What to Gather From a Client /Prospect

If you need help researching an annuity for a client, please begin by gathering the information below. This will ensure that you know exactly what to ask your client, You can also create the client first and use GrantAI. The more details you provide about the client and what they’re trying to accomplish, the more aligned the guidance will be with the case.


Quick Start

Age + State + Amount + Source of Funds + Qualified/Non-Qualified + Client Goal

These are the key details needed to start researching a case.


1. Client Basics

Information Example
Age / Date of Birth Age 65
State California
Employment Status Working / Retired
Retirement Age Plans to retire at 67
Marital Status Married

2. Amount & Source of Funds

Ask Examples
How much are they considering? $250,000
Where is the money currently? IRA, 401(k), annuity, CD, savings
Current carrier/institution? If applicable
Current or previous employer plan? Old 401(k)
Still contributing? Yes / No

Example

Client is 62 with approximately $250,000 in an old 401(k) from a previous employer.


3. Is the Money Qualified or Non-Qualified?

Qualified Non-Qualified
Traditional IRA Cash
401(k) Checking
403(b) Savings
SEP IRA Money-market account
SIMPLE IRA Regular CD
Other qualified retirement-plan funds Brokerage account

Examples:

$250,000 old 401(k) → Qualified

$100,000 cash in a savings account → Non-qualified

Helpful Tip

Cash describes the type of asset. Qualified or non-qualified describes the tax status/source of the money.

If the “cash” is actually held inside a retirement account, use the tax status of that retirement account.


4. What Does the Client Want to Accomplish?

Ask the agent what is most important to the client.

Goal Example
Accumulation / Growth Wants the money to continue growing
Income Wants guaranteed retirement income
Protection Concerned about market losses
Preservation Wants to protect principal
Legacy Wants to leave money to beneficiaries
Combination Wants growth now and income later

Example

“The client doesn't need income today. She wants to protect her principal, continue accumulating and potentially take income when she retires.”


5. When Will They Need the Money?

Determine the client's time horizon and liquidity needs.

Ask:

  • When do they plan to retire?
  • When will they need income?
  • Do they anticipate taking withdrawals?
  • Do they have any large upcoming expenses?
  • Do they need this money available for emergencies?

Example: Client plans to retire in five years and does not anticipate needing the annuity funds before then.


6. What Are Liquid Assets?

Liquid assets are generally money or assets that can be accessed relatively easily.

Usually Liquid Generally Not Liquid
Cash Primary residence
Checking Vehicle
Savings Furniture/personal property
Money-market accounts Real estate that must be sold
CDs Other illiquid property
Stocks —
Bonds —
Mutual funds —
Brokerage accounts —

Example

$20,000 checking

  • $40,000 savings
  • $60,000 accessible investments

    = Approximately $120,000 in liquid assets

Important: Always use the applicable carrier's definition when completing suitability forms.


7. Client's Financial Picture

For suitability, the agent may need additional information about the client's overall financial situation.

Information to Gather Example
Annual household income $90,000
Monthly expenses $5,000
Net worth $750,000
Liquid assets $120,000
Emergency savings $30,000
Other investments $75,000 brokerage
Other retirement accounts IRA, 401(k), pension
Debts / liabilities Mortgage, loans
Large upcoming expenses Home purchase, medical expenses
Risk tolerance Conservative
Time horizon 5–10 years

Why This Matters

If a client wants to place $200,000 into an annuity, the agent needs to understand the client's overall financial situation, including whether the client will still have adequate accessible funds for expenses and emergencies.


8. Existing Annuity or Replacement?

If the money is currently in another annuity, gather:

Information What to Look For
Current carrier Insurance company
Current product Name/type of annuity
Account value Current value
Surrender value Amount available after applicable charges
Surrender period Years remaining
Surrender charge Current percentage/dollar amount
Existing benefits Income/death-benefit features
Bonuses Anything that could be forfeited
Reason for replacement Why is the client considering moving?

A replacement may require additional carrier/state documentation.


9. Carrier Suitability / Best-Interest Information

Once a carrier and product are being considered, the agent should review the current carrier-specific suitability/best-interest forms.

The carrier may request information regarding:

  • Income – How much the client earns each month/year. Example: $75,000/year from Social Security, pension, and work.
  • Net worth – Everything they own minus what they owe. Example: $800,000.
  • Liquid assets / liquid net worth – Money they can readily access without selling major assets like their home. Example: $150,000 in checking, savings, CDs, or brokerage accounts.
  • Expenses – What they spend monthly or annually. Example: $4,500/month.
  • Financial objectives – What they want the money to accomplish. Example: lifetime income, growth, or principal protection.
  • Source of funds – Where the money for the annuity is coming from. Example: IRA, 401(k), CD, savings, or another annuity.
  • Qualified / non-qualified status – Whether the money is in a tax-qualified retirement account. Example: IRA = qualified; personal savings = non-qualified.
  • Time horizon – How long before they expect to need the money. Example: 10+ years.
  • Liquidity needs – How much money they may need available for withdrawals or emergencies. Example: wants $50,000 kept accessible.
  • Risk tolerance – How comfortable they are with risk or potential loss. Example: conservative and prioritizes principal protection.
  • Existing annuities / insurance – Any annuity or life insurance contracts they already own. Example: existing $200,000 FIA.
  • Replacement information – Whether the new annuity will replace an existing annuity or insurance policy. Example: moving funds from an existing annuity into a new one.
  • Surrender charges – Penalties that may apply for taking money out of an existing contract early. Example: current annuity has a 6% surrender charge.
  • Reason for the recommendation – Why the recommended annuity fits the client's needs and objectives. Example: client wants guaranteed lifetime income while maintaining some access to funds.

Important

Requirements vary by carrier, product and state. Always refer to the applicable carrier's current forms and requirements.


If you have questions about the sales process, suitability requirements, or what information you need to collect from the client, your IMO or new business representative can guide you on what they require from you.


For Annuities Genius support, we can help you navigate the software, enter information, and determine which tools to use for your case. During business hours, you can reach us through Live Chat in the platform, email support@annuitiesgenius.com, or call 949-600-7707.

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