How to sell life insurance to rich people?

Asked by: Prof. Idella Emard DDS  |  Last update: July 27, 2025
Score: 4.6/5 (60 votes)

You need to conduct a thorough analysis of their financial situation, assets, liabilities, family structure, and future plans, and then design a comprehensive insurance portfolio that covers their needs and wants. You also need to explain how your solutions add value, protect their wealth, and enhance their legacy.

How much can you sell a $100,000 life insurance policy for?

Just like any other insurance policy, a life settlement payout for a $100,000 whole life policy would depend on your age, health condition, and policy premiums. A typical life settlement is worth around 20% of your policy value, but can range from 10-25%.

Can I become a millionaire selling life insurance?

Totally possible. The sky is the limit if you are in any kind of sales job involving high worth clients and financial or real estate products. Good sales people put 10s and 10s of millions of dollars on the books of insurers, banks, etc. They are paid for it.

How to sell insurance to high net worth individuals?

By understanding the unique needs and priorities of HNW people, building trust and credibility, tailoring solutions to individual needs, emphasizing risk management and wealth protection, providing exceptional service and support, and utilizing advanced sales techniques, insurance agents can maximize their success with ...

How billionaires use life insurance?

The richest of the rich can use life insurance to avoid estate and income taxes. Private-placement life insurance is perfectly legal — unless a new bill passes. A financial advisor tells BI how the insurance saves the wealthy tens of millions of dollars.

Patrick Bet-David Gives Great Advice To New Insurance Agents!

25 related questions found

How do the rich avoid taxes with life insurance?

For the wealthy, life insurance is an unsexy yet powerful tactic for avoiding taxes. By putting the policy inside a trust, the death benefit is excluded from estate taxes. The payout goes to the trust, which pays Uncle Sam and protects the remaining assets from lawsuits.

How did the Rockefellers use life insurance?

Trusts as beneficiaries

They also established trusts2, a legal mechanism that outlined how their assets should be managed and distributed. Instead of directly naming their children as beneficiaries of the life insurance policies, they designated trusts as the recipient of the funds.

Can selling life insurance be lucrative?

Is Selling Life Insurance a Good Way to Make Money? You can make a good living selling life insurance, especially if you continue to earn commissions on policies you have already sold. However, it is not an easy career, as it requires constantly working to find leads, build relationships, and make sales.

What is the most lucrative type of insurance to sell?

Life insurance is the most profitable—and the hardest—type of insurance to sell. With the highest premiums and the longest-running contract, it brings in cash over a long period of time. In the first year, agents make the largest annual sum on a policy, bringing in anywhere from 40–120% of the policy premium.

How to sell to high net worth individuals?

10 Strategies for Attracting High-Net-Worth Clients
  1. Develop Specialized Expertise. ...
  2. Invest in Your Marketing Efforts. ...
  3. Clarify Your Messaging. ...
  4. Develop Long-Term Relationships. ...
  5. Make It Easy for High-Net-Worth Clients to Find You. ...
  6. Refine Your Referral Strategy. ...
  7. Streamline Your Business. ...
  8. Provide Multi-Generational Wealth Solutions.

Why is it hard to sell life insurance?

Why Is Life Insurance So Hard To Sell? It's hard to sell because it deals with the topic of death. That's something many people find difficult to consider or discuss. Furthermore, it's hard to keep trying to sell because agents find that they can't make enough money to support themselves.

Can you get rich from life insurance?

Life insurance can do more than protect your loved ones from financial strain when you die. It also can help you build wealth. Thoughtfully purchasing coverage gives you the ability to build wealth during your lifetime. Additionally, it can help your family build generational wealth after you pass away.

How fast can you make money selling life insurance?

Most businesses don't make any profit in their first year of operating. It could take anywhere from 18 to 24 months for your insurance sales to actually provide profit. Don't feel discouraged. Every small business owner has to clear this hurdle.

Can you make a million dollars selling life insurance?

Consider… The top agents and advisors we train and coach earn over a million dollars annually selling life insurance, annuities, investments, and their services. While thousands of agents and advisors who earned $30,000 – $50,000 per year, within a year now earn $100,000 – $200,000!

How much commission do you get for selling life insurance?

Typically, a life insurance agent receives anywhere from 30% to 90% of the amount paid for a policy (also known as the premium) by the client in the first year. In later years, the agent may receive anywhere from 3% to 10% of each year's premium, also known as "renewals" or "trailing commissions."

What is the fastest growing insurance type?

InsurTech firms have been showing significant growth in the areas of auto, home ownership and cyber insurance. Such strong growth will stimulate traditional insurers to either acquire technology capabilities or partner with InsurTech companies.

How many policies does an insurance agent sell per month?

How many policies does an insurance agent sell? According to the financial reports, the Official Number is 2.5 policies per month. However, many people just do it part-time.

How to sell the most life insurance?

8 Effective Ways to Generate Quality Leads and Increase Life Insurance Sales
  1. Identify and Understand Your Target Market. ...
  2. Build Relations Within Your Community. ...
  3. Find Prospects on Social Media. ...
  4. Sign-up on Online Directories and Listing Sites. ...
  5. Leverage Cold Calls and Emails. ...
  6. Start Blogging.

How to get started in selling life insurance?

You'll need to complete your state's pre-licensing education requirements, pass an insurance licensing exam, apply for a license with your state, receive a National Producer Number (NPN), and then either find a job with a life insurance company or start your own.

Can you make money selling life insurance from home?

Yes, you can sell life insurance from home. You'll need a state license to sell life insurance, and you may need a business license from your state or municipality as well.

How do millionaires build wealth using life insurance?

Life insurance can build wealth in many ways, the primary one being the death benefit, which is passed along to your beneficiaries. This wealth transfer strategy is a way to immediately provide a cushion of wealth (depending on the death benefit amount) to surviving family members.

What life insurance do billionaires use?

An Irrevocable Life Insurance Trust (ILIT) is a popular strategy for wealthy individuals seeking to remove life insurance proceeds from their taxable estate. When the policy is owned by the ILIT, the death benefit is not included in the individual's estate for tax purposes, which can help reduce estate taxes.

What is the waterfall wealth method?

The Waterfall Concept involves the tax-deferred accumulation of wealth inside a tax-exempt permanent insurance policy, followed by a rollover of the policy to a child or grandchild. The provisions in subsection 148(8) of the Income Tax Act (ITA) govern the rollover.