Key Takeaways
- 60% of "too expensive" objections are really "I don't see the value yet"
- Dropping price immediately reduces closing rates by 35%—value conversations win
- The average American spends $1,500/year on coffee but thinks $500/year for life insurance is "too much"
When They Say It Costs Too Much
Client Question: "Why is life insurance so expensive? I can't afford this right now."
"Too expensive" is the most common objection in life insurance sales—yet 60% of the time, it's not really about the money. It's about value perception.
What "Too Expensive" Really Means
| What They Say | What They Might Mean |
|---|---|
| "I can't afford it" | "Other things are more important to me" |
| "It's too much per month" | "I haven't connected this to protecting my family" |
| "That's more than I expected" | "I assumed it would be cheap" |
| "I need to think about it" | "I need to justify this expense" |
Response Approaches
- Get curious first — "Help me understand—what were you expecting it to cost?"
- Explore priorities — "What would you have to give up to fit this in?"
- Reframe the value — "What would it cost your family if you didn't have this?"
- Adjust coverage — "We could look at less coverage—what feels manageable?"
The Budget Objection
A young family saying they can't afford life insurance
Setup
You've recommended $500,000 in 20-year term coverage at $45/month. The client says it's too expensive, but you know they spend more than that on streaming services and dining out.
Client says:
“Forty-five dollars a month? That's more than I expected. We're really stretched tight with the baby. I don't think we can fit that into our budget right now. Maybe in a few months when things settle down?”
Practice Objectives
- 1Don't judge their spending or lecture about priorities
- 2Explore what they were expecting it to cost
- 3Ask what "settling down" would look like
- 4Help them see the cost in perspective (daily cost, comparison to other expenses)
- 5Offer to look at different coverage amounts if truly needed
- 6Don't let them leave unprotected if there's a way to make it work
The High Quote Shock
A client who got a much higher quote than expected
Setup
A 45-year-old with some health issues received a quote for $350/month for $1 million whole life coverage. They were expecting something much lower.
Client says:
“Three hundred and fifty dollars a month?! I thought life insurance was supposed to be affordable. My friend pays like $50 for his policy. There's no way I can pay this much. Is there something wrong with my application?”
Practice Objectives
- 1Acknowledge their surprise without being defensive
- 2Explain factors that affect pricing (age, health, product type)
- 3Clarify difference between their situation and their friend's
- 4Explore alternatives (term instead of whole life, less coverage)
- 5Be honest about what's available given their profile
The Value Question
A client who doesn't see the value in paying premiums
Setup
A healthy 35-year-old doesn't understand why they should pay $100/month for something they'll probably never use. They see it as wasted money.
Client says:
“Why would I pay $100 a month for something that probably won't happen? I'm healthy, I don't smoke, I exercise. The odds of me dying in the next 20 years are pretty low. That's $24,000 I could invest instead. If I don't die, I just wasted all that money.”
Practice Objectives
- 1Acknowledge their logic—it's not unreasonable
- 2Explore who depends on them and what would happen
- 3Discuss the purpose of insurance (risk transfer)
- 4Use analogies to other insurance they probably have
- 5Help them see it as protecting their family, not betting on death
Spouse Budget Disagreement
One spouse wants coverage, the other thinks it's too expensive
Setup
You're meeting with a couple. The husband sees the value in life insurance; the wife thinks it's a waste of money they could use for vacations or home improvements.
Client says:
“*Wife* I don't understand why we need to spend $80 a month on this. We could use that for a vacation fund or to fix the bathroom. Nothing's going to happen to either of us. *Husband* But honey, what if something did? *Wife* Then we'd figure it out. People do.”
Practice Objectives
- 1Don't take sides or gang up on the skeptical spouse
- 2Understand her perspective and concerns
- 3Explore what "figuring it out" would actually look like
- 4Help them have this conversation constructively
- 5Find common ground on protection they both agree on
A client says "$50/month is too expensive." What's the best first response?