With LDA, all your clients are in one location, making it easy to develop a systematic process of identifying opportunities. Here are the top 5.
Why Use LDA to Store Client and Policy Data
If I asked you "How do you manage your insurance block of business?", you likely fall into one of 3 categories;
1. Rely on the Insurance Carrier Alerts and Systems
2. Have a Custom Document Created (Spreadsheet)
3. Use a CRM
Some of these options are better than others, but they all have gaps that create problems for you as an advisor. Let's review each one further;
Rely on the Insurance Carriers
If you're like most brokers, you likely work with anywhere from 5-10 carriers. That means if you don't have a system to gather client and policy data in one location, you must log into multiple advisor portals to see policy information. On top of that, carriers send policy renewal alerts with little time to work with the clients.
Most brokers fall into this category.
Gaps: Reactive to opportunities, little time to act on renewals, multiple logins and systems, duplicating data entry (when acting on an opportunity), no systematic process to follow-up with clients or find cross-selling opportunities.
Have a Custom Document Created (Spreadsheet)
Adding your client and policy data to a document sounds easy, but unfortunately, it is far from it. As we all know, carriers aren't consistent and use different formats for illustrations, applications, and client data files. Formating is required to align all the information. Once you format the carrier files, considerations need to be made for sorting families, corporately owned policies, etc.
Next comes updates. Any changes or additions need to be entered manually. This is time-consuming and can lead to human error. Plus, notifications cannot be sent from the data within the document.
Gaps: No alerts, time-consuming, advanced Excel knowledge required, human error, and no easy transition to act on opportunities.
CRM's
CRMs have changed the way that businesses operate. However, that in itself is a problem for those in the insurance industry. Since CRMs are so flexible to all kinds of business types, most aren't going to be an out-of-the-box solution for your business. That means a lot of time and money needs to be spent on customizing the application to your business.
Even if you get to this point, any new policy data needs to be entered manually or imported to the CRM, which isn't always user-friendly. Plus, we still need to duplicate the entry of the client's information or policy data to work on an insurance opportunity.
Gaps: Time and consideration for customizing, manual entry or importing, cost, and converting data into an actionable opportunity.
LDA's Value
LDA is an out-of-the-box insurance program, designed to support you in managing your block of business and working with insurance opportunities for new prospects and existing clients. All insurance data in LDA can be brought into a customized and white-label presentation to educate clients on their current insurance versus any new recommendations.
To learn more about LDA's insurance presentations and best charts for clients, click here!
Since LDA is designed for insurance, opportunity notifications and filters are provided to highlight clients who have an opportunity for you with their current policy, or should be contacted for other reasons.
Here are the top 5 filters and search options available in LDA;
5. Client Age Range Search
An overlooked opportunity within your insurance block is for identifying clients within a certain age demographic with the need and budget for permanent insurance. As your client ages and likely encounters more professional success, that could lead to them needing to convert their existing term coverage to permanent insurance.
What we typically hear from advisors for this opportunity is the age band is between 35 and 50. So, how can we identify clients in this age bracket using LDA? It's as simple as using the birthday filter.
In the manage client section of LDA, client data is provided on the left side of the page. One of the headers you'll see is for their birthday. Notice below how you'll see a "to and from" filter;
This can be used to search for clients within a certain age range such as the example highlighted earlier.
Once used, you now have a contact list of clients who could likely need to reevaluate their insurance needs.
Tip: Share a sample case to educate clients on the difference between term and permanent insurance over time!
4. Policy Urgency
LDA has a built-in functionality to label the urgency of a policy and if you as the advisor need to take action on it. There are 4 urgency options;
1. Low (Newly issued policies.)
2. Medium (Policies entering the timeline for when exchanges can be used or to check in and see if their needs have changed.)
3. High (Policies entering the time range for conversion, such as T-10's from 7-10 years old.)
4. Urgent (Policies that have passed their designated renewal date and are potentially paying the renewal premium.)
LDA provides a filter option at the top left of the manage client page for all urgent statuses. Use this to identify policyholders you need to connect with!
3. Overdue Policy Filters
Have you acquired a block of business and had trouble finding clients whose initial term has passed? This is no longer an issue with the Overdue Filters LDA provides for T-10 and T-20 policies.
Under the "Case Opportunities" at the top of the design case page, you'll see red outlined icons for overdue T-10s and T-20s.
LDA will find T-10 or 20 policies that have passed their initial term length where the client is paying the renewal premium. If you're looking for urgent cases within your block, this is the filter you need.
2. Term Swap/Exchange
Almost all carriers offer the ability to swap or exchange a T-10 within the first 5 years. Some advisors even present this to clients when recommending a T10. Typically, carriers aren't going to remind you of these opportunities, so it's up to you as the advisor to reach out to your clients years later to follow through and discuss this valuable solution.
Notice in the screenshot above the "Term 10 Swap" icon. This will search T10s in your block, issued within the last 5 years, using today's date 5 years ago as the starting point.
You might be wondering, what about Canada Life and Empire Life who offer it up until year 7? You can always modify the time range from the initial search to today's date, 7 years ago and find any plans with those carriers.
1. Term Conversion/ Renewals
The easiest and most obvious opportunity for advisors is for clients with renewing policies, specifically for the most common term policies, T10s and T20s. Some carriers may send you a list during the year of renewal of these upcoming renewals. However, that doesn't leave you with a lot of time to act on the renewal, especially if it renews in the first part of the year.
LDA's most popular and used filters are the Term 10 Conversion and Term 20 Conversion filters. The filter finds any policy of that time that was issued after today's date 10 years ago or today's date 20 years ago, in the earliest to latest order.
Remember This
LDA has built-in notifications for most of the filters highlighted earlier. For example, Term 10 renewals are alerted in LDA starting at the 7th anniversary of the policy. T20s start on the 15th anniversary. These alerts will repeat each year up to 90 days before the renewal date, giving you much more time to meet and service your clients.
Questions?
If you'd like to learn more about the client management features in LDA or would like support with something specific to your block of business, use the meeting link below to schedule a meeting with our customer success team!
Click Here to Meet with Our Team