NAIFA's Advisor Today January/February 2018 Edition

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The Advisor Today Blog

Available at www.AdvisorToday.com

The Advisor Today Blog brings you the tools, ideas and techniques you need to build a successful practice. Fresh content is posted regularly, and we welcome your feedback and ideas in the comments section. We look forward to hearing from you!

ATAsks!

What is your Number One goal for 2018?

• Work with a Center of Influence.

• Partner with another advisor.

• Do more community-outreach work.

• Revisit current clients.

• Enhance time-management skills. Answer this question at www.AdvisorToday.com.

podcast series

Building a More Successful Practice

Available at www.AdvisorToday.com/podcasts

NAIFA’s Advisor Today

Editor-in-Chief

Ayo Mseka  amseka@naifa.org

703-770-8204

Circulation Manager

Tara Laptew  tlaptew@naifa.org

703-770-8207

NAIFA

Kevin Mayeux, CAE  CEO kmayeux@naifa.org

703-770-8101

Michael Gerber COO & General Counsel mgerber@naifa.org

703-770-8190

Diane Boyle SVP, Government Relations dboyle@naifa.org

703-770-8252

John Boyle

AVP, Professional Development & Education jboyle@naifa.org

703-770-8267

Judi Carsrud AVP, Government Relations

703-770-8155 jcarsrud@naifa.org

Jennifer Cassidy  VP, Finance jcassidy@naifa.org

703-770-8125

Sheila Owens VP, Communications and Marketing sowens@naifa.org

703-770-8112

Diane Powers VP, Professional Development and Education dpowers@naifa.org

703-770-8226

Brian Steiner VP, Business Development & Strategic Partnerships bsteiner@naifa.org

703-770-8220

Gary Sanders Counsel and VP, Government Relations gsanders@naifa.org

703-770-8192

Michele Grassley Clarke VP, Membership and Association Services

NAIFA OFFICERS

President

Keith Gillies, CFP, CLU, ChFC Ameritas kmgillies@aol.com

President-Elect Jill Judd, LUTCF, FSS State Farm Insurance Companies Jill.judd.jy10@statefarm.com

Secretary Cammie Scott, LUTCF, REBC, RHU, CLTC CK Harp & Associates Cammie@ckharp.com

Treasurer Matthew Tassey, CLU, ChFC, LUTCF Burwell & Burwell mtassey@scribnerinsurance.com

Immediate Past President

Paul Dougherty, LUTCF, FSS State Farm Insurance Companies paul@doughertyagency.com

CEO Kevin Mayeux, CAE kmayeux@naifa.org

Trustees

David A. Beaty, CLU, ChFC dave@heartlandfinancial.net

Todd G. Grantham, CFP, CLU, ChFC, MSFS todd.grantham@nm.com

Connie Golleher, CLTC connie@gollehergroup.com

Bryon A. Holz, CLU, ChFC, LUTCF, LACP bryon@bryonholz.com

Lawrence Holzberg, LUTCF Lawrence_holzberg@wagllc.com

Brock T. Jolly, CFP, CLU, ChFC bjolly@financialguide.com

Delvin Joyce, CLU, ChFC delvin.joyce@prudential.com

Thomas O. Michel tmichel@michelfinancial.com

Charles M. Olson, CLU, ChFC Charles@ociservices.com

Ryan Pinney rpinney@pinneyinsurance.com

Greg Toscano, LUTCF gttoscano@yahoo.com

John Wheeler, Jr., CFP, CLU, ChFC, CRPC, LUTCF obfsinc@aol.com

NAIFA SERVICE CORPORATION OFFICERS AND DIRECTORS

President Kevin Mayeux, CAE

Secretary

Keith Gillies, CFP, CLU, ChFC

Treasurer

Matthew Tassey, CLU, ChFC, LUTCF

Directors

Brenda Doty, LUTCF, RHU, CLU, CPC The Doty Group, Inc.

Susan Wier, CFP, ChFC, LUTCF

First American Trust

EDITORIAL ADVISORY COUNCIL

Laurie A. Adams, CFP, CLU, LUTCF Country Insurance & Financial Services

Brian Ashe, CLU

Brian Ashe and Associates, Ltd.

Frank Bearden, Ph.D., CLU, ChFC

Frank C. Bearden, Ph.D., Consulting

Kevin Faherty, LUTCF

Faherty Insurance Services, Inc.

Greg Gagne, ChFC, LUTCF

Affinity Investment Group, LLC

Lisa Horowitz, CLU, ChFC

LifeCycles

Michael Lynch

Metlife

John Marshall Lee, CLU, CFP, RHU

People Insurance & Investments

John Nichols, MSM, CLU

Disability Resource Group Inc.

Ike Trotter, CLU, CASL, ChFC

Ike Trotter Agency, LLC

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Editor: Rick Goldstein

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Publication Director: Mark Ragland

Sales Representative: Amy Gray

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Published January 2018/NAI-S0118/9872

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NAIFA’s Advisor Today (ISSN 1529-823X) is published bi-monthly by the National Association of Insurance and Financial Advisors Service Corporation, 2901 Telestar Court, Falls Church, VA 22042-1205.

Telephone: 703-770-8100. © 2018 National Association of Insurance and Financial Advisors Service Corporation. All rights reserved.

Subscriptions: The annual subscription rate for individual non-NAIFA members is $50; institutions, $60. The international subscription rate for non-NAIFA members is $100 per year.

The Top 10 Goals of Elite Advisors

By Ayo Mseka

As I started putting together this issue of Advisor Today, I came across an article that is in line with what many of you are probably thinking right now—goals and resolutions for 2018. The article was written by author and keynote speaker Duncan MacPherson and highlights the top 10 goals of “elite” advisors, based on what hundreds of financial professionals share with MacPherson and his team each week.

After drilling down on these conversations, MacPherson and his team have identified the following goals as the top 10 goals of top-producing advisors:

1. Right-size their business to restore liberation and order to their lives as they focus on their best clients.

2. Transition to a fee-based model in a professional manner so that clients focus on what they are worth rather than what they cost.

3. Align with another advisor to create scale, efficiency and an environment that is more profitable and fulfilling.

4. Be better prepared for market volatility to ensure they thrive rather than survive in any market condition.

5. Buy a business from a retiring advisor and predictably integrate it into their existing business.

6. Switch to a different firm in which the culture and core philosophy are complementary to theirs.

7. Sell their business for maximum profit.

8. Create organization and structure to unlock efficiency and profitability.

9. Acquire high-level clients by “attracting like a consultant” instead of chasing clients like a salesperson.

10. Develop outstanding branding strategies so that they are perceived and described as professionals with a process.

As you go through this issue of Advisor Today, you will find more goals for success by other high-achieving producers, such as in the feature story on resolutions to keep, and in the “Back Page” article by former NAIFA President Juli McNeely.

When reviewing these resolutions, goals and objectives, pay close attention to the one shared by Greg Gagne, because it states a very compelling truth: “The number one resolution I would suggest is to do it now and take action now. On many occasions, we hang in a “get-ready-to take-action phase, but never move forward with the action itself because we think we are not ready or because of a distraction that we use as an excuse not to go forward. But moving forward is one of the most important aspects of creating success. Whatever you are thinking of working on does not need to be perfect before you implement it. Implement what you are thinking now, and then seek perfection.”

These words of wisdom have helped Gagne keep many of his resolutions over the years and may explain the reasons for his industry success. So, after reading this issue, roll up your sleeves, get cracking on your resolutions, and watch great things happen to you and your practice.

I wish you much success as you carry out your New Year’s resolutions in 2018!

Looking Forward to NAIFA’s Congressional Conference

By Kevin Mayeux, CAE

NAIFA’s annual Congressional Conference is always a special event for those who attend and for our association as a whole. It is our best chance to exert NAIFA’s influence and show members of Congress and our industry partners why NAIFA continues to be the voice of our industry and the leading advocate for advisors and their clients.

This year’s Congressional Conference, May 22-23, is certain to be even more impactful than ever. Our goal is to bring 1,000 advisors to Washington, D.C., to network with their politically savvy peers, benefit from workshops and main stage presentations by NAIFA’s advocacy experts, and meet with representatives, senators and staff from every congressional office. During our day on the Hill, NAIFA members build relationships with their elected officials and provide legislators with real-world examples of how insurance and financial advisors bolster our nation’s economic health and provide crucial products and services to American workers, small businesses and families.

Do not miss out! Registration opens soon; so, keep an eye on your email in-box and our home page at www. NAIFA.org for the official announcement.

NAIFA’s multi-faceted advocacy approach

While the Congressional Conference, the industry’s largest Capitol Hill fly-in, is certainly NAIFA’s most visible advocacy effort, it is not the full extent of our work. I would like to thank all of the NAIFA members who meet with their representatives and senators in their home districts, contribute to IFAPAC, attend fundraisers or town halls, and write, email, or call their legislators to advocate on behalf of their businesses, colleagues and clients. You are a major reason for our success. NAIFA’s professional staff is also constantly working to support our members and industry in Washington. Together, we have an impact that makes those in seats of power take notice, and a survey by professional researchers at the National Journal bears this out.

Tax reform: An advocacy success

Perhaps NAIFA’s influence was never more evident than during the recent federal tax-reform debate. The final law passed by Congress and signed by the president remains controversial in some quarters, but the efforts of NAIFA, our members and our coalition partners minimized the harmful impacts on advisors and clients. Consider what we were able to achieve:

• “Rothification” was not included in the House or Senate bills.

• There are NO changes to how life insurance and annuity products are taxed!

• If you encourage businesses and individuals to save for retirement, the bill does not limit the amount of pre-tax contributions to retirement plans or Individual Retirement Accounts (IRAs).

• If you work with long-term-care clients and prospects, or those with large health expenditures, the bill does not repeal the medical expense deduction and lowers the threshold for two years from 10 percent of AGI to 7.5 percent of AGI.

• If you help employers offering workplace benefits, the bill does not limit the tax treatment of employer-sponsored benefits.

• If you offer other employee benefits, the bill does not change current tax rules for non-qualified deferred compensation or corporate owned life insurance.

• If you offer securities, the bill does not include the first in first out (FIFO rule) provision.

A valuable return on your membership investment

Our advocacy influence and success is a leading benefit of NAIFA membership. It ensures that you and your colleagues thrive in your businesses and are able to continue helping your friends, neighbors and all Americans manage risk, prepare for retirement and meet their financial goals. It also allows you to get involved, connect with your industry, and show your professional dedication to your peers and clients.

More than 1,000 of us will be doing all of that in Washington, D.C., in just a few months at the Congressional Conference. I look forward to seeing you there.

Kevin Mayeux, CAE, is CEO of NAIFA. Contact him at kmayeux@naifa.org

NAIFA government relations

NAIFA at Work for Our Nation’s Veterans

Thanks to NAIFA’s advocacy, the number of states participating in the GI Bill for Veterans’ program has grown exponentially.

By Steve Kline

Many NAIFA state associations asked their state insurance regulators that they would like to become involved in this program to help our veterans.

It is widely known in the industry that NAIFA consistently advocates on behalf of its members and their clients for public policy that promotes financial security. At the same time, the association also supports initiatives that encourage individuals to join our great profession and become financial advisors.

Late last year, NAIFA learned about a U.S. Department of Veterans Affairs (VA) program that reimburses military veterans for the cost of taking various professional licensing exams, including the exam to become a licensed insurance producer.

NAIFA strongly supports this VA program, which could help to incentivize military veterans to consider becoming licensed insurance producers. Former members of the military possess tremendous dedication and work ethic and are the types of individuals the association encourages to join the industry. That’s why NAIFA has actively promoted initiatives to encourage veterans to pursue financial- services careers.

In fact, we are proud and honored to have veterans as part of our membership. Scott Wolf, past president of NAIFA-Minnesota and a United States Air Force veteran, recently explained that the military teaches certain skills—leadership, teamwork, service, and commitment—which transfer to a post-military career as an advisor.

“Building a practice as an advisor requires leadership of self and staff,” Wolf said. “This is critical in planning, goal setting, hiring, as well as in leading your team. No one does this alone. Further, once the service model has been established, the commitment to fulfill the objective and finish what you start is at the core of most military training that I recall.”

Jennifer Long, an Army veteran and a New Jersey based financial advisor, also noted how her military background helped prepare her for a new career. “My military career spanned three decades, holding many positons as I rose through the ranks, retiring at the highest enlisted rank of Sergeant Major. In my final combat deployment, I was assigned as a combat advisor to the French Army to develop the Afghan Police. This was a culmination of skills acquired over my career—many of which carried over to my current financial-advisory practice, such as being goal- and detail-orientated, self-motivated, developing critical thinking and analysis skills, and having high moral and ethical values.”

The GI bill for veterans

Under the GI Bill’s Licensing and Certification benefit, veterans may be eligible for up to $2,000 for the cost of taking an exam to become a licensed or certified professional in various fields, including insurance. However, to be eligible for the VA examination reimbursement, a veteran must live in a state that participates in the VA program, and states must have their licensing examinations approved by a regional VA office.

This led both NAIFA-National and numerous NAIFA state associations to start lobbying state insurance commissioners to urge them to participate in the VA program. NAIFA-National testified before the National Association of Insurance Commissioners and asked state insurance departments to get their examinations approved by the VA.

