Final Expense Question

senior-advisor-indiana · 07-29-2008, 10:35 PM

RNA is $28.71 for the 50yr female smoker. Not much difference.

HoosierDaddy · 07-29-2008, 11:17 PM

Originally Posted by jdeasy

Well, let's just compare pricing. I posted this in the LH thread, but, I'll do the same here.

Today, I wrote two LH $10,000 whole life policies. One was on a 40 year old male non smoker. The other was on a 50 year old female smoker.

The male's was $20/mo. The female's $29.40/mo.

How much did they overpay compared to the other companies out there. No real health issues with either, so, they would most be approved with anyone. I know they will be with LH.

If you, or anyone can beat those rates, how much can you beat them by and with what company?

Here is the deal... I will look up some rates... and post later, but when your talking about 40-55 year old healthy people on a 10K face there probably will not be much difference. But that is not the "True Demographic" for a FE business. Sure we all have those folks, but most of the people are 60-80 years old. When you start comparing some of those rates, that is where your see some substantial difference.

The other thing to consider if all things are equal, how much money are you making...

For Example if I contracted you through RNA you would have made 110% first year and 9 1/2% renewal years 2-10. And in my opinion the couple would have had more "useable" benefits from RNA than LE. I am pretty sure from speaking to other LE agents that your commission is less than that...

I have said this before on here. FE is piece work. What I mean is you are only going to write X amount of policies a year. Why, would you not want to get the most commission you can?

I appreciate your post, I do enjoy debating this stuff. You are a loyal guy for LE that is for sure. I need to get you hooked up with RNA...

senior-advisor-indiana · 07-29-2008, 11:31 PM

Hoosier,
I have tried to let this slide but you keep typing LE instead of LH. WHat does the E stand for? It is making me lose sleep and keeping from doing my real job.

jdeasy · 07-29-2008, 11:32 PM

Originally Posted by HoosierDaddy

Here is the deal... I will look up some rates... and post later, but when your talking about 40-55 year old healthy people on a 10K face there probably will not be much difference. But that is not the "True Demographic" for a FE business. Sure we all have those folks, but most of the people are 60-80 years old. When you start comparing some of those rates, that is where your see some substantial difference.

The other thing to consider if all things are equal, how much money are you making...

For Example if I contracted you through RNA you would have made 110% first year and 9 1/2% renewal years 2-10. And in my opinion the couple would have had more "useable" benefits from RNA than LE. I am pretty sure from speaking to other LE agents that your commission is less than that...

I have said this before on here. FE is piece work. What I mean is you are only going to write X amount of policies a year. Why, would you not want to get the most commission you can?

I appreciate your post, I do enjoy debating this stuff. You are a loyal guy for LE that is for sure. I need to get you hooked up with RNA...

My commission with LH has been 95%. It's moving to 100% next month based on production. That's still less than 110%. I am interested in the RN.

But, this discussion has been about how terribly high LH premiums are and how easily others could replace the business. I'm now seeing that is not the case.

You are correct on the demographics, I was just relating the ones I did today. I don't normally get that age bracket either.

How about a 62 year old female smoker I did yesterday, $5000 face whole life for $24.15/mo. How about a 69 year old male smoker that I did last week, $10,000 face for $87/mo?

How would RN compare on price? How about leads? Both of those were from LH leads.

Yes, I am loyal to LH. I try to be loyal to every company I work for. But, I am loyal to myself first. I figure that if I'm loyal to my clients and loyal to the companies, my being taken care of will certainly follow. The ones I did today were referals. I'm going to do a Wellcare tomorrow from a referral. I'm doing a Coventry Thurs. from a referral.

You guys are changing the argument from LH's premiums being too high to a new discussion about commissions. Don't get me wrong, I appreaciate the discussion.

jdeasy · 07-29-2008, 11:44 PM

Originally Posted by senior-advisor-indiana

UHL has 40yr male $10k, @$17.94 per month, $25k which is what I would have sold him would be $37.87. THat might not be my cheapest either, just the 1st one I looked at.

You would not have sold him that. The LH for $25,000 was $45/mo. He wasn't going to pay over $20-$23/ month. I could have gotten a higher face in that price range by going UL or term. He is a medicaid person and doesn't have much extra money.

