Moderation is a modern virtue. We're taught we don't need to eat everything before us and we don't need to drink until it's all gone. Sometimes, we can just say no.

But for some brokers, any voluntary case is a great one and they rarely turn their back on that. This is one reason participation rates are slipping and we see so many cases with 3-4 percent participation. These are damaged cases.

Damaged cases hurt you, the broker. Obviously, the revenue potential of the case wasn't realized. When you think of the work that goes into closing a case, it hurts even more.

Damaged cases hurt the client. A benefit with 2 percent participation hardly deserves to be called a benefit. It's more like a perk for a chosen few and probably doesn't impact the client's goals of aiding recruiting and retention.

Damaged cases hurt those who need the coverage.

Damaged cases hurt the carrier. A product priced for 20 percent but yielding only 3 percent is a major problem.

How does a broker avoid damaged cases? Successful producers will tell you there are four steps.

First, have a participation goal that benefits all parties. “Good” participation varies by product and enrollment process. If you need help setting a goal, talk to your partners.

Second, know how to reach that goal. Successful implementations involve a mix of marketing, sales, education, and presentation steps. Again, they vary by product and process, but they aren't mysterious and there are hundreds of articles on tips and suggestions for excellent implementations.

Third, sell it early and often. Those implementation steps are as much a part of your sale as is the product. You are an excellent salesperson or you wouldn't be reading this. But for voluntary, you may not have been selling the right things. Make your client a full partner in achieving the participation goals.

The fourth (and most difficult) step: if you can't get there, walk away. A successful broker told us he turns down 50 percent of the cases for this reason. But he also said that more than half of those he turns down ultimately come back and agree to an appropriate implementation plan.

Some brokers consistently average 30 percent or more participation, while others struggle to reach 5 percent. And if they are in the same size market, the second broker needs to sell six times as many cases to reach the same number of new enrollees. Guess which one earns more, does a better job for her clients, and is truly partnering with her carriers? Sometimes, not taking every opportunity is the right answer. No wonder it's a virtue.

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4 steps to avoid damaged cases

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