Best & Worst States To Sell Final Expense (Telesales)

What is going on? Ladies and gentlemen, in this video, I'm going to be showing you the best and worst states to sell final expense in. Now, the way that I've kind of put together this data is this is the states that I've seen the most success in within my own agency, as well as the states that I've seen the least success in with my own agency as well as, you know, I own a company that helps coach and train and consult life insurance agents. And so these are the states that we've seen people have the most success in. And then also some, some of the worst states to sell in. Now let's go ahead and dive right into it, starting off with the worst states. Now, the way that I'm kind of weighing this is one just like difficulty to sell in, right? Two is like low average policy size. So the way that I kind of look at this is like we can pick where in the country we decide to sell, right? And it costs about the same to get a lead in one state versus a lead in a different state. But the average policy size just dictates how much money we make. So why would we not just sell the people that are making, making more money as opposed to people that are selling, making less money and have less money to spend. So we're going to be factoring in difficulty to close deals, difficulty of the prospects, as well as cost per or not cost, but the average policy size in that state. So let's go ahead and dive right in here, starting with one of my least favorite states. I'm going to be going through the worst states and then I'm going to go over the best states, the state. The best states are going to be ranked with top five. These are in no particular order. So Florida. Now this may sound weird because, you know, a ton of people are moving to Florida. It's, you know, has a ton of seniors there. Like, why would Florida be bad? Well, that's a great question. To be honest with you guys, I don't feel like I know the exact answer, but I will give you like my best guess. The thing about Florida is it's, there's basically like two main parts of Florida. You have like south Florida and then you have like Central Florida and like the Panhandle and everything. And so South Florida is a bunch of, you know, you get like your wealthier people a lot of times that move down there to retire. So these are usually people that like, have money and maybe aren't really buying as much final expense. And then you also Get a bunch of people that are Spanish speaking, which, if you speak Spanish, Florida could be great for you, but if you don't speak Spanish, it could be a little bit tougher. Right? But you get a lot of Spanish speaking people in like South Florida or Miami. And this is something that I heard. This is a Colombian person actually told me this. People from like South America or like Cuba, they're not as big into life insurance as, you know, for example, like Mexicans or Central Americans. This is an interesting fact that I was told. This may be true or may not, but this is just like what I've heard to kind of explain Florida. This is my best explanation. So like Cubans or Colombians or Venezuelans, which is the like the Spanish speaking population you usually see in South Florida. The. They usually don't. They're not as big on life insurance apparently. Right. And so you get a lot of people that if you're an English speaking agent, you can't sell them. If you're a Spanish speaking agent, maybe you can, but they're not as interested. You get seniors that have more money and then in the panhandle you just get like, if we're being honest, it's just a bunch of rednecks, right? So you have this like kind of weird combo where there's definitely buyers in Florida, but Florida is also one of the most heavily marketed to states out there because there's so many seniors. Whereas you just have all of these kind of like factors coming into play. And honestly, I mean, guys, I ran a campaign in Florida. It was one of the states we were running leads in. We had one third, right? One third of our leads came in in Florida and zero sales.

So I personally would stay away. If you're a Spanish speaking agent, maybe you can try it out. But I've seen terrible success in Florida, not to mention their DOI is kind of a pain to deal with. So Florida is one of the other states there. The second one is going to be Alabama right now. Actually, I'm going to list a couple down here. Alabama, Mississippi and Arkansas. Right. And the thing is the people in these states are like so nice, right? Like amazing people. And all three of these really, you know, really nice, like southern people.

But the problem is like this is where the, the average policy size comes into play. The average policy here is going to be like 6 to $700. Right. And we're also going to have higher chargebacks.

We're gonna have higher chargebacks and our people are just going to be able to afford less insurance. So in these three states in particular, you could probably lump in like Oklahoma in there as well, maybe even West Virginia. I don't really have much experience in West Virginia. Seems like some people see success, some don't. But with these really low income states, you're gonna have higher chargebacks and your, your commission from each policy is just going to be less. And again, if we can pick where in the country we're gonna sell, why would we not pick places where people have more money, right? So my experience with this is when I, when we were generating leads in Alabama, it was the nicest people, they would talk your head off. But when it came down to it, like 40 bucks a month was expensive for a lot of people. So overall the reason that I don't really like these states is just the, again, average policy size and higher chargebacks. Now the last one is New York. Now the reason that nobody sells in New York is because you have lower commission. Like the actual commission is less. And there's also like barely any carriers, almost no carriers. And the regulation is just insane, right? And then regulation.

So yeah, just stay away from New York. I'm not gonna go too into that. If you've been in the industry for a while, you probably know about that. But you know, low commission, there's like barely any carriers there and it's just like it's really, really difficult to, to actually get license and be able to sell there. So stay away from New York, Florida, Florida, Alabama, Mississippi, Arkansas, New York. Those are the worst states in my opinion. Now let's get to the fun part. So these are the best states to sell. Final expense in number five is going to be Pennsylvania. Now the same reason that Alabama, Mississippi, Arkansas were in the worst states is the same reason why Pennsylvania is one of the best states. High population, extremely high population. It's in the top 10, right? High population.

People have money.

A lot of times these people will have like a pension or something else from work. So they have higher, like higher money or you know, retirement income.

Retirement income and then also higher cost of living, which just means these people have more money.

Higher cost of living, which just means you're going to have more policies. There's a ton of people, there's a ton of seniors there. Your policies are going to be higher. And the cool thing too about Pennsylvania is there's like a little bit of a hoop that you have to jump through. You have to call each of your carriers to get it appointed. So a lot of times people will just stay away from Pennsylvania. So there's actually less competition as well.