In addition, many NAIFA state associations approached their respective state insurance regulators to ask that they become involved in this important program to assist our nation’s veterans. Largely thanks to the efforts of NAIFA’s advocacy, the number of states participating in the program has grown from six at the beginning of 2017 to nearly two dozen.

While this is tremendous progress, we hope the remaining states will soon come on board. To find out if your state is participating in the VA program, visit the NAIFA website (http://www.naifa.org/advocacy/state-issuespositions/veteran-reimbursement) where you can view a map of the states where veterans are eligible for this VA benefit.

If your state is not yet participating and your state association wants to encourage your insurance department

to partner with the VA on this issue, please contact the NAIFA-National Government Relations office staff, who can provide your insurance department with the names of individuals at regional VA offices across the nation that you can contact to facilitate state involvement in the VA examination-reimbursement program.

NAIFA would like to thank and express our support for our nation’s veterans. We will continue to promote this VA benefit—it’s the least we can do to show our appreciation for our veterans’ sacrifice and services.

Steve Kline is director, NAIFA’s Government Relations Department. Contact him at skline@naifa.org

Using a Holistic Approach with your Clients

This approach allows you to take an in-depth look at every financial aspect of your client’s life in order to make it better or more efficient.

©ISTOCK.COM/POGONICI

By John Smallwood, CFP

We have to look at the big picture to understand where everything is personally and professionally.

With nearly 30 years of experience in the life insurance industry, one of the most important things I can do for my clients is provide them with a holistic overview of their financial situation. Holistic can mean different things to many people. For me, it is an in-depth look at every financial vehicle or transaction in their lives. Can we reduce taxes? Can we reduce risk? And if they own a business, can we make it more profitable? We look at it differently from the way the client does because he or she has been doing it the same way every day for years. Our goal is to make it more efficient and better.

Our clients often first come to us with a crisis or a problem. These questions lead us into developing a holistic approach. They often aren’t expecting this for their financial strategy, but when our conversation unfolds, it’s what they want.

Our questions are very in-depth—a type of “who, what, why, when, where and how” process. This is usually one of the best conversations the client has had because he or she typically goes somewhere else and gets: “What is it that you want to achieve, and here’s our financial product.” They sell the product to them, and it’s a onemeeting transaction.

Our approach is different. It is to understand where our clients currently are. Let’s review the facts and organize them in a way that makes sense so we can understand how their current plan is working.

Most of the time, people have no idea what their overall financial picture is since they are only focused on one aspect—putting a child through college, retiring, buying a house or solving a business problem. They come to us for one thing, but it is my job to tell them it’s about everything.

It’s a balancing act—acknowledging their crisis, goal or immediate need while also taking a much wider look. We have to look at the big picture to understand where everything is personally and professionally. It’s not just a result of one issue but could be from multiple areas.

Starting the client conversation

I always begin the conversation by asking questions about the family. What’s the makeup of the family? How old are the children and the parents? The dynamics of the family are going to help dictate what’s going on with their total financial picture. Then I review their income stream, followed by their tax stream, savings and debt structure. After that, we discuss how their income minus taxes, savings and the debt structure should equal their lifestyle. With these components, I can begin to understand what’s going on in their financial plan and how much they have accumulated in specific areas.

Then our conversation comes to identifying their goals, which is when you can truly understand the dynamics of a client. It’s a big picture. Most people never know what they’re paying in taxes, how much they are saving or what their debt payments are. In my experience, I have found most people don’t really understand any of these things. When you walk someone through this conversation, you’ll know exactly where the positive and the weak areas are.

We then discuss how life insurance can be the most important part of their financial strategy. Everyone has a timeline for his or her life, and life insurance plays a major role in every part. A client’s life is his or her most important asset—both for themselves and their families. But out of all the assets he or she owns, most people never consider themselves as one. Their cars, houses, valuables, home furnishings, or anything else usually comes to mind but they often don’t realize that their own life is the most important asset they can have.

The protection life insurance offers is critical. The earlier they have coverage, the less expensive and better off it is in the long run. If they are putting all their money in savings and investing and without any protection, they don’t have a good plan. And if all their money is going into protection with no savings, they also don’t have a good plan. They need to have an optimal balance, and a holistic approach helps achieve that.

John Smallwood, CFP, is president of Smallwood Wealth Management in Red Bank, N.J. He has been affiliated with Ohio National Financial Services since December 1996. He can be reached at 732.542.1565 or johnl@smallwoodwealth.com.

Ensuring Success for Your Fixed Annuity Sales in 2018

With 2017 behind you, now is a great time to focus on refreshing your approach to selling fixed annuities. This article shows you how.

WILLIAM POTTER/SHUTTERSTOCK.COM

By Rich Lane

With the DOL Fiduciary definition effective, you may be re-considering how to incorporate fixed annuities into your sales for 2018. Although a fixed annuity is considered a mainstay in the financial-services industry, many clients have low awareness of how it can help them meet their financial goals. Or, they may think there are other and better vehicles to consider for their hard-earned money.

With the sprint to the end of the year behind you, now is a great time to focus on how to refresh your sales approach. Here are a few tried-and-true sales insights and considerations you can use to help meet your clients’ financial objectives in the New Year, regardless of your tenure in the industry.

Insight 1: Sell peace of mind. Many clients have limited awareness of what an annuity is and the safety it can provide in preserving and growing assets. As part of a sale, one of the first things to bring up to a client is that an annuity can offer them lifetime income and provide peace of mind in knowing that the value will never decrease. There are very few financial instruments available today that can lay claim to these benefits and, for many clients, the thought of having a secure, stable income guaranteed for the rest of their lives, is a huge draw.

Insight 2: Draw comparisons to other products. You may typically recommend that clients place a portion of their money in assets geared to ensure protection of principal. As your clients age, they often place a higher portion of their assets into non-stock vehicles that offer increased safety to help ensure they stay on track for a secure retirement. One of those non-stock vehicles often recommended is the bond mutual fund.

An important part of the annuity sale is to make sure the purchase is a good fit for your client.

As a way to help clients weigh their options, consider how you can position a fixed annuity like a bond mutual fund, but without the downside risk. Many will gravitate to the idea that they are transferring that downside risk to an insurance company, rather than taking on that responsibility themselves.

Insight 3: Ditch the bells and whistles. An important part of the annuity sale is to make sure the purchase is a

good fit for your client. This means it’s tailored to his or her financial objectives. While some clients will want an immediate stream of income from their annuity, others may not want to ever withdraw funds.

The key here is to keep it simple and avoid adding any riders to a client’s annuity that provide him or her with access to their money. The more straightforward the sale, the better the fit is for your client. That’s because, depending on a client’s financial objectives, selling an income rider could ultimately drag down his or her overall yield and accumulation potential.

Insight 4: Discuss how all returns are relative. For a fixed deferred annuity, make sure your clients know that returns—especially in the short term—are relative. It’s important not to focus on the return potential compared with the short-term returns of the next hottest security, but to consider the guarantees and downside protection of an annuity in the long run. Even in a prolonged low interest rate environment, many billions of dollars of fixed annuities are purchased by baby boomers seeking safety first with the plan of guaranteed income later.

Insight 5: Embrace change. The last two years have consisted of numerous ups and downs for the industry, with many of your peers ultimately choosing to exit the field. While it may seem counterintuitive, it’s more important than ever to embrace the added scrutiny and compliance paperwork required to serve your clients today, compared to what it was five or 10 years ago.

Your competition may have chosen to leave the industry because of the perceived “hassle” of paperwork or the inability to clearly justify their actions. This provides more opportunity for professionals who are willing to meet their client expectations and who have the communications skills to succeed.

As you consider your sales for 2018, think of how to weave in these concepts to help your clients understand the value that a fixed annuity can provide to them. Not only can it help strengthen your sales, it also can help strengthen your client relationships.

Rich Lane is the second vice president of individual annuity sales and marketing for Standard Insurance Company. He has been in the fixed annuities industry for more than 20 years, with an emphasis on product and distribution development for brokerages , banks and broker/dealers.

product spotlight | employee benefits

Going Beyond the Basics in Employee Benefits

These value-added services reduce financial risk for many employees.

©ISTOCK.COM/LEUNGCHOPAN

By Brenda Mullins

According to the Consumer Financial Protection Bureau, medical debts account for 52 percent of debtcollection actions that appear on consumers’ credit reports.1 With high-deductible insurance plans and rising costs of medical care, employers would be wise to consider new ways of helping employees reduce the financial risks and out-of-pocket costs associated with an unexpected illness or injury.

With products like life, hospital, disability income and critical illness insurance, voluntary insurance is a great first step to expanding employee benefits without negatively affecting a company’s bottom line. In addition to voluntary insurance, employers can also offer value-added services, which are designed to offer assistance on Day One of the policy going into effect to make sure that employees’ day-to-day lifestyles go uninterrupted. The types of services vary and can include anything from wellness programs and financial planning, to resources that help employees navigate the intricacies of the health-care billing system.

Here are a few value-added services businesses can offer to suit every employee’s needs.

Benefits-management support. A study conducted in 2015 found that the U.S. health-care system spends an estimated $375 billion annually in billing and insurance-related paperwork. 2 This alarming number should prompt businesses to consider offering a service that provides administrative support to help employees understand their benefits. As well as providing support with medical bills, benefits-management support can connect consumers with highly qualified health-care professionals through telemedicine to evaluate common conditions and provide personalized treatment remotely, a low-cost and convenient option for employees who are constantly on the go.

With

Fraud-protection services. In today’s technology-driven world, identity theft is top of mind for consumers and businesses alike. Businesses can help employees achieve peace of mind by offering services that will work to protect their personal information and finances. Fraud protection is a cost-effective addition to any benefits offering, can provide ongoing internet monitoring and deliver full identity restoration for those impacted by a data breach.

voluntary benefits offerings and value-added services, businesses can give their employees more resources to help solve their everyday challenges.

Flexible spending. By offering employees a flexible spending account (FSA), businesses can help enable them to set aside a portion of their salary before taxes to be reimbursed for certain medical expenses throughout the calendar year. For example, workers can use their funds to buy eyeglasses, pay for a visit to a chiropractor, or purchase wellness items, including first-aid kits, vitamins, or thermometers.

Overall, today’s employees want immediate return with their benefits, as well as long-term value. With voluntary benefits offerings and value-added services, businesses can give their employees more resources to solve their everyday challenges.

This article is for informational purposes only and is not intended to be a solicitation.

Brenda J. Mullins is vice president of Human Resources and chief people officer at Aflac. She is responsible for the core human resources functions in the U.S. for Aflac’s more than 5,000 employees and has developed the framework for expanding Aflac’s diversity efforts through recruitment, retention, relationships, reinforcement and recognition.

1 Consumer Financial Protection Bureau. “Consumer credit reports: A study of medical and non-medical collections,” accessed June 14, 2017 - http://files. consumerfinance.gov/f/201412_cfpb_reports_consumer-credit-medical-and-non-medical-collections.pdf

2 BMC Health Services Research. “Billing and insurance-related administrative costs in United States’ health care: synthesis of m icro-costing evidence,” accessed June 14, 2017.

managing your practice

Dealing with Disruption

LIGHTSPRING/SHUTTERSTOCK.COM

By Scott Kallenbach

Disruption is one of today’s buzzwords. It is used so often that it has almost lost its meaning. In short, disruption frequently describes innovations regardless of their impact, as well as anything that presents even a mild challenge to an organization.

LIMRA defines disruption as something that has a more significant impact and can describe things that can severely crimp revenue or have a crippling effect on a business or an entire industry.

In a recent white paper, LIMRA explored the areas it believes the greatest disruption will emanate from. Many cite new regulation, advances in technology, or changing consumer behaviors and expectations. However, LIMRA believes that new market entrants, like Ladder Life or Lemonade, are arguably the greatest potential disruptive threat to the financial-services industry.

Specifically, there are three types of new market entrants that have the potential of disrupting incumbents. They can be classified by how they may enter:

• Under the Radar —comparatively smaller and more agile than incumbents. They target underserved markets with products that are initially inferior to those of incumbents. For example, discount retailers disrupted full-service department stores.

• Head On —direct competitors who take aim squarely at established players as Uber did with the taxi industry.

• Here I Come —These are firms that make their intentions known far in advance of entering the market. Many startup FinTech firms describe themselves as disruptive technologies, essentially announcing their strategy to would-be competitors, such as a strategy that P&C insurer Lemonade deployed.

The most successful companies embrace the change and often lead the disruption.

New market entrants do not usually start out with the intention to disrupt. Rather, they see an opportunity or something that is lacking in the marketplace and take advantage of it. Our analysis has shown that this type of disruption typically comes from outside the industry. These disruptors often benefit because they are not constrained by current or past practices.

Mitigating disruption

What can insurers do to mitigate disruption? Doing nothing is not an option and they should realize that not every company can be a disruptor. The answer is somewhere in the middle, and actions must be taken.

To mitigate disruption, reflect on why you are in business, keep your radar up and remember that the need for the disruption will not go away.