It would have been nice to have put him in a $50,000 whole life if money was no object.

He was happy enough with me that he got his sister on the phone and I'm meeting with her on Thurs. and she already said she wants to cover herself, her husband, her two children and one grandchild. I believe that, if you meet the client's needs and their budget, the rest will take care of itself. It would help at all to have gotten him a $40/mo. plan that he drops in 3 months.

HoosierDaddy · 07-30-2008, 12:31 AM

I don't know why I have been putting LE... I have equitable on the brain...

Just for the record RNA is my go to Company... However I am not 100% faithful... I do use other companies when the situation calls...

Lets say I show up tomorrow to those folks you listed above...

62 Female smoker 5K & 69 Male smoker 10K

OPTION 1

RNA Traditional Whole Life w/speed underwriting (MIB & Prescription Check Only)
62F smoker $25.12 for 8K
Or the company from out west @ 26.13 for 6K or $24.17 for $5,500... (Mrs. Prospect for $2 dollars more you could have an additional $1000 coverage)

For the 69 Male smoker
"The Other Comp" for $85.42 for $11,500

I am confidant that would be enough for them to replace your LH.

I don't know LH rates but it seems like where you may take a beating is Non-Smoker rates also...

jdeasy · 07-30-2008, 12:44 AM

Originally Posted by HoosierDaddy

I don't know why I have been putting LE... I have equitable on the brain...

Just for the record RNA is my go to Company... However I am not 100% faithful... I do use other companies when the situation calls...

Lets say I show up tomorrow to those folks you listed above...

62 Female smoker 5K & 69 Male smoker 10K

OPTION 1

RNA Traditional Whole Life w/speed underwriting (MIB & Prescription Check Only)
62F smoker $25.12 for 8K
Or the company from out west @ 26.13 for 6K or $24.17 for $5,500... (Mrs. Prospect for $2 dollars more you could have an additional $1000 coverage)

For the 69 Male smoker
"The Other Comp" for $85.42 for $11,500

I am confidant that would be enough for them to replace your LH.

I don't know LH rates but it seems like where you may take a beating is Non-Smoker rates also...

Yes, you probably could get the 69 year old. I agreed with you already that I need to look at RN. What about leads with them? I wouldn't have seen this guy without the LH lead.

The 62 year old had a stroke 4 years ago. She is standard with LH and immediate coverage. Would she be with your company?

HoosierDaddy · 07-30-2008, 01:29 AM

Originally Posted by jdeasy

The 62 year old had a stroke 4 years ago. She is standard with LH and immediate coverage. Would she be with your company?

Yes...

As far as leads... Their is nothing special about the LH lead card. It says basically the same thing as all the rest. You could design a similar type card and mail your own... I have mailed every type, color and design you can think off, and I have found they all pull about the same. You would have much more control. Specific demographics (age, income, area) $19 dollars a lead is not a discount in my opinion. Plus your making a lesser commission writing their product.

For me it just does not make sense, but that's just me... I have the Senior-Advisor to look out for me...

Louis P. · 07-30-2008, 09:04 PM

Hoosier, you mentioned that RNA is your "go to" company. I'm not contracted w/ them yet, but I am curious....right now my main companies are Motorists and Forethought. What do you like about RNA over these two. My practice is approx. 80% FE and I'm always looking for a better way to skin the proverbial cat. I go to the door with the lead card in hand and never (well, almost never) call to set an appointment. I don't like to use leads from a specific carrier because of the underwriting restriction. You only have one company to show plus I don't like working for double digit commissions unless I have no other choice, GI products, etc.

psrayburn · 09-12-2008, 09:34 AM

Is RN approved in mississippi?/ I know The Forethought is, keep getting Agent pack/leads from different FMO's

HoosierDaddy · 09-12-2008, 11:15 AM

RNA is not only very competitive on their rates; their insured’s also receive all of the membership benefits of RNA with their life insurance. RNA is the 4th largest Fraternal Organizations in the U.S.A. There is not another FE company that offers better benefits. For you folks that have contacted me, that I have not gotten back to… I’ am sorry. I have been so busy, not only with work, but family, coaching, and NASCAR races.
Please send me another PM or email to [COLOR=#0000ff]TTUBBS@INDY.RR.COM[/COLