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Insurance Internet Leads--the Good and the Ugly

Published on August 2, 2010 in insurance leads by Bob Richards

Any way you market your insurance business to gain insurance leads will have pros and cons.  For example, if you really study how to do seminars, you can do very well.  The first year however, while you learn what works and does not work in your area, you will need several thousand dollars in capital to run your seminar program.  Similarly, if you hire telemarketers, you will spend a lot of money for insurance leads until you get the script perfected. You will also have a lot of turnover in staff until you get 2 or 3 telemarketers that are productive for you.  No matter what you do to generate insurance leads, there will be a period of trial and error and the lead generation system will have pros and cons.

Insurance Internet leads are no different.  It takes some trial and error until you get your approach right (if you call expecting the prospect to want to buy, you'll mess up a lot of good insurance leads). Once you get your approach correct, your appointment ratio can be significant, 20% o more on your first contact.  The other problem you wll have is a significant percentage of worthless insurance leads.  But that's also a benefit as I will explain in a minute.  A significant percentage are worthless because ANYONE can fill in a form, the ad, on the Internet.  The Internet lead provider simply runs ads on the Internet and no matter how careful they are as to which sites are selected to run ads, the Internet lead provider cannot control who fills out the lead generation form.  People who can't afford a computer might see the ad on the computer at the library.  Or a 12-year-old kid might see the ad and fill it in for information.  So you will get a lot of junk Internet leads.  The good news is that 2 or 3 out of every 10 Internet leads will be legitimate, viable prospects.  If you get one new client out of 10 insurance Internet leads, you likely make

1000% return on your investment as follows:

10 leads x $20 = $200 invested in insurance leads
One sale = $2,000 commission

Because you can earn so much as an insurance agent (especially annuity commissions), you can afford to have a lot of crappy insurance leads and still do very well.  There is also a silver lining here.  Because other

agents will not have patience and tend to look at the glass as half empty, these agents will focus on the "bad" Internet leads and quit the service leaving you as the insurance agent that sticks with the service and gets all of that service's insurance leads in your area.

The best part about Internet leads is that the prospecting work is done by the Internet lead service.  Normally, when producers start in the business, they do all of their own prospecting.  Think of prospecting as calling every number

from one page in the phone book to find the 5 insurance prospects that have interest.  The Internet lead provider has essentially done that "sifting" for you as only interested prospects will typically complete a form on

the Internet.  Not every insurance lead will turn out to be a commission, but it's a very smart way to outsource grunt work, use your time more profitably and get a very good return on investment.

Internet Insurance Leads

118 thoughts on “Insurance Internet Leads--the Good and the Ugly

  1. US Direct Protect says:

    I like reading any article about lead generating on the internet. I really can relate when you say it takes many telemarketers until you have a few good ones. Also, when you find, do whatever you can to keep them. Same deal in the Auto Warranty Industry. There diamonds in the ruff. I`m also forwarding this link to a friend thats trying to sell Health Insurance.

  2. Jasmine says:

    Great posting.
    We should use internet.
    It is important mean to catch our business up.
    Thanks.

  3. Effective lead generation involves having a legitimate system in place to pre-screen and process leads. To get potential prospects to your website you should offer something free and of value like a free report or audio download. In order for them to get this free information they have to fill out a form on your website that asks questions that is designed to pre-screen them. Once they have filled out the form and hit the submit button, their information goes straight to your email address automatically. This enables you to review the information to ascertain whether you have a prospect or suspect.

  4. A good way of getting the internet to work for you, great advice

  5. mark | global warming says:

    Yes, Take advantage of the efficiencies that the internet offers you so you can focus on building customer relationships that lead to sales and long term customers - the sales gift that keeps on giving!

  6. Good intro to internet insurance leads. Thanks for the post.

  7. The Insurance Internet was a great article. I think we should use the internet more for that also. Thank you for sharing this helpful interesting advice!
    Very well put!