But what actions should be taken? Incumbent organizations can employ a number of tactics to fend off disruption. They include:

• Be vigilant and keep your radar up. Make environmental awareness part of your organization’s DNA. It is conceivable that organizations can protect themselves from disruption if they are aware of new market entrants perfecting an offering for the mainstream. Listen for the faint signals.

• Remember that the need won’t go away. Products may change, and the ways that consumers wish to engage with companies may evolve, but there will still be a need for life insurance, annuities and other risk products.

• Reflect on why you’re in business. Ask yourself why you’re in business. Is your company’s mission to generate revenues, help people protect their families and futures, or something else? Are your measures of success tied to this mission?

In today’s world, companies are likely to face some form of disruption. Technological, regulatory and demographic changes spur disruption of the status quo. LIMRA has been studying the financial-services industry for more than 100 years and history has shown that the most successful companies embrace the change and often lead the disruption.

Scott Kallenbach is a research director with LIMRA Strategic Research.

managing your practice

Speaking Tips from a TEDx Speaker Coach

Acquire the skills outlined in this article and you will be well on your way to becoming an effective and confident communicator.

GEORGE RUDY/SHUTTERSTOCK.COM

By Amy Wolff

Good eye contact is when you talk to one person at a time, 3-4 seconds a person.

As a speaker coach for TEDxPortland (Oregon), the largest annual TEDx event in the United States, I’d like to debunk a huge myth about those TED Talk speakers you watch. (Check out TED.com if you want to learn about TED Talks.)

They aren’t born as naturally gifted speakers. In fact, none of us are. Most great talks are simply evidence of hard work paying off.

The problem I’ve encountered, and perhaps you’ve experienced as well, is that most people want to get better or feel more comfortable at presenting, whether it’s to clients, partners, teams or management, but they don’t know how. Let’s pull back the curtain and discuss the four foundational speaking skills for every effective and confident communicator.

Eyes: Good eye contact is talking to one person at a time. This first skill is the most important: eye contact. Most people think they’re making good eye contact when, in reality, they’re scanning their audience, reading their slides, or darting their eyes to the ceiling or floor.

Good eye contact is when you talk to one person at a time, 3-4 seconds a person.

You should be genuinely talking to them, not at them, which is why presenting is really just a series of mini, one-on-one conversations. In individual meetings we can make longer eye contact without being creepy; why should that change while presenting?

Hands: Gestures and a neutral posture help us look more comfortable and grounded. Are you a ring-spinner? Hand-washer? Pockets person? Talk too much with them? The odds are that, in between these odd behaviors, your hands consistently come together in front of your chest or stomach. Instinctively we do this to defend our core when we feel uncomfortable or under threat. Unfortunately, it closes us off from the people we’re trying to influence.

Learn to put your hands in neutral position, hands hanging at your side, feet standing hip-width apart. This grounds you and makes you look calm and composed even if it feels unnatural or stiff. Add meaningful gestures to your delivery that help punctuate your ideas. Make sure to make your gestures large. Small weak gestures make you look tentative and unsure. After the gesture, slowly drop your hands back to neutral and continue this balance.

Voice: A strong vocal delivery is critical, especially in virtual presenting and on the phone. The third foundational skill is our voice. No one has tolerance for a monotone umm-and-uhhh ridden delivery. That’s why having appropriate variety/inflection, emphasis on key words or phrases, is important. Also listen to your pace. When the heart rate spikes and we feel the pressure of the opportunity, we tend to speak faster and we’re perceived as weak or lacking control.

Finally, listen to find out if you’re pausing at your periods, commas or question marks. These are where filler words (umm, uhhh, and, so, right?) generally sneak in. Instead, honor your punctuation with a second-or-two pause. The silence may feel like forever, but I assure you, it’s not!

Movement: Using engaging movement in your space creates perceptions of authority and confidence. If all the other skills were part of Speaking 101, consider movement Speaking 401. We observe nerves in rocking, shifting, swaying or pacing, but there’s a better way. Use conversations in your audience as your reason to move confidently and naturally, maintaining eye contact with one person as you walk a few feet in their direction. Be careful not to look at your feet—a common temptation that makes your movement look like you are wandering. Make sure to plant your feet and stay steady for a few minutes so that your movement doesn’t easily become pacing.

Practicing these four foundational skills will help you develop control and convey confidence, no matter the setting or scenario. Whether you find yourself giving a TED Talk to thousands or you simply want to have a greater presence in your meetings, you now know what it takes to put your best foot forward.

Amy Wolff is Senior Trainer, Executive, Coach, TEDx Speaker Coach, with Distinction Communication. For more tips, the company’s online class and coaching services, visit www.distinctioncommunication.com

awards

Four Under 40

Nominate a Rising Star Now.

Someone you know is a leader. He or she is successful, of course, but also committed to their community, family and team. They’re already a great example for their peers. Nominate them for Four Under Forty Awards. It’s the recognition they deserve and the next step in their amazing career. Winners will appear on the cover of the September/October 2018 issue of Advisor Today. But that’s just the beginning. Past Four Under Forty winners have a proven track record of continued success through industry leadership roles, speaking engagements and increased peer recognition.

How to Nominate

All NAIFA members are welcome to nominate a rising star for Four Under Forty. Nominees must be NAIFA members in good standing and 40 years of age or younger.

Nominee:

Name: ___________________________________________________________________________________________

Title: ____________________________________________________________________________________________

Age: _____________________________________________________________________________________________

Local NAIFA Association: __________________________________________________________________________

Designations: _____________________________________________________________________________________

Company Name: ___________________________________________________________________________________

Primary Carrier:

Email: _______________________________Phone: ___________________Cell: ______________________________

Address: _________________________________________________________________________________________

City/State/Zip: ____________________________________________________________________________________

Nominator:

Name: ___________________________________________________________________________________________

Email: _______________________________Phone: ___________________Cell: ______________________________

Company Name: ___________________________________________________________________________________

Address: _________________________________________________________________________________________

Local NAIFA Association: __________________________________________________________________________

Supporting Data

On a separate sheet of paper, please explain why the nominee should be considered for a Four Under Forty Award. Explain how the nominee made it to the top and the obstacles, twists and turns he or she overcame on the way to success. The more compelling the story is, the better. Also indicate if the nominee is a member of MDRT or any other industry association, and describe any industry and civic honors received.

Three Ways to Nominate

1. Mail this form, along with the supporting data, to: Advisor Today 2901 Telestar Court Falls Church, VA 22042

2. Fax it to: Ayo Mseka at 703-770-8471

3. Email this completed form to amseka@naifa.org

Entries emailed or faxed must be received no later than April 9, 2018. Mailed entries must be postmarked by April 9, 2018. Nominations not received or postmarked by April 9, 2018, will be discarded. For more information, contact Ayo Mseka at 703-770-8204 or at amseka@naifa.org.

Call for Excellence The John Newton Russell Legacy

Outstanding Character, Dedication to the Profession, Meritorious Service

Do you know anyone who possesses these out standing qualities? If you do, now is the time to submit his or her name for the John Newton Rus sell Memorial Award. This is the industry’s highest honor.

In 1945, John Henry Russell provided the original endowment to establish this prestigious award to honor his father, John Newton Russell. A staunch proponent of informed, ethical marketing practices, Russell was agency manager for Pacific Mutual. He served as president of NALU (now NAIFA) during World War I and was one of the incorporators of The American College of Life Underwriters. His high standards are perpetuated in this award, which seeks to recognize someone with outstanding personal qualities, unstinting loyalty to the business and exemplary leadership.

Eligibility requirements

The award program is open to anyone you believe is highly qualified, and exhibits the character, leadership qualities, contributions to the profession and American families exemplified by John Newton Russell. Any member of a NAIFA local association is eligible to nominate a worthy candidate. Nominees must be insurance and/or financial-services professionals. Standards for consideration are extraordinarily high. The characteristics of past recipients have included unwavering loyalty and a high level of professional accomplishment and community service.

How to apply

When you send in your nomination, provide the award selection committee with sufficient information about your nominee and explain the basis for putting forward the person you chose. Nominations will be accepted through March 1, 2018. Your nomination contains the only information the selection committee will have as a basis for their decision, so please be thorough in your description.

The 2018 recipient will be announced in early May and will be honored at the NAIFA Performance Purpose Conference in San Antonio, Texas, in September 2018.

Follow the instructions of the application form on the next page and submit it by the deadline indicated. Membership in your local association is required for participation in the award program.

The 2018 John Newton Russell Memorial Award Selection Committee

Juli Y. McNeely, LUTCF, CFP, CLU Chair

Joseph M. Belth, CLU

2017 John Newton Russell Honoree

D. Scott Brennan

2016 John Newton Russell Honoree

Peter C. Browne, LUTCF

2015 John Newton Russell Honoree

Paul R. Dougherty, LUTCF, FSS, HIA

Immediate Past President, NAIFA

Jules O. Gaudreau, Jr., ChFC, CIC

Second Past President, NAIFA

David A. Culley, CLU, ChFC

AALU Liaison

Gov. Dirk A. Kempthorne ACLI Liaison

Robert R. Johnson, Ph.D, CFA, CAIA

The American College Liaison

Mark A. Bonnett GAMA Liaison

Pat Wedeking LIFE Liaison

James Aussem, JD, AEP SFSP Liaison

James D. Pittman, CLU, CFP, CLTC MDRT Liaison

Robert A. Kerzner, CLU, ChFC LIMRA Liaison

Kevin M. Mayeux, CAE Secretary

Recommendation for the 2018 JOHN NEWTON RUSSELL MEMORIAL AWARD

Recommendation

In my opinion, the following living person has rendered service to the institution of life insurance which, viewed in retrospect, is so outstanding and beyond the call of duty as to merit consideration for the John Newton Russell Memorial Award.

Name ____________________________________________________________________________________________

Volunteer position __________________________________________________________________________________

Address

Phone number and email ____________________________________________________________________________

Supporting Data

On a separate sheet of paper, in 500 to 800 words, give a biographical sketch of your candidate, listing the individual’s industry and civic accomplishments and honors received. Please indicate the specific accomplishments that, in your opinion, demonstrate that your nominee deserves the award.

Nominator ________________________________________________________________________________________

Volunteer position __________________________________________________________________________________

Address

Phone number and email ____________________________________________________________________________

Mail this form to:

John Newton Russell Award Committee

c/o Executive Office

National Association of Insurance and Financial Advisors

2901 Telestar Court

Falls Church, VA 22042-1205

Supporting data must accompany the nomination. Deadline: March 1, 2018 .

Growing Your Employee Benefits Sales

Start by teaming up with a professional employer organization.

©ISTOCK.COM/JIMVALLEE

By Louis Basso and Barry Shorten

The employee-benefits arena is more complex and competitive than ever. Game-changing legislation and regulations now demand a heightened level of expertise and a “finger on the pulse” of the landscape at all times. This is often near to impossible for the owners of growing businesses and their key staff. This is a major reason why there are now between 780 and 980 professional employer organizations (PEOs) in the United States, serving an estimated 2.7 to 3.4 million employees of these businesses.

It’s also why more and more agents and brokers have come to view PEOs not as competitors, but as allies helping them gain a competitive edge in reaching out to businesses. A Prudential Group Insurance study noted that an average of 70 percent of brokers serving the small, mid-sized and large business markets believed that there were notable changes in the benefits decision-making process, which required them to adapt their business models. One way they are doing it is by forming relationships with PEOs.

Working with a PEO

Through an alliance with a PEO, agents and brokers are in a better position to help their clients navigate today’s employee-benefits landscape. The PEO’s service encompasses end-to-end services, including payroll and taxes, employee-benefits design and administration, human resources compliance and administration, training and development, and risk management.

To gain the greatest benefit from a PEO partnership, agents and brokers should seek one that shows a real commitment to the industry’s highest standards.

Specifically relating to employee benefits, its offerings include medical, dental, vision, life insurance, disability, 401(k) and other retirement plans for which it manages deductions, as well as IRS and state tax deposits, direct deposits, employee time and attendance tracking, and reporting. Also handled by the PEO are coverage continuation under the Comprehensive Omnibus Budget Reconciliation Act and state continuation of coverage, unemployment administration, and administration of disability, workers compensation and claims. PEOs also assist with employee relations, policy and employee handbook development, and employee training.

PEO benefits

Agents and brokers who align with a PEO can offer their clients a comprehensive solution that positions them as valuable resources. In turn, they derive the following tangible benefits:

• A heightened role as a trusted advisor bringing a robust HR solution to their clients that extends beyond the sale of benefits, to regulatory compliance, risk management, employee retention, cost-savings and time-savings that free their clients’ management to focus on their core revenue-producing functions;

• Higher client retention stemming from their ability to present an enhanced value proposition that helps their clients grow faster (7-9 percent), achieve lower employee turnover (10-14 percent), and have a 50 percent lower chance of going out of business (Source: NAPEO);

• The ability to target a broader base of potential clients that would benefit from the PEO offering;

• Differentiation from other insurance agents/brokers who are focused only on selling benefits;

• A new revenue stream derived from referring clients to the PEO partner, based on the PEO’s offering and not just benefit sales;

• Potential new business opportunities for benefit sales stemming from their PEO relationship, as well as access to some of the advantages PEOs offer over insurance companies, such as broader underwriting guidelines;

• A lower probability of losing a client to a PEO, by aligning with the PEO.

