College Life Insurance Program
What is the College Life Insurance Program?
The College Life Insurance Program is specifically for financial advisors who sell permanent life insurance. It is a combination of marketing and sales presentation tools for both college planning and permanent life insurance selling.
What the College Life Insurance Program is not (disclaimer).
- We do not promote any specific permanent life insurance, life company, or FMO/IMO
- We do not “design” life insurance policies for you
- We do not teach you how to “design” a life insurance policy
- You do not need to license with our Insurance Marketing Organization
- You can use our materials with any permanent insurance policy
- You must deal with your own compliance departments, in regards to our prospecting tools
- You cannot remove our copyrights and promote our material as your own
- You cannot promote the MyCashFlowCoach as an affiliate, a provider, or a proponent of your insurance offering
In September 2011, MyCashFlowCoach was introduced to Dwayne Burnell, MBA; the author of the book “The Path To Financial Peace Of Mind”. The book was a proponent of two life insurance concepts:
1) Overfunding life insurance policies up to the MEC (TAMRA) limit to create higher than standard cash values in the beginning years of funding, and
Using these cash values as a funding vehicle to finance big ticket items, instead of borrowing the money from banks, or other financial institutions (Infinite Banking Concept (http://infinitebanking.org
After reading Dwayne Burnell’s book and its unique strategies and concepts, MyCashFlowCoach decided to create tools to help advisors sell any permanent life insurance product using the Infinite Banking Concept. While Dwayne’s book and the Infinite Banking Concept promote whole life insurance as the funding vehicle, our tools can be used universally for any type of permanent life insurance.
Life insurance has long been a difficult financial vehicle to sell for advisors, due to its presumed high costs. We have developed unique tools to counteract this “permanent life insurance is bad”, high-cost mindset.
And while there are other “college planning” marketing programs available, few of these programs provide the tools needed to address the number one objection to purchasing permanent life insurance, “I don’t have any money!” The tax and cash flow strategies that the NICCP developed for college planning are powerful tools that can be used to show prospects (especially small business owners) how to find the money to fund their insurance premiums.
The Life Insurance Industry Today
While developing the College Life Insurance Program, and our own life insurance agency in Montana, the principals of MyCashFlowCoach learned much about the current state of the life insurance industry.
Life insurance companies provide very little education or training on selling life insurance or operating their illustration software. They rely on Field Marketing Organizations (FMO) and Independent Marketing Organizations (IMO) to provide this education, training and software operations guidance.
Furthermore, as a result of the financial debacle in 2008, the good, high-rated insurance companies have now become very compliance oriented and closely scrutinize the use of the words “investing” or “bank” and “life insurance” in the same context.
For instance, we learned that your insurance policy is not your own private bank. As many in the industry would have you believe, you are NOT borrowing from your insurance policy and paying yourself back.
In reality, you are actually borrowing the money directly from the insurance company and the insurance company then puts a non-recourse lien on the cash value of your policy for the amount you borrow. When you pay back the loan with regular principal and interest payments, the interest cost is absorbed by the insurance company and the principal payments reduce the lien on that amount of cash value in your policy.
In the meantime, the insurance company is continuously paying you dividends and/or interest on the entire value of your policy. However, there is no requirement that you pay back the loan and no personal credit rating adjustment if you don’t. This is the advantage of life insurance loans versus loans from banks, or other financial institutions, and we’ve created tools to demonstrate this concept in a simple, efficient manner.
The Concept (Super-Charged Life Insurance)
The concept of overfunding life insurance policies up to the MEC (TAMRA) limit to create higher than standard cash values in the beginning years of funding and then using these cash values as a funding vehicle to finance big ticket items, instead of borrowing the money from banks or other financial institutions, is not unique. Nelson Nash (Infinite Banking Concept) has been teaching this concept for years.
Therefore, we do not teach or train advisors on designing life insurance policies using the Infinite Banking Concept. To learn more about the Infinite Banking Concept, go to (http://infinitebanking.org
) and watch the training videos. Very powerful stuff!
