Pros and Cons of Dual Licensing: Toronto Managing General Agent Weighs In

As an insurance advisor, you have to be on your toes to remain competitive. Where to work and who to work with is probably the most important as this will often dictate your own level of success.

The financial industry is tightly woven and mortgage agents and brokers, insurance advisors, financial professionals, realtors and other financial professionals often travel in the same circles, enjoying the same clients. For example, someone who is purchasing a home will need a realtor, a mortgage agent, and insurance advisor and even a financial planner to make their financial dreams a reality.

This leads many professionals to pursue dual licensing in order to retain a bigger piece of the “market” pie. It can be difficult to decide if dual licensing is right for you, so we’ve decided to weigh in and give you some of the pros and cons to dual licensing from the perspective of a managing general agent.

Dual licensing, or having both an insurance license and another license, gives you an opportunity to sell more products and increase your customer retention because your clients will come to rely on you for more.  Here are some examples: a mortgage agent can also be a realtor, an insurance advisor can also be a mortgage broker, a mutual fund advisor can also be an insurance advisor, etc…

Arguably the biggest pro that comes with dual licensing is your versatility. When is it ever a bad thing to be able to offer your clients a plethora of products to suit both their insurance and investing needs? In order for your own portfolio to grow, you want to be able to offer clients the most services and products. At the same time, if a client comes to you with a question, it is always better to be able to answer it yourself rather than having to turn to someone else and wait for the answer. Dual licensing offers this stability, since your training and experience will allow you to serve clients with a much larger suite of services coupled with the ability to explain all of these services and their benefits.

All of this being said, a common ‘con’ is the fact that some claim that the somewhat tenuous regulatory system for dual licensed advisors fails to protect clients. When there are too many things going on at once it becomes difficult to keep track and be on top of your game. Some feel that you can’t be all things to all people. In order to take advantage of dual licensing while at the same time soothing your clients’ concerns, consider working with a managing general agent that is committed to monitoring and regulating dual licensees. This also works to ease your mind because not only are your clients protected, but so are you. So, if you are a mortgage broker for example (as a core business), a good managing general agent will keep you up to date and in the loop with respect to professional development and this includes ensuring that you are aware of the most cutting edge insurance products and changes with respect to regulations.

Dual licensing is not for everyone, but if you are seriously thinking about it and would like more information, please contact Independent Financial Concepts Group by calling 416-849-1653 or visit www.joinifcg.com.

How to Use Social Media Effectively: Everything an Advisor Needs to Know

Social media is an essential tool in the insurance industry, and as a result your managing general agency should use it to its full potential. If they are not, chances are there are others out there that are. But just taking advantage of it and using it effectively are two different things – so we’ve compiled a list of tips to help ensure that you are getting the most from this cost-saving, client engaging, mass marketing resource.

Firstly, if your MGA isn’t on social media, they are missing a huge market to establish recognition of the brand which impacts your online credibility as you are trying to land new business under that brand. If the company you work with can’t be found online, and we don’t just mean your company website, your credibility can take a nosedive. Clients now rely heavily on social media when making purchasing decisions and the influence of those in their social networks.  In our social world, clients like to search on platforms such as Facebook and Twitter to see what others are saying – so you have to make sure that they can find you there.

But just having a presence doesn’t cut it anymore, and in order to be effective there are a number of tasks that need to be accomplished. Your MGA should be releasing unique and relevant content on a regular basis, to a number of different sites.

Having a well-rounded presence on major sites like Facebook, Twitter, LinkedIn, Google+, Pinterest, etc. is very important. Most people prefer a particular site or two, so if your MGA has not cast a wide net, recognition of the brand will be diminished.

LinkedIn is an important social media resource that insurance advisors should take advantage of. This professional platform allows you to connect with professionals in related industries which can result in a gold mine of referral business. LinkedIn is also fantastic for establishing your own credibility. Properly linking your page to your corporate brand, pursuing recommendations and skills endorsements can not only ensure that prospects can find you LinkedIn but can also validate your professional credibility.

