Most companies have a business continuity plan and take out insurance to help protect their assets from fire, theft and so on. However, they can often overlook the need to protect their most valuable assets – their people.
Business protection can help to protect your client’s business should a director, partner, member or key employee suffer a critical illness or die.
There are three main types of business protection:
You probably already have clients with business protection needs. Perhaps you’ve advised a company director on their mortgage or a business person on their critical illness cover.
To start identifying potential leads in your database, look out for:
Your sales consultant can help you segment your client bank and identify clients who would benefit from business protection. If you don’t have a sales consultant, contact us on 0345 6094 500 and we’ll help you.
Once you’ve identified potential leads among your clients, it’s important to consider other people in their businesses who would also benefit from business protection. For example, if a client is interested in ownership protection for their business, this is also a good opportunity to provide the same protection for any other directors – widening your client bank.
And a new business protection client could later benefit from your advice in their personal lives too.
New business protection cases can also come from referrals from other professionals, such as solicitors, accountants and even general insurance brokers.
Solicitors are involved in business succession. So they could introduce you to their clients when they draw up shareholder agreements and partnership agreements to make sure these are properly funded.
Accountants see their clients more regularly than solicitors and they’ll be aware of the gross profits and fixed costs of a client’s business. They can refer them to you to discuss the risks associated with losing key people.
These professionals have a duty of care to their clients – so they should welcome your advice and expertise. If their clients are happy that everything has been done to protect their business, this will reflect well on them too.
Social media can be a useful tool to generate new leads. For example, you could use LinkedIn to search for professional job titles such as ‘accountant’ or ‘solicitor’ in your local area.
You can use our Marketing Studio to create personalised sales aids that can help your clients understand the importance of business protection.
And our approach letters can help you start the protection conversation.
Business protection can be a great way to create more revenue for your business, as these plans tend to have larger case sizes. In 2019, our average annual premium for a personal menu plan was £385, while the average for a business menu plan was £1,305. There are also more opportunities for repeat custom with business protection.