For the past 2 weeks, I’ve talked about diving into your existing client base to engage in an extended care planning conversation. This is a proactive way to solidify the future of your business by strengthening your relationship with your client with a low acquisition cost.
In an article in Think Advisor from October of 2023, it was noted that 90% of advisors will lose a client when the husband dies. I share this because establishing a relationship with the family can be as simple as putting an extended care plan in place.
Last week, I talked at a high level about developing a plan versus accepting the default plan. The easy path is denial and inaction. The other is one of discussion, goal setting, and tactical design … the plan of action. Here is how you can go about it.
The first, and in my opinion, most important step to any planning conversation is to ensure that the major stakeholders are present. If your client is a couple, both partners must be present. If your client is an individual who has a family member help manage their affairs, then they both should be present. In short, make sure all the decision-makers are present.
Since this will be a planning conversation, it is imperative that you treat this the same way that you would a “new client” meeting. Prepare to ask questions, take notes, and find your client’s areas of concern. Leave your assumptions, personal opinions, and solutions at your home – this is an exploratory conversation focused your client’s feelings, needs, and wants.
When you meet with your client, don’t overwhelm them with data. This has been found to be largely ineffective compared to a conversation that is based upon experience. Make sure that you articulate that we are “having this meeting to talk about your future wishes in order to establish a plan to ensure that they are met.” Then, begin your planning conversation.
This is your time to get your client to share their feelings about their future. This I smore than a financial discussion, this is about how your client feels about their current plan as they look into the future. The questions that you ask will help them visualize the potential future. Ask questions like “if you were to require extended care / long-term care services…”:
“… where would you like that to take place?”
“… who do you want to manage your care?”
“… who do you wish to provide your care?”
“… how will that impact your partner, spouse, children, etc.?”
“… how would you pay for this?”
“… how will it might it impact your existing plans?”
If you would like a template to lead this conversation, the LTC Planning worksheet from OneAmerica Financial is one such tool. This can help lead a conversation at a high-level. It is important during your planning conversation to ask questions and probe for more information following a response. Ask for them to share their experience and concerns. It’s time to leave no stone unturned.
This is their time to educate you. You will have your chance to educate them at your follow-up meeting.
Focus on their concerns, worries, and their intentions (now and into the future). It may take more than one conversation to build a complete extended care / long-term care plan so be patient with the process. Remember, there are two pieces of every plan – this is the first one – understanding what your client wants and needs.
The second portion is how we make it happen and fund the plan. This is what we are building to – a funded extended care / long-term care plan that is easily executable when the need arises.
As I noted last week, 51% of the female population age 65 today will require care during their lives compared to 35% of men. And, less than one-third (32%) of Baby Boomers and Gen-X say that they have planned financially for the possibility that they will require LTC support & services themselves.
Start to bridge the gap within your book of business…
HELPFUL TIP
If you wish to set the stage, share an article or movie or video or personal experience. This will, hopefully, open your client’s mind to a conversation by formatting their mind to say “what if this happened to me”. You could even invite your client to join an educational workshop to help establish a baseline understanding what extended care / long-term care is all about.
Please, reach out to me directly to discuss introducing a consumer workshop to help get the conversation started with your clients.
Fridays with Fisher 
Leave a comment