Key Takeaways
- Agents who do annual reviews retain 85% of clients vs. 60% for those who don't
- 35% of annual reviews reveal a new coverage need—free additional revenue
- Annual review clients give 4x more referrals than clients you only contact for renewals
Why Annual Reviews Matter
Client Question: "Do I really need to review my policy every year?"
Agents who do annual reviews retain 85% of clients vs. 60% for those who don't. Plus, 35% of reviews reveal a new coverage need.
What to Cover
| Area | Questions to Ask |
|---|---|
| Life changes | Married? Baby? New home? Promotion? |
| Coverage adequacy | Still appropriate for their situation? |
| Beneficiaries | Still correct and up to date? |
| Contact info | Address, phone, email current? |
| Other needs | Spouse, children, business needs? |
The Review Sets You Up For
- Additional coverage if life has changed
- Referrals to people experiencing similar life events
- Cross-selling other products
- Preventing competitors from replacing you
The Changed Circumstances
A client whose life has changed significantly
Setup
You're doing an annual review with a client you placed a $300,000 policy with two years ago. Since then, they've had twins and bought a house.
Client says:
“Wow, has it been a year already? A lot has changed—we had twins in March and just closed on our first house last month. It's been crazy!”
Practice Objectives
- 1Celebrate their life changes with them
- 2Explore how these changes affect their protection needs
- 3Discuss additional coverage without being pushy
- 4Help them see the gap in their current coverage
- 5Recommend appropriate additional protection
Nothing Has Changed
A client with no significant life changes
Setup
Annual review with a client whose situation hasn't changed. No new coverage is needed.
Client says:
“Things are pretty much the same as last year. Same job, same house, kids are a year older but nothing major. Is there anything we need to do?”
Practice Objectives
- 1Confirm their coverage is still appropriate
- 2Update any contact or beneficiary information
- 3Discuss anything coming up (kids graduating, retirement)
- 4Remind them of your value and availability
- 5Ask for referrals since they're happy
The Disengaged Client
A client who seems annoyed by the review
Setup
You're calling for an annual review but the client seems bothered by the call. They're giving short answers.
Client says:
“*Sounds distracted* Annual review? Look, I'm pretty busy. Everything's fine with the policy, right? I'm still paying the premiums. Is there a problem?”
Practice Objectives
- 1Respect their time without abandoning the call
- 2Quickly confirm nothing needs attention
- 3Offer to do the review at a better time
- 4Ask if there's a reason for their disengagement
- 5Leave the door open for future contact
Review Turns to Referral
A happy client during annual review
Setup
The annual review is going well. The client mentions several friends going through similar life stages.
Client says:
“You know, it's funny—a few of my coworkers just had babies too. We joke about being in the "new parent club." I bet most of them don't have life insurance either.”
Practice Objectives
- 1Recognize the referral opportunity
- 2Ask specifically about these coworkers
- 3Offer to be a resource for them
- 4Get names or offer to have client introduce you
- 5Thank them for thinking of you
During an annual review, a client says everything is the same. You should: