It happens ALL the time. You buy an electronic item, an appliance and end up buying accessories, insurance, etc. The same happens when shopping for insurance. You start off looking for term insurance and the agent will end up trying to sell you disability, health care, etc. It’s obvious why agents would try to do this. The easiest is getting a client to buy from them. Once the client is ready to open his wallet, trying to sell the benefits of getting other types of insurance is much easier.
How The Agent Does It
They will start off by being friendly with you, getting to know you and will be able to know which angle to take to sell you. For example, if I seem worried about my kids not having enough to go to college if I passed away, the agent could logically use that same argument to sell me critical illness or disability insurance. In a way, it’s the right thing to do for him because it might make a lot of sense for me to buy such insurance. In addition, if I’ve already accepted to pay $XX per year for a life insurance, it should be fairly easy to convince me to put a bit more to get “complete insurance coverage”.
It Adds Up FAST
When you end up being upsold on a $19 extended warranty on those $69 earphones, it’s a one time charge that you can forget about. If you end up signing up to pay $20 per month for a disability insurance, that will end up being a very significant amount of money over time. It’s not that you shouldn’t buy it but I don’t think it’s ever a good idea to buy without thinking seriously about it. When the guy in front of you is pressing hard and pushing the right buttons, it becomes very difficult to do that.
How I Avoid Being Upsold
I’m very honest with the sales guy. The day I meet them, the only thing that I might be buying is that life insurance that he came for, Any other product I will need to think about and get back to him. I do understand that it might be better to buy everything together in which case I’m more than happy to think about it and schedule a new meeting after taking the time to get more info, think more about it.