What to look for in a PEO

To gain the greatest benefit from a PEO partnership, insurance agents/brokers should seek a PEO that demonstrates a real commitment to the industry’s highest standards. Among the credentials and criteria that should be sought, the PEO:

• Holds E.S.A.C. accreditation provided by the Employer Services Assurance Corporation. The accreditation indicates the PEO is backed by over $15 million of financial assurance (surety bond) which covers federal tax liabilities, and also reimbursements to the PEO’s clients, worksite employees, taxing authorities and insurer in the rare instance of a PEO default on payment of wages, taxes (state, local and payroll), employee retirement plan contributions, workers compensation premiums, and group life and health insurance premiums or plan contributions.

• Holds the Certified Professional Employer Organization Certification, a voluntary certification program of the IRS, which establishes a PEO’s financial stability and fiscal integrity. To gain CPEO status, a PEO must meet the criteria of a rigorous application process and post a bond relating to employment tax liabilities to $1 million. Businesses that become clients of a CPEO are not liable for obligations regarding their federal employment and payroll taxes once they have paid in a timely manner their full federal tax liability to the CPEO for remittance to the IRS.

• Provides a total, customizable HR solution encompassing HR, payroll, tax and employee benefits administration; regulatory compliance; training and development; and risk management.

• Is staffed by experienced professionals including Senior Human Resource Professionals, Certified Payroll Professionals, Certified Safety Managers, and a labor and employment law attorney.

• Has vertical market experience in the industry in which the client operates.

• Operates in the state or states in which the client operates.

• Maintains leading-edge HR Information Systems to facilitate easy, accurate information retrieval and reporting.

Louis Basso is President and Barry Shorten is Executive Vice President of Alcott HR, a Certified Professional Employer Organization and provider of human resources outsourcing solutions.

How to Overcome Your ‘Urgency Addiction’

Doing so will position you to capitalize on opportunities others don’t have the patience to seize.

MARKETLAN/SHUTTERSTOCK.COM

By John Pojeta

The Stanford Marshmallow Experiment is legendary in psychology circles. Researchers would bring a child into a room and place a marshmallow on the table. They would explain that the child could have the one marshmallow now, or if he or she waited, the reward would be two marshmallows. Researchers then tracked participants over the course of their lives and found that the children who waited performed significantly better in life—higher SAT scores, more income and so forth.

The sales world, like most industries tied to business growth, can feel like it’s full of snake oil—with people promising how to get your marshmallow and get it quickly. Every hilltop has its own guru, touting a magical system or a few secret tricks that will unlock unfathomable increases in client numbers. Of course, you want your business to grow, but you naturally hesitate. You don’t want to come across as a sleazy sales guy, and you certainly do not want to undermine your reputation by staking your business on the latest sales gimmick.

When you talk to clients, you likely encourage them to take methodical and consistent approaches to managing their finances. You know the spiel: Think about the long-term, the big picture. Save monthly. Set aside a little more money each year. Don’t panic if there’s a dip in the stock market. Wait for the one marshmallow to become two, etc.

When clients have an addiction to urgency, you know how quickly that can create problems. As a result, much of your process and discussion are likely aimed at steering them away from those rocks. We see our own clients— advisors like you—falling into the same types of traps with their own growth plans.

That snake-oil sales world preys upon advisors who have the same type of urgency addiction. Advisors who demand an immediate return on any piece of marketing they use are more susceptible to big promises and slick marketing than others.

Effective sales and marketing

The most effective sales and marketing mindset (which is also the anti-snake oil mindset) will have the following qualities:

Advisors who demand an immediate return on their marketing are more susceptible to big promises than others.

• You continue your marketing activity when it works. We often see advisors who start to see a return on their marketing and then turn the faucet off as soon as they get busy. Yes, growth can create new challenges for your schedule and internal processes, but stopping and starting your marketing cripples your momentum and stunts that exponential growth opportunity that we mentioned at the top of the article.

• You refuse to be spooked if your marketing does not produce an instant return. Any new behavior or activity has a “ramp-up period. Just as you become frustrated with a client who wants to pull out after 18 months of working with you, so, too, do we get frustrated when an advisor does not give a program time to bear fruit. Growing pains are real, and if you really want to achieve new sales records, you should be willing to get your nose bloodied a bit as you take on bigger challenges.

• You stay the course even if your budget changes. The expression “lean into adversity” applies to marketing and sales as well. We are big advocates of smart budget management, but when it comes to marketing, a budget conversation should also include growth potential. If you hit a dry-spell—perhaps because of a market shift or an internal change in your business—pausing your marketing could actually mean losing even more revenue. When times are tough, push your marketing. Don’t back off when others do.

When you can overcome your urgency addiction, you position your business for capitalizing on opportunities that your competitors will not have the patience or grit to seize. These are the kinds of sales and marketing advantages that snake-oil salesmen claim to understand but never realize. They grabbed the first marshmallow and refuse to let it go.

John Pojeta is vice president of business development at The PT Services Group. He researches new types of business and manages and initiates strategic, corporate-level relationships to expand exposure for The PT Services Group. Pojeta joined The PT Services Group in 2011. Before that, he owned and operated an Ameriprise Financial Services franchise for 16 years.

Secrets from the Top of the Table

A laser-like focus on your client’s best interests may be all that you need to become one of the best in the business.

©ISTOCK.COM/SHUTTER_M

By Thomas Young and Danny O’Connell

What do top producers know that others don’t? What drives them to get to the Top of the Table and stay there, year after year? For answers to these thought-provoking questions, we recently spent some time with a few of these high-performing producers. What a couple of them shared with us should inform your thinking as you look for ways to enhance your practice and move closer to the Top of the Table.

From Thomas Young, CLU, ChFC

Key to an Advisor’s Success: Focus on Your Client’s Best Interests

One of the most effective ways you can sustain a high level of production and success as an independent advisor is to shift the focus away from your bottom line and toward your clients’ best interests. Your clients’ financial wellbeing and literacy should be your chief concern. Aim to educate them and build meaningful relationships. With a focus on client service, the goal will be their success, which, in turn, can bring you success, as well.

True success in the financial-services industry likely hinges upon passion on both sides of the relationship.

True success in the financial-services industry likely hinges upon passion on both sides of the relationship. As an advisor, you’re passionate about helping clients protect their finances. Likewise, most people are just as interested in attaining financial security, especially those who work with an advisor. People from many income levels generally have the same financial concerns—they face the same financial problems and obligations that track salary increases, houses getting bigger and cars getting more expensive. Show potential clients that their financial goals are within reach with the right tools to get their attention.

Client education is the first step to a strong, lasting relationship. Once clients understand money management basics, you can work together to find money they lose out on unknowingly and turn it into a stream of retirement income. Key concepts like efficiency of money and cash flow can help them take control of their financial lives on a granular level.

I help clients approach their family finances in the same way a CFO tackles his company’s balance sheet. It may be in everyone’s best interest to get rid of debt. I don’t believe there’s such a thing as “good debt.” Not only does debt draw funds away from retirement plans every month, financing costs also further drain purchasing power. Once all debts are settled, money previously budgeted for monthly payments can be funneled into financial planning and retirement. From there, clients will be better capitalized to potentially secure their futures with the products or investments that make the most sense for them.

Thomas W. Young, CLU, ChFC, is a NAIFA member and a 24-year MDRT member, with Court of the Table and Top of the Table qualifications. He is the founder and president of 1st Consultants Inc., and a certified life coach and human behavior consultant.

From Danny O’Connell, MBA

Key to Success: Relate to Your Client’s Concerns and Needs Passion and the pursuit of what you love are the cornerstones of success in business. I let passion guide me to open my own practice and develop my support system. The tactics we used to achieve our preliminary goals have scaled practice growth and are instrumental in creating a continuous referral pipeline. Similar methods can be adapted and applied to any growing practice.

Success itself isn’t the most important thing; rather, it’s the meaningful impact you make on people’s lives.

Start with a targeted goal as your primary focus. Identify a niche market segment or geographic focus area as a way to streamline your energies. For example, I targeted my new practice to serve small businesses in the greater Dallas area. I provide employee benefits like 401(k) plans, life and disability insurance to locally-based businesses with five to 100 employees.

Tailor communication to clients’ unique perspectives. It helps to put yourself in their position and view products through their eyes. To attract entrepreneur as clients, I address their most common concerns, like cost control, employee retention and their competitive edge in the market. Employee benefits are a cost-effective way for them to add value to the bottom line and operations. Once identified, articulate your key differentiator in a way prospects can understand. Help them comprehend the basics of your services and earn their trust as a partner who is looking after their best interests.

Cultivate a supportive culture within your practice and work with your team to achieve a defined mission. Share your passion and goals with employees and let them know how they fit into your overall plan. It’s best to connect one-on-one to discuss goals and motivate growth. Your staff will look to you to maintain the culture, and over time, you’ll need to make changes and investments to stay on track. Once the team has bought into your vision, they will be instrumental in helping you achieve success.

As your practice and team grow, you’ll find that you are making a positive difference in the lives of your clients and employees, and in your community. I’ve learned that success itself isn’t the most important thing; rather, it’s the meaningful impact you make on people’s lives.

Danny O’Connell, MBA, is the CEO of Next Level Insurance Agency, which focuses on employee benefits, life, disability, and retirement planning. O’Connell works jointly with agents all over the U.S. He has served on the NAIFA-Dallas Board since 2013 and on the NAIFA-Texas Board for the past two years. He is also a Life & Qualifying member of MDRT, with 7 Top of the Table Qualifications and 1 Court Of the Table.

Resolutions to Keep in 2018

The New Year’s resolutions shared by these top producers will help move your practice to a higher level of success.

IMAGEFLOW/SHUTTERSTOCK.COM

By Laurie Adams, John Enright, Dan Finley, Greg Gagne and Brian Haney

In our never-ending quest for ideas to help enhance your practice, we recently asked top advisors about the goals they have set for themselves this year. Their answers should be top-of-mind for you as you finalize your plans for success in 2018 and beyond.

Laurie Adams, CFP, CLU, LUTCF, is a financial professional with Country Financial in Peoria Heights, Illinois: The No. 1 action I take is to review my calendar for the previous year and then determine if I missed any opportunities with my clients. Just seeing their name on a date will remind me of the conversations I had with them, which frequently included their intention to meet with me again to discuss a financial need “once things calm down.”

My clients are always happy to hear from me. There’s something about giving them the specific date on which we talked and asking whether their situation has “calmed” down. This discourages them from putting off meeting with me any longer. I think it’s recognition that even when our intentions are good, time tends to get away. ***

Greg Gagne, ChFC, is with Affinity Investment Group, LLC in Exeter, New Hampshire: The No. 1 resolution I would suggest is: “Do now and take action now.” On many occasions, we hang in a “get-ready-to take-action phase,” but never move forward with the action itself because we think we are not ready

or because of a distraction that we use as an excuse not to go forward. But moving forward is one of the most important aspects of creating success. Whatever you are thinking of working on does not need to be perfect before you implement it. Implement what you are thinking and then seek perfection.

Moving forward is one of the most important aspects of creating success.

The amount of progress that can be made with this simple idea will be a game changer. So for me, and hopefully for you, 2018 will be a year of action instead of one of getting ready!

What are you waiting for? ***

Daniel C. Finley is the President and Co-Founder of Advisor Solutions, which is dedicated to helping advisors build a better business, one solution at a time:

If you are like most advisors and agents, you begin each year with the best of intentions to accomplish your business goals. Ironically, it’s not the goals in-and-of themselves that point you in the direction of finding success. It is compartmentalizing them so that you can create quarterly, monthly, weekly, daily and even hourly goals. By doing this, you make the journey more approachable and the destination a by-product of your actions.

If there is one thing that I believe you have to do to ensure your continued success as a financial professional, it is to take daily actions towards achieving your goals by focusing on activities that take you one step closer towards your desired results.

Remember that in the financial-services industry, there are plenty of things that are out of your control—the market, clients’ emotions, investor confidence—to name a few. But one of the things that you are in control of is what you do—your activities.

Compartmentalizing the goal setting process is just a way of creating a daily manageable plan. In addition, it is a great way to psychologically accept your goal. It can be easily accomplished by dividing your activities into specific, quantifiable daily activities.

The following is an example of how to compartmentalize the goal-setting process:

Financial Advisors’ Goal Compartmentalizing Example

My #1 Goal Annually is: $12 million in new A.U.M.

My #1 Quarterly Goal is: $ 3 million in new A.U.M.

My #1 Monthly Goal is: $1 million in new A.U.M.

My #1 Weekly Goal is: $250,000 in new A.U.M.

My #1 Daily Goal is to find: $250,000 in new assets a day!

The key to compartmentalizing goals is to take emotions out of the process and simply divide the numbers to determine daily goals. Once you have accomplished this, it’s time to determine daily activities.

The key to compartmentalizing goals is to take emotions out of the process and simply divide the numbers to determine daily goals.

