How to Know if a Deal is a Go (or a No) – Tips for Insurance Intermediaries

[This article was generated by ChatGPT and has been edited by the Surer team for clarity, readability and context.]

As an insurance intermediary, your role often feels like that of a detective – piecing together clues to figure out if a deal can close or if it’s time to move on.

It’s not always straightforward, but knowing when to persist and when to pivot is a skill worth mastering.

Let’s dive into the art of deal validation and what to do when the answer is clear.

The Red Flags and Green Lights of Deal Closing

First things first: you need to identify whether a prospect is genuinely interested or just window shopping.

According to a 2023 survey by LIMRA, 65% of potential clients drop off during the initial stages due to unclear needs or lack of urgency. Here’s how to read the signs:

1. Green Light: Clear Intentions
   A prospect who knows what they want and can articulate their needs is a great sign. If they’re asking detailed questions about coverage, premiums, and terms, you’re on the right track.
2. Red Flag: Vague Responses
   If you’re hearing a lot of “I’ll think about it” or “Let me get back to you,” it’s worth probing deeper. Sometimes, it’s a genuine need for time; other times, it’s a polite way of saying “no.”
3. Green Light: Decision-Makers in the Room
   When the prospect includes key decision-makers in the discussion, it’s a strong indicator they’re serious.
4. Red Flag: Ghosting
   If follow-ups are met with radio silence, it might be time to reevaluate your approach or focus your energy elsewhere.

Validating the Deal: The Checklist

To avoid wasting time on dead-end leads, here’s a quick checklist:

• Understand Their Needs: Have you asked the right questions to uncover their pain points and priorities?
• Assess Budget Fit: Do they have the financial capacity to afford the policy you’re proposing?
• Gauge Urgency: Is there a pressing reason they need insurance now, or are they kicking the tires?
• Evaluate Competition: Are they shopping around, and if so, how do you stack up?
• Confirm Decision Authority: Are you speaking with someone who can actually say “yes”?

When the Deal’s a No-Go

Let’s face it: not every deal is meant to be. If it’s clear a prospect isn’t ready to commit, here’s what you can do:

1. Leave the Door Open: Politely let them know you’re available if their needs change. A positive experience now can lead to referrals or future business.
2. Ask for Feedback: Find out why they’re not moving forward. Their insights could help refine your pitch.
3. Don’t Burn Bridges: Even if they say no, maintaining a professional relationship keeps the possibility alive.

When the Deal’s a Go

If everything checks out and the prospect is ready to proceed, it’s time to:

• Clarify Next Steps: Walk them through the process to ensure there are no surprises.
• Reinforce Value: Remind them why your policy is the best choice for their needs.
• Celebrate – But Stay Focused: A closed deal is great, but don’t rest on your laurels. The next opportunity awaits!

Balancing Hope with Pragmatism

Insurance intermediaries often walk the fine line between optimism and realism.

By mastering the art of deal validation, you’ll save time, energy, and perhaps a little sanity. Remember, not every lead will convert, and that’s okay. Focus on building strong relationships and honing your craft, and the deals will follow. As the old saying goes, “you win some, you learn some!”