Why Selling Life Insurance Is Better Than MLM Or Network Marketing
People tend to buy what they want and what they need. But nobody wants to buy life insurance, they buy it because it is necessary. MLM typically sells the newest, latest, and greatest idea, object, or concept. People will buy it in the hope that they can use the product as a visual aid for others to make a similar purchase.
One big difference from life insurance is that you can’t really buy it, you can only apply to find out later if it has been approved. People are more likely to fill out an application for life insurance to see if they qualify in the hope of receiving their protection. On the other hand, with MLM it is about buying the dream. But the dream is never real. In other words, no matter the product or service in MLM, it is never a necessity. MLM does not include anything you must have. It’s about the thrill of wanting more. MLM selling has more to do with the imaginary hype than the reality of the experience.
We know that we all die
In this world we all die. The only way out of here is to die. Reality says that when we die, someone will stay to mourn our death. The reality also says that we must be buried and that entails an expense. Failure to prepare for the inevitable can create difficulties for our family members, thereby interrupting the period of grief. Not applying for a life insurance policy is like not worrying about your family and the burdens that may arise without you.
MLM doesn’t have that kind of power. Mobile phones, lotions, potions and pills, legal services, water filters, makeup, to name a few, are sold as MLM products. Admittedly, if your car breaks down in the middle of the night, having a cell phone would be a great idea. Being told by a judge not to go back to court without an attorney makes having a legal plan essential. However, when the need is over, will we continue to keep the product? With life insurance, the need is only covered once. The plan is designed to protect us on a daily basis because no one can predict when their own death would occur.
The unexpected happens unexpectedly
Death is always unexpected. At the time of writing this article, a week ago I saw on the news how a teenager makes the winning basket in a high school basketball game and then falls dead minutes later. How sad, at a time when he, his family and friends should have been celebrating, they all became mourners without suspecting anything. Believe it or not, life insurance is not sold for that reason.
Life insurance is sold for what it is not for what it is. In the main story that precedes this paragraph, what do you think is most important to the family? After the death of their son, I don’t think the parents thought “wow”, I’m glad I got that life insurance policy. To be honest, I bet they never thought about insurance. One thing life insurance does is take the worry out of unexpected situations. Peace of mind is when you have what you need when you need it. Life insurance can pay for a house so that after the death of the breadwinner, a family can keep their house. Life insurance can meet a need that MLM cannot.
Life insurance should not be an MLM product
But what happens when a company tries to merge life insurance as an MLM product? The need disappears. The public perception of an MLM is that you buy the product to keep up with the latest trends. Life insurance is above that modern thinking. It is part of a regulated industry that is highly recommended and respected by all financial authorities. Another difference is that to sell life insurance you must study for a state-sponsored exam and pass it to get licensed. While the test is not difficult, many are intimidated by the idea of taking an exam.
The best part of being in a licensed industry compared to the unlicensed area of MLM players is that those who try to deceive or harm others can be quickly removed and banned. This protects the industry and the individual efforts of those who really like to help people in need.