Like so many other beginning advisors, Kyu Sang Hwang was in a slump during his second year in the financial services profession. As his sales sagged, so did his confidence. He needed to try something new to break his losing streak.

The answer for the s, came from an area of insurance — coverages such as business fire insurance, various liability insurances, auto insurance and travel insurance — that yield smaller profits compared with other products. But the demand was there, Hwang said, and there are plenty of reasons to supply clients with what they’re seeking.

“Because small insurance is something that clients need and want to buy right now, if you explain the product in an easy-yet-detailed way, you can actually appear more like an expert,” he said.

The simplicity of explaining these products can lead clients to take quicker action. Consequently, closing just one driver’s insurance case and a small fire insurance case felt significant for Hwang, which helped him regain confidence and overcome his slump. His new focus on property and casualty insurance provided a direction for boosting production, enhancing client service, building trust, and expanding his clientele to the point where he delivered 3,000 property and casualty policies during the past five years.

Take the instance of providing fire insurance for a small café. After the client secured the coverage, Hwang maintained a strong relationship through regular follow-ups during the next three years. Meanwhile, with the client’s referral, Hwang provided fire insurance for a commercial building that the client’s parents owned. A few months later, their building suffered water damage. Hwang helped the parents receive a large insurance payout. Since then, he also has handled inheritance planning and group insurance for the corporation that the parents run, as well as its succession plan.

Leverage experiences that engage clients

Many of Hwang’s clients are sole proprietors and have much in common, regardless of what industry they are in. So, as he consults with people from such sectors as food and beverage, manufacturing and construction, he shares stories about accidents and compensation cases to emphasize the importance of being covered and the risk of being unprotected.

“When I speak from real-life experiences, I feel the client’s trust in me increasing at that moment,” Hwang said. “If an accident like the example I share occurs, and I handle the compensation well, trust grows even more, and they introduce me to people they know. Their referrals confirm that my clients trust me.”

In fact, Hwang has found that property insurance can be a conversation icebreaker with prospects. As they talk about their business and share their story, they also reveal their needs. Not surprisingly, the longer the consultation lasts, the more likely the prospect will move forward with Hwang’s recommendations.

Of course, some business owners are reluctant. He met a motel owner referred by a friend who balked at buying the five policies Hwang recommended to fully cover his property. But after Hwang shared stories about businesses that suffered because they did not have accident coverage, the prospect took action. A few months later, he was well-protected when an accident occurred in the motel parking lot.

Stay objective

When dealing with property and casualty insurance, advisors should be aware that any frustration clients experience with their claim can easily derail the trust that has been built. Hwang added that advisors must clarify with clients that insurance coverage doesn’t solve all business problems. He emphasized that trust is built not at the point of sale but when claims are settled, so it is important that advisors verify the client’s losses and make every effort to assist in recovery.

Since discovering his specialty, Hwang has built his practice to service 30 corporate clients and about 1,000 private clients. He now sees a continually expanding need for the service he provides as the number of self-employed people increases in South Korea.

“Understanding property and casualty insurance helps us respond to the needs of this market,” Hwang said with a clarity that displays the insight of matching product to this unserved demographic. “So, we should use small P&C products that fit the needs of our clients.”