How to handle the most common objections in insurance sales

An objection is usually a request for more information or a sign of uncertainty, not the end of the conversation. This guide covers the ten objections advisors hear most often, with a model response for each and the phrases better left unsaid.

This guide describes general principles based on EU rules (GDPR, the ePrivacy Directive and the Insurance Distribution Directive). National law differs between countries, so check the rules in your country and your client's country. Your firm's own procedures and the rules that apply to you decide what is required; the guide is general information, not legal advice.

The basic method: listen, clarify, answer, check

The same sequence works for most objections. It keeps you from getting defensive and keeps the conversation on the client's needs.

Hear the whole objection without interrupting. The real reason often comes in the second sentence.
Acknowledge the client's feeling, not necessarily their conclusion: "I understand this matters to you."
Clarify with a question what exactly worries them. Price, distrust and lack of time each need a different answer.
Answer briefly, factually and truthfully. If you do not know, say so and promise to find out.
Check whether the answer was enough and propose one concrete next step.

The 10 most common objections and how to answer them

The model responses are inspiration. Adapt them to the client's situation and your own words; clients notice a memorised text.

1. "Insurance is expensive."

Ask: "What are you comparing it with? Is it the total, or one particular item?"
Model response: "I understand, the monthly payment has to make sense. Let's look at what you really need and what is surplus. I can suggest a smaller scope and show you exactly what it would not cover."
What not to say: "You can't afford to go without this." Do not play on fear of accidents or exaggerate possible consequences. Never promise that insurance always pays off.

2. "I already have an advisor."

Ask: "Good to hear you are happy with your advisor. When did you last go through your contracts together?"
Model response: "I don't want to replace your advisor. I can offer a no-obligation second view, and you decide yourself."
What not to say: Do not disparage the current advisor or their products, and do not promise that everything will be better with you.

3. "I'll think about it / I'll talk to my spouse."

Ask: "Of course. What would help you decide? Is there anything I did not explain clearly enough?"
Model response: "I suggest I send you a summary and call on the day we agree. If you like, we can go through it together with your partner."
What not to say: "The offer is only valid today." Artificial time pressure is exactly what creates distrust. Do not push the client to decide without their partner.

4. "Insurers never pay out anyway."

Ask: "Did this happen to you or to someone you know?"
Model response: "It is understandable that a bad experience stays with you. Let's go through what the contract covers, the exclusions and how a claim is reported, so nothing comes as a surprise."
What not to say: "That's just a myth." Do not dismiss the client's experience, and do not claim that a claim is guaranteed to be paid regardless of the contract terms.

5. "Investment-linked life insurance is a scam."

Ask: "What puts you off in particular: the fees, the length of the contract, or the way someone presented it to you?"
Model response: "I understand that fees and conditions matter with investment products. So I will show you which fees apply, how they change over time and what happens on early termination. You decide once everything is on the table."
What not to say: Never speak of "guaranteed growth" or present the product as savings. Do not promise a return; fund performance cannot be guaranteed in advance.

6. "I'd rather save or put it into index funds."

Ask: "What reserve do you already have, and which situations is it meant for?"
Model response: "Saving and insurance solve different problems: a reserve covers everyday swings, insurance transfers a risk you could not pay from the reserve. One does not replace the other. I can help you judge which one you are missing."
What not to say: Do not claim that insurance earns more than savings or funds, and do not promise a specific return. Do not belittle the client's alternative.

7. "I'm young and healthy, I don't need it yet."

Ask: "What would happen to your commitments if you could not work for several months?"
Model response: "It makes sense that you don't think about it. Let's go through your commitments and income and decide whether something should be covered now or can wait."
What not to say: Do not frighten with illness and accidents or suggest that the client is at risk without a product. Allow "not yet" as an answer.

8. "I don't have time."

Ask: "I understand. We can agree on a short call at a time that suits you."
Model response: "I suggest a short call at a time you choose. I will prepare so that we do not keep you."
What not to say: "It only takes a minute and costs nothing." Do not promise a short time you will not keep, and do not ignore the refusal.

9. "Send me an e-mail."

Ask: "Happy to. To make the e-mail useful, what interests you most?"
Model response: "I will send a short summary of what we discussed and get back to you at a time that suits you. Are you happy to be contacted by e-mail?"
What not to say: Do not send a generic offer unrelated to the conversation, and do not call repeatedly if the client declined contact.

10. "Where did you get my number? I don't trust you."

Ask: "You are right to ask. I will tell you where I have the contact from, and if you do not want another call I will remove you at once."
Model response: "My name is ..., I am calling on behalf of .... I have your contact from .... If you do not want another call, I will record that right away and we will not contact you again."
What not to say: Answer a question about where you got the contact details precisely, or refer to the responsible person; do not try to talk the client round. If they say they do not want to be contacted, the conversation ends.

What never to promise

Most problems come not from a poor answer but from a promise that is too strong.

No guaranteed returns and no certainty of growth for investment products. Performance cannot be guaranteed.
No claim that a product is "risk-free", "always pays off" or that the client "has nothing to lose".
No time pressure and no offers that are "only valid today".
No comparison with competitors that you cannot document, and no downplaying of fees or exclusions.

How to practise objections

Objections are learned by speaking, not by reading. Practise them out loud, ideally with a partner who asks short, uncomfortable questions, and after each attempt write down one sentence you will change next time.

Pick one objection a day and practise three different answers.
Check whether you ask before you answer.
Try a silent pause after the client's sentence; most advisors speak too soon.
With DIRI AI you can repeat the same conversation with a voice client and get an overview after the call of where you did well and where you did not.

Frequently asked questions about objections

Should I answer an objection immediately?

First hear it out and ask what exactly worries the client. Only then answer; an early answer often misses the point.

What if I do not know the answer?

Say so openly, promise to find out and agree a date. An invented answer damages trust more than an admitted gap.

May I promise a return in the conversation?

No. Returns on investment products cannot be guaranteed and such claims conflict with the requirement for fair and clear information to the client. Talk about conditions, fees and risks.

When should an advisor end the conversation?

If the client clearly says they are not interested or do not want further contact, thank them, end the conversation and respect it.

How can I learn to handle objections?

Practise them out loud in realistic situations and repeat the same objection with different answers. DIRI AI offers voice practice with an AI client and a Free plan.

Practise these ten objections out loud

Try them with a voice AI client. The Free plan includes one voice call a day of up to 5 minutes; a pilot is available for teams.

Try it free Plan a team pilot