Insurance Agent Forum

[SmartMoney]

Im curious what everyone else out there is selling. I know this greatly depends on your book of business, propecting etc etc. I'm always interested to see if there is something better for the client I've missed and rather than hear it from an IMO with an agenda Id like to hear some agents opinions...

Some policies I usually use:

Midland, for short term fixed annuities (5yrs)

Equitrust, Integrity for longer fixed terms (10yrs)

AVIVA or Forethought for Income generating plans...

I use others to a lesser extent when the situation calls...

[BrokersAllianceAnnuities]

Those are all excellent carriers. Our emphasis is on the suitability for the customer first. Dependent upon the client's needs and suitability, whether he/she is retired, about to be retired or wanting growth and income, we will run comparisons with multiple carriers.

As a rule (us), we don't have favorites, because that may not maximize benefits for the client. It all boils down to the best payout, growth and financials at that particular point in time, for the client.

Best

[patch36]

I like Midland for the longer term annuities. Higher Bonus and their fixed side interest is fair and they haven't moved any of my policy down, when they could have based on current rates.

My older American Investors/Aviva policies do not have the same fixed interest integrity. They have dropped and never go up.

[SmartMoney]

Originally Posted by BrokersAllianceAnnuities

Those are all excellent carriers. Our emphasis is on the suitability for the customer first. Dependent upon the client's needs and suitability, whether he/she is retired, about to be retired or wanting growth and income, we will run comparisons with multiple carriers.

As a rule (us), we don't have favorites, because that may not maximize benefits for the client. It all boils down to the best payout, growth and financials at that particular point in time, for the client.

Best

Thanks for your response, what you mentioned of Suitability goes without saying. The clients BEST interest is the only thing when it comes right down to it.

The question I was asking was your opinion on any products Im not aware of being better than what Im currently using. Does one product give the client a higher rate? Is there a product just flat out head and shoulders above what Im using currently and how? Long term accumulation, short term accumulation, Income, MYG, Bonus Plans, etc... Whatever crosses your mind...Is there anything extraordinary out there I could be using to meet the clients needs better than I already am?

It seems like every post you make you have to put a disclaimer on it or else you get a PC response...

For instance...Some products I noticed I wont be using are Standard Life's MYG products. They have some great rates (The highest across the board) on the MYG annuities, but have you seen their investment portfolio... Oouch

[Mr. Bill]

One thing you might consider is whether the insurance company has other "products" that could be impacted by out-of-normal things, like if it has a P&C side and suffers massive losses, or if it's AIG, the losses will likely affect the credit rating of the company. You might think to stick with companies who just do one side of the biz.

[SmartMoney]

Originally Posted by Mr. Bill

One thing you might consider is whether the insurance company has other "products" that could be impacted by out-of-normal things, like if it has a P&C side and suffers massive losses, or if it's AIG, the losses will likely affect the credit rating of the company. You might think to stick with companies who just do one side of the biz.

This is very good advice. A fellow agent is freaking out this morning because he placed $5 million with AIG since the begining of the year. Thankfully I have none on my books but I feel for the clients. I wonder what will become of their money? AIG just seems too big for the Govt. to allow them to go under, the ripple effect would be gigantic...

[Mr. Bill]

The government may allow them to go under, but the insurance industry will not. A la, Conseco and Executive Life.

[BrokersAllianceAnnuities]

Originally Posted by SmartMoney

Im curious what everyone else out there is selling. I know this greatly depends on your book of business, propecting etc etc. I'm always interested to see if there is something better for the client I've missed and rather than hear it from an IMO with an agenda Id like to hear some agents opinions...

Some policies I usually use:

Midland, for short term fixed annuities (5yrs)

Equitrust, Integrity for longer fixed terms (10yrs)

AVIVA or Forethought for Income generating plans...

I use others to a lesser extent when the situation calls...

Originally Posted by SmartMoney

Thanks for your response, what you mentioned of Suitability goes without saying. The clients BEST interest is the only thing when it comes right down to it.

The question I was asking was your opinion on any products Im not aware of being better than what Im currently using. Does one product give the client a higher rate? Is there a product just flat out head and shoulders above what Im using currently and how? Long term accumulation, short term accumulation, Income, MYG, Bonus Plans, etc... Whatever crosses your mind...Is there anything extraordinary out there I could be using to meet the clients needs better than I already am?

It seems like every post you make you have to put a disclaimer on it or else you get a PC response...

For instance...Some products I noticed I wont be using are Standard Life's MYG products. They have some great rates (The highest across the board) on the MYG annuities, but have you seen their investment portfolio... Oouch

I am having to respond from a remote area as a result of the hurricane. Power is out everywhere.

First, thanks for the response. Secondly, as for any disclaimer; I am not writing as an individual agent. I write as a company and I can't write about any particular carrier or it could be taken as favoring or biased and I don't have any agenda. I only responded because annuities are what I do and it interests me.

I realize that for most here what is best for the client holds true, but as we all know, not everyone works that way.

