Chapter 229: What business are you doing if you can't get something for nothing?
"Cultivation insurance? Genius!"
Inside the Feilong City Lord's Mansion, Lu Yuan and Zhang Feifei had a long talk and expressed their desire to expand the sect's new business in the future.
There is no way. Among all his disciples, Zhang Feifei has the best business acumen. If Xiao Huang will be the first successor to the Daluo Sect's top combat power in the future, then Zhang Feifei will be the first successor to the business sector.
Sure enough, after listening to his master's idea, Zhang Feifei gave a highly approving evaluation. It was obvious that he was very interested in the insurance business, but was limited by the fact that everyone in the world of immortal cultivation was pursuing the way to become an immortal. Since ancient times, few people have studied these things that are considered unorthodox to ordinary people.
At this moment, Zhang Feifei received enlightenment education in this area from Lu Yuan, and instantly turned into a sponge that madly absorbed knowledge in the business world.
The business knowledge on Earth and the cultivation model of the Qingtian World collided in his mind. At this moment, countless sparks of wonderful ideas burst out in his mind, and he quickly began to draw inferences from one instance.
"Master, isn't it too conservative to just offer this type of insurance, [No Medication]? And isn't the insurance leverage of one Spirit Stone a bit too high? Master, I think we can do this..."
Zhang Feifei expressed his thoughts. He felt that what his master had said before, using one spirit stone as the premium to leverage a maximum coverage of 10 million, was a bit too high. He could appropriately lower the insurance leverage, or launch a few more insurance policies with different premiums.
For example, just for the life insurance business, four insurance levels can be launched.
They are named respectively: minimum insurance, basic insurance, enhanced insurance, and maximum insurance!
The lowest insurance premium is 1 spirit stone, and the maximum insurance leverage is 100,000 spirit stones. The maximum compensation is 100,000 spirit stones, which is like making friends.
The basic insurance has a premium of 5 Lingshi, and the maximum compensation is 500,000.
The premium for enhanced insurance is 20 spirit stones, and the maximum compensation is 1 million.
The highest insurance premium is 100 Lingshi, and the maximum compensation is 10 million! In this way, we can not only keep the sinking market, but also expand the higher market.
100 spirit stones is certainly not a small amount for grassroots cultivators, but it is worthless for core disciples, elders, and senior executives of major forces, who also require higher-end services.
Lu Yuan listened to Zhang Feifei's words and smiled.
He had deliberately exaggerated the insurance leverage in order to verify his apprentice's sensitivity to the insurance business model.
Sure enough, Zhang Feifei is a natural businessman with a keen business sense. He immediately found out the problems in the insurance he proposed and drew inferences from them to plan four new insurance plans.
Lu Yuan said: "That's right, do you have any other ideas?"
He wanted to know what other ideas Zhang Feifei had and whether he could derive more commercial insurance models.
Sure enough, after Lu Yuan asked this, Zhang Feifei began to express more of his ideas. He felt that Daluo Sect could also launch death insurance.
The world of cultivating immortals is extremely dangerous. Even the core disciples or even the top leaders of major forces cannot guarantee that they can guarantee a safe and sound life.
Who hasn't had an enemy? And even if there is no enemy, like in the Ancient Blood Domain before, if you go to a random dungeon and encounter a ruthless person like the Demon Heart Cult Master who kills people at the slightest disagreement, if you are unlucky enough to die, you can still leave some inheritance for your relatives, friends and disciples.
Zhang Feifei said: "Master, death insurance is a big market. If it is managed well, it may be more profitable than elixirs.
It’s just that I haven’t thought about the details such as premiums, compensation and verification yet, and I feel that this market is a bit too big, and our Daluo Sect alone may not be able to take over this market in one go.
This type of insurance certainly makes money, but the compensation is probably not a small amount either.”
When Zhang Feifei proposed the idea of death insurance, he also had some concerns in his mind.
Death insurance can certainly make a lot of money, and once launched, its sales will probably be better than elixirs and non-medical life insurance. But there is also a huge problem, which is that the compensation will definitely not be a small amount.
