New zero premium life insurance policy/life settlements

[Crabcake Johnny]

It doesn't have to go farther then this:

When someone dies the beneficiary needs the money. It's either a family member or a key man situation where a company has to now replace a partner. In any case, when the person dies the beneficiary is potentially finacially harmed and needs the money.

In this case it's just a business opportunity for some investor. They have no interest except to me more profit then they're already making.

If you want to participate in that and fool youself into thinking you're helping people that's fine. The people putting this together are certainly counting on agents devoid of ethics to go market this.

The fact that the DOI may approve it is neither here nor there. There are many DOI authorized products available that I would never sell.

 

[STIBROKER]

I am not for or against this product...

.... or information you hear about the product


..... "this product is going to make a millionaire"? Isn't there any middle ground?

see you keep ref. to a product......as far as I have seen ....there is no product......

I get the feeling the only way you would "like" me period if I posted a picture of a fish and just shut up

If I did not like you I would not have spent this much time in this thread and try to help people not to get snookered....

 

[Dave020]

To me, any credible insurance company that would endorse and participate in a program like this would have to be at least half stupid. Think about the agent defection rate once word hits the market that they backdoored their contracted agent sales force with some "deal" only available to one agents contract, and in multiple states and markets.

Wow, I know if it was West Coast, which apparently is a bit smarter than that, I'd probably be inclined to shop every plan I have with them and consider rewriting with another carrier like Banner, Genworth or Pru, etc.. Then I would cancel my contract with them. I bet that I would not be the only one considering the total lack of ethics and violation of insurable interest involved.

This sure smells like either fiction or another Allianz thing. Is Allianz and A+ right now?

 

[Dave020]

you cannot be for or against anything... as you pointed out there is no "product"...

True, but then why are agents being asked to pay $10 if there is no product? I'd rather give it to Katrina funds, at least there is a tangible entity and product.

I'd say if I'm required to pay for something, I have the right to be for or against it or neutral.

 

[STIBROKER]

http://overregd.lindquist.com/2007/...llianz-over-annuity-sales-to-senior-citizens/
Minnesota Sues Allianz Over Annuity Sales to Senior Citizens.

January 11, 2007 by Kim Ruckdaschel-Haley

Annuity sales to senior citizens have significantly risen over the past several years. With this increase in sales has come consumer confusion, prompting regulatory warnings about misleading sales by companies and their agents to the uninformed
buyer.Companies now find themselves in even more rocky terrain as a result of a lawsuit filed this week in Minnesota. On January 9, 2007, the State of Minnesota filed a Complaint against Allianz Life Insurance Company, alleging unlawful sales practices by Allianz of deferred annuity products in Minnesota to unsuspecting senior citizens. In particular, the Complaint asserts that specified Allianz deferred annuity products have long income deferral periods (5-year plus) that are unsuitable for certain senior citizens, that such products lock-up monies for long periods unless steep surrender charges are paid, and that Allianz used deceptive marketing practices to lure seniors to invest, touting "immediate bonuses" when, in reality, such bonuses aren't fully paid for many years.
Minnesota is seeking civil penalties against Allianz, restitution for all Minnesota senior citizens injured by Allianz's actions, an injunction barring Allianz from selling deferred annuities to seniors without first determining their suitability, among other relief.
Minnesota's newly elected attorney general, Lori Swanson, told reporters that deceptive sales of deferred annuities to uninformed senior citizens are a widespread abuse driven by lucrative upfront commissions paid to insurance agents. According to news articles, Swanson's office reports that Allianz has sold more than 4,900 deferred annuities to Minnesotans over the age of 70 since 2000, totaling more than $259 million.
The Complaint against Allianz comes on the heels of an earlier lashing by the NASD of the firm's subsidiary. In December 2006, the NASD announced that it had fined US Allianz Securities $5 million for "widespread deficiencies in its supervisory system and for record-keeping violations."
Other insurance companies are sure to be keeping a watchful eye on this litigation, wondering if they, too, will become embroiled in complaints involving similar practices. Stay tuned . . . we'll update you as this matter progresses.

 

[Dave020]

see this is where I get in trouble from STIBROKER... I was told that the $10 is for contracting with the Miracle Insurance Agency... not anything to do with a "product".

And this is where I have a huge problem, as an "older" agent (I would rather use "experienced").

I have many GAs I work with, a couple just for life insurance, and have never had to pay any fee at all to work with them. As a matter of fact, most of them turn around and pay my fee for appointment with the carrier when I sell the product through them - a nice extra benefit for me.

GAs get overrides on the products we sell through them. That is how they are compensated. They don't charge agents a fee on top of that, at least the legitimate GAs.

It seems miracle is triple dipping here - charge the agent a fee, get an exclusive sales contract (is there a protection provision for the writing agent?), and get a commisson PLUS GA override fee from the life insurance company.

I am sorry, but this is exactly the kind of thing they teach you to avoid in your preliminary licensing course, at least here in CA.

 

[Dave020]

Oh, and when I write though a GA my agent information appears on the final contract, not the GAs. That is why I have to be appointed with the carrier which they pay for.

 

[STIBROKER]

i agree but what are you gonna do? You either sign up and pay the fee or you don't... there is no way around it

My husband is a MGA so I understand this... just telling you what I was told

Walk Away........I know my Lic. is worth more than $10.....

Search Results for 2003

Summaries of the orders found in your search for. "employers mutual"

Employers Mutual LLC ET AL of Carson City NV
Order Number: 030668
Date of Order: 7/24/2003
Order Final In: August
Action Taken: Fines totaling $12.5 million against William Kokott, Nicholas Angelos and American Benefit Society
Violation: Unauthorized insurance and deceptive trade practices




Rutherford, Scott David of Houston
Order Number: 040195
Date of Order: 3/1/2004
Order Final In: March
Action Taken: $300,000 fine plus restitution; Cease and Desist; General Life, Accident, Health and HMO License revoked
Violation: Acted as an agent for unauthorized entities; Violated emergency Cease and Desist Order; Engaged in fraudulent or dishonest acts or practices

 

[senior-advisor-indiana]

There are quite a few FMO's that are staying far away from this. I wonder why they aren't scared of losing thier agents. Sorry ang, just figured I'd let you defend some more.

 

[Dave020]

i agree but what are you gonna do? You either sign up and pay the fee or you don't... there is no way around it

My husband is a MGA so I understand this... just telling you what I was told

And that is exactly my point, you know that no one else in the entire industry does this, the agency in question has serious question marks about it, the program appears on the surface to be highly unethical and perhaps illegal and you are complaining about negative comments on this board? I mean, come on, this should raise more red flags than the Titanic going down.

Pay someone who will give you some information at a later date about some kind of seniors program which will enrich some exclusively contracted agent under investigation by his DOI, the investor and the agent.

I am sorry, but in all my training, CE and study in the field of life insurance, this is a situation that an ethical agent should immediately denounce.

No wonder insurance agents have a bad reputation!