Lead Generation in Final Expense Insurance: What It Is + 20 Effective Strategies

Generating leads remains a pillar of any business’s continuous growth and success. It is what brings in new customers that contribute to the overall revenue. Nurtured leads might convert into paying customers.

Generating leads for final expense insurance can be quite challenging as some people might find it odd or uncomfortable to talk about because it is about an event of someone passing away with its funeral or burial expenses. Also, the final expense insurance market is highly competitive.

To overcome these challenges, here are 20 effective strategies for lead generation in final expense insurance that can help increase your sales and grow your business.

What Is Final Expense Insurance?

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Final expense insurance covers end-of-life expenses like memorial services, casket and other related fees. Obtaining this “burial/funeral expense” insurance ensures that loved ones will not feel additional financial strain during these difficult times, as the average funeral cost (viewing and burial) is almost $8000 as of 2021, according to the National Funeral Directors Association.

Here is the breakdown of the funeral costs:

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With the final expense insurance, it provides financial support to the bereaved family, providing them peace of mind about future expenses.

 

Understanding Lead Generation Strategy in Final Expense Insurance

A lead is someone who shows interest in a product or service. It is commonly heard in businesses after an offer has been made.

Lead generation aims to convert interest into sales by acquiring prospects first for the business and nurturing their interest in a product or service. Lead generation is part of the second stage of inbound marketing – where an audience is already attracted and is ready to convert into leads for sales.

In digital marketing agencies, there are several ways to generate leads. It can be providing valuable and informative content to attract and retain target audiences, optimizing land pages or doing email marketing.

Lead generation can also work in the insurance industry, particularly final expense insurance.

 

Types of Final Expense Insurance Leads

There are five different types of final expense insurance leads: aged leads, direct mail, warm transfer, digital and telemarketing.

• Aged Leads: It is a good source of leads, especially for new agents. These leads have already been marketed to before, so that’s why they are less expensive. You will make use of a script to market on those aged leads. You may not convert all of the aged leads, but some will be possible. So, take time to market on those that show interest.
• Direct Mail: It can be a good source of final expense insurance sales. The mail is sent to everyone, providing a bigger chance of it getting read. It works best if you personalize it to the right audience.
• Warm Transfer: These calls are transferred live to you from a customer service representative of a call center. This lead already showed interest and is already on the line. It is a great source of sales as they already know about your product, and all you need to do is provide additional information and close the deal.
• Digital: 50% of insurance searches are done on mobile devices. As social media grows in popularity daily, you may take advantage of this to build your digital presence. You can use YouTube or Facebook pages if you have any and purchase ads to target your market.
• Telemarketing: It is the traditional method of lead generation. It is a call made to your prospective customers to inform them about your product. It is important to have a script ready and be prepared to answer any questions they may have.

You may use a mix of these types to maximize sales and grow your business, as it helps you reach potential customers.

 

How to Generate Leads for Final Expense Insurance — 20 Strategies

Some insurance agents face significant challenges when performing lead generation strategies. Nearly 70% of insurance consumers do not have a company in mind. They tend to run a search before converting, so there is high competition.

The guide listed below can help you get more quality & new leads to maximize outreach and conversion rates. Here are some strategies for generating final expense insurance leads:

 

1. Understand the Market and Build a Sales Funnel

Your market is the key to your success in generating leads for final expense insurance. They are the people who are willing to invest in your product. To understand your market, you need to do thorough research and have a deep understanding of certain aspects, like demographics, pain points, income levels, interests, and behaviours, to build a sales funnel that targets them effectively.

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The sales funnel consists of stages: top, middle and bottom of the funnel. The top of the funnel is about building awareness. It will be the first interaction where establishing a sense of trust is a must.

Visitors will likely explore options at the middle of the funnel. Offering a solution or something valuable can push them to convert.

Once leads are able to reach the bottom of the funnel, they are already prospects. They are already considering to purchase. Always reassure them that your product is the best solution for them.

Understanding these stages helps you guide leads into conversion and make sales.

 

2. Target the Right Audience for Lead Generation

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To identify the target audience for final expense insurance, include age, income, and lifestyle factors. As final expense insurance is meant to cover funeral or burial expenses, there are specific demographics who can benefit, like people in the age group 48 – 75 years old and those with income who can afford the premium.

Tailoring your marketing efforts with these demographics enables personalization of messages and approaches, increasing the chance to convert leads into sales. According to marketers and executives, there is an increased effect on sales and profits when using personalized efforts.

 

3. Improve and Optimize Your Website Content

74% of consumers research about purchasing insurance online. So, it is important to optimize your website content to increase visibility. Professionally written content answers common questions prospects may have about. This high-quality and compelling content can attract and engage potential leads.

For final expense insurance, optimizing your website include:

• Perform regular website audits to identify areas that need improvements.
• Develop focused, conversion-oriented landing pages specifically for final expense insurance.
• Place CTAs on your website to encourage visitors to learn more and request quotes.
• Prioritize content development based on your funnel.

