Life-insurance adviser Phillip Snyder says weak follow-up can leave buyers unsure of their policies. LIMRA research says 40% of policyholders rarely or never hear from insurers after purchase. Snyder said high upfront commissions contribute to short-term selling.
Snyder said advisers should explain a policy’s purpose, how it works and its options before purchase, then review ownership, beneficiaries and assets as clients’ circumstances change.
He said his firm still serves some clients decades after a policy purchase, including people who no longer generate revenue for the practice.
