Visualize Value: Ways to simplify Annuities for Advisors And Clients

Visualize Value Article Image
Why is it still difficult to understand the benefits of annuities? Annuities are valuable investments for a well-rounded portfolio. I know that. You know that. But do consumers? Annuities have continued to gain credibility, especially in recent years. But, Kiplinger says most consumers (56%) are still either neutral or uncertain about annuities. It can be an uphill battle to help clients clearly see the value of annuities for themselves given the complexity of the product.

Mind the gap

Quotes are not thorough enough to allow clients to gauge an annuity’s true value. Illustrations, on the other hand, are quite thorough—sometimes to a fault. They are often complex. With sophisticated calculations involved, they can be hard to understand for the average annuity purchaser. There is a gap between quotes and illustrations. And it’s time we stopped asking clients to make the leap themselves. Today’s consumers expect to quickly understand what they are buying. Why? They get modern sales experiences in other parts of their lives where product value is easy to digest and compare. It’s no wonder annuities are a tough sell. How we present the product value is not easy to understand or compare, sometimes leaving clients feeling lost and frustrated. There is room to offer a better sales experience. One that meets client expectations and has easy-to-understand product comparisons—an experience that bridges the gap between quoting and illustration.

Modern sales with visualizations

What if there was a way to turn a complex illustration into a dynamic graph? A graph that is interactive and easy to understand. This tool does exist, and it’s called visualizations. Today’s top sales platforms offer a visualizations tool as part of the sales workflow. It allows advisors to quickly analyze premiums, cash surrender value and account value. Visualizations let advisors compare multiple scenarios simultaneously, speeding up the decision process. This allows advisors to quickly—and precisely—match clients with the products they need. The advisor presents the best options and the client understands the differences among them. Clients are more informed and empowered with visualizations. They can easily evaluate and compare annuities, which puts them in the driver’s seat. Clients get to play an active role in choosing their product which allows them to feel satisfied with the decision afterward.

Sales process of the future

Visualizations offer a much-needed middle ground between quoting and illustration. They accelerate the time to that aha! moment. Clients can finally understand what they are looking at. They no longer feel lost in the sales process. And most importantly, with the help of their advisors, the client truly knows why they are buying that annuity and the benefits they will get from the product.  
Article by Kevin Pohmer, Chief Product Officer, Hexure This article was first published in Aspire Magazine.

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