200,000 in residual income selling dental insurance

Mel Schlesinger
(336) 777-3938
Creating an Immediate Cash Flow

But Mel,
There’s No
Money in
Dental

 There are 3 Types of Income
 Lump-Sum: This is the income generated from life
insurance. You get a great first year commission but
very little in renewal income.
 Renewable: This is group health insurance. Each and
every year you have to work as hard to keep to the
business as you did to get it. You must re-shop the
medical and occasionally move the business and re-
enroll. That is work.
 Residual: Sell it once and get paid for years with little
or no work. This is a function of plan design.

 Work with a carrier that offers both group and
individual dental
 For the group market find a plan with a unique design
 The unique design allows you to sell the value of the
plan. Plus it makes it difficult for an employer to shop.
 Choose a rate stable plan design to avoid having to
shop each year.

 Voluntary Life
 Cancer
 Critical Illness
 Short Term Disability Income
 Accident
Having these other products allows for cross-selling
opportunities and increased per-enrollment revenue

 Prospect for dental insurance explicitly
 Do not try to be all things to all people
 Do not get distracted by quoting on the medical.
 You can go after the medical next year
 Medical is a low probability sale. Dental is high
probability
 Call on every one – small groups, large groups, self-
employed

There Are Only Three Possible Outcomes For Every
Call
Call Back
Interest in
Dental
Not
Interested in
Dental

 Fact Find – Do they currently offer:
 Group Medical – If so what % of employee premium
does the employer pay?
 Do they offer any voluntary benefits
 Do you currently offer any voluntary benefits such as cancer
of accident insurance?
 Do they currently offer any ancillary benefits such as
disability income, Group Term or VGL
 Is the employer interested in paying for all or part of the
dental premium?

 Identify the employer’s budget. Do not
settle for “I will pay 50% of the employee
rate - get a specific dollar amount.
 Ask: So if I found a plan that was (2X)
you would be willing to pay $X for each
employee?
 Ask: “Can you share with me the reason
for your willingness to pay $X? What are
you trying to accomplish?
 Whatever the reason ask: “Which do you
think would better help you achieve your
goal: a limited plan that paid 100% for
cleanings and exams only but that you
paid 100% for or a more robust plan that
you only paid 50% towards?
 Would you be open to that idea if I can
find it for you and then allow employees
to buy-up to a more robust plan if they
want it?

•Instead of partial employer contribution use 100%
employer paid minimal plan design
•100% for 2 cleanings 2 times per year with $25 annual
deductible
•100% for x-ray annually
•Sample Duluth GA rate – $10.25 per employee per month
•Voluntary Robust Plan Buy-Up - $22.42

 If the employer currently offers voluntary
benefits:
 You had mentioned that you currently offer some
voluntary benefits. I have been very successful with
other clients in providing comparable benefits at
significantly lower premiums. If I can help your
employees get equal or better benefits at a lower
premium would you have a problem with my replacing
the current plans?

 If the employer does not currently offer any
voluntary benefits:
 While I am enrolling your employees in the dental and
vision benefits I would also like to make a voluntary
term life insurance benefit available. If the employees
want to pay for the additional term life would you have
any problem?

 Voluntary Dental / Vision – 12 enrollees
 $54 Monthly Commission
 Cancer, Accident Replacement: $4000 in Annual
Premium
 $184 in Monthly Commission @ 55% first year
commission
Total Monthly Income: $238
Total Annual Income: $2856

YesNo
Would you be interested in ……….

 Mr. Employer, because of the recent recession many
employees have gone years without any pay raise while
also having more of the cost of the medical insurance
shifted to them. With that in mind many employers
are looking at these voluntary benefits in the same way
that they look at their medical and dental benefits.
That is to say that they want to insure that their
employees are getting the best benefits at the lowest
possible cost.

 I have been very successful in providing benefits that
are equal to and sometimes even better than the
competition at significantly lower premiums. Would
you be open to meeting with me to see if I can help
increase employee’s take-home pay by saving them
money on these voluntary benefits?

 Average Per Enrollee Commission: $4 monthly
 10 Enrollees Per Week $40 monthly
 48 Weeks per Year 1 $1920 Monthly
 Residual Income Year 5 $9600 / $115,200 year
This is a combination of Group and Individual Sales
$115,200 in annual residual income and that assumes no other products
were ever sold!
Sell 5 vision plans per week and add an additional $360 in monthly
income year 1. By year 5 that equals and additional $1800 monthly /
$21.600 annually
TOTAL YEAR 5+ INCOME = $136,800 TOTAL YEAR 6 INCOME = $164,160

Mel Schlesinger
(336) 525-6357
www.thedentalinsuranceagent.com
For Information on
Trailblazer Dental
Give Me a Call

200,000 in residual income selling dental insurance

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