Also, your MGA’s conduct on social media and your personal conduct when using social media is very important. Remember that both you and your MGA should ensure that your conduct is professional and non-combative. It is always to consider that posting is similar to standing on the street and shouting out the information. Think before you post. Is what you are posting something that you would verbalize if you were face to face with someone? If your MGA is posting polarizing opinion pieces on social media this could not only be damaging to you but also damaging to the brand you are representing.

Internally, social media is also a great tool. The independence garnered by working with an MGA can come with pitfalls if your MGA doesn’t manage them correctly, but by giving you access to different company social media platforms you can keep up to date on current events within the company and direct clients to pertinent articles. This keeps the level of engagement up even when you are not in the office.

The power of social media can no longer be ignored, and to avoid it can mean dangerous consequences. Make sure that, as an advisor, you are taking advantage of all that it has to offer and using it effectively.

To find out more about how to use social media effectively in the insurance industry, please contact Independent Financial Concepts Group by calling 416-849-1653 or visit www.joinifcg.com.

High Yield Bond Investment Returns Against The Risk

Over the last few years there has been an increase in the number of people who are nervous about taking a financial risk with any form of investment. However, with the economy stabilizing, many Canadians have once again begun thinking about investing. Segregated funds, offered specifically by insurance advisors, have become an attractive option for many who have a low appetite for risk. But what if you are looking for a bit more return? A high yield bond offers many attractive benefits with a higher end yield. Whether you are looking to generate income for retirement or just want to invest with less risk than equity investments, a high yield bond is a great option.

What is a high yield bond? Like all other bonds, high yield bonds are debt securities issued by different organizations in order to raise funds. By purchasing a bond, you are effectively lending your money to that organization in exchange for interest and a guaranteed return of either all or a significant portion of your initial investment.

Demand for these fixed-income investments is steadily increasing, often because of their various benefits. Some of the benefits of a high yield bond include.

-        Higher interest rates - Since high yield bonds are accompanied by a higher level of risk, they pay higher interest rates than investment-grade bonds in order to compensate.

-        Win-win scenario - When the company that you invested in makes gains, bond prices increase, thereby increasingly the value of your investment.

-         Measure of stability - The income component of the return of a high yield bond is larger, meaning that your risk is lessened.

Still, the risk is there, and if you are still a bit hesitant a high yield bond segregated fund might be something to consider. A high yield bond segregated fund, which holds bonds issued by several companies, allows you to invest without putting all of your eggs into one basket. At the same time the benefits remain, as does the return.

What if you want to invest but are unsure as to how to go about doing it? High yield bonds can be tough for the average investor to navigate, especially if you have no previous experience. That is why it helps to have someone in your corner that can both talk you through your investment options as well as manage them. An experienced insurance advisor can offer you the advice you need and assistance you want to get your portfolio started.

For more information about investing in high yield bonds, please contact Independent Financial Concepts Group by calling 416-849-1653 or visit www.wecoveryou.ca.

 

Why Your MGA Insurance Brokerage will determine the “Size” and “Type” of Clients You Will Be Able to Land and Service!

Different insurance advisors have different career aspirations in terms of the types of insurance products they want to offer and the types of clients that they want to have. 

Business owners and affluent clientele offer an incredible opportunity to insurance advisors. These clients are educated about insurance, more apt to expand their portfolios or purchase bigger ticket policies, and more likely to be interested in a diverse range of products. Most also see insurance as more than something that helps us when we die, instead looking at it as something that is a great financial tool while we are alive. 

While many life insurance advisors want to break into this market, it can be intimidating and hard to know where to start. Yes, those insurance advisors who have this clientele in their existing network have an advantage, but that’s not to say that you can’t crack this nut with the right resources.

Working with an MGA insurance brokerage that caters to this clientele will make a huge difference when it comes to breaking into this market. Here are some of the things that clients in this market will be looking for in you:

Does the MGA insurance brokerage that you work for offer a wide range of products that can be leveraged as investment vehicles? This will be important because those who have high incomes and assets will want to explore products that offer tax incentives.

