For CPA's

Life Insurance Agents and CPA's

The Financial Industry’s new Dynamic Duo

The world of the Certified Public Accountant (CPA) is changing. Traditional sources of revenue - generated primarily through traditional tax and accounting practices - have seen a steady erosion over the past several years due largely to the availability of new technology and easy-to-use software.

Individuals, families, and even business owners are abandoning that annual April trek to the CPA’s office - slips and receipts in tow - in favor of software programs that let them manage their books and file their taxes from the comfort of their home, and with the click of a mouse.

Alliances & partnerships with other financial professionals

CPAs, obviously, haven’t been blind to this exodus, and many are now taking steps to address this growing problem.

One step that’s becoming especially attractive, both to sole practitioners and to small- and medium-sized CPA firms, is the establishment of alliances and partnerships with other financial professionals.

And more often than not, these other financial professionals are life insurance agents.

By broadening their practices to include products and services traditionally offered only by life insurance companies through life insurance agents, CPAs are finding that they’re able to broaden not just their practices, but their profitability.

Why life insurance?

The answer is simple. Chances are better than fair that anyone with a need for a CPA has a similar need for life insurance, be it personal or business. However, the life insurance and accounting professions have traditionally operated independently of one another, each keeping a watchful, if not suspicious, eye on the other. Today, all that is changing. CPAs are beginning to realize just how valuable a resource a life insurance professional can be, and life insurance professionals are beginning to realize what an incredible opportunity working with a CPA can be.

When you consider what each brings to the table – the CPA with access to a large and generally successful client base, and the life insurance agent with access to products and services these successful clients need – you can see how the right partnership could be a win-win situation for both.

Now, think about your own situation. If you’re like most insurance professionals, you spend the lion’s share of your time and effort trying to develop and maintain a steady stream of clients. So how’s that going for you? Are you making much headway? If not, maybe it’s time you considered the CPA marketplace. For a variety of reasons, the timing may never be better for entering this largely untapped market, and the potential for success may never be greater.