In the aforementioned example, the daily goal is to find $250,000 a day in new assets from existing clients or prospects. The theory is that if this advisor accomplishes the daily goal of finding new assets by the end of the week, he will have collectively gathered $1,250,000 in new assets under management because of converting prospect to clients or gathering additional assets from existing clients.

Now, the only other question is: What activities need to be done each day to find those assets?

The solution is to spend at least an hour each day prospecting for new clients, recording the names and assets found via a pipeline report, as well as recording any new assets found from existing clients. Finally, adding a daily reward/punishment system will surely help to make your resolution a reality! ***

Brian Haney, CLTC, CFS, CFBS, LACP, is Vice President with The Haney Company in Silver Spring, Maryland. He is one of the recipients of Advisor Today’s 2017 Four Under Forty Awards: Process dictates everything, and in most cases, I believe it is the difference between winning and losing.

Analyzing my book of business for opportunities, and building a 2018 business development and marketing plan come second to this. Year after year, this remains true: the better I am at psychology, behavioral economics,

reading, connecting with and understanding my clients, the more I capitalize on each engagement.

In fact, I have found that in most cases, I don’t need to increase my prospecting volume to increase my revenue; I simply need to maximize the opportunities I already have. Here is a theme that cuts across a variety of professions: The peak performers keep winning because they constantly improve themselves and their fundamentals.

My goal in 2018 is to be a better me than I was in 2017. If I achieve that, I trust everything else will fall into place.

***

John Enright is a former recipient of Advisor Today’s Four Under Forty Awards and a private wealth advisor with Custom Wealth Management in Syracuse, New York:

My resolution for 2018 is to get back to “Time Blocking” on a daily and weekly basis. The benefits of time blocking will not only be realized by me, they will also be realized by my team, and in turn, the entire practice.

At the weekly level, it is important to allocate specific days to client meetings. Ideally, I would only like to meet with clients from Tuesday to Thursday. Of course, there will be exceptions, but anticipating meeting with clients only on those three days allows me to stay in the “mindset” of meeting with clients without distractions.

This also allows my team to have adequate time to prepare the deliverables or presentations for those meetings, which allows the practice to truly shine in the spotlight. I am striving to allocate Mondays to meeting with Centers of Influence, Industry Representatives or other non-client related meetings, as well as team development. This helps my assistant to easily schedule meetings when requests come in for meetings that are not client-related. Stacking my schedule in the previously discussed manner allows me to spend my Fridays out of the office with my family.

Each morning, I plan to allocate some time to emails, team questions, etc., between my 6:30 a.m. arrival at the office, and the time the day gets started, which is about 8 a.m. We schedule my meetings for 90 minutes, with small breaks in between for me to address phone calls and questions that team members may have.

Time blocking this way allows us to honor the promised response time we have with our clients (24 hours). The end of each day will be blocked for debriefing client meetings to ensure that all follow-up items are communicated to the team and are addressed immediately if necessary.

NAIFA Partners with FSP in Member Professional Development

By Tara Laptew

NAIFA and the Society of Financial Service Professionals (FSP) will strengthen collaboration in member development and education with the creation of a new career track in advanced markets. This track will be launched at NAIFA’s 2018 Performance + Purpose Annual Conference, which takes place from September 13 to September 16 in San Antonio, Texas.

“NAIFA’s P+P Conference is a valued member benefit with programming for advisors in every stage of their career. The FSP/NAIFA partnership will leverage the strengths of each organization to bolster conference programming and meet the educational needs of professionals in advanced practices. We are very pleased to welcome FSP members to the NAIFA P+P Conference,” said NAIFA CEO, Kevin Mayeux, CAE.

FSP members are part of a multidisciplinary community that enables collaboration among financial planners, investment advisors, attorneys, CPAs, insurance professionals, and other financial-service experts. The advanced markets career track at NAIFA’s Performance + Purpose will offer sessions designed to provide dynamic learning opportunities with industry experts and thought leaders.

“FSP has had a longstanding relationship with NAIFA, and we are aligned in our commitments to providing resources that enhance our members’ professional knowledge, grow their network and build their practices,” said FSP CEO Joseph E. Frack, CPA, CGMA. “We look forward to working with NAIFA on this premiere professional development and networking event. We know the program will deliver exceptional value to our members while demonstrating genuine collaboration within the industry.”

More than the annual business meeting it was for many years, NAIFA P+P has become a high-caliber, professional-development conference, with programming for everyone—from those who are new to the industry— to the most experienced and successful advisors. NAIFA is also expanding the peer-to-peer learning opportunities available to all attendees.

NAIFA is also excited to introduce Braindates at P+P 2018. NAIFA Braindates is an online matchmaking service for professional development. A Braindate is your chance to find and meet one-on-one with colleagues with whom you share an interest in specific experience or knowledge.

Conference attendees will have the opportunity to post Offers—experience and knowledge you have to share—and Requests—things you want to learn. Then you and the other attendees can search the Offerings and Requests, make connections, and schedule in-person meetings in the Braindates Lounge.

NAIFA Performance + Purpose 2018 promises to be a well-rounded, enriching experience for all attendees. For more information, visit www.naifa.org/conference.

Tara Laptew is Marketing & Program Manager-Professional Development & Education, at NAIFA. For more information, contact her at tlaptww@naifa.org

Call for Nominations for NAIFA’s 2018 Diversity Champion Award!

NAIFA is seeking nominations for its 2018 Diversity Champion Award, which recognizes members’ exceptional efforts to promote full and equal participation of diverse people within the insurance and financial-advising profession. All nominations must be received on or before June 5, 2018.

The recipient of the award will receive a recognition award and a complimentary one-year membership in NAIFA. He or she will be recognized at NAIFA’s 2018 Performance + Purpose Conference, which takes place Sept. 13 to Sept. 16 in San Antonio.

Our Mission

NAIFA’s mission in creating the Diversity Champion Award is to be a champion of diversity, recognize the value of our differences, and advocate for all members in our community. NAIFA embraces inclusion for all, including those who experience discrimination or those who are under-represented in the workforce

Award Criteria

To be considered for the 2018 Diversity Champion Award, a nominee must be a member of NAIFA in good standing and must have at least five years’ experience in the insurance and financial-services industry.

The nominee also:

• Creates and promotes a diverse and inclusive workplace.

• Raises awareness and foster communication in the financial-services industry and the community.

• Supports inclusion and encourages diverse individuals to reach their professional goals.

• Fosters awareness and a commitment to diversity and inclusion within the NAIFA membership.

• Provides insurance and financial services in underserved and diverse markets.

Please be advised that nominations do not roll over from one year to the next. To nominate someone for the 2018 Diversity Champion Award , please visit www.naifa.org and follow the instructions provided.

For Generations,

QUALITY NAIFA AWARD

The NAIFA Quality Award provides advisors at any career stage, the opportunity to demonstrate a commitment to exceptional:

• Professionalism through education and earned designations

• Production measured by performance metrics customized for each practice specialty

• Adherence to the NAIFA code of ethics

• Service to your industry association

Advisors specializing in Life & Annuities, Financial Advising & Investments, Health & Employee Benefits, Multiline Sales or any combination of these specialties have the opportunity to demonstrate the quality that is the mark of a true professional.

One Award… The NAIFA Quality Award… reflects all the varied practice specialties of NAIFA members with a singular mark recognized by all. The NAIFA Quality Award is the mark of distinction to be recognized by not just your colleagues, but by your clients and companies. Be recognized for your commitment to excellence in service to your clients and your industry, in your pursuit of education and training and in your adherence to NAIFA’s Code of Ethics. It is time for all NAIFA members to proudly display the mark of NAIFA Quality.

Complete and return one or more of the following applications to earn the NAIFA Quality Award in any of the four practice specialties. If your practice spans more than one specialty area, the unique bonus multiplier credits allow you to build credit toward your production qualifications by combining production across specialties. A demonstrated commitment to professional education and association leadership also earns you qualification credit.

The NAIFA Quality Award is a continuation of the former NAIFA Industry Awards. Previous recipients of the NAIFA Industry Awards carry over their years of achievement to the NAIFA Quality Award. Previous recipients of NAIFA’s National Quality Award and National Sales Achievement Award will find the NAIFA Quality Award Life Insurance and Annuities Qualification is comparable. Previous recipients of NAIFA’s National Multiline Sales Award will find the NAIFA Quality Award Multiline Sales Qualification is comparable.

NAIFA Has Been a Symbol of Dedication to Service, Ethics and Excellence

SECTION I: Personal Information

NAIFA Member ID Number

Name (Include all designations as they should appear on list of award winners)

Mailing Address

Local NAIFA Association (Awards will be delivered to your local NAIFA Association)

SECTION II: Application Requirements

❒ I am a NAIFA member

❒ I work in the insurance business or other closely related financial service industry

❒ I adhere to NAIFA’s Professional Code of Ethics

SECTION III: Qualifications

Eligibility for the NAIFA Quality Award in the Life Insurance and Annuities category is based on policy persistency. The persistency requirements are based on a sliding scale depending upon the number of qualifying policies sold in 2016 and renewed in 2017

❒ 25-39 policies sold must attain 95% persistency

❒ 40-69 policies sold must attain 90% persistency

❒ 70-99 policies sold must attain 85% persistency

❒ 100+ policies sold must attain 80% persistency

If the Total Qualification Percentage (line H below) matches the minimum qualifying percentage for the number of policies sold (above) and all requirements have been met, the NAIFA Quality Award has been achieved.

PLEASE COMPLETE THE FOLLOWING:

A. Number of eligible policies paid for in 2016 .............................................................................................._____________

B. Number of 2016 eligible policies on which any part of 2nd year premium was paid

C. Persistency percentage % (Divide line B by line A) ...................................................................................._____________

(If you qualify using the criteria above, please move to Section IV-APPLICATION FEE.)

MULTIPLIER BONUSES

If needed, the persistency percentage can be increased based on Multiplier Bonus credits earned. Complete the section below to determine your Multiplier Bonus and final persistency percentage.

Assets Under Management Bonus

Total of assets under management ............................................................................................._

Number of years in the industry ..................................................................................................______________

Years in industry Assets Under Management

1-2 .................................................not eligible for bonus

3-5 .................................................$2 million or more

6-10 ...............................................$5 million or more

11-15 .............................................$7.5 million or more

16-20 .............................................$10 million or more

21+ ................................................$12.5 million or more

If you meet the minimum assets under management level for the number of years you have been in the industry, enter 5% on Line D below.

D. Assets Under Management Bonus ............................................................................................................_____________

Life Insurance and Annuities Qualification

Eligible Policies

All Life Insurance policies are eligible with the exception of:

• Group and wholesale contracts

• Policy changes

• Weekly premium insurance

• No policy credit will be given for automatic policy increases that do not generate first-year commissions

• Partial conversion of term policies which result in two policies during the same award year counts as two policies.

• 100% conversion of term policies which result in only one policy counts as one policy.

Annuities may be counted as individual policies in Life Insurance and Annuities production, or annuities may be counted as Assets Under Management for the multiplier bonus. However, annuities may not be counted in both categories.

Apply Online

www.naifa.org/awards

Mail NAIFA Quality Award

P. O. Box 75057 Baltimore, MD 21275

Fax

Fax to: 703-770-8486

Email

Email to: bbernat@naifa.org

Deadlines

May 31, 2018 – Applicant must be a NAIFA member in good standing

May 31, 2018 – Application postmarked to NAIFA with $40 application fee

Life Insurance and Annuities Qualification

Eligible Policies

All Life Insurance policies are eligible with the exception of:

•Group and wholesale contracts

•Policy changes

•Weekly premium insurance

•No policy credit will be given for automatic policy increases that do not generate first-year commissions

•Partial conversion of term policies which result in two policies during the same award year counts as two policies.

•100% conversion of term policies which result in only one policy counts as one policy.

Annuities may be counted as individual policies in Life Insurance and Annuities production, or annuities may be counted as Assets Under Management for the multiplier bonus. However, annuities may not be counted in both categories.

Apply Online

www.naifa.org/awards

Mail

NAIFA Quality Award

P. O. Box 75057 Baltimore, MD 21275

Fax

Fax to: 703-770-8486

Email

Email to: bbernat@naifa.org

Deadlines

May 31, 2018 – Applicant must be a NAIFA member in good standing

May 31, 2018 – Application postmarked to NAIFA with $40 application fee

Health Insurance Production Bonus

Produce at least 15 eligible policies in 2016 with 80% persistency for 2016 and earn a 5% bonus.

E-1. Number of eligible policies paid for in 2016 ........................................................................._____________

E-2. Number of 2016 eligible policies on which any part of 2nd year premium was paid ................_____________

E-3. Persistency percentage (divide line B by line A) ...................................................................._____________

Eligible policies: Individual Health Insurance; Disability Income; Long Term Care; Critical Illness.

If number of eligible policies is 15 or more and persistency is 80% or greater, add 5% to overall persistency percentage.

If Line E-1 is greater than or equal to 15 and Line E-3 is greater than or equal to 80%, enter 5% on Line E below.

E. Health Insurance Production Bonus .........................................................................................................._____________

NAIFA Leadership Bonus

Check off all for which you qualify:

❒ LILI Graduate

❒ NAIFA Local Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA State Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA National President, President-Elect, Secretary, Treasurer, Immediate Past President or Trustee at any time during 2017.

