Saving and investing are the cornerstones of financial planning. What gets less attention is insurance and its role as a risk-management tool. Yet, without insurance, any well-crafted financial plan is at risk of falling apart in the event of a catastrophe.

Still, many registered investment advisors (RIAs) don’t sell insurance because commissions-based products don’t fit their fee-only business models. Instead, they outsource clients’ insurance needs to outside brokers who may not have a grasp of the overarching financial plan.

The rise of fee-based insurance solutions gives RIAs a way to incorporate life, disability and long-term care and annuities into their clients’ holistic financial plans, says Jim Cooper, co-chief executive officer of Financial Independence Group.

“The insurance industry and the asset management industry are colliding fast and furious,” he says.

Last year, FIG and Carson formed a partnership to give advisors access to fee-based insurance solutions. This allows RIAs to include insurance in all phases of holistic financial planning – from accumulation to income to estate planning.

In today’s episode, Jim talks to Ana and Jamie about the importance of insurance in holistic financial planning; how insurance products have evolved to fit the fee-only model, how he’s building FIG’s culture by hiring people with passion and how a job in his family’s steel drum business steered Jim toward sales.

Key Takeaways

  • Insurance must play a key role in holistic financial planning. As fiduciaries, RIAs should incorporate it.
  • Historically, RIAs have steered clear of offering insurance because of their commissions. But that’s changing with the rise of fee-based insurance solutions.
  • To build a strong work culture, leaders should hire people with a career mindset, not just those performing a job.

Quote

“Insurance products have evolved tremendously. The annuity of today is drastically different than the annuity of 10 years ago, but there’s some work to do.” – Jim Cooper

Links

Carson Group believes that insurance and annuities are key components of a holistic financial plan. Schedule a consultation to discuss how you can access fee-only insurance solutions that fit into your business model.

facebook twitter linkedin mail print
Share Post: facebook twitter linkedin mail print
Recent Posts
Blog

Jeremy Schwartz: Behavioral Finance and Investing

By: Ana Trujillo Limon
How can behavioral finance improve your investment strategies? Today on Framework, Jeremy Schwartz, Global Chief Investment Officer at WisdomTree Asset Management, joins Ana Trujillo Limón, Director, Coaching and Advisor …
Blog

Mary Bell Carlson, Ph.D., CFP®, AFC®: Emotional Intelligence & Client Relationships

By: Ana Trujillo Limon
How can advisors create a positive emotional experience with finances and financial planning for their clients? This week on Framework, Mary Bell Carlson, Ph.D., CFP®, AFC®, President of Financial …
Blog

Daniel Crosby, Ph.D.: Money’s Role in The Meaning of Life

By: Ana Trujillo Limon
Welcome to the third episode of Framework’s special behavioral finance series. In this episode, Ana Trujillo Limón, Director, Coaching and Advisor Content, is joined by Daniel Crosby, Ph.D., Chief …
framework

Julie Ragatz, Ph.D.: Behavioral Finance Theory & Decision Making

By: Ana Trujillo Limon
How can firm owners use behavioral finance theory to make better business decisions? Today on Framework, Ana Trujillo Limón, Director, Coaching and Advisor Content, speaks with Julie Ragatz, Ph.D., …
1 2 3 141