As an agent, I think your portfolio of offerings are very good. My only question would be what is your solution for clients who need immediate income, i.e. SPIAs?

[SmartMoney]

Originally Posted by BrokersAllianceAnnuities

I am having to respond from a remote area as a result of the hurricane. Power is out everywhere.

First, thanks for the response. Secondly, as for any disclaimer; I am not writing as an individual agent. I write as a company and I can't write about any particular carrier or it could be taken as favoring or biased and I don't have any agenda. I only responded because annuities are what I do and it interests me.

I realize that for most here what is best for the client holds true, but as we all know, not everyone works that way.

As an agent, I think your portfolio of offerings are very good. My only question would be what is your solution for clients who need immediate income, i.e. SPIAs?

For SPIA's they are particularly different because of the variables of each case. The clients age, type of money, frequency of deposits (direct or physical checks (mthly, qtrly, semi, or annual)) and of course term.

I have a form I will fill the variables into and then send to 7-8 companies marketing depts I've checked out beforehand (companys I've viewed ratings, investment policies, sales practices and product) in order to get quotes. I have less demand for SPIA's but this is a still a great system to adopt because company A may beat company B on a 10 certain term, but might not even be in the ballpark on 20 yr payout. I still havent been able to figure these companies methods to their madness and how some can be so skewed...

[BrokersAllianceAnnuities]

Originally Posted by SmartMoney

For SPIA's they are particularly different because of the variables of each case. The clients age, type of money, frequency of deposits (direct or physical checks (mthly, qtrly, semi, or annual)) and of course term.

I have a form I will fill the variables into and then send to 7-8 companies marketing depts I've checked out beforehand (companys I've viewed ratings, investment policies, sales practices and product) in order to get quotes. I have less demand for SPIA's but this is a still a great system to adopt because company A may beat company B on a 10 certain term, but might not even be in the ballpark on 20 yr payout. I still havent been able to figure these companies methods to their madness and how some can be so skewed...

I have to say your form idea is a very good one. You are saving a lot of money. Excellent. True, the demand for SPIAs is less, but honestly it is growing because agents are slowly learning other ways in which to implement them. As an example, SPIAs can be used to fund LTC.

Back to growth - as a recent example, an alternative using a split with Company A (FIA) and a Single Premium UL with Company B, we can increase the death benefit a bit more by reducing cash value growth on the life product. We chose to go with Company B because as a dividend company, it generates respectable cash with a guaranteed 4.5% return.

Now, the question is: Why would we suggest a split like this using UL? Answer: Wealth Transfer: The death benefit with annuities are taxed as ordinary income. The death benefit for UL is tax free.

Just examples of meeting a client's needs. Hope this gives you an idea or two.

[SmartMoney]

Originally Posted by BrokersAllianceAnnuities

I have to say your form idea is a very good one. You are saving a lot of money. Excellent. True, the demand for SPIAs is less, but honestly it is growing because agents are slowly learning other ways in which to implement them. As an example, SPIAs can be used to fund LTC.

Back to growth - as a recent example, an alternative using a split with Company A (FIA) and a Single Premium UL with Company B, we can increase the death benefit a bit more by reducing cash value growth on the life product. We chose to go with Company B because as a dividend company, it generates respectable cash with a guaranteed 4.5% return.

Now, the question is: Why would we suggest a split like this using UL? Answer: Wealth Transfer: The death benefit with annuities are taxed as ordinary income. The death benefit for UL is tax free.

Just examples of meeting a client's needs. Hope this gives you an idea or two.

I hear you. Using the SPIA to fund the life is a brillant concept. Im still searching for the life product part of the equation which will give the tax free benefit. What Im looking for is a good product with living benefits of some kind in case the client needs to tap into their cash. What products do you consider for clients doing this form of wealth transfer?

[BrokersAllianceAnnuities]

Originally Posted by SmartMoney

I hear you. Using the SPIA to fund the life is a brillant concept. Im still searching for the life product part of the equation which will give the tax free benefit. What Im looking for is a good product with living benefits of some kind in case the client needs to tap into their cash. What products do you consider for clients doing this form of wealth transfer?

You are welcome to contact me via email for ideas and product. I really don't want to post my strategies here, or products. Not trying to recruit you. Just protecting my work and relationships that have been built.

Whether you work with me or not, your information will remain 100% private and respected. All I would confidentially need is your name, State, email and phone.

** We have a webinar in the near future on this very subject that would interest you.

[cloisbarton]

You should look at Fort Dearborn

They have a great 5 year fixed annuity with a bail out provision

And

Their index annuity caps on an annual point to point range from 10% to 11.5%. Those might be the highest out there right now.

A+ company as well

[BrokersAllianceAnnuities]

Originally Posted by cloisbarton

You should look at Fort Dearborn

They have a great 5 year fixed annuity with a bail out provision

That would be Fort Dearborn's Classic Fortifier. Great annuity. Hopefully Fort Dearborn will be back to accepting apps shortly. They had to stop taking in apps last month because they were overwhelmed with so much business.