Is the MGA insurance brokerage that you work for known for working with high income clientele? The brand recognition of your MGA insurance brokerage is hugely important for those advisors who want to service a higher income clientele, especially if they don’t have their own existing networks. A good example would be the difference between working for Sotheby’s or Re-Max if you were a realtor. People instantly know that Sotheby’s works with high end home owners.

Does the MGA insurance brokerage that you work with provide office and meeting space in locations where higher income clientele live/work, and is the “in-office” décor and experience consistent with one that a higher income client would expect? This is also important because while it would be great if appearances didn’t matter, they do matter!

When you find an MGA insurance broker that caters to the market that you want to work with, the vetting process is not over. It is important to question what other resources that they will make available to you. Will they mentor you? What are their turn around times on both phone calls and applications? Do they offer you the capability to have your own website with their branding? These questions and others are very important.

People identify with themselves and what they know. When an individual looks for an insurance broker, when they arrive on your website or at your office, they will want to feel like they belong. You don’t necessarily have to have contacts in a higher end market to penetrate it. Aligning yourself with a MGA insurance brokerage that is already there will greatly improve your chances of success.

If you are interested in working with one of Ontario’s top MGA insurance brokerages please contact Gary Mandel at Independent Financial Concepts Group at 416-849-1653 or visit www.joinifcg.com.

Insurance Advisors in Ontario Should Expect a Lead Generation System to Help Boost Sales

Whether you work for an MGA or an insurance company it is crucial that you have the tools to be successful. One of the most important things to look for in a good managing general agency is a lead generation system that will get you referrals. 

What is a lead generation system? A lead generation system is a program that will assist you in finding new clients through different means. We all know that, as an insurance broker, it is essential to continually work on growing your client base. A lead generation system is essential in this, and a good managing general agent should provide you with access to a lead generation program that can promise definite results. 

These are all techniques that a good managing general agency should employ in their lead generation arsenal. It is easy to try lead generation on your own – it does not mean though that it will be effective. These methods that have already been developed for you  mean less work for you – all with the same, or better, advantages.

How can an effective lead generation system entice clients and get you the base you need to be successful? By offering the best, most attractive services out there.  For example, offering the same bread and butter services as any other insurance company won’t get you very far with regard to appealing to people and peaking their interest. Instead, offering an exceptional, unique service,

such as a Medical Expense Reimbursement Plan (MERP), will allow you to easily garner the results you need to be successful.

A lead generation system established by an experienced managing general agent should not only provide you with the tools to find and attract clients, but also the training to make it possible for you to take advantage of those different lead generation strategies. Being able to learn from those who have taken advantage of and benefited from these same strategies in the past allows you to learn the best ways to use lead generation to grow your profits.

Working with a managing general agent with a tried and tested lead generation system means that you can take advantage of an established lead generation plan that will help you grow your client base quickly. Rather than sticking with that insurance company that keeps you dependent, switching to an MGA that provides you with the tools necessary to make your career successful gives you what you need to reach your own goals.

For more information about switching to an MGA or to discuss the benefits of an effective lead generation system, please contact Gary Mandel at Independent Financial Concepts Group by calling 416-849-1653 or visit www.joinifcg.com

How Social Media is Changing the Way Insurance Advisors Engage Their Clients

Social Media Marketing has proven to be a game changer across literally every industry. It is unlike any other conventional form of marketing and it can sometimes be hard to put our fingers on how it can be used to attract more business. 

To truly engage in Social Media Marketing you have to set aside any pre-conceived notions that you may apply to conventional marketing because ROI from Social Media Marketing is more than just dollars and cents. 

In the insurance industry there are two primary ways to get business. Let’s discuss how Social Media Marketing would apply to these methods.

The first is through referrals from professional sources and existing clients. Through Social Media you can leverage sites like Facebook and LinkedIn to source, connect and market to referral sources and existing clients. Prospecting on LinkedIn for example takes professional networking to a whole new level. You can find the most professionals faster than ever before through LinkedIn Groups and advanced search.