  8. You write a good post we can get lots of insurance leads by internet

  9. Paydayuk says:

    This enables you to review the information to ascertain whether you have a prospect or suspect.Great one and I appreciate this one.Paydayuk

  10. yup. the prospecting is monotonous.

  11. Goat Milk says:

    Considering the amount of insurance advertisements I am exposed to each day, I would agree that it makes total sense to have get your leads via the net. This would sidestep a lot of the non-interest that consumers not interested in insurance would bring.

  12. Jakki says:

    Internet is really nice discover.

    Daily lot of new user connecting to internet and everyone want all service rapidly and easily, so internet will be good thing to get leads by insurance.

  13. kwpang says:

    you have got a point there, building lead from internet definitely make sense.

  14. Julbilder says:

    Would you say there are more insurance internet leads to be found than doing it the traditional way? Also would it be more less expensive, you know overhead costs, etc., to do it on the Internet instead?

  15. VizFact says:

    Makes a ton of sense to get leads online, just think ,the world at your fingertips.

  16. Definitely big money to be made if you can't generate leads in high-margin industries for relatively little money. Great article!

  17. essex website designers says:

    personally i wouldnt buy internet leads, there expensive and only around 1 in 2 actually buy and 1 in 10 buy from you. I am however in the internet marketing trade and not insurance so im sure its very different.

  18. Halid says:

    As long as they are "clean" leads it's all good. I have black hat tricks etc.

  19. Its a fact , its leads now and am think for ever

  20. Payday UK loans for bad credit says:

    Before making any decision about insurance lead just check out that company has a solid base of customers and provides protection against agents from the same company getting the same lead.

  21. buy maverick money makers says:

    I think harvesting leads on internet is a separate business and before you are set and running takes sometime or you just have to know where to acquire them. Internet is profitable but it is overestimated a great deal. And email marketing is now very much challenged.

  22. aldewaghry says:

    you have got a point there, building lead from internet definitely make sense.
    thanks

  23. GSM Insurors says:

    No matter what industry you are in you going to have to pay for marketing efforts. Even though the internet is a place where you can come up with marketing campaign with relatively low over head, you still have find and cater to your target market.

  24. The internet is definitely a savior in this business!

    ryan

  25. Rare Records says:

    As long as you get your leads from good sources, internet can be great.

  26. msucle building diet says:

    Very interesting article on internet insurance leads. with the tonnes of people searching online for insurance you might as well see if you can make money out of them

  27. heidi says:

    The internet is really a very powerful tool that we can use to our advantage. But before jumping ahead, we must always remember to study and observe first our target audience. Internet is a powerful tool but can also be destructive. So, learn to strategize!

    -----------------------------
    scholarships grants europe

  28. Crm J says:

    But if most leads are crappy, you can easily spend more than what you'll make. And in order to make the $2,000 in comm, it's not every sale.

  29. Chocolate says:

    One should be innovative in generating leads. Internet definitely helps you in getting those potential customers, which would otherwise be untapped.

  30. getting leeds online is far more easy than getting them anywhere else.

    Great post

  31. Anne says:

    Internet is indeed the best gateway to success of any business. The capital needed to lead generation online is cheaper compared to the traditional one.

  32. CCNA says:

    it’s a very smart way to outsource grunt work, use your time more profitably and get a very good return on investment.

  33. indoor water says:

    Internet marketing is the fad nowadays...I really think it's effective but offline marketing has proven to have stable results. So I say there should be an incorporation of the two marketing strategies.

  34. enlargement says:

    Oh well, in this competitive society, everyone’s fighting for a share of the insurance market.

    Leads can still be considered as there will still be some conversions.

  35. InspiroHost says:

    Data provided with a lead is very critical. At the time of quote generation, you will need as much relevant information as possible. This information is mostly provided by companies on their websites which you can use prior to buying the leads.