 

4. Utilize and Advertise on Social Media Platforms

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In the year 2023, consumers are likely to be interested in buying life insurance online rather than in person. Facebook emerged with 62% of the insurance information, and YouTube has 58%.

Campaigns on social media platforms engage with more customers, which enables direct responses to customer comments, questions, and complaints, enhancing customer experience and engagement. It helps build brand trust and loyalty, leading to more leads and conversions.

 

5. Design and Optimize Your Landing Pages

Landing pages are crucial in guiding visitors towards becoming leads, acting as a funnel point that captures interest. The conversion will take place on a landing page with the help of CTA.

To ensure that prospects will complete the desired action, create a visually appealing and optimize your landing pages:

• Provide clarity and conciseness in your message
• Use relevant keywords in page titles, headlines, and body copy for search engine optimization
• Utilize effective visual design
• Keep the layout easy to navigate
• Include testimonials to build trust and credibility
• Provide a clear and strong CTA button prominently displayed

 

6. Targeted Direct Mail Campaigns

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Direct mail marketing is giving postcards, letters or flyers to customers to get them interested in your final expense insurance business and increase leads.

Make sure your mailing lists are accurate and up-to-date records so that you will not waste resources on sending marketing materials to incorrect or outdated addresses. Highlight the benefits and include a persuasive call to action to prompt action.

 

7. Build a Strong Referral Network for Leads

A strong trust of customers in a brand urges them to recommend it to a friend or a family member. Ideally, consumers trust referrals from acquaintances and peers more than traditional advertising because they instinctively trust first-hand experiences from the people they know.

To build a strong referral network to obtain leads, you may offer referral bonuses for existing clients who can refer new customers to your business. This will incentivize your existing clients to spread the word about your final expense insurance business.

 

8. Strategic Cold Calling or Telemarketing

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Cold calling helps build a one-on-one interaction and connection to your prospect. Cold calling can be an effective strategy for final expense insurance to reach out to potential customers who may not have heard about the business through referrals.

However, with the rise of online scammers these days, cold calling doesn’t get enough responses compared to before. But you can make it effective with the best practices:

• Research your list of prospects
• Provide a clear message in your script
• Personalize your approach
• Call at the right time – weekdays, during business hours (may test different times to know when is it most effective)
• Keep conversations short by focusing on the specific goal
• Use tools to track call outcomes

 

9. Host Webinars or Seminars

In the digital age, people opt for an interactive and convenient way to learn about a product or service. Webinars can provide that. Similarly, seminars help you collect information about your target audiences’ interests, pain points and needs that can be used to personalize your effort to generate leads.

Hosting webinars or seminars starts with a compelling topic as the foundation. The topic should be interesting and relevant to attract attendees and keep them in the webinar or seminar, increasing your chance of generating leads.

Promote your webinar to the right audience and keep them engaged during the webinar. Engaged people are more likely to take action.

 

10. Establish Partnerships

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Searching for prospects can be challenging, but establishing a partnership can help you. Businesses that cater to a similar demographic to yours, such as retirement communities, senior centres, funeral homes, or other insurance agencies, offer pre-established rapport with your ideal client. By forming a partnership, you can also tap into their audience and connections, giving you a greater chance for potential leads.

Approaching businesses that you want to create partnership with is important, so do it professionally. Provide them with the benefits of partnering with your final expense insurance business, including how leads will be exchanged, how communication will be handled, and any compensation agreements.

 

11. Implement Retargeting Ads to Re-Engage Visitors

Retargeting or remarketing ads allow you to re-engage potential leads and keep your brand top-of-mind of those who have previously shown interest in your services.

Personalize your ads for your potential leads using the data from previous interactions. Be careful not to bombard them with too many ads, as it can lead to ad fatigue and less engagement.

 

12. Offer Free Consultations or Quotes to Prospects

Free consultations or quotes make leads more likely to convert. Think of it as a sneak peek into your problem-solving prowess for potential customers to see how you can craft a solution tailored just for them. This will show your expertise and will build trust with them.

1. Create a landing page for this offer where prospects can find and access the offer.
2. Be specific in defining the value of your offer.
3. Don’t forget a compelling call to action – a sparkly button for them to take action.
4. Spread the word! Promote it using social media platforms or ads.
5. Send out an email promoting the offer and encouraging them to share it.
6. Personalize your consultations or quotes by asking them about their specific needs during the session and addressing those head-on.

 

13. Utilize Lead Generation Services

Agents who don’t want to use traditional methods that require time and resources may opt to use these services. These services allow them to buy leads and focus on converting them into clients.

When choosing lead generation services, do thorough research among providers. Choose a reputable provider that can provide leads relevant to your business. Look for reviews from other insurance agents, referrals, and their terms and conditions of the service.

After identifying your provider, be specific about your target market and any other requirements for leads to obtain the right high-quality leads that will surely convert into sales.

 

14. Showcase Storytelling

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Storytelling uses narrative to convey information and create a personal connection with your potential leads’ emotions, beliefs, and values.

