If you plan to successfully sell auto insurance to parents of teen drivers, you’ll need to adjust your strategy.
It’s a fiercely competitive world out there if you sell auto insurance, but it can undoubtedly get tougher if your target demographic is parents of teen drivers. Because parents only want the best for their kids, they’re likely to check and weigh all of their options first. Expect that they will browse through different carriers and speak to various insurance agents.
To successfully sell auto insurance to these parents, it’s essential to make a good impression. However, you don’t necessarily have to do anything drastic to stand out from the competition. Most insurance agents will try to win clients over with the standard approach of showcasing their product offerings. However, a better approach might be one that exercises empathy, understanding, and sincerity. In short, make it more about your clients and their teenage children rather than simply enumerating what your product can do.
3 Simple yet effective methods to help you sell auto insurance to parents of teen drivers
1. Establish rapport
Knowing that their teen has finally obtained their driver’s license can be a thrilling yet worrying time for many parents. On the one hand, parents are glad to see their teens take a step toward adulthood; on the other hand, they worry about their child’s safety on the road — and for a good reason. According to the Insurance Journal, data from the National Highway Traffic Safety Administration (NHTSA) points out that an “estimated 8,730 people died in car crashes in the first three months of 2021, compared with 7,900 deaths during the same period last year.”
Keep in mind that knowing how to sell auto insurance isn’t just about the sales pitch. Instead, begin your selling process by establishing a good rapport with your prospect. You can do this by empathizing with parents, who are likely nervous about their newly licensed teen driver. Appeal to their natural inclination to keep their teen safe and explain how auto insurance policies can help with this. Have a genuine conversation with them, so you won’t come off as overly salesy.
2. Personality is just as good as price
One factor that may discourage parents from getting auto insurance for their teen is the price. Unfortunately, this is something you can’t change yourself since teens are, according to the Insurance Journal, “nearly four times as likely to crash as drivers 20 years old and older. Teen drivers are also more likely to be involved in a fatal crash than any age group except those 80 and above. That’s because of a unique set of risk factors that includes high rates of speeding, low seat belt use and inexperience.”
While premiums can make many parents think twice about their purchase, having a sincere and reassuring personality can win them over. Anyone who knows how to sell auto insurance will tell you that personality can be more important than price. Consider this: if you were a parent yourself, would you buy auto insurance from someone who doesn’t seem energetic and confident about a policy meant to help your child?
Parents contemplating auto insurance for their teens are likely anxious but willing to take the first step. What will convince them to push through with this huge decision is someone who will reassure them that this policy or coverage is worth the expense. If you show them that you sincerely believe your policy is the best way to help keep their teen safe, many parents won’t hesitate to spend for their peace of mind.
Only after this reassurance will you want to throw in some auto insurance sales closing techniques to drive your point home.
3. Be a good listener
Insurance agents sometimes make the mistake of doing all the talking when meeting with a prospect. This isn’t a way to sell auto insurance effectively to parents since they might feel you aren’t giving them a chance to adequately explain their situation. The thing with parents is that, when it comes to their kids, they tend to talk about them. Instead of dismissing this, use this to your advantage and be a good listener. You’ll be surprised at the information you will get that can help you offer coverage options that will not just perfectly suit their teen driver, but one they will be happy to purchase.
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