If you have checked off any of the above, enter 5% on Line F below.

F. NAIFA Leadership Bonus.........................................................................................................................._____________

Professional Education Bonus

Check off all of the following designations or degrees which you currently hold:

❒ LUTCF ❒ CLU ❒ AEP ❒ CASL ❒ CAP ❒ MSFS

If you have checked off any of the above, enter 5% on Line G below.

G. Professional Education Bonus .................................................................................................................._____________

H. Add Lines C through G to determine your total qualification percentage ......................................................_____________

SECTION IV: Application Fee

Application Payment:

$40.00 application fee must accompany application in order to be processed.

❒ Check payable to NAIFA enclosed

❒ Credit Card: ❒ MasterCard ❒ VISA ❒ AMEX

Name as shown on card: _____________________________________________________

Credit Card Number ___________________________________________ Exp. Date _________________________

I hereby attest that all the information presented is correct.

Applicant Signature Date Signed

Please Note: NAIFA may verify qualification information with your company. You do not need to have your company sign this form.

Contributions to NAIFA are not deductible as charitable contributions for federal income tax purposes.

Financial Advising and Investments Qualification

SECTION I: Personal Information

TYPE OR PRINT CLEARLY

NAIFA Member ID Number

Name (Include all designations as they should appear on list of award winners)

Mailing Address

Phone Number

Local NAIFA Association (Awards will be delivered to your local NAIFA Association)

SECTION II: Application Requirements

❒ I am a NAIFA member

❒ I work in the insurance business or other closely related financial service industry

❒ I have provided a letter of Good Standing from a supervising principal or compliance department. A sample letter is available at www.naifa.org/membership/awards/quality-award

❒ I adhere to NAIFA’s Professional Code of Ethics

SECTION III: Qualifications

Eligibility for the NAIFA Quality Award in the Financial Advising and Investments category is based on total assets under management at the end of 2017. Qualifying totals for assets under management vary depending upon the number of years you have been in the industry.

Financial Advising and Investments Qualification

Eligible Production

In determining the amount of your assets under management, include the securities portfolios for which you provide continuous and regular supervisory or management services including annuities, bank deposits and mutual funds based on the current market value of the assets as determined within 90 days prior to this application. Determine market value using the same method you used to report account values to clients or to calculate fees for investment advisory services.

Apply Online

www.naifa.org/awards

Mail NAIFA Quality Award P. O. Box 75057 Baltimore, MD 21275

Fax

Fax to: 703-770-8486

Email

Email to: bbernat@naifa.org

Deadlines

PLEASE COMPLETE THE FOLLOWING:

A. Number of years in the industry................................................................................................................_____________

B. Total of assets under management ..........................................................................................................._____________

If Assets Under Management Total (line B) matches or exceeds the minimum qualifying total for your total years in the industry (line A) and all requirements have been met, the NAIFA Quality Award has been achieved.

(If you qualify using the criteria above, please move to Section IV-APPLICATION FEE.)

MULTIPLIER BONUSES

If needed, the assets under management (AUM) total can be increased based on Multiplier Bonus credits earned. Complete the section below to determine your Multiplier Bonus and final AUM.

Life and Health Production

Produce at least 25 eligible life and health policies in 2016 with 80% persistency for 2017 and multiply your assets under management by 30%.

Eligible policies: Individual Health Insurance; Disability Income; Long Term Care; Critical Illness.

C-1. Number of eligible policies paid for in 2016 ......................................................................_____________

C-2. Number of 2016 eligible policies on which any part of 2nd year premium was paid ............_____________

C-3. Persistency percentage (divide line C-2 by line C-1) ........................................................._____________

If Line C-1 is greater than or equal to 25 and Line C-3 is greater than or equal to 80%, enter 30% on Line C below.

C. Life and Health Production ......................................................................................................................._____________

May 31, 2018 – Applicant must be a NAIFA member in good standing

May 31, 2018 – Application postmarked to NAIFA with $40 application fee

Financial Advising and Investments Qualification

Eligible Production

In determining the amount of your assets under management, include the securities portfolios for which you provide continuous and regular supervisory or management services including annuities, bank deposits and mutual funds based on the current market value of the assets as determined within 90 days prior to this application. Determine market value using the same method you used to report account values to clients or to calculate fees for investment advisory services.

Apply Online

www.naifa.org/awards

Mail

NAIFA Quality Award

P. O. Box 75057 Baltimore, MD 21275

Fax

Fax to: 703-770-8486

Email

Email to: bbernat@naifa.org

Deadlines

May 31, 2018 – Applicant must be a NAIFA member in good standing

May 31, 2018 – Application postmarked to NAIFA with $40 application fee

NAIFA Leadership Bonus

Check off all for which you qualify:

❒ LILI Graduate

❒ NAIFA Local Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA State Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA National President, President-Elect, Secretary, Treasurer, Immediate Past President or Trustee at any time during 2017.

If you have checked off any of the above, enter 10% on Line D below.

D. NAIFA Leadership Bonus.........................................................................................................................._____________

Professional Education Bonus

Check off all of the following designations or degrees which you currently hold:

❒ FSS ❒ CFP ❒ ChFC ❒ CASL ❒ MBA ❒ MSFS

If you have checked off any of the above, enter 10% on Line E below.

E. Professional Education Bonus .................................................................................................................._____________

F. Add Lines C through E to determine your total bonus percentage ..............................................................._____________

G. Increase the total assets under management (line B) by the total bonus percentage (line F) to determine your adjusted assets under management total .........................................................................................._____________

If the adjusted AUM Total (line G) matches or exceeds the minimum qualifying total for your total years in the industry (line A) and all requirements have been met, the NAIFA Quality Award has been achieved.

SECTION IV: Application Fee

Application Payment:

$40.00 application fee must accompany application in order to be processed.

❒ Check payable to NAIFA enclosed

❒ Credit Card: ❒ MasterCard ❒ VISA ❒ AMEX

Name as shown on card: _____________________________________________________

Credit Card Number ___________________________________________ Exp. Date _________________________

I hereby attest that all the information presented is correct.

Applicant Signature Date Signed

Please Note: NAIFA may verify qualification information with your company. You do not need to have your company sign this form.

Contributions to NAIFA are not deductible as charitable contributions for federal income tax purposes.

Health Insurance and Employee Benefits Qualification

SECTION I: Personal Information

TYPE OR PRINT CLEARLY

NAIFA Member ID Number

Name (Include all designations as they should appear on list of award winners)

Mailing Address

Local NAIFA Association (Awards will be delivered to your local NAIFA Association)

SECTION II: Application Requirements

❒ I am a NAIFA member

❒ I work in the insurance business or other closely related financial service industry

❒ I adhere to NAIFA’s Professional Code of Ethics

SECTION III: Qualifications

Code

Eligibility for the NAIFA Quality Award in the Health and Employee Benefits category is based on the total number of lives insured in effect at the end of calendar year 2017.

Please complete the table below to determine your qualifying points. A total of 150 points is needed for qualification for those in the industry for more than three years. For those in the industry three years or less, a total of 100 points is needed for qualification.

(If you qualify using the criteria above, please move to Section IV-APPLICATION FEE.)

If needed, your total points in line C above can be increased based on Multiplier Bonus credits earned. Complete the section below to determine your Multiplier Bonus and final persistency percentage.

If you meet the minimum assets under management level for the number of years you have been in the industry, enter 10% on Line D below.

Multiline Qualification

SECTION I: Personal Information

Name (Include all designations as they should appear on list of award winners)

Mailing Address

Local NAIFA Association (Awards will be delivered to your local NAIFA Association)

SECTION II: Application Requirements

❒ I am a NAIFA member

❒ I work in the insurance business or other closely related financial service industry

❒ I adhere to NAIFA’s Professional Code of Ethics

SECTION III: Qualifications

Eligibility for the NAIFA Quality Award in the Multiline category is based on your ability to write a large number of policies and cross sell additional lines to new and/or existing clients. There are three categories: new life policies, new property & casualty policies, and additional cross-sold policies.

New Life Policies

Eligible policies for Lines A-1 and B-1:

•All annual premium and flexible premium life policies (includes term conversion)

•Single premium life policies

•Renewable term policies

•Payroll deduction and salary savings (individual life policies)

NOTE: YOU MUST COMPLETE LINES E-H TO GET FIGURES FOR LINES A-2, B-2, C-2, AND D-2:

New Life applications for 2017

Multiplier Bonus from line H

Line A-1 by Line A-2 and enter the result on Line A A. Modified New Life applications

B-1. New Life premiums in 2017

B-2. Multiplier Bonus from Line H

Multiply Line B-1 by Line B-2 and enter the result on Line B

B. Modified New Life premiums

If Line A is 40 or greater, please continue to Line C-1. If Line A is 15 or greater and Line B is $20,000 or greater, please continue to Line C-1. If neither condition applies, you do not qualify for the award.

New Property and Casualty Policies

Eligible policies for Lines C-1:

•Fire and allied lines (includes personal and commercial)

•Casualty insurance (includes personal and commercial auto insurance)

C-1. New Property and Casualty policies in 2017

C-2. Multiplier Bonus from Line H

Multiply Line C-1 by Line C-2 and enter the result on Line C

C. Modified New Property and Casualty Policies Total

If Line C is 250 or more, please go to Line D-1. If not, you do not qualify for the award.

Additional Cross-Sold Policies

Eligible policies for Lines D-1:

•All policies listed as eligible in qualification on Line C-1 above

•Individual policy pension plans and deposit administrated pension plans

•Annuities, annual, flexible and single premium policies

•Individual disability income policies (guaranteed renewable and/or non-cancelable)

•Individual health insurance policies (major medical and long term care)

Multiline Qualification

Eligible Production

New Life Policies Eligible

• All annual premium and flexible premium life policies (includes term conversion)

• Single premium life policies

• Renewable term policies

• Payroll deduction and salary savings (individual life policies)

New Property and Casualty Policies Eligible

• Fire and allied lines (includes personal and commercial)

• Casualty insurance (includes personal and commercial auto insurance)

Additional Cross-Sold Policies

Eligible

• All policies listed as eligible in New Property and Casualty Policies above

• Individual policy pension plans and deposit administrated pension plans

• Annuities, annual, flexible and single premium policies

• Individual disability income policies (guaranteed renewable and/or noncancelable)

• Individual health insurance policies (major medical and long term care)

Apply Online www.naifa.org/awards

Mail NAIFA Quality Award P. O. Box 75057 Baltimore, MD 21275

Fax Fax to: 703-770-8486

Email Email to: bbernat@naifa.org

Deadlines

May 31, 2018 – Applicant must be a NAIFA member in good standing

May 31, 2018 – Application postmarked to NAIFA with $40 application fee

Multiline Qualification

Eligible Production

New Life Policies Eligible

• All annual premium and flexible premium life policies (includes term conversion)

• Single premium life policies

• Renewable term policies

• Payroll deduction and salary savings (individual life policies)

New Property and Casualty Policies Eligible

• Fire and allied lines (includes personal and commercial)

• Casualty insurance (includes personal and commercial auto insurance)

Additional Cross-Sold Policies

Eligible

• All policies listed as eligible in New Property and Casualty Policies above

• Individual policy pension plans and deposit administrated pension plans

• Annuities, annual, flexible and single premium policies

• Individual disability income policies (guaranteed renewable and/or noncancelable)

• Individual health insurance policies (major medical and long term care)

Apply Online

www.naifa.org/awards

Mail

NAIFA Quality Award

P. O. Box 75057 Baltimore, MD 21275

Fax Fax to: 703-770-8486

Email Email to: bbernat@naifa.org

Deadlines

May 31, 2018 – Applicant must be a NAIFA member in good standing May 31, 2018 – Application postmarked to NAIFA with $40 application fee

D-1. Additional policies cross-sold in 2017 of an additional line for new and/or existing clients. (not an increase over the 250 applications necessary for qualification on Line C above)......................................................._____________

D-2. Total Multiplier Bonus from Line H ......................................................................................._____________

Multiply Line D-1 by Line D-2 and enter the result on Line D

D. Modified Additional Cross-Sold Policies Total ............................................................................................_____________

If Line D is 100 or greater (and you have met the criteria in sections A-C above) and if all requirements have been met, the NAIFA Quality Award has been achieved.

(If you qualify using the criteria above, please move to Section IV-APPLICATION FEE.)

MULTIPLIER BONUSES Please complete the following:

Assets Under Management Bonus

Total of assets under management ................................................................................................._____________

Number of years in the industry ......................................................................................................_____________

Years in industry Assets Under Management

1-2 .................................................not eligible

3-5 .................................................$1 million or more

6-10 ...............................................$2.5 million or more 11-15 .............................................$3.75 million or more

16-20 .............................................$5 million or more 21+ ................................................$6.25 million or more

If you meet the minimum assets under management level for the number of years you have been in the industry, enter 0.1 on Line E

E. Assets Under Management Bonus ............................................................................................................_____________

NAIFA Leadership Bonus (Check off all for which you qualify)

❒ LILI Graduate

❒ NAIFA Local Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA State Association Officer, Board Member of National Committeeperson at any time during 2017.

