Saving a LTCI sale

Q. Selling long-term care insurance (LTCI) means handling many types of objections. Can you help me?

A. Unfortunately, getting objections can be part of any sales process, including the LTCI sales process.

Kathy Camara, an agent support specialist at ACSIA and former producer, has developed several effective ways to respond.

Here is a list of common objections and Camara's suggestions for overcoming the objections.

1. "My spouse is the sick one, not me."

This is what doctors call "the sick killing the well."

That's when a healthy spouse takes care of the other spouse.

It's hard being a caregiver, and usually that role falls to the women.

Once Camara called a couple to set an appointment. The husband would not qualify for coverage for three months because of health and the adjustment period.

Camara told them she would call them back then.

When she did, the wife had suffered a massive stroke and could not get any coverage.

The lesson: You never know when something can happen health-wise.

Write the healthy spouse now.

Yes, a healthy spouse with an ailing spouse might pay a higher premium, but the healthy spouse should sign up for coverage now, because we never know about our health.

2. "My financial plannner advised me against buying LTCI coverage."

When a client's financial planner advises her that she doesn't need a policy, Camara tells her to have the planner put that in writing. That way, the planner puts his assets at risk along with the client's. He will not do it.

3. "My children can help me out with cash."

The only thing worse than dying is outliving your resources or calling on your children for help.

Kids always think their parents are going to be fine because that's the way it has always been.

4. "My children said they will take care of me."

Ask them who is going to move in with whom.

Being a caregiver requires special skills and training to help with bathing, dressing and personal hygiene.

Even if your children hire professionals to help, they will be involved, because they will be overseeing the care.

5. "I doubt I can qualify."

Camara recommends using the takeaway approach of "you won't know if you qualify until we apply."

Many of her clients who do that are approved. Once they are approved and they know they are protected, they feel like a burden has been lifted from their shoulders.

6. "What if I don't need it?"

If the prospects are not sure if they will ever need long-term care, Camara asks them whether they have homeowner's insurance, flood insurance or windstorm damage insurance.

She says she doesn't know anybody who buys LTCI who says, "I can't wait to use my policy."

7. "Aren't you being a little pushy?"

Camara says that she doesn't intend to be aggressive, but that it's her responsibility to help people be protected for something that could catastrophically destroy their family.

It can be a tragedy when a family must start coming up with the money to pay for LTC services. For example, what is the family going to sell first?

Would selling that asset, such as a rental property, create a taxable event?

Long-term care benefits are tax free. Consumers who have LTCI are using pennies to take care of dollars.

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