Decoding "Live On, Leave On": A Key to Deeper Client Connections and Bigger Opportunities

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April 24, 2025
Published by: Christy Downs

As life insurance agents, we're in the business of securing futures. But are we always having the right conversations with our clients? Often, we focus on immediate needs, but a powerful framework exists to uncover deeper motivations and larger opportunities: understanding the difference between "Live On" and "Leave On" money.

What Exactly is "Live On" Money?

Simply put, "Live On" money encompasses the funds your clients need to maintain their current lifestyle. This includes income for daily expenses, mortgage payments, healthcare costs, and all the financial elements that ensure their present well-being. Conversations around "Live On" money often revolve around income replacement in case of premature death or disability, ensuring their loved ones can continue to meet these essential needs.

Shifting the Focus: Unveiling the Power of "Leave On" Money

"Leave On" money, on the other hand, represents the assets your clients intend to pass on to their beneficiaries. This could be savings, investments, or even life insurance policies specifically earmarked for their children, grandchildren, or other loved ones. This category often involves a different set of priorities, focusing on legacy planning, estate preservation, and potentially minimizing tax burdens for their heirs.

Why Understanding This Distinction Matters for YOU:

  1. Deeper Client Relationships: By understanding whether you're discussing "Live On" or "Leave On" money, you can tailor your approach and recommendations more effectively. Asking targeted questions about their long-term goals and intentions for their assets fosters a deeper connection and positions you as a more insightful advisor.
     
  2. Uncovering Hidden Needs: Clients may readily discuss their "Live On" needs, but their "Leave On" goals might be less apparent. By specifically inquiring about their legacy aspirations, you can uncover significant opportunities for life insurance solutions that go beyond basic income replacement. This could involve larger permanent policies, wealth transfer strategies, or solutions designed to address estate tax concerns.
     
  3. Expanding Your Product Portfolio: Recognizing the difference between these types of money can naturally lead to discussions about a wider range of products. While term insurance might be ideal for "Live On" needs, permanent life insurance, annuities, or even strategies involving trusts could be more suitable for "Leave On" objectives.
     
  4. Becoming a True Advisor: Agents who understand the "Live On, Leave On" framework move beyond simply selling policies. They become trusted advisors who help clients align their financial resources with their deepest values and long-term wishes.

How to Integrate This Framework into Your Practice:

  • Ask Targeted Questions: Don't just ask about income needs. Inquire about their legacy goals: "What are your intentions for your assets in the future?" "What kind of financial future do you envision for your loved ones?"
  • Listen Actively: Pay close attention to the language your clients use. Are they primarily concerned with current security or long-term wealth transfer?
  • Educate Your Clients: Help them understand the distinction and how different financial tools can address each need.
  • Tailor Your Solutions: Present recommendations that directly address both their "Live On" and "Leave On" objectives.

By embracing the "Live On, Leave On" framework, you can elevate your client conversations, uncover significant opportunities, and solidify your position as a valuable and trusted advisor. It's about seeing the whole financial picture and helping your clients build a secure present and a lasting legacy.

Ready to Expand and Elevate Your Business?

If you're ready to learn more about how annuities can transform your life insurance practice, we encourage you to contact us to discuss how we can support your growth.

Don't miss out on this opportunity to better serve your clients and expand and elevate your life insurance business in 2025.

Disclaimer: This blog post is for informational purposes only and does not constitute financial or investment advice.