❒ NAIFA National President, President-Elect, Secretary, Treasurer, Immediate Past President or Trustee at any time during 2017.

If you have checked off any of the above, enter 0.1 on Line F below.

F. NAIFA Leadership Bonus.........................................................................................................................._____________

Professional Education Bonus (Check off all of the following designations or degrees which you currently hold)

❒ LUTCF ❒ ChFC ❒ CLU ❒ CPCU ❒ CIC

If you have checked off any of the above, enter 0.1 on Line G.

G. Professional Education Bonus .................................................................................................................._____________

Total Multiplier Bonus

H-1. Add lines E-G ....................................................................................................................._________

H. Add line H-1 to 1.0 to determine your total multiplier bonus. (enter this number on lines A-2, B-2, C-2 and D-2 above) ......................................................................._____________

SECTION IV: Application Fee

Application Payment: $40.00 application fee must accompany application in order to be processed.

❒ Check payable to NAIFA enclosed

❒ Credit Card: ❒ MasterCard ❒ VISA ❒ AMEX

Name as shown on card: _____________________________________________________

Credit Card Number ___________________________________________ Exp. Date _________________________

I hereby attest that all the information presented is correct.

Applicant Signature Date Signed

Please Note: NAIFA may verify qualification information with your company. You do not need to have your company sign this form.

Frequently Asked Questions

Q Why has NAIFA developed the NAIFA Quality Award?

A First and foremost, the NAIFA Quality Award was developed to provide an opportunity for ALL NAIFA members to be recognized for excellence. The former Industry Awards included little or no opportunity for NAIFA members focused on financial advising and investments or health and employee benefits to achieve the award. The NAIFA Quality Award provides achievement criteria for every practice specialty: Life & Annuities; Health & Employee Benefits; Multiline Sales and Financial Advising & Investments.

Additionally, the NAIFA Quality Award production criteria allow applicants to earn points towards recognition in multiple practice specialties. This ensures the NAIFA Quality Award represents the many varied practices of NAIFA members.

Q How do these awards compare to the previous NAIFA Industry Awards?

A

The NAIFA Quality Award Life & Annuities Specialty criteria and the NAIFA Quality Award Multiline Specialty criteria are very similar to the former NAIFA Industry Awards. The NAIFA Quality Award also provides an opportunity for NAIFA members with practices focused on health and employee benefits, financial advising and investments or a combination of specialties to qualify for the award. Previous recipients of the National Quality Award are likely to find you qualify for the NAIFA Quality Award Life & Annuities Specialty. National Sales Achievement Award recipients are likely to find you qualify for the NAIFA Quality Award Life & Annuities Specialty as well. National Multiline Sales Award recipients will find you now qualify for the NAIFA Quality Award Multiline Specialty.

Q Is the NAIFA Quality Award an award for high levels of production?

A No. While achieving substantial and measurable performance in production is a contributing criterion in achieving the NAIFA Quality Award, it is by no means the only measure of an advisor. The NAIFA Quality Award also recognizes an advisor’s commitment to professionalism through education and earned designations; a commitment to quality service as exhibited through persistency and letters of recommendation, a dedication to your industry and your association through NAIFA volunteer leadership and stated commitment to NAIFA’s Code of Ethics. The NAIFA Quality Award is not just about production. It is a mark of overall excellence an advisor can proudly share with colleagues and clients.

Q I am a new advisor. Will I be able to achieve the NAIFA Quality Award?

A Certainly any advisor will need some track record of achievement before they can qualify for the NAIFA Quality Award, but the criteria for the award have been carefully crafted to allow adjustment based on the length of time an advisor has been in the business. The goal is to ensure the award is a meaningful representation of quality for an advisor at any career stage.

Q My company has always handled my application for NAIFA Industry Awards. Will they continue to submit my application for the new NAIFA Quality Award?

A Many companies will work with NAIFA to confirm their advisors meet the award criteria, others will contact their advisors to alert them to their award eligibility and other companies will even pay the award application fee for their advisors who qualify for an award. In developing the NAIFA Quality Award, NAIFA worked closely with companies in each of the practice specialties to create an award that will be meaningful to companies as well as individual advisors. The expectation is that companies already committed to NAIFA Awards will continue with the NAIFA Quality Award. The hope is the appeal of the NAIFA Quality Award to advisors from every practice specialty will provide opportunities for even more companies to become involved in the award program.

Q What is the value to me of receiving the NAIFA Quality Award?

A Our companies and our industry have many awards available to us as insurance and financial advisors. The unique value of the NAIFA Quality Award is that the award distinguishes advisors who have demonstrated a dedication to quality service to clients, education and development, solid production, voluntary service to the industry and adherence to ethical conduct. This combination makes the NAIFA Quality Award a mark of excellence that even the most humble advisor should share with his/her clients. And, when the award is shared with clients, the NAIFA Quality Award and the NAIFA name will become synonymous with excellence in the industry. When NAIFA is recognized as the mark of quality in an advisor, it is good for the advisor, it is good for your association and it is good for consumers.

The NAIFA Quality Award offers award qualification options for all NAIFA members from every practice specialty: • Life Insurance and Annuities • Financial Advising and Investments • Health and Employee Benefits • Multiline Combinations of Multiple Specialties Demonstrate your commitment to excellence and share the mark of distinction… The NAIFA Quality Award… with your colleagues and your clients.

financial planning

Preparing Millennials for a Bright Financial Future

This article offers some helpful hints to help you get started on this important task.

©ISTOCK.COM/MONKEYBUSINESSIMAGES

By Andrew E. Crowell

Millennials are now the nation’s largest generation in history, supplanting baby boomers who are entering their retirement years by the thousands every day. This shift is giving way to one of the largest intergenerational wealth transfers in history, estimated to be as much as $30 trillion.

With this transfer of wealth comes increasing financial accountability for millennials, as well as the essential question of how advisors should best prepare this new generation of clients for a bright financial future and the eventual transfer of assets.

All too often, this sensitive topic is the proverbial “elephant in the room” that rarely gets discussed or even mentioned in meetings. While sharing too much specific information early on might indeed be problematic or even a mistake, experience shows that beginning this conversation in a general way, using plain English and avoiding financial jargon, can be a helpful “ice-breaker” strategy for this group.

Beginning the conversation

One way that advisors can broach the topic is by developing a financial mission statement with clients. This activity of defining “Who are you?” and “What is important to you and your family?” helps identify the millennial client’s values and passions and permits the advisor to understand what makes the client tick. This, in turn, will better equip advisors to help their clients achieve their goals.

Furthermore, this approach keeps the focus away from the “How much?” and “When?” and instead redirects the discussion toward the “What’s important?” and “How?” questions. Rather than stopping at simply the amount and disposition of assets, this activity gets deeper to the heart of what the clients’ values are and how they hope to perpetuate these values into the futu re.

Understanding their concerns

A well-documented concern of many millennials is the importance of a work-life balance. Advisors should address these concerns by tackling topics that are important to them in that regard. This can include advising them on how to save enough money to take a one-year sabbatical, best practices for taking advantage of employer matches,

or making sure their portfolios are positioned correctly in order for them to retire at a suitable age, with savings that will allow them to live the lifestyle to which they are accustomed.

Research shows that millennials ascribe high value to retirement savings and routinely rank it at or near the top of their financial priorities. At the same time, they are looking to find fulfillment and make a difference in the world. Engaging in conversations about how taking control of their personal finances can help them achieve both of these objectives for the long term can be beneficial in closing the gap between financial and emotional fulfillment.

Millennials wholeheartedly embrace technology; so it’s important that their advisors adopt it as well.

Millennials also tend to become anxious about finances; so sharing ideas on how to save, how to invest and how to budget are all practical ways to continue the dialogue.

Finally, the technological tools and resources available today can be effective methods to keep millennials actively engaged in their own long-term planning process and can help pave the way for a more responsible and financially astute client.

Millennials wholeheartedly embrace technology; so it’s important that their advisors adopt it as well. From electronic calculators to portfolio tracking software to mobile friendly account websites, the internet is replete with helpful information and resources to spark and encourage this conversation.

The goal of advisors who want to prepare their millennial clients for financial literacy and independence should be to encourage an ongoing dialogue with them. These conversations should be initiated early on, and often. Much like how a fitness app helps track health progress, this dialogue will help millennials keep track of their financial “health” and ensure a future of sound financial decisions.

Andrew Crowell is Vice Chairman of D.A. Davidson & Co.’s Individual Investor Group.

financial planning | wealth management

The Biggest Unmet Need for Consumers

In retirement, income planning and tax advice are the biggest unmet needs.

As old rhythms of life fall by the wayside, goals-based wealth management is emerging as a means to accommodate competing life goals—like saving for a new home or a child’s college education.

A new report reveals the biggest unmet consumer need among nine components in a goals-based wealth management program and the growing role of the spouse in retirement planning, according to Hearts & Wallets, the source for retail investor data and insights.

Retirement Income to Goals-Based Wealth Management provides a roadmap to transition from retirement income plans to goals-based wealth management using a consumer-oriented mindset. The report assesses the state of retirement income plans, plan status, inspirations and components through the eyes of older affluent consumers (age 53 years and older with $100,000+ investible assets), grouped by life stage, wealth group and customers of major firms. The report provides a point-in-time window into the state of goals-based wealth management at different firms and identifies customer demand for plan components within the categories of planning, investment and management.

Written by Hearts & Wallets, the report is one of the company’s Timely Topics, which cover new research on current industry themes, debates and emerging issues. The ideas and analysis are drawn from the latest fielding of the Hearts & Wallets Investor Quantitative™ Database (IQ™ Database).

Consumer engagement with traditional “retirement income planning” has declined over the past few years as households juggle multiple financial goals and grapple with when to stop full-time work, the report notes. In 2008, 82 percent said they had a “written plan” or “a solid idea,” in comparison to 73 percent in 2016. As old rhythms of life, from pensions to firm retirement dates, fall by the wayside, goals-based wealth management emerges as a means to accommodate competing life goals, like saving for a new home or a child’s college education, and new lifestyles.

Of nine plan components, consumer need for a traditionally key component—“recommended selection of investments that will generate income in retirement”—has declined over time, even as demand has increased for other program components. The biggest unmet consumer need is “recommendations for minimizing taxes.” Only 21 percent of consumers cite a need for investment selection, in comparison to 44 percent who say tax advice is

an unmet need.

“The best plans holistically address the goals of the consumer rather than the firm’s goal to grow assets for retirement,” Laura Varas, CEO and founder of Hearts & Wallets, said. “This mind shift creates the opportunity to transition robust retirement framework to goals-based wealth management and address unmet needs.”

Before retirement, other pressing life goals eclipse retirement. In part, this shift is related to the changing nature of work and the growing disconnect between retirement savings programs and the employer. After retirement, consumers focus more on investment goals, with consumers of different asset classes having different goals.

Spouses becoming more important

Although “started thinking more about retiring” remains the most common inspiration for planning towards goals, the most surprising trend is that spouses are becoming more important, while advisors are decreasing in importance. The influence of “my spouse” jumped across all asset levels and across the industry in the survey. Spouses remain more influential than employers although the influence of the employer is higher at firms with strong defined-contribution businesses.

“Financial firms could engage customers more by focusing on the role of the spouse and the services that consumers want the most,” Varas said. “Some firms already are doing a great job, as we are seeing in our quantitative research and our benchmarking of advice and guidance experiences. Success can be achieved by planning at the household level, including spouses and partners, and offering components that recognize the consumer desire to manage various aspects of the retirement income.”

Retirement Income to Goals-Based Wealth Management is a timely topic insight module report that analyzes consumer attitudes and behaviors and analyzes the customer ratings for 19 big banks, brokerages, employer and mutual fund firms cited most often by over 5,000 participants in the most recent fielding of the Hearts & Wallets Investor Quantitative Database™ (IQ Database™), which contains over 40,000 households since 2010.

financial planning Effects of the Great Recession

Most study respondents said the financial crisis had no impact on their lives, though many are avoiding the market and have changed their spending and savings habits.

DENISE TORRES/SHUTTERSTOCK

By Ayo Mseka

Data released late last year by Hartford Funds reveal that a decade after the Great Recession, Americans are unclear how the economic event impacted their lives and financial behavior.

Although the majority (40 percent) of survey respondents said that the financial crisis had no impact on their lives, large numbers reported that they avoid the market (42 percent) and have altered their spending and savings habits (46 percent). Others (26 percent) have shifted their retirement timeline and plan to work longer then they’d hoped. In all, 25 percent had to change jobs or take on additional jobs.

“Americans are forgetting what it felt like during those challenging times of 2008-2011,” said John Diehl, Senior Vice President of Strategic Markets at Hartford Funds. “These results signify that advisors should continue to remind clients that markets can get turbulent, so they should steer clear of emotional investments and kneejerk reactions by maintaining a fundamentally diversified portfolio to help them achieve their long-term financial goals.”

When asked about preparation for the next recession or market downturn, almost half (43 percent) of respondents said they are taking a wait-and-see approach to the markets. Nearly a fifth of Americans (17 percent) are confident in their investments and aren’t touching their portfolios to prepare for the next recession or market downturn, while a mere 21 percent are increasing their investments to take advantage of the upside.

