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Understanding Consumers
Building Trust through Transparency: How to Create Clients for Life
October 24, 2025
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Trust is the backbone of the life and health insurance industry. In our world, clients aren’t buying a tangible product—they’re purchasing a promise of protection and security.
Operating with transparency is key to building client trust. This is especially true in regions where skepticism toward financial institutions runs high.
Conducting business transparently can mean the difference between making a one‑time proposal and developing a long‑term client relationship that literally spans generations.
But sometimes, sellers define transparency differently than buyers. That’s why it’s helpful to periodically check to ensure that you’re on the same wavelength.
What Transparency Really Means in Insurance
As a PALIG agent, you are charged with the task of making the invisible visible—that is, of making insurance coverage “real” in the minds and lives of your clients. That requires transparency in your communications, including:
- Explaining coverages and policies in simple terms—what’s included, what’s excluded and how the benefits work.
- Breaking down the numbers, including premiums, potential cash value…yes, even commissions.
- Mapping out the insurance process so clients can anticipate each step, from completing an application to making a claim.
When agents rely on these trust‑building techniques, clients feel they’re making an informed choice that truly serves their best interests.
Cultivating Client Confidence
In some parts of the world, the financial services sector is among the least‑trusted industries. According to the Edelman Trust Barometer, only 38% of consumers globally believe our industry operates fairly.
Furthermore, in areas where most people don’t have insurance, there’s a shortage of positive experiences and stories to counterbalance this perception. Take Latin America, where only 15% of the population is insured. But here’s the bright side: when local insurers and their representatives operate transparently and deliver on their promises, there’s enormous opportunity—as PALIG continues to prove.
Keep up with Changing Client Expectations
Today, periodic insurance statements aren’t enough. Digital‑savvy clients—especially Millennials and Gen Z—expect information and answers available 24/7. This includes:
- Real‑time updates on applications, claims, and policy changes
- Upfront clarity on fees, exclusions, and limitations
- Easy digital access to policy documents, benefit summaries, and premium schedules
Technology has made it easier for insurers to reap the benefits of clear communication. So, take advantage of all the technology PALIG has to offer.
Showcase Transparency with Clients
Transparency doesn’t have to be complicated. In fact, your most powerful moves are also quite simple:
- Be upfront about exclusions and limitations. Clients respect honesty more than a sugar‑coated pitch—and you’ll earn credibility for it.
- Use easy‑to‑understand materials. One‑page summaries, infographics and short educational videos can cut through the clutter, while building client knowledge.
- Make sure your clients know all their digital access options. The more that’s available to them online, the more confidence they’ll feel in you and in us.
Ethical Wins = Business Wins
Operating transparently is the ethically right thing to do. But beyond that, it’s also smart business, because agents and insurers who embrace transparency also enjoy:
- Higher referral rates ‑ because people enjoy sharing positive experiences with others in their social circle.
- Stronger renewals ‑ because clients stay loyal to advisors and carriers they trust.
In other words, operating with transparency doesn’t just benefit your clients—it benefits your business, too.
It’s All About Building Client Trust
When it comes to life and health insurance, clients don’t just want coverage—they want confidence. In areas where trust gaps remain wide, transparency is a highly effective way to bridge that chasm.
At PALIG, we’re proud of the quality life and health insurance products and services that our affiliate companies offer. We believe operating transparency only makes us stronger. For more guidance on this subject,