When you hear “ancillary products,” your first thought might be, “Ugh, more stuff to cram into the pitch.” But ancillary insurance should not be viewed as just something more to sell.
Ancillary products boost your commissions, make your clients happier, and give you a competitive edge over those who only sell major medical and call it a day. If you’re not already leading with, or at least bundling, a few of these add-on products, you’re leaving money on the table and doing your clients a disservice as well.
Let’s take a look at the ancillary products that are worth your time.
Dental and Vision – The Low-Hanging Fruit
You already know that dental and vision are often the first things people ask about after you walk them through a health plan. Whether you’re working in the individual or group market, these are simple to cross-sell.
Most carriers offer bundled packages, and some even pay extra commission if you package them with health plans. Additionally, they’re incredibly affordable, so clients don’t hesitate to choose them due to the price.
If you’re in the ICHRA space, this is a smart way for employees to utilize their extra allowance dollars without exceeding ACA limitations.
Accident Insurance – The Unsung Hero
Accident plans are pure gold in blue-collar markets, especially if your clients have high deductibles or skinny network plans. One quick mishap with a broken arm while working, a kid’s trip to the ER, and that accident policy covers out-of-pocket costs most health plans don’t.
You don’t have to be a pushy salesperson to pitch this, say:
“If you had to pay $3,000 out-of-pocket for a broken leg tomorrow, would that be stressful? This plan could drop that cost to a few hundred bucks or even zero.”
Nine times out of ten, they’ll say, “Okay, sign me up.”
Critical Illness – For the “It Won’t Happen to Me” Crowd
Nobody wants to think about cancer or heart attacks, but essential products of illness sell themselves when they’re positioned right. A small premium can pay out a lump sum of thousands if a critical illness client gets diagnosed with a covered illness.
Since it is paid directly to the client, they can use it for anything—groceries, rent, or that hotel stay near the specialist their network didn’t cover. Critical illness coverage pairs well with high-deductible plans, providing peace of mind without adding significant cost.
Hospital Indemnity – Deductible Buster
Hospital indemnity is gaining traction. As deductibles continue to rise, clients are becoming more receptive to the idea of a solution that mitigates the financial burden of a hospital stay.
Hospital indemnity insurance pays out a cash benefit per day or per event, depending on the policy. Some carriers even offer guaranteed issue options with no underwriting headache.
If your client’s primary concern is “What if I end up in the hospital?”, this is the add-on to lead with.
Short-Term Disability – Especially for the Self-Employed
Freelancers, gig workers, real estate agents, and independent contractors need short-term disability, whether they realize it or not. If they get injured or sick and can’t work, who’s paying the bills?
Short-term disability fills a gap that traditional health insurance doesn’t touch. And most people don’t have enough in savings to coast through 6-8 weeks of missed work.
This one might require a bit of education to sell, but once a client understands it, they’ll thank you later.
Why Ancillary Makes You the Go-To Agent
Selling health insurance is excellent, but if that’s all you do, you’re replaceable. What makes you stand out is when you solve clients’ problems. Ancillary products are the problem solvers that also boost your bottom line.
You’re not just selling insurance but building protection plans. And when your clients feel that difference, they stick with you longer and send more referrals your way.
Don’t think of ancillary as “extra” but as an “essential.” If you’re looking to grow your business without doubling your workload, these are the products that work with your sales, not against it.
So, next time you quote a health plan, don’t stop there; build a package that adds value. And watch your retention and commissions grow. Chris Gaston, Agility’s Ancillary expert, is here to develop your personal ancillary product portfolio with a free brainstorming session.
He leans on his personal experience in the ancillary sector to share his successful products with you. You can also visit our Ancillary Products Contracting website to view our carrier partners.
Chris can also add you to our weekly free email list for more tips and other valuable information, delivered directly to your inbox!