“When most investors say they’re taking a wait-and-see approach, that usually means that things have been so good for so long that there is no need to review where their investments stand, other than to open statements and be happy that values are up,” said Bill McManus, Director of Strategic Markets at Hartford Funds. “We see an opportunity to educate investors who may be at a standstill about the benefits of perspective and direction from a financial advisor.”

Millennials’ lack of trust

There is a clear demographic divide across market perspectives and actions. One quarter (23 percent) of Americans are withdrawing cash from their investments to prepare for the next recession or market downturn. Results indicate that those who make more money (household income of over $75,000) are more likely to liquidate and stockpile their cash than those who make less than $75,000. Millennials are hoarding more cash

than any other generation, with more than a quarter (26 percent) taking money out of the market for cash savings.

Millennials, for whom the financial crisis took place during their formative job-seeking years, also have the least amount of trust in the market today, with almost half (48 percent) avoiding the market altogether. This generation continues to prepare for the worst, as nearly a quarter of them (24 percent) have already shifted their retirement timeline and plan to work longer than originally anticipated. Thirty-eight percent are also trying to compensate for this delay by increasing their retirement savings in traditional retirement vehicles.

Millennials, for whom the financial crisis took place during their formative job-seeking years, also have the least amount of trust in the market today, with almost half avoiding the market altogether.

“Outside of Millennials, Americans are overconfident. Index investing has been wonderful because all of the indexes have been up since March 2009, but when the market turns, investors need to be intentional about what they own and why,” Diehl added.

Additional information on navigating client discussions and the future of financial advice can be found on Hartford Funds’ website.

The following describes the methodology used for the ORC International Telephone CARAVAN® survey, conducted from Oct. 12-15, 2017: The study was conducted using two probability samples: randomly selected landline telephone numbers and randomly selected mobile (cell) telephone numbers. The combined sample consists of 1,006 adults (18 years old and older) living in the continental United States. Of the 1,006 interviews, 506 were from the landline sample and 500 from the cell phone sample.

managing your practice

Closing the Diversity Gap in the FinancialAdvisory Industry

Here are some strategies that have worked for the financial firm, Edward Jones.

©ISTOCK.COM/ANDREYPOPOV

Monica Giuseffi, MBA

Every day, financial advisors help clients prepare for the future. Now it’s the industry’s turn to prepare for the road ahead.

The business of managing wealth is changing. Women and ethnically diverse investors are poised to play a more significant role, bringing with them unique needs and priorities. It is more important than ever for the financial industry to proactively learn how to better serve these investors.

Over the next 40 years in an unsurpassed wealth transfer of more than $41 trillion, women will inherit 70 percent of the estates, according to Boston College’s Center on Wealth and Philanthropy. Women often approach investing differently than men. For example, they tend to be more relationship driven and more focused on what they can do with their investments (e.g., care for their families) than on a dollar amount.

While relationships with a financial advisor are not necessarily gender-based, there’s still a bias among many women. In a recent poll, two-thirds of women prefer to work with a female financial advisor. With women representing only 31 percent of financial advisors industry-wide, according to The Bureau of Labor Statistics, we are not prepared to handle that preference.

Meanwhile, the ethnically diverse population is growing. The U.S. Census Bureau states that by 2044, the white population in the U.S. will become the minority, and the collective of diverse populations—Hispanics, African Americans, Asians, etc.—will be the new majority. Cultural nuances around family and community connections, as well as risk tolerance and trust, impact the relationship they have with money.

Building the pool of diverse financial advisors involves both effective recruiting and retention.

Today, ethnically diverse groups have a collective $4 trillion in buying power, according to the U.S. Department of Commerce. Yet, they are underserved. Effectively approaching them requires a deeper knowledge of their needs and concerns.

The U.S. labor force is also tilting toward more diversity. More than half of accountants, pharmacists and

forensic scientists are women, as are 65 percent of college graduates. Similarly, millennials (those in their 20s and 30s) will soon constitute 75 percent of the workforce, and two out of every five millennials are culturally diverse.

Regardless of gender or ethnicity, investors who work with a financial advisor receive an average 3 percent increase in the value of their portfolios, according to a study from Vanguard Funds, titled Advisors Alpha. It’s a grassroots effect; when individual investors succeed, they help strengthen our nation’s economy. As an industry, it is our responsibility to continue to serve investors inclusively in order to support opportunities for personal economic growth.

Why the diversity shortage

Many of the challenges our industry has in recruiting women and diverse candidates can be overcome. For starters, there’s a risk aversion during the early years because of the commission-based income. Recognizing this, many firms have restructured compensation plans to provide a fixed salary in the years it takes for financial advisors to build their businesses.

A second issue is that there appear to be few women and/or diverse role models. This optic is not one that suggests women or diverse financial advisors will flourish and rise to the top ranks.

Finally, candidates may not grasp the honor in pursuing a career as a financial advisor. Movies and headlines tout greed and corruption rather than the difference advisors make. Financial advisors help set individuals on a path to a dignified retirement, help send kids to school and help them advance socioeconomically.

The way forward

Building the pool of diverse financial advisors involves both effective recruiting and retention. Here are some strategies that have worked for Edward Jones.

• Combat the optics. We bring together 50 to 100 successful women and diverse financial advisors and firm leaders for recruiting and networking events throughout the year. The energy is high, and women, diverse financial advisors and senior leaders are accessible. For candidates at recruiting events, this means seeing their potential from the eyes of others like them. For new financial advisors at networking events, there is access to peer-to-peer support.

• Highlight the importance of the work. The Edward Jones Opportunity presentation delivered to business and civic organizations features not just the work, expectations and compensation, but also the value of the work we do for clients. According to Research in Organization Behavior, finding meaning in one’s work has been shown to increase motivation, engagement, empowerment, career development, job satisfaction, individual performance and personal fulfillment, and to decrease absenteeism and stress.

• Set objectives around qualified candidates, hiring and retention, and measure them. Review results regularly and strategize what works and where to improve. Be flexible to make changes as needed.

The road forward in closing the diversity gap within the financial-services industry, like investing itself, requires a steady, systematic approach with a long-term vision.

Monica Giuseffi, MBA, began her career with Edward Jones in August 2001. After serving as a financial advisor in Atlanta, she relocated to the St. Louis headquarters in 2016 to assume responsibility for Branch Team Inclusion & Diversity. She was named a principal with the firm in 2016.

products | long-term-care insurance

New Indexed Universal Life Policy Debuts

By Ayo Mseka

Global Atlantic Financial Group, a company focused on the U.S. retirement and life insurance markets, recently launched Lifetime Builder Elite, a new flagship accumulation-oriented indexed universal life insurance (IUL) policy. According to the company, Lifetime Builder Elite offers policyholders a compelling, industry-first loan option, as well as pricing enhancements and greater flexibility, improving upon one of the industry’s best-selling designs.1

“We looked at the marketplace and asked what it would take to deliver an elite indexed universal life product,” said David Wilken, President of the life insurance business at Global Atlantic. “With its innovative feature set and top-tier pricing, Lifetime Builder Elite is our answer.”

A new Linked Loan option leads Lifetime Builder Elite’s feature enhancements. Loan interest linked to index performance gives clients the potential to earn more interest than is charged while limiting the net cost to a maximum of 2 percent. “Linked Loans carry on our heritage as an IUL innovator. Customers no longer have to choose exclusively between the downside protection of a fixed loan and upside potential of variable loan for their borrowed funds,” Wilken says. “A Linked Loan provides elements of both.”

Other enhancements include a 1 percent guaranteed account value enhancement starting in policy year five, as well as the ability to transfer between interest crediting strategies on crediting dates rather than just upon termination of an index segment period.

Lifetime Builder Elite is issued by Accordia Life and Annuity Company, a subsidiary of Global Atlantic Financial Group. The product is available in most states through licensed independent life insurance agents.

1 Based on Wink Sales and Market Reports, 1998-2016

New Business Tools Streamline LTCI Sales Process

Genworth Financial, Inc. recently launched an eSuite of new business tools, an end-to-end electronic process designed to simplify and expedite new long term care insurance(LTCI) applications and increase producer efficiency. This electronic process reduces cycle time from application signature to policy in-force date by 20 days, making the sales process fast, easy and convenient for producers and their clients, according to the company.

The eSuite of new business tools is more robust than a fillable PDF. It includes:

• eApp, an interactive tool that guides producers through the application, ensuring they answer exactly what is needed before they complete the sale. Once complete, the producer can rest easy knowing the application is in good order.

• eSignature, which permits clients and producers to electronically sign and submit applications to the home office in real-time, a step that previously took up to eight days.

• eScheduling, which provides producers the ability to schedule underwriting interviews on their clients’ behalf, saving clients another extra step.

• Lastly, ePolicy delivery, which gives clients the opportunity to review and approve their policy electronically, reducing policy delivery time from weeks to as little as one day.

“The eSuite of new business tools illustrates Genworth’s continued efforts to transform the long term care insurance sales process by providing a new level of speed, accuracy and convenience,” said David O’Leary, president and CEO of Genworth’s US Life Insurance division. “Simplifying and streamlining the policy application process is an important part of our efforts to make long term care insurance more accessible to customers and getting them covered faster.”

Producers already using the eSuite of tools have found it provides a simpler, expedited sales experience that is easy to navigate. It also brings convenience and efficiency to producers who work remotely or do not live near their clients through the ability to share screens.

“Combined with our best-in-class claims service and a redesigned underwriting process, the eSuite of business tools will provide distributors, advisors and consumers a superior, differentiated experience in each step of our

relationship,” O’Leary said.

The eSuite tools are available with Genworth’s Privileged Choice ® Flex 3 and ElementSM long term care insurance products.

Producers can learn more about Genworth’s eSuite of new business tools at https://www.genworth.com/salescenter/sales-support/quoting-tools/esuite.html

March/April 2018 Issue COVER STORY

DI Strategies That Will Propel You to Success

FEATURES

Looking for Prospects in All the Right Places

Selling to Seniors

PRODUCT SPOTLIGHTS

DI Insurance

Long-Term-Care Insurance

Reset Your Mind for 2018

Take steps now to make 2018 your best year yet!

©ISTOCK.COM/ALEXSL

Juli McNeely, CFP, LUTCF, CLU

Setting a theme to focus on throughout the year will allow you to have a better chance of making a significant change.

Welcome to a New Year! Each time we flip our calendars from December to January, we have an opportunity to reset our minds and focus on where we want to be in a year from now. For me, it is always a time to clear my mind, evaluate the past year and refocus on the year ahead. It’s time to write my plan and set the strategies that will help me achieve my goals.

How do you welcome the New Year? Don’t just let it pass like another sunrise. Take this opportunity to set yourself up for success. The lessons from the past can help you mold the future. So why not take the steps to make 2018 the best year yet?

The Theme— Each year I set a theme. Sometimes it’s a personal theme and sometimes it’s a business theme or both. My personal theme for 2018 is to be intentional. Intentional with my thoughts and actions. No longer living life out of habit but out of intention. As I write this, my year hasn’t even started and I’m already anticipating how making intentional decisions will allow me to find even more success.

My business theme for 2018 is to get my clients organized. Many people don’t take the time to document where they are financially and to truly understand what they have and where they fall short. As advisors, we can do more than just sell a single product. We can help our clients make sure they have their bases covered should something unforeseen occur.

So, what is your theme for 2018? Do you need to create more processes in your office so that you can more efficiently serve your clients? Do you need to find more balance in your life? Setting a theme to focus on throughout the year will allow you to have a much better chance of making a significant change.

The Plan —Don’t just wing it. Write a business plan for the year. We use the One Page Business Plan in my office. Each person, including support staff, writes their plan for the year. This doesn’t need to be a lengthy or a daunting task. You simply need to document what you are measuring to reach your goals, what strategies you will utilize to make the goals happen, and the high-level, to-do list for the year. Without a plan you won’t know when you have arrived at your goal.

The Follow-Up —Measuring and tracking your results will help you make adjustments along the way. If you have done a good job of writing the plan and determining the strategies that will get you results, then the tracking will show you how you are doing. For example, if you know that getting referrals is key to reaching your goal of obtaining new clients or growing your insurance sales or assets under management, then tracking the number of referrals you receive would be a wise idea. If your referral tally is not on track, then reaching your goal will be more difficult. Hopefully, that’s a reminder to make the “ask” or come up with a creative strategy to get more referrals.

The Accountability —Don’t go it alone. If others know what your goals are and see your progress, it can only help you to become more accountable. In our office, we share our plan and review our progress monthly. You may also have a mentor that you can share with or a study group. Regardless of what method you choose, allow others to hold you accountable and strategize about how to obtain the results you are looking for.

I’m looking forward to a great 2018. I hope you are, as well. I wish you great success!

A 21-year veteran of the financial-services industry, Juli McNeely, LUTCF, CFP, CLU, is president of McNeely Financial Services in Wisconsin. She is past president of NAIFA, having served as the first female president. She is also a member of MDRT and is affiliated with Woodbury Financial Services. You can reach her at juli@mcneelyfinancial.com

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A5795 (7/17)

Edited 12/17