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Thursday, October 10, 2013

Bank-Insurance Trends - an interview: Part 2

By Anthony DeGregorio, Zenith Marketing

In a follow-up installment to our last blog post, we revisit the discussion between Brian Duffy, ABIA Board Member and 2013 Conference Co-Chairman, and Tony DeGregorio, Senior VP of Life Brokerage Sales with Zenith Marketing Group. In the wake of the 2013 ABIA Conference last month, Mr. Duffy expands upon the trends he is seeing in the industry today, and what our next steps are.

Tony: After a resoundingly successful conference and breakout session, it’s very clear that retirement issues are on the forefront of the minds of many consumers, not to mention the media and many industry professionals. However, our clients still have many questions, such as when is the ideal retirement age, when to collect Social Security benefits, what Medicare will cost, and more. Industry experts have identified these as pressing issues, so how are banks such as yours addressing these trends?

Brian: Well, as banks combat low interest rates, the need for non-interest income is becoming more and more apparent, and unfortunately, the last thing many banks think about is giving free information out to their clients. However, with all the buzz in the industry and media about the Affordable Care Act (ACA) and its effect on your retirement, free information may very well be the one thing that can help you stand out amongst your competition!

In our session at the 2013 ABIA Conference, we stressed the importance of reaching out to your customers with cold, hard facts about what they hear in the media about the ACA and its effect on Medicare, Social Security, and retirement. The perfect demographics are walking through your door every minute! Baby Boomers hold the wealth in your institutions, and they are the ones with the questions. Instead of playing the “interest rate game,” many banks seem to be capitalizing on the situation by offering a mix of traditional and non-traditional bank products, such as annuities, life insurance, and Roth IRAs. With combinations of these products, your institution can help successfully address your clients' concerns about their longevity, market volatility, inflation, and their healthcare costs – all huge concerns in retirement.

We can use these strategies, coupled with straightforward communication with our clients, to differentiate ourselves and our institutions from our competition.

ABIA is bringing this popular conference breakout session to you via a Best Practices Panel on December 5 at 2:00 EST. Register now.