Sharing real-life stories and testimonials from satisfied clients creates an emotional connection with potential leads and entices them to trust your business. You may also illustrate the importance and benefits of final expense insurance to people and their families during difficult times.

These stories illustrate the tangible benefits of your service. By showcasing real-life outcomes, your stories affirm the value of your offering, making it easier for prospects to envision how they could benefit, too.

 

15. Email Marketing

By 2026, email users are set to grow to 4.73 billion. Email marketing allows you to reach this vast market effectively. Targeting and personalizing email for your campaign for these people gives a greater chance of obtaining responses and potential clients.

Here are some tips for effective email outreach:

• Craft persuasive scripts and emails that address the prospect’s concerns regarding funeral expenses and the importance of final expense insurance.
• Personalize emails by including the recipient’s name and other relevant details.
• Create attention-grabbing subject lines that hint at the email’s personalized content, increase open rates, and avoid clickbait.
• Segment your list based on demographics to deliver more relevant content.
• Provide value by explaining how your offering addresses the recipient’s pain points.
• Follow up with prospects after receiving their requests for information.
• Track its effectiveness by monitoring open, click-through, and conversion rates.

 

16. Video Marketing

Among all forms of content, videos have the best ROI of 51%. Most businesses use marketing videos, and 87% of marketers see an increase in leads with them.

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• To leverage videos in generating leads for final expense insurance, you can:
• Create informative and compassionate video content centered around final expense planning.
• Use customer testimonials to showcase the benefits and entice prospects.
• Create videos to tell the story of satisfied clients.

 

17. Use Lead Management Software

Lead management software or CRM tools allow you to track and manage leads from initial contact to conversion. Instead of manually keeping track of leads in spreadsheets or files, lead management software allows you to store all leads in one central location.

You can also automate various tasks such as lead scoring, email follow-ups, and appointment scheduling. For example, if you have different categories for leads, such as age group and location, the automated email follow-up feature allows them to keep in touch with potential clients without manually sending individual emails.

18. Sustain a Consistent Flow of Leads

Maintain a steady flow of leads to sustain and grow your business. Post regularly on social media platforms with valuable content to keep your brand in front of potential leads. Also, encourage satisfied clients to refer friends and family, leveraging word-of-mouth marketing.

19. Track and Analyze Lead Generation Metrics

In the final expense insurance industry, tracking and analyzing lead generation metrics helps businesses understand how effective their lead generation strategies are and identify areas for improvement.

Some key metrics include:

• Appointment Conversion Ratio: Your closing-a-deal ratio with a prospect. A good range is typically between 50% and 70%; if below that, there may be an issue in your sales process or lead quality.
• Cost per Lead: Your expense on each lead and an overview of the ROI of your lead generation strategies. Measure it by dividing the total amount of your marketing efforts by the number of leads generated.
• Lead-to-Customer Conversion Ratio: The actual leads that purchase your final expense insurance. If this ratio is low, it may indicate that you need to improve your sales pitch or target a different audience.
• Response Rate: The percentage of leads who respond to your initial contact attempts. A good response rate is typically above 30%; if lower, it may indicate that you need to improve your messaging or targeting.

20. Stay Updated on Industry Trends and Best Practices

In the digital world, nothing is constant. Agents must stay informed about industry trends and best practices to adapt to stay competitive in the market. They can stay updated through various resources and forums.

Resources:

• Insurance Networking News
• Insurance Carrier Websites
• Insurance Blogs and Podcasts
• Insurance Industry Events and Conferences
• Insurance Industry Research Reports

Forums:

• LinkedIn Groups
• Online Forums
• Business Networking Groups

How Much Do Final Expense Leads Cost?

In addition to the strategies for generating leads, you can also obtain leads through buying
them. You can buy insurance leads from lead generators that provide prospects that match their underwriting policies, qualifications, and guidelines.

Final expense leads cost ranges from $10 to $20 per lead. Depending on the providers, it may be priced per lead or in groups (per thousand). When buying final expense leads, you need to consider the quality and source of the leads and their response rate.

High-quality leads have a high chance of customers converting, saving time and money. However, low-quality leads require more effort and resources to turn into sales.

Conclusion

These 20 comprehensive strategies not only increase your final expense insurance leads but also enhance your overall conversion rates. Remember to leverage technology, harness the power of testimonials, maintain consistency, analyse metrics, and stay current with industry developments.

Whether you choose to generate leads organically or purchase them, focus on high-quality prospects to ensure better ROI.

Are you ready to stay ahead in the competitive final expense insurance market?

About the Author:

Kevin is the CEO, Founder of Aemorph. A seasoned entrepreneur and digital marketing expert. Kevin started in digital marketing, specializing in Search Engine Optimisation since 2010, and is helping Finance, Insurance, E-commerce, Medical, B2B, and SaaS companies.

Kevin is also a certified adult educator in Singapore, delivering high-quality, relevant, and easy-to-implement training to ensure learners can get immediate results and build upon their knowledge.