Protection sales tip of the day: The Magic Money Making Machine

Last year LV= ran a nationwide competition inviting advisers to share their tips and ideas for illustrating to clients the potential importance of protection insurance. Here, we share the best of them. Today: The Magic Money Making Machine.

Name: The Magic Money Making Machine

Creator: Unknown

What is it? There are several variations to this proven idea. It is light-hearted, but carries a serious message.

How does it work?

• Say to clients: "Imagine that, in your kitchen, there was a money making machine. All you have to do is push the button each month and hundreds of pounds in notes and coins pours out - enough to cover the mortgage, all bills, petrol, holidays and even a bit spare for a pint."
  
• Add: "But that's not all it does. This machine also provides you with a means to save; to build a nice little nest egg for when you retire. In a nutshell, this machine, which remember is in your kitchen, ensures your financial security for life."
• Then: "Is it not true you would do everything possible to keep this machine, which like other machines is susceptible to breakdown, functioning no matter what? If it breaks down, it can no longer pump out money."
• Next: "So what do you do. It's simple isn't it. You take out an extended warranty to ensure that, in the event of breakdown, you still get the cash."
• Time to make it real. Say: "This machine pumps out x amount each month (make x the client's salary, if applicable). The extended warranty costs about £1 a day. Would you say that is a fair deal?"
• Say: "You are the money making machine. How long would you survive if you broke down?
• The 'reveal': "I can offer you an extended warranty today. It is called income protection, and here is how it works..."

This technique can also be used for critical illness cover and, by asking: "What if you break down for good?", it is also a neat lead into life cover.

By personalising the amount the machine generates, and relating the guaranteed income from a machine and the cost to keep it running for a relatively low cost, you can make the argument for income protection more than compelling."