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But they still didn't get paid until the insurance company decided they were going to pay. And if the insurance company had rescinded the policy then they wouldn't have been paid. Assignment or not.
Ethlical FE Life Insurance Replacements
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But they still didn't get paid until the insurance company decided they were going to pay. And if the insurance company had rescinded the policy then they wouldn't have been paid. Assignment or not.
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Just barely read thru this thread. There is so much junk insurance that these people have...Globe, AARP-NYL, modified, graded...this kind of stuff is what's not ethical. Overpriced WL, or crashing UL...you can clearly show that you can put them in a better position. I think the ethical thing to do is replace that junk. I would guess that 75% of the time, I can offer my clients something much better. Yes, I have occasionally found a few policies that I would not touch, and I tell that to the prospect. That's rare when I find those though.
When I was training for FE, I witnessed a Senior Life agent write a little over 20k over six days. I didn't see him write one replacement, wasn't part of his business model. Personally, the TV and mail order policies are the only stuff I aggressively target.
I am not passing judgement on any agent (can't deny they are often truly putting their clients in a better position). Just saying that if you are in any way conflicted by replacements, don't do them! They are not a pre-requisite to high production. Kinda what JD said on another thread about fraternals. If you are in any way conflicted, don't write them. Problem solved, to each their own.
p.s.- I did see him write one. But it was her idea. She literally had just took it out and couldn't stand the agent who sold it to her. Didn't even care that the SL policy was $20/mo. more. (technically it wasn't even a replacement, she canceled the app)
I am not passing judgement on any agent (can't deny they are often truly putting their clients in a better position). Just saying that if you are in any way conflicted by replacements, don't do them! They are not a pre-requisite to high production. Kinda what JD said on another thread about fraternals. If you are in any way conflicted, don't write them. Problem solved, to each their own.
p.s.- I did see him write one. But it was her idea. She literally had just took it out and couldn't stand the agent who sold it to her. Didn't even care that the SL policy was $20/mo. more. (technically it wasn't even a replacement, she canceled the app)
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I agree with that. There's enough stress in this business as it is without adding more. If one is not comfortable with replacements or is not sure that it's right then don't do it. Same as I said about fraternals, if it concerns you about the company being fraternal then don't deal with them. There's enough companies out there to never write a fraternal if one doesn't want to.
I do find for the most part that the ones that rail against replacements and use the contestability as a scare tactic write the companies are most commonly replaced. You think there might be a connection there to their indignation?
I hear ya. Not to get too deep, but I think your populist, union rep roots run deep. I understand and respect that. You once said you wear the badge of replacement artist with pride. To me, you act as the advocate and protector of "your people" (as you put) against "the man" (big bad insurance company).
Another poster recently informed me that lead conversion rates are (according to an insurance co. executive) very low in PA. Makes sense as we are a union heavy (union people hate insurance companies), economically populist state. After all, their main experience with insurance companies often is (after being maimed on the job) being fought tooth and nail over perfectly legitimate worker's comp claims.
p.s.- Not trying to put words in your mouth, just my perception of you from reading your posts.
For most agents it is: It is never ethical for you to replace my business but it is always ethical for me to replace yours.
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For most agents it is: It is never ethical for you to replace my business but it is always ethical for me to replace yours.
That. You could also replace Ethical with Justified.
