The Heritage Fee: Pass it to Clients or Absorb it?
Some funeral homes are reluctant to charge the minimal assignment funding fee to their clients; however, it is important to note that studies prove consumers don’t mind paying for conveniences/services received — no differently than paying interest on a home loan or tipping at a restaurant. As a matter of fact, they expect it!
It is sometimes shocking to hear that there are still homes that feel uncomfortable assessing the fees associated with the acceptance and processing of life insurance proceeds as a method of payment – the one service that actually protects and benefits your business. In contrast, it is standard operating practice to pass along all other costs, such as floral arrangements, catering, and traffic control – which offer zero benefit to your business!
Your clients will relate to the fact that every business – including yours – requires payment when services are rendered. After all, no car leaves the dealership without a guarantee of payment, and no items leave the store without first being paid for! Why would a funeral home be any different?
Remind your clients that accepting a life insurance policy as a form of payment is a valuable convenience provided to them. It eliminates the need to pay out of pocket, or worse, fighting amongst family over the payment of a loved one’s final services. The families you serve will NOT have to wait months or even years for payment, and neither will you! And because our minimal fee is approximately half of most state sales taxes, the price for their convenience and your security is one neither of you should afford not to incur.
For more tips on how to pass along our fee to your clients, contact your personal Heritage representative today. (877) 463-8630.