Chapter 4 - Lesson 2

C4-L2-P16

Knowledge—The Key to Avoiding Misrepresentation

Knowledge of a company’s products can help producers avoid many problems involving misrepresentation, but the producers’ understanding is only the first step. They also must be willing and able to communicate this information clearly to clients.

The following two steps can help producers use their knowledge to benefit clients and themselves:

1. Learn the products and the industry.
   
   Producers should read their policies to make sure they understand them. A producer’s knowledge and ability to explain policy provisions clearly can help protect clients from costly mistakes. Knowledge truly is power in that it increases the producer’s confidence, which in turn enhances selling effectiveness and overall productivity.
   
   
2. Plan sales presentations carefully.
   
   Producers must be sure to make complete and accurate sales presentations, disclosing all relevant information about their products to clients.

The best guideline is to make sure the clients understand all information from the outset so no surprises or misunderstandings occur later.