What makes the College Life Insurance Program different is that our tools can be used to help present and sell any type of permanent life insurance. The term we developed for this generic type of high cash value permanent life insurance is “Super-Charged Life Insurance”.
The “Super-Charged Life Insurance” concept and tools are designed to demonstrate four concepts. We believe that these four concepts need to be explained to prospects in a simple, efficient manner in order to counter their pre-conceived notions about permanent life insurance. Doing so can make life insurance selling much easier. These four concepts are:
1) High cash values can be achieved early in the policy, in order to take advantage of financing opportunities, by “super-charging” a permanent life insurance policy.
2) There are awesome financial opportunities available by using a life insurance policy as a financing vehicle, rather that giving your principal and interest payments to banks, or other financial institutions.
3) The number one objection to purchasing permanent life insurance, “I don’t have the extra money”. You can help prospects (especially small business owners) to find the money to fund their insurance premiums using tax and cash flow strategies and concepts on MyCashFlowCoach.com.
4) If you’re older and/or uninsurable, you can insure one or more of your younger children and still retain exclusive ownership of the policy. This will allow you to keep your insurance costs down, yet still have total access and control of your money.
The Process - Selling Super-Charged Life Insurance
What’s working in the life insurance industry today? What is the most successful selling process used by marketing organizations to present and sell permanent life insurance? It’s a simple six-step process:
1) Locate (target market) conservative, risk-adverse, investors who have had their 401(k) flat-line over the last 5-10 years and may be looking for an alternative to current stock market fluctuations
2) Provide these prospects with a book to read on the subject of conservative, risk-free and tax-free saving for retirement (Super-Charged Life Insurance)
3) Follow-up with the prospect to close a first appointment
4) Demonstrate the “living-benefit” advantages of high cash value permanent life insurance (Super-Charged Life Insurance) using various presentation tools
5) Present an insurance illustration using the prospects’ own financial data
6) Close the prospect
This six-step process has become enormously successful for many advisors around the country and is promoted by many FMO / IMO organizations, and other marketing-only companies, such as Circle of Wealth.
While these organizations are very successful, we found that there were two key factors that kept their programs (and advisors) from being even more successful:
1) Their hard-copy books are lengthy reads and can be too expensive to mass market.
Many people today simply do not have the time to read a 200+ page “financial” book. In addition, these books are sold for $15-$25 in bulk and can be quite expensive for advisors to mass market. After all, selling life insurance is a numbers game.
2) Their presentations are too long and can be difficult for the prospect to follow.
If you cannot make a significant impression on a prospect in the first ten minutes of your presentation, you may lose their attention and a potential sale. People today want results and if and when they see the potential for results THEY WANT, they will buy. In today’s financial climate, you don’t want to “sell” a prospect, you want them to buy, especially high net-worth prospects.
To improve on these programs and give our NICCP advisors an advantage, we have created two short booklets on college planning (Best College Deal -33 pages) and super-charged life insurance (Super-Charged Life Insurance - 49 pages). These booklets are digitized and can be sent to the prospect by e-mail, or handed directly to the prospect in printed form. Either way, the cost to distribute is very inexpensive.
We have also created presentation tools (calculators, sample case illustrations, and PowerPoint presentations, etc.) that get directly to the point and hit all the hot buttons of a potential client looking for an alternative financial vehicle. Advisors will know very quickly if the prospect “gets it” and is a potential client. Then they can move them through the selling process.
By making these two improvements, the advisor’s process is made simple.
1) Distribute a powerful, inexpensive, yet short and easy to read booklet
2) Follow-up with each prospect to determine a potential interest
3) Make an appointment with those prospects that have an interest
4) Take them through a simple presentation process and get their financial data
5) Run a personal illustration using the prospect’s personal financial data
6) Let the prospect “buy” based on the potential results that you can provide
If you sell life insurance and you are familiar with the “Be Your Own Banker” concept, then this simple marketing and sales presentation system for college and “permanent life insurance may be just what you’re looking for to make your job easier. The one-time cost is only $1,497.