Our #ChangeTheConversation series has helped insurance agents to be able to stand out as DIFFERENT from all other agents out there.

Let’s throw another example in the mix –

Since everyone views insurance as a commodity, and very price based, why not help your insureds figure out ways to pay off their mortgages faster and thus SAVING THEM tens of thousands of dollars over time. Obviously, this has nothing to do with saving money on their insurance at the present moment, BUT it changes the conversation to help your clients see that you are STILL in their corner when it comes to helping them save money.

I always help agents to see the need to talk to their homeowners insureds about their current mortgage situation. Why?? It gives you so much information to be able to discuss with them down the road. Here’s an example.

So, recently I wrote an article on how to give referrals to loan officers without spending a dime and it had to do with the subject of speaking with your insureds regarding PMI (Private Mortgage Insurance). You can check out that article HERE – BUT… that starts the conversation, right?! NOW… check this out –

What if you were to start speaking with them about what their purchase price was (you can find this on Zillow), what the home is now valued at (you can find this on Zillow), what date they bought it on (you can find this on Zillow), and how you’ve been doing some research for them. Do you think that’s going to make yourself stand out a bit?? What?! You were doing research for me, and you’re not trying to sell me something?! #CustomerForLife, am I right?!

But I digress… Ok, Dave Ramsey has a great mortgage payoff calculator on his website HERE – So, think about this – What if you were to start having a conversation with your clients to help them to give thought to how to pay off their mortgage sooner rather than later? The info you’d be finding out from them (current income, savings, etc.) is AMAZING, and can lead to so many financial services conversations, BUT remember, you’re not selling anything on this particular call. Go through that calculator with them to show a few examples.

For example, let’s say that they bought their home 5 years ago for $250,000 and they bought it with a 5% interest rate. This makes their monthly mortgage payment $1,461.48. They’ve been paying for 5 years (1/6 of the total loan), but the weird thing is that their balance is still $221,450. Why? Because so much of each payment is their interest charges.

Think about this – With the above equation, over a 30 year mortgage, they will have not spent $250,000. They will have spent $438,441.08!

BUT… what if we were to test something here? What if from today onward, they paid just 1 payment more on a quarterly basis? This would SAVE THEM $50,979.31 and have them paying off their mortgage 7 years and 2 months sooner. Had they started doing that from the beginning of the mortgage, they’d actually pay off their mortgage 11 years faster! Pretty cool, eh??

This doesn’t even include you talking with them about refinancing with one of your loan officer referral partners to get a lower interest rate (hint hint).