Insurance in older days was only a cost. There were no other options except for pure term insurance policies where premiums were paid on a regular basis but money would come only in case of a contingency such as accident or death or damage. In today’s competitive and creative world insurance could either be a cost or an investment. Insurance companies have come up with various options wherein there are just pure term insurance plans that are only a cost and there are also insurance investment plan, which also indicate investment.
An Insurance Prospecting Letter is a tool in the hands of the market players in the insurance sector to bring about awareness of the existence of the players and products. How an insurance product is presented to the customer decides what the customer will buy. This is so only because there are so many players in the market offering a plethora of products that a customer tends to get confused if s/he is not advised about its pros and cons.
DOS AND DONTS OF INSURANCE PROSPECTING LETTER
- An Insurance Prospecting Letter should be written as soon as a product is launched in the market
- It should give all details even the minute ones about the product
- The letter should not only give the pros of the product. Even the cons should be shared.
- The information in the letter should be as transparent as possible.
- An ideal Insurance Prospecting Letter is the one that also talks about the products of its competitors and presents its own products in the light of the other ones available in the market
- The letter should however not de-mean the qualities of the products of the other players
- An Insurance Prospecting Letter should always begin with bringing about an awareness amongst its readers about the importance of insurance
- If a company is dealing with insurance products from different sectors, such as life and health then the initial introduction in the letter could be of the entire product range but the crux of the letter should be only of one kind of product
- A letter addressed to specific individuals gives a personal touch to the beginning of a relationship
- If there are any special schemes going on when the letter is sent, it should be communicated to the reader
- The tax benefits that the insurance policy is covered under should also be highlighted in the letter
- The letter should always be on the company letterhead
- It should have the name, telephone number and email address of at least one person in the company who the prospect can contact if necessary
- The letter should always be left open-ended so that there is a probability of bagging an order
- There is no scope for a grammatically incorrect letter
- Even punctuation errors are not acceptable
SAMPLE INSURANCE PROSPECTING LETTER
________________ (Name and address of reader)
Subject: Introduction of new life insurance policy
Dear Ms/Mr _____________
We are a leading insurance company and have been in the market for _______ years. In our endeavor to keep our customers satisfied we have been bringing new products with attractive options for you time and again.
We understand the value of life and are aware that so do you. It is imperative that each one of us is adequately insured so that the future offamilies is secure even when a life is not there to support.
We have on _________ (date) launched a new life insurance policy called ___________ (name of the policy). The advantages of this policy as against the other existing policies in the market are given below for your ready reference:
|OUR PRODUCT||COMPETITOR’S PRODUCT|
Please feel free to contact Ms/Mr ___________ at _____________ (phone number) for any clarifications or queries. You may also write to __________ (email address) and we assure you of a prompt response to any query.
We look forward to a long business relationship with you.
(Name of signing authority)