Updated: Nov 27, 2018
One of the first things that you need to understand when learning how to sell insurance is the demographics of your market. If you want to master senior market sales you will need to understand what the 26 scenarios are and how they interact with your business and sales process.
To start let's compare selling in the senior market to playing a game of chess. There are some key things things to understand about playing a game of chess. To start there is a board with sixty-four squares that alternate between two colors. If you have ever played checkers, it uses the exact same board. This board is your playing area or demographic for the game. The entire game will take place on this board.
So how does a chess board compare to selling in the senior market? Imagine that same chess board, but instead of having sixty-four squares, there are only twenty-six.
This concept is the foundation of our twenty-six scenario sales training. Why does our game board only have twenty-six squares?
Every day you go to work, the people you meet are going to be in one of five scenarios when it comes to their health insurance. They will be on;
1) original Medicare by itself,
2) original Medicare with a Medicare supplement,
4) group insurance, or
5) Medicare Advantage.
Now that we’ve identified these five starting scenarios as part of our playing area or demographic, we need to identify the next set of scenarios. We know that as you encounter prospects in these five scenarios, they are going to be either healthy (insurable) or unhealthy (uninsurable). So if we have five scenarios regarding the health insurance and the individuals in each of those five scenarios can either be healthy or unhealthy, that gives us a total of ten different scenarios.
However, we all know that everyone’s lifestyle is not the same. In these ten scenarios, we will have people who are low income, people who are middle income, and people who are high income. If we apply the income scenarios, that will give us a total of thirty different scenarios.
However, we do have one small problem. We know there really isn’t a scenario in which an individual who is on Medicaid has a high or middle income. That doesn’t typically exist. So when we subtract those scenarios out of the equation, it really brings us to a total of twenty-six different sales scenarios. Those 26 scenarios are what you as an agent run into every single day. This becomes your market demographic.