Once connected, you can establish relationships with prospective clients by inviting them to meet or through messaging them about updates with your programs from time to time. This keeps professional connections and existing contacts connected and engaged. Through posting useful and relevant content you can benefit immensely if an existing client for example decides to share your content. When an individual shares your content, your content is now viewable to that person’s network. This is amazing because by a mutual connection sharing your content they essentially endorse and influence the people they have shared the content with. Studies have showing that 1 out of 3 people are influenced when someone else they know “likes” something that they were considering purchasing.

The second way that insurance advisors get business is through repeat business. Your existing client base is valuable. As life changes, so do your clients’ insurance needs. It is so important to stay fresh and current in the minds of your clients. By connecting to your clients using Social Media you are able to keep them up to date with new products and information. You increase your accessibility to them because now if they need to change their insurance, or require additional insurance or new insurance, you are only a click away.

If you have never engaged in Social Media Marketing, you may be confused about how to get started. The best thing you can do if you don’t have Social Media Marketing experience is get training and get your feet wet by beginning with one presence. For example, LinkedIn is a great way to source referrals so you may first want to focus on establishing your presence on LinkedIn. Facebook is also a great way to stay connected to your existing client base, so you may want to first consider establishing a presence on Facebook by creating an insurance group and inviting your clients to join.

Where training is a concern, this is one area where you should have support from your MGA. Because Social Media Marketing can be self-administered with the right training it is an affordable way that most insurance agents can market themselves. Social Media Marketing training will make you more efficient and productive and your MGA should be committed to your success, and that includes seeing that you understand and have access to the latest and greatest cutting edge marketing mediums.

IFCG is hosting a FREE seminar, “Making Social Media Marketing Translate into ROI,” on October 12^th from 12pm – 2pm. Courtney McElroy, CEO of Marketing Force, will be there to teach you how you can use Social Media to expand your networks and grow your portfolio. This session is open to all advisors no matter which company you work for and is intended to provide you with the basic tools and skill sets that will be needed to self-maintain your own Social Media Marketing campaign. You can register for the free seminar here http://joinifcg.com/seminar-schedule and don’t forget to bring your laptop.

Ontario Insurance Advisors Must Protect Their Client’s Personal Information

With the internet, web-based CRMs and portals an Insurance Advisors private client data can be more at risk than ever before.

The number of threats and pitfalls of operating laptop computers are more severe and more frequent than they once were. Many Insurance Advisors in Ontario are mobile and are using laptops, so it has become increasingly difficult to protect data.

Insurance Advisors are provided with the most sensitive client data that includes but is not limited to medical, personal and financial information. We sometimes hear in the news that technology giants like Sony have had their client data hacked and when we hear these stories we quiver because this could result in identity fraud and a number of other serious outcomes.

In the US the Pentagon Federal Credit Union, a bank used by nearly 1 million U.S. service members, a single hacked laptop led to a much bigger problem. The company found that someone had hacked a laptop on its network and used it to access a company database that contained credit card numbers, addresses, Social Security numbers and other sensitive information.

Protecting client data can be expensive for an Independent Insurance Advisor and so sometimes it is not made a priority when it should be a top priority. This is why it is very important that consumers choose an Insurance Advisor who is part of an MGA (Insurance Brokerage) that takes protecting client data seriously. On the same point a consumer has every right (and should) ask their insurance advisor what their privacy policy is and what measures the organization takes to protect their client’s personal information.

On the flip side, an Insurance Advisor who is changing MGA’s or is entering the business and choosing an MGA, should be concerned with the issue or privacy as it relates to computing. Our brokerage has spared no expense in this regard because the integrity of our client data is so important.

We take great measures to ensure that our client’s data is protected and we also ensure that our agent’s data is protected by providing them with access to the same technology we use as an MGA. This month we will be co-championing a webinar with “NoPanicComputing” in an effort to keep our agents informed of the threats out there and what they can do to prevent their client’s personal information from threat of being hacked.

For more information about how Ontario Insurance Advisors can protect their client’s personal information, contact Gary Mandel at IFCG by calling (416) 849-1653 or by visiting www.ifcg.com OR or to participate in this beneficial Webinar by registering https://www3.gotomeeting.com/register/573635430