I got a chance to meet up with a Prospect today armed with a Brochure from other Insurance Company, trying to size me up after being “brain-washed” by the other Financial Planner on how bad (the plans, the company, the claim, the structure, in short everything is bad…).
End point is that the Prospect is very much convinced to get the Plan after the “brain-wash” and just need to make sure that he is doing the right thing and everything that the other Financial Planner has said is true…
So here I am wondering, why does the Other Financial Planner need to do that – just to get the business? Can’t he/she convince the Prospect with the level of service, sincerity, and competence?
As such I decided to do up this post to share my views on the Four Effective Habits Of A Good Financial Planner:
If you are a person who are into fixed deposit offered by financial institutions or into those kind of single premium savings plan offered by insurance companies, I do have a question to ask you and that is
“Are you the kind who read your Benefit Illustration carefully especially on the Guaranteed and Projected Returns or just those who hear out from the Planner and make a purchase from there?”
The danger is here, if you are sold by the Planner based on the verbal recommendations that the plan is a Guaranteed one and in no way that it’s stated in the Proposal or Benefit Illustration. After you have signed it and at end of the term, the plan does not performed as what the Planner has stated, you will hold your own responsibilities and you have no one – even the Planner to blame for.
A Real Life Case Scenario Of Verbal Recommendation
I happen to come across this very simple couple who are having their Five Year Single Premium Endowment Plan maturing soon and would like to have a recommendation on a similar type of Plan as offered by my company.
They happened to see an advertisement in one of the roadshows that features a higher return as compared to the one that they had and would like a further clarification on it.
They were very happy with the maturity returns and with the plan that they once had. But upon seeing that advertisement from my company, they were tempted to make a comparison…
I shared with them that our Plan is similar to the plan that they once had. I printed out the benefit illustration, and explained that at the end of the term, they will have the Guaranteed Return, and the final value will be based between a projected return based on a 3.75% return of investment and another based on a 5.25% return of investment.