As we look back on 2022, we see an exceptionally volatile year. A stock market that would rival the scariest rollercoasters, media hyping up inflation worries that didn’t impact consumer spending all that much to a Fed raising interest rates four consecutive times between June and November by a whopping three-quarters of a point. Then announcing another increase of a half point before the end of the year.
Each time interest rates went up the stock market crashed. Then rebounded only crash again the next time. While the rise in interest rates does affect consumer big ticket item spending with people putting those off, it’s great news for Life Insurance producers.
Why? Because crediting interest rates within IUL’s and annuities went up! For those of you unfamiliar with what fixed and fixed indexed annuities offer, they are the only financial vehicle to guarantee your clients’ principle and guarantee them a retirement income no matter how long they live. They cannot outlive the money.
Their money grows when the stock market goes up and loses nothing when the stock market crashes. The writing is on the wall already for 2023 with indicators that interest rates will continue to rise to help stem off a recession.
As licensed life agents we often become complacent of selling simple issue products and most have indicated that you want to do more. Selling Annuities is your answer.
Your life license offers you the ability to sell fixed and fixed indexed annuities to your clients. Outside of taking an annuity suitability course for the state(s) you want to sell in and some product training through a carrier you need nothing else. The suitability courses count as CE credits towards your license renewal and only have to be taken once.
On all your next appointments or insurance reviews on past clients and policy delivery of your AEP clients, you need to ask a few questions: “How did your retirement portfolio work for you this past year?” “If I could show you how you could never lose any more of your retirement money and still receive the gains when the stock market goes up, would you be interested?”
For those agents contracted with Legacy our Annuity training shows you exactly what to say, how to say it and when to say it to start selling annuities.
For agents looking to expand and grow your career in life insurance sales Annuities are the perfect product for you. With past issues of 2022 and the prosects of 2023 your clients need your help!
