Life Insurance Leads: Complete Guide to Finding, Pricing & Converting in 2025
You've read 10 articles about life insurance leads. They all say the same thing: "Buy leads from vendors." They don't tell you the real cost. They don't explain why 90% of agents lose money on shared leads. They don't reveal which lead types convert at 45-60% versus 8-15%. This guide exposes the math, the costs, and the hard truths your competitors won't tell you.
Life insurance leads are prospects who expressed interest in buying coverage. But not all leads are equal. Shared leads (sold to 3-5 agents) convert at 8-15% and cost $500-$1,875 per sale. Exclusive leads (sold to one agent) convert at 20-30% and cost $250-$750 per sale. Branded leads (prospects who watch your video first) convert at 45-60% and cost $50-$133 per sale. The type of lead you choose determines whether you build a thriving business or struggle to break even.
The lead type you choose determines your close rate. Branded leads convert 4-5x higher than shared leads.
Table of Contents
This complete guide covers everything you need to know about life insurance leads in 2025:
- How to Find Clients for Life Insurance - Proven methods to generate prospects without buying leads
- Free Life Insurance Leads for Agents - The truth about free lead methods and why they cost more than paid leads
- Exclusive Life Insurance Leads Price - Real pricing data and how unlimited exclusive leads work
- Life Insurance Leads Live Transfer - When live transfers make sense and what they actually cost
The Lead Types: Understanding What You're Actually Buying
Most agents don't understand the difference between lead types. They see a price and buy. They don't ask about exclusivity, quality, or conversion rates. Here's what they're missing:
Type 1: Shared Leads (The Worst ROI)
What They Are: Leads sold to 3-5 agents simultaneously. When a prospect fills out a form requesting life insurance quotes, the vendor sells that lead to multiple agents. You're competing against your own team.
The Process:
- Prospect fills out form on vendor website
- Vendor sells lead to 3-5 agents
- All agents call the same prospect
- Prospect gets overwhelmed by multiple calls
- Most agents lose the sale
The Math:
- Cost per lead: $35-$75
- Conversion rate: 8-15%
- Cost per sale: $500-$1,875
- Why it fails: Competition kills close rates. Prospects hang up when they realize 5 agents are calling them.
The Reality: Shared leads work for vendors (they sell one lead 5 times) but fail for agents (you're competing with 4 others). If you're buying shared leads, you're funding the vendor's business, not yours.
Type 2: Exclusive Leads (Better, But Still Expensive)
What They Are: Leads sold to one agent only. No competition. You're the only agent calling the prospect.
The Process:
- Prospect fills out form requesting quotes
- Vendor sells lead to one agent (you)
- You call the prospect without competition
- Higher close rate because prospect isn't overwhelmed
The Math:
- Cost per lead: $75-$150
- Conversion rate: 20-30%
- Cost per sale: $250-$750
- Why it works: No competition means prospects are more receptive to your call.
The Problem: Exclusive leads are still expensive. At $75-$150 per lead with a 20-30% close rate, you're paying $250-$750 per sale. That's better than shared leads, but still high.
Type 3: Branded Leads (The Best ROI)
What They Are: Prospects who watch your educational video before booking an appointment. They're pre-educated about life insurance. They know who you are. They're ready to buy.
The Process:
- You create a 60-90 second educational video about life insurance
- You run ads on Facebook/Instagram targeting people who need coverage
- Prospects watch your video 10-15 times
- Prospects learn about insurance, then book appointments
- You call prospects who already understand insurance and trust you
The Math:
- Cost per lead: $30-$60
- Conversion rate: 45-60%
- Cost per sale: $50-$133
- Why it dominates: Pre-education eliminates objections. Prospects book because they're ready to buy.
The Reality: Branded leads convert 4-5x higher than shared leads because prospects are pre-educated. They've watched your video. They understand insurance. They trust you. When you call, they're ready to close.
The Cost Per Sale Breakdown: Why Lead Type Matters
Here's the real math that most articles hide:
| Lead Type | Cost Per Lead | Conversion Rate | Cost Per Sale |
|---|---|---|---|
| Shared Leads | $35-$75 | 8-15% | $500-$1,875 |
| Exclusive Leads | $75-$150 | 20-30% | $250-$750 |
| Branded Leads | $30-$60 | 45-60% | $50-$133 |
The Takeaway: Branded leads cost less per lead ($30-$60 vs $75-$150) and convert higher (45-60% vs 20-30%), making them 5-10x more cost-effective than exclusive leads and 10-20x more cost-effective than shared leads.
Why Most Agents Lose Money on Shared Leads
The industry tells you to buy shared leads. They don't tell you why 90% of agents lose money. Here's the math they hide:
Scenario: Buying 100 Shared Leads
- Cost: $3,500-$7,500 (at $35-$75 per lead)
- Close rate: 8-15% = 8-15 sales
- Cost per sale: $500-$1,875
- Average commission per sale: $1,200-$2,000
- Net profit: -$300 to +$1,500 (if you're lucky)
The Problem: Most agents close 8-10% on shared leads, not 15%. At 8% close rate, you're losing $300-$500 per sale after paying for leads. You're working for free (or worse, paying to work).
Why It Happens:
- Competition: 3-5 agents call the same prospect
- Prospect fatigue: Prospects hang up when they realize multiple agents are calling
- Low intent: Prospects filled out a form but aren't ready to buy
- No pre-education: Prospects don't understand insurance, so objections kill the sale
The Solution: Generate Your Own Branded Leads
Instead of buying shared leads that 5 agents call, generate your own branded leads that convert at 45-60%. Here's how:
Step 1: Create Educational Video Content
Record 60-90 second videos explaining life insurance concepts:
- "Why term life insurance costs 70% less than whole life"
- "How much life insurance do you actually need?"
- "The 3 types of life insurance (and which one you need)"
The Strategy: Prospects watch your video 10-15 times. They learn about insurance. They trust you. When they book an appointment, they're pre-educated and ready to buy.
Step 2: Run Targeted Facebook/Instagram Ads
Target people who:
- Are 25-55 years old
- Have children
- Own a home
- Have expressed interest in financial planning
The Math:
- Ad cost: $30-$60 per lead
- Conversion rate: 45-60%
- Cost per sale: $50-$133
- ROI: 10-20x better than shared leads
Step 3: Direct Prospects to Booking Page
After watching your video, prospects click to book an appointment. They're pre-educated. They trust you. They're ready to buy.
The Result: You call prospects who already understand insurance and want to buy. Close rates jump to 45-60% because objections are eliminated.
The Call to Adventure: Stop Buying Leads, Start Generating Them
You've been buying shared leads that 5 agents call. You've been closing 8-15% and losing money. The problem isn't you. The problem is the leads.
The Solution: Generate your own branded leads using educational video ads. Prospects watch your video, learn about insurance, then book appointments already educated. Close rates jump to 45-60%. Cost per sale drops to $50-$133. You build a thriving business instead of funding the vendor's.
The Next Step: Learn how to create educational videos, run targeted ads, and generate unlimited branded leads that convert at 45-60%. Stop buying leads. Start generating them.
Ready to generate your own branded leads? Learn how to create educational video ads that convert at 45-60%.