Clients frequently tell me, “I have life insurance
through my job.” This is awesome. The bigger the group, usually the cheaper the life insurance. Half the time, when clients tell me this, the life insurance they have is free and adding your family is dirt-cheap.
I tell those clients to get it, and keep it. I tell them to thank their employer for the benefit; and then waltz right out the door and find themselves some life insurance! I imagine you’re asking yourself, “What? Did I just read that correctly?”
Recently, I was with a client who manages a large car dealership. The car manufacturer had a large life insurance policy on the man and so did his local dealership franchise where he is the general manager. “I’m 62 years old, retiring in three years, and I don’t have an ounce of life insurance when I leave here.”
It’s all about control. Your clients have little or no control over that insurance. At least once a day, someone tells me, “Well, we aren’t going to have that company doing our benefits
anymore.” The person may have been laid off, demoted, or may even have asked for demotion (more common than you think) because he became disgusted with being in management. Or he could have simply taken a better job at a different company.
When he originally got that cheap coverage through his company, he was 26 years old and 185 pounds. He didn’t need any more insurance, right? Well, now he's 40 and weighs 250 pounds. Now he has a different house with a different mortgage; his whole life is different. And that means he needs more life insurance.