  36. Nature Relaxing Sounds says:

    The lead building process fascinates me. Seeing how a prospect makes their way through the sales process, or sales funnel is really interesting. Enjoyed this article, although I don't usually deal with insurance leads!

  37. The Internet have both positive and negative effects. In this article, it cited about effective lead generation brought about the hype of the Internet. But making this effective is yet another story because effective lead generation involves having a legitimate system in place to pre-screen and process leads.

  38. Maggie says:

    I agree to get leads online.

  39. Vicci says:

    Unfortunately, it's not so easy the make all these leads online. It's pretty much work to do but if you try hard, you will succeed...

  40. Affordable Jewelry says:

    People just do not have the patience as agents and do not want to go through the bad leads. Agents usually get discouraged when they receive bad leads and do not want to commit to all the leads. You are right through every lead you can create the perfect script.

  41. You've got a point here!It really makes sense.Now a days a lot of people become more internet savvy. They tend to look for the services which are offered online including this insurance.They are no longer content with their local insurance agency.They want all service rapidly and easily which is through the use of the internet.

    .

  42. John Michaels says:

    I think it is a bit more complex than you line up here, although your points on the subject are good. Insurance is a real complex analysis of cost/benefit, I once saw an article with a mathematician saying that in the long and generel perspective the only winner is the insurance company.

  43. Amudhan says:

    yes we must use internet to generate not only for generating insurance leads, but also leads for other products also

  44. Short Quotes says:

    Everybody in the business requires leads and internet insurance leads can be helpful in boost up as comparison to telemarketer. Today is the world of internet and the numbers of users are growing significantly. It is creative concept and chances are much higher to get closed. Out of 10 there must be 2 genuine interested prospect and 1 closure is easy. So insurance internet leads are good way to advertise and get good leads.

  45. Internet leads are some of the best as people have left their details of their own volition which is the best you can ask for

  46. You write a good opinion about insurance leads by internet. i hope by your opinion on this post will bring valuable things 🙂

  47. Internet is one of the reason why most businesses are in good shape. By the help of internet they get a ahead of their competitors and can have quick results in no time.

  48. Adobe Win 7 says:

    Leave the TM to the telemarketing professionals. If you want leads from TM, outsource it. I was once stuck with 5 telemarketers in the office, and the admin of those guys is a full time position.

  49. hide acne scar says:

    Internet insurance leads are still good. All you need do is to approach it the right and proper way.

  50. Mary says:

    I used to work for an insurance company and bought internet leads to call. The leads were expensive and my income was so tight, I had to stop after a couple of batches. However I know they seemed to work well for some people. It helps if you have money to invest in buying leads until you develop expertise and skill on the phone.

  51. Cparkinson says:

    It doesn't look like there is an easy way to get good results generating leads. It's a lot of work for the most part. Getting the leads is only one part of the equation though because of course you need to have very good sales skills too. Interesting return of investment that you've posted:

    "1000% return on your investment as follows:

    10 leads x $20 = $200 invested in insurance leads
    One sale = $2,000 commission"

    --
    child safety products

  52. Precisely! Internet provides wide array of customer worldwide. It may takes time and entails great amount yet it will harvest good fruit in the end. It is worth the try. Good advice. Thank you.

  53. Web Designing Indore says:

    Online marketing is helping everyone to grow then why not insurance. Its going to bring a lot of leads to a business.

  54. convertiblecarseatsinfo says:

    I think the trick is to make your prospect feel you're not a salesman but a friend providing them very valuable advice. Invariable insurance salespersons use a "in your face" approach which invariably fails. This is true not just for selling insurance but in any sales. Atleast thats my experience. Though using the Internet for getting Insurance leads might seem like a shot in the dark, its still worth your while. Getting even 2 leads for every 10 still is worth it in my books.

  55. internet marketing is great if done properly, can create quality leads easily with the right strategy. but thats also the hard part....

