1. Agent training only. Not for sales use.
Wealth Maximization
Agency Owners Meeting
October 2013
Agent training only. Not for sales use. 1

2. What you will learn How much business you are losing
How much business you are conserving
Additional Sales Opportunity
What to do about it

3. Agent training only. Not for sales use.
Lost Business
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4. Big Picture -- Lost vs. Conserved Business
In the third quarter of 2013, Liberty National:
Column 1: Lapsed $9.4 million in bonus-eligible business
Column 2: Conserved $233,884
Column 3: We’re conserving 2.5% of our Lapse
$36.3 million projected in lost business annually

5. Agent training only. Not for sales use.
Conserved Business
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6. Total Conserved Business (Column 2)
Column 4: Reinstatement Bonus AP
+ Column 5: Standard Reinstatement AP
+ Column 6: PD to BD Conserved AP
= Total Conserved Business

7. Reinstatement Bonus (Column 4)
Company pays bonus to agents create income and additional activity which aids agent retention.
Company pays to help Agency Owners build wealth through renewals.
Liberty 33 reinstated policies per month. AIL averages 298.
32 Agencies have not submitted a bonus-paying reinstatement.
Kathy Blanco has reinstated twice as much AP as any other Agency Owner.

8. Standard Reinstatements (Column 5)
AP Reinstated that didn’t pay a reinstatement bonus.

9. Conserved PD to BD AP (Column 6)
Moving Payroll Deduction customers to bank draft

10. Sherri Young, Enterprise, AL
Almost three times more Payroll AP conserved to Bank Draft than next Agency
216 cases in Agency
90% of new sales are individual

11. Projected Lost AO Annual Renewals
Column 1: Lapsed Business
- Column 2: Conserved Business
= AP Renewal Opportunity
7.3% Agency Owner Renewal Rate
65% 13-month Persistency
What would that do for your long-term wealth building year after year after year after year after year after year after year after year after year after year after year?

12. Additional Sales Opportunity
Agent training only. Not for sales use. 12

13. Q3 Premium Paying Policies Lapsed (8)
What would the perfect lead look like?
Knows Liberty National
Has need for insurance
Can qualify for insurance
Can afford it
With no downside

14. Potential AP from New Sales (Column 9)
Set appointments on 25% of lapses
Present to 50% of appointments
Close 33% of presentations at $500 AP
What would that additional AP do for your passion number?

15. AO Income Potential from New Sales (10)
Agency Owners make approximately 25% on every dollar
What would that boost do for your immediate income?

16. AO Income Potential off Referrals (12)
Column 11: Each presentation generated 5 referrals
Same metrics:
Set appointments on 25% of referrals
Present to 50% of appointments
Close 33% of presentations at $500 AP
What would that do for the Agent Activity in your Agency?
Activity = Growth = Supervising Agents = Agency Directors = Training = Activity …

17. Total Opportunity (Column 13)
Add the Green Columns…
Column 7: Additional Renewals
+ Column 10: Income from New Sales
+ Column 12: Income from Referrals
Total Income Potential from Lapse
How would that additional income impact the growth of your organization?
Pay for Quality Manager
Pay for Recruiters
Better Facilities

18. Agent training only. Not for sales use.
What to do about it
Agent training only. Not for sales use. 18

19. Never Let It Lapse What’s your Culture of Quality?
Agents call late customers from Premium Notice Combined Billing report to start every call session
No call session? Have Quality Manager call from SAMs

20. Make Reinstatement Bonus a Big Deal
Promote it: Recognition through Bonus Checks and first year agents earning renewals
Assign it: Who distributes leads and how are they tracked?
Measure it: What do you hold Agency Directors accountable to each month? If an Agent is given 50 leads, what results are they accountable for?

21. Conserve Payroll Deduction Business
Promote it: Recognition at Agency Meeting
Assign it: Who calls these customers and when?
Measure it: What do you hold your quality manager accountable to each month?

22. Make Lapsed Business an Activity Driver
Good things happen when Agents are talking to people
Additional Sales
Additional Referrals
Additional Worksite Cases

23. If it’s important to you, it will be important to
your people
Agent training only. Not for sales use. 23

24. It’s not what you write, it’s what
you keep
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