a high closing rate, as the cost of buying the leads becomes a tiny fraction of the commissions they earn.

Another benefit is that some lead generation companies offer exclusive leads. It means that the company sells the leads only to you. Exclusive leads are, of course, pricier, but you’ll have less competition and more chances of closing a sale.

Going to Insurance Field Marketing Organizations (IMOs/FMOs)

Insurance field marketing organizations are non-company affiliated organizations that contract with an insurance firm to recruit agents, perform distribution, and do other marketing functions for the products or product lines of the insurance company. They may offer many potential benefits to both budding and experienced insurance agents, such as dedicated support, competitive commissions, and access to qualified leads. They may also provide lead resources to give agents a consistent stream of potential clients.

Using Lead Mail Drops

Lead drops, also known as direct response mailers, are an efficient and affordable way of procuring leads the entire year. You reach out to these mailers, set an appointment, and provide them with information on the relevant insurance product that meets their needs.

Networking with Other Insurance Professionals

If you are not keen on spending your own money or relying on an insurance firm or agency to provide you with the leads you need, consider networking. Many cities have networking groups where professionals from various industries meet on a monthly or weekly basis to trade marketing tactics, socialize, and refer businesses to each other. Use this opportunity to recommend your insurance products to the clients of the professionals you meet.

Using LinkedIn to Generate Business Leads

This business-oriented social network site is a great tool that can help you acquire leads. One way to get leads with LinkedIn is to join and engage with groups related to your industry. When you contribute thoughtful comments to the discussion, you help establish yourself as an industry expert and gain the trust of the people in the group. When people see you as an expert, professionals will feel confident in sending leads your way.

You can also use LinkedIn to check for important cues on individuals that may require your services as an insurance agent. If a person in your contact list posts a sonogram picture, for instance, it can signal a significant increase in an individual’s financial burden over the next several years. This is the perfect time to get in touch with the person, congratulate him/her on the big news, and let him/her know that you’re there if he/she needs anything.

Using Facebook to Generate Consumer Leads

Besides LinkedIn, you can obtain insurance leads using Facebook, a highly popular social media website. It has paid advertising options that will help you stand out from your competitors. The social network’s advertising platform gives you the tools you need to create and manage effective ads to achieve a variety of goals, such as expanding your social media presence and obtaining possible leads. On top of that, Facebook has built-in analytics tools that make it easy for you to assess the results of your lead generation efforts.

If you’re not sure whether the leads you obtained will result in a sale, qualify these leads. Lead qualification is vital. Many inexperienced insurance agents jump to the pitch without gaining a proper understanding of their prospect. What’s more, agents who don’t qualify leads are people who operate like a crocodile salesperson. They’ll keep on talking and pitching without taking the time to realize the real motivations of the lead. As a result, they’ll likely end up wasting time, closing bad deals (or not closing one at all), and missing opportunities on high-value prospects.

• Try a few methods of getting leads to find the one that fits YOU.
• Make sure you are qualifying a lead ask you have a conversation with the prospects.
• Quickly identify Red Flags, address them, or move on.
• Be consistent in your daily routine, practice, and don't be afraid to ask more questions.

We'd love to hear your thoughts in the comments below on:

1. What other ways do you use to generate leads for your business?
2. What questions do you ask when qualifying leads?
3. What are some other red flags not covered in this article?
4. What days or times have worked best for you when contacting leads?
5. Do you use a script? Would you share it in a comment below?

If you have any questions, please leave a comment below. We will carefully read each one of them. Happy Selling!