  56. You have to provide value, you have to provide something that the person is interested in, then you'll start getting better quality leads.

  57. Finding leads on the internet takes hard work and time. I think if you use some of the tools available to people today though it can be very construtive. You can find people on social media sites such as facebook, twitter, etc... If you have other people that can 'rep' you, they can do alot of the selling for you! This is why it pays to be a quality business.

  58. Customers round the globe are served by the Internet. Insurance leads through the internet is experimental but it looks like the amount of hard work put in will finally pay off. An awesome blog.

  59. Ech0 SEO says:

    Prospecting should nearly always be outsourced in my view. It takes you awY from delivering great service.

    Use the Internet (facebook ads are highly targeted) use dm agencies, use telemarketing even hire a sales rep but it's important to monitor and teat methods and results to find the right one for your business.

  60. Nowadays..most of the businesses are through Internet..we must appreciate it and loved the way you explained it here. Internet is the best resource to make money.

  61. indianapolis jobs says:

    Insurance professionals need product offerings that provide distinctive value in terms of competitive rates, coverage’s, and claims paying abilities.

  62. GearNoir says:

    Sure , when EVERYTHING is online now why not insurance ? But it's a little more skeptical than in real life .

    1. admin says:

      Insurance, the simpler types, such a term insurance, is commonly an online transaction. But other insurance products-cash value life, long term care and annuities are generally too complex to be sold without an agent. The public would not understand the products without some explanation and the insurance companies also don't want the liability of people making insurance product purchases they don't understand.

  63. Reverse Engineering says:

    Online lead generation is much more effective and more easy to track that any other method. The modes through which the current technology has linked the world's population has even made it more reliable.

    --
    Reverse Engineering

  64. AdsHive.com says:

    Thanks for the references. I’m working on a project about Cold Calling and telemarketing and the info is really helpful.

  65. Buy and Sell says:

    I definitely agree that internet insurance leads are valuable in most situation. With the proper technique and passion you can use this in your advantage.

  66. There are some really good information about insurance lead generation on the internet. The pros and cons of lead generation for your insurance business are very clear after reading this.

  67. Xfinity TV says:

    I agree the term "Insurance Internet Leads–the Good and the Ugly". But it depend on situation how could tackle it. Insurance Internet security, Xfinity Internetplays very vital role.

  68. neel says:

    You have pointed excellent idea here. building lead from internet definitely make sense. As long as you get your leads from good sources, internet can be great.

  69. Internet marketing is helping to get more business and now adays it has gain more popularity.

  70. Netdivvy says:

    Insurance internet leads are definitely getting bigger everyday. If you know how to work with its strong points as said in this article, then you'll have no trouble doing business.

  71. I'm surprised to see 2-3 out of 10 are legit leads - I'm constantly dealing with spam and people not fully committed to working with us. I find that when I'm e-mailing people for specific reasons I get 5% success or less, with that 5% only following through 1/2 the time.

  72. Tony says:

    Internet Leads are a great way to build your business. I have found that having a solid website with great information and tease with a sign up for a coupon or such works great.

  73. Art says:

    Most of the leads even those that they say are prime and brand new are fully exhausted already. They have been recycled for several times that is why the moment you contact a lead, the number is no longer working because the owner changed number in order to avoid the same call.

  74. samsung galaxy s2 says:

    No matter what industry you are in you going to have to pay for marketing efforts. Even though the internet is a place where you can come up with marketing campaign with relatively low over head, you still have find and cater to your target market.

  75. Abrichter says:

    I'm quite positive the whole insurance business would lose a lot of money without the leads generated through the internet and various affiliate programs.

