By Brittany Flax on Jul 9, 2020 9:00:00 AM
The individual dental insurance market has grown dramatically in the past decade – in part due to the introduction of the Affordable Care Act (ACA) and partly because of the rise in freelance work, where individuals obtain their own dental coverage versus receiving it though an employer. In 2018, individual benefits represented 7.1% of the commercial market according to the National Association of Dental Plans (NADP). This was a huge increase from just 2% in 2011.
As the appetite for dental coverage is there, and commercial dental premium costs continue to be stable and relatively low, the individual market is one to tap in to. There are numerous dental plans out there for individuals and families, with plan designs ranging from a discount structure on dental services to traditional insurance.
Here are three reasons why focusing on the individual dental market can boost your business:
The Freedom to Choose
- The job market has drastically changed - and not just over the last few months with the COVID-19 pandemic. Over the past few years, remote and freelance positions have skyrocketed in popularity within the gig economy. In fact, nearly a third of U.S. workers are now freelancing. These positions allow for flexibility, growth, and diversification of skill sets, and allow workers to choose when and where they complete the work. However, according to Forbes, many freelancers face rising healthcare costs due to working outside the employer group benefit realm. With the growth of the freelance workforce, even more so in light of COVID-19, this is a key audience for you to market individual benefits to, including dental and vision insurance.
The Power of Word-of-Mouth
- People like to buy from those who understand their needs and concerns. Your empathy puts your clients at ease and makes the customer more inclined to make a decision and complete a sale. Selling to individuals also means you can use the power of the word-of-mouth. With individual clients, it’s easier to build a personal connection as opposed to a large group, where you are only able to talk to a few stakeholders. By offering insights and building a good client relationship, your customers will be more inclined to recommend your services to others.
Share Your Expertise
- When you finalize an employer group sale, you might not have as many opportunities to work with the employees, as the group's HR team sometimes handles the bulk of interfacing with their employees. However, when you work with individual and family clients, you’re selling to the person who will use every aspect of their benefits as opposed to a company stakeholder. You’re the expert and everyone looks for guidance when making a big life decision. Build trust and rapport by educating your individual clients and being a needed support system. Remember to emphasize the importance of having dental and vision insurance and its great price point that your individuals can’t afford to overlook.
Selling to individuals can have a big effect on your brokerage’s growth and help a lot of people along the way. As you continue to grow your business and obtain more clients and leads, click on the image below to see how you can continue your broker education and earn up to 12 FREE CE credits from us!