Firstly, there are too many crises in the world of cultivating immortals, and the mortality rate is extremely high, which is not on the same level as on Earth, so the probability of death insurance compensation will be extremely high. Once the compensation begins, it will be a huge expenditure of spirit stones. Although the current Daluo Sect is already rich enough, its scale is still far from enough.
Second, it is difficult to determine how the insured died, or even whether he is dead or not. After all, in the world of cultivating immortals, there are many ways to fake death. If insurance fraud occurs, it will be extremely troublesome.
Thirdly, the lower the cultivation level of the immortal cultivator, the more likely he is to die in an accident. On the contrary, the higher the cultivation level of the immortal cultivator, the lower the probability of an accident. However, cultivators at lower levels are destined not to be too rich, so the insurance premiums are troublesome.
If the premium for low-level cultivators is set too low, it is easy to make a loss, and if it is too high, grassroots cultivators cannot afford it, so the degree is difficult to control. These are the reasons that stump Zhang Feifei, so Zhang Feifei feels that death insurance is extremely profitable, but the current Daluo Sect should not be able to grasp it.
Lu Yuan smiled and said, "It's not easy for you to derive death insurance from a basic insurance, but your methods and experience are still too immature. The essence of insurance is to get something for nothing.
If you wait until you have earned enough spirit stones before starting to do insurance, then you might as well not do it. Disciple, do you know what it means that the bold will die of overeating while the timid will die of starvation? "
Zhang Feifei looked confused and began to not understand what his master was saying.
Getting something for nothing? The brave will die of overeating while the timid will die of starvation?
Is there still room for maneuver here? Lu Yuan said that of course there is room for maneuver, and the room for maneuver of this thing is too large.
"The mortality rate in the world of immortal cultivation is indeed high, and the death insurance payout will indeed be an astronomical figure, but as long as we classify insurance into sufficiently detailed categories, the room for making money will suddenly become larger."
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There are different ways for cultivators to die, for example, being killed by demon cultivators, being shocked to death by the residual power of a powerful battle, dying from entering a dangerous secret realm, dying from going astray due to failure in reaching a new realm, dying from failure in a death retreat due to declining lifespan, dying from betrayal by companions and friends...
There are so many ways to die, and Daluo Sect can launch various types of death insurance.
Magic cultivator accident insurance, powerful accident insurance, secret realm accident insurance, realm breakthrough accident insurance, ancestor retreat accident insurance, backstab insurance...
As long as the division is detailed enough, there will be profit to be made. Different people can also purchase according to their actual situation. Daluo Sect will only pay compensation if the death is consistent with the death method included in the insurance they purchased.
For example, if you bought the powerful accident insurance, but died from being backstabbed by your companions, Daluo Sect would not have to pay the compensation.
As for how to get something for nothing, there is naturally a way.
The method is to verify whether the insured is really dead in the compensation link. Lu Yuan said that our Daluo Sect can set a missing period, and only the insured who meet the missing period can enter the compensation review process, as follows:
If an insured person in the Foundation Establishment Stage or below has been missing for more than one year, he or she can request to enter the compensation review stage; if an insured person in the Golden Core Stage or below has been missing for more than three years, he or she can enter the compensation review stage; if an insured person in the Nascent Soul Stage or below has been missing for more than 50 years, he or she must have been missing for more than 100 years.
Their cultivation levels, lifespans, and methods of cultivation are different. Nascent Soul and Spiritual Transformation masters may be in seclusion in one place for dozens or even hundreds of years. It is naturally impossible for them to demand compensation as soon as they go missing.
Therefore, a missing period is set according to the level of cultivation, and only after the missing period is met can the compensation application process be started. On the surface, this seems normal, but in reality it is equivalent to squeezing out a pure profit period for the Daluo Sect.
Within one year of the launch of the death insurance, Daluo Sect will make pure profit. Only after one year will it gradually enter the compensation stage.
This one year period is the stage where Daluo Sect can make money out of nothing. As long as there are enough policyholders within a year, why would they still be worried about not paying the basic money?
So you can't get something for nothing. What business are you doing?
Those who save up enough capital before starting a business are generally not suitable for big business. Those who can achieve great things are all leverage geniuses.
Zhang Feifei: Thank you for your advice.
(End of this chapter)