  76. As long as you get your leads from good sources, internet can be great.With the proper technique and passion you can use this in your advantage.
    .............
    Nic

  77. Dave says:

    Online lead generation is definatley the way to go if you want to succeed

  78. Joseph says:

    Really good information about insurance business. Check this website anytime you want:

  79. don says:

    I agree that internet insurance leads are valuable. With the proper technique and passion you can use this in your advantage.

    don

  80. Rick says:

    Insurance internet leads are a makilng a lot of us some pretty good revenue through CPA marketing. I thought more than 2-3 would be legitimate, especially if yu are targeting in social media.

  81. axel says:

    You write a good post we can get lots of insurance leads by internet

    Axl

    Lifestyle Magazine

  82. Internet has become a part of may people nowadays and building leads using internet is also becoming a trend. Nice points you shared there. Good job.

  83. Vanquis says:

    Nice post - it's all a case of determining the funnel and what works best - then attribute your time to spend more time on the best converting channel.

  84. nice blog but internet marketing is not trustworthy..

  85. yeah i agree, internet leads are not always reliable but then again thats all they are - leads. Also with the internet being anoynomous, you get a lot more people enquiring than you do say over the phone which again can lead to empty leads.

  86. There's no such thing as fast ROI, it's about hard work and tons of trial and error and same thing as Insurance Internet leads, just keep on trying what's best for your needs

  87. you insurance says:

    This leads are for companies right?

  88. andy says:

    Insurance Internet leads is the way to go as it takes less effort than cold calling or handing out pamphlets. I know one person who runs a business on who get his leads from his website which cost him alot less than handing out pamphlets.

  89. صدفه says:

    Insurance internet leads are definitely getting bigger everyday. If you know how to work with its strong points as said in this article,
    thank you a lots

  90. poker donk says:

    As long as you get your leads from good sources, internet can be great.

  91. letovanje says:

    Thanks for the references. I’m working on a project about Cold Calling and telemarketing and the info is really helpful.

  92. axel says:

    Internet leads are some of the best as people have left their details of their own volition which is the best you can ask for

    axel

  93. портфолио моделей says:

    Really good information about insurance business.As long as you get your leads from good sources, internet can be great.

  94. mostafiz says:

    Insurance Internet Leads–the Good and the Ugly is a nice article i appreciate it and i think we all should connected with internet insurance.

  95. airport lounges says:

    Because you can earn so much as an insurance agent - although the internet provides an easier way to pick up leads, is there still a place for cold calling? Surely picking leads up from multiple sources is the way to go

  96. They have been recycled for several times that is why the moment you contact a lead, the number is no longer working because the owner changed number in order to avoid the same call.

  97. Coursework Writing Service says:

    Annuity Leads The Good, The bad, and the Ugly .... or that an insurance company did an accounting mistake and that there was some free money out there.

  98. Long Beach Insurance Agents says:

    I'm not sure I agree with such an oversimplified view of Internet insurance leads. Your ROI calculation is overly optimistic also.

  99. Dr Dre Beats says:

    If you sell insurance, anyone can get term insurance on the web in about 10 minutes and they do not need you.

    This is true and things will only get worse. The internet is there for freedom of information.

  100. jacque smith says:

    effective marketing strategists on Transforming product oriented....See sample annuity insurance leads online now from All Web leads.

  101. Catherine says:

    Insurance internet leads is an effective marketing strategy although for some it seems not to be that effective. But with internet users growing twice everyday, maybe it is worth considering. But hitting the right button makes all the difference I think.

  102. joyjoe says:

    Insurance Internet Leads–the Good and the Ugly is best

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  106. Kredit says:

    I think you need the Internet many topics relevant visitors. The words are different from the search. Do not think the kids are looking for insurance or insurance comparisons.

  107. Pragati says:

    Hi..

    Online insurance leads can be a tried and true staple of a successful insurance agent's practice. They can lead to a lucrative source of income or they can be a costly drain on the budget. Finding quality insurance leads is the key.

    Thanks
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  117. Tulisaa says:

    Thank you for this advise I have been investigating into a great niche to help get an income from the online market and this sums up my research. Thank you for providing me information.

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