So that's why Pennsylvania, at number five.

Highly, highly recommend high average policy size. Tons of people. You are going to deal with, like, more of like the northerner vibe. So if you're selling in some of these other states, I'm going to show you guys, it's going to be a different person than Pennsylvania. Right? Number five. Pennsylvania number four is Virginia. Right? So here, very religious, right? Is one thing that you'll notice. Religious.

Tons of seniors.

You have like this, like, sweet, you know, Southern vibe. So you get like, they're. They're good people to talk to, nice people.

Lots of rural areas as well, right? So, like, usually selling in like a super urban area can be a little tougher for people. There's a lot of urban or urban. There's a lot of rural areas in Virginia, but they also like people. There's definitely poor people in Virginia, but there's also people that make more money, right? So it's kind of like a good state. That's like a middle ground. A lot of people are religious and there's tons of seniors there. So Virginia is another one that I recommend. That's the fourth best. The third best is actually my hometown. This is where I first got my start is North Carolina. Now, I don't know what it is, but people in North Carolina, they just buy insurance, right? Like, all of the top IMOs, or most of the top IMOs are founded in North Carolina, right? Symmetry is from North Carolina. National Agent alliance is from North Carolina, which is where FFL, like came out of. They came out of naa. National Agent Alliance. They're in North Carolina, I think. What's the other one? Equus is from North Carolina. There's a bunch of other ones that I don't even know the name of. Let me get a swig of water.

So, like, there's a large percentage of people that buy insurance in the state. And I think the reason why is just like religion.

Right? It just seems like people just value life insurance and final expense in this state. Religion. You. We. I mean, there's a pretty high population and the state is growing, right. North Carolina is growing a ton.

High population and growth.

And senior population. Right. To be honest, it's one of those states where it's not like your average policy size is going to be crazy high, but there's just so many people there that buy insurance that it's just. It's a great state to have. Right? So if you run ads in North Carolina, you'll get a Ton of. A ton of leads there right now. Number two, this may come as a surprise to some of you guys, but the reason California is so great, and this kind of goes back to what I was talking about with Florida, right? You have a lot of people from Mexico, which, for whatever reason, like, people from Mexico seem to value insurance more than, like, other South American countries. And what I was told is it. It's that Mexican people, they would rather be buried than cremated. This is just what I was told. You could do your own research, but this is just kind of like my, my theory as to why it works. Because you'll, you will sell to a lot of. There's a lot of, like, Latino people in California, obviously. And so a lot of your clients will be Latino.

Most of them are bilingual. So, like, if you don't speak Spanish, you're still going to be able to see success in California. But it seems like a lot of the Latino people in California are from Mexico or like, Central America, where they seem to value burials more. Just what I've seen, right? So California, high cost of living.

High cost of living. And there's also a lot of, like, these, like, it doesn't seem like a lot of your policies come in like, la, but a lot of your policies will come from, like, San Ben and San Bernardino, Riverside, and then like, the areas around la, Right. I don't really see a ton in like, San Francisco, but like Southern California, where you get this, like, you know, a large, like, Latin population. These people, like, they really value insurance and they tend to buy, but they also have a higher income because it's so expensive to live there. So we've seen that our average policy size, like having California as one of our states, boosted our average policy size.

To over eleven hundred dollars, right?

Over $1100. Because the way that you need to look at it is, like, someone from California, they are like, they're $40. Like $40 in a different state is like $100 in California, right? So someone affording $40 a month is like somebody affording $100 a month in California. So you, you quote somebody in Mississippi, it's gonna be 40 bucks a month. And you quote someone in California, it's gonna be 100 bucks a month. They're gonna have the same reaction. And so California is just one of those states. There's so many people there. Even though it's like there's people leaving and, you know, you can have your own opinion of California, I'll keep mine to myself. But it just seems like, people buy insurance and they buy a lot of it, and they buy more expensive premiums. So California is number two and last but not least, well, last and best is Texas. Now, Texas is growing like crazy.

Tons of seniors.

Right?

And they are also, like, it's very. It's a very conservative.

And religious state. Right? Very conservative and religious, which means they value insurance. And then again, the same thing I was talking about with California. You get a lot of, like, people from Mexico that seem to buy insurance more than other places. So that also helps Texas a lot as well. You'll see a lot of, like, a lot of your customers if you sell in, like, California. In Texas, they will have Spanish names and they will be like some of your best customers. They're great clients. So conservative religious people that value burials.

And then the other piece here too with Texas is the same thing with California, where you add on that state and you just unlock so many people. So to be honest with you guys, it's like less about the number of states you have and more about the population that you unlock with each individual state. So if I add on California, I've just added like 30 million people that I now can sell to. If I've added on Texas, I've now added like 15 to 20 million people I can now sell to. So when you add on these big states, like, I can add on two states, and that would be more than me adding on 10 little states because of the population I unlock and. And the higher cost of living. So that's something to keep in mind. People will always ask me questions like, Tim, you know, how many states should I add? It's like, it's less about the number that you add, and it's more about which states you add, right. As far as population and quality of the state. So those are my top five states. Those are my worst states to sell on. I would highly recommend that you add on all of. All of these five if you can afford it. California and Texas are like, huge, huge, huge to add on. And if you get those, you're not only gonna boost your average policy size, but you're gonna be to sell to more people and your lead cost will go down. So if you guys got value from this video, hit the like button. Hit the subscribe button for more content like this. And if you want to learn more about having us set up all of your Facebook ads for you and installing our client acquisition system into your business, then click the link down below to apply to work with us. And I look forward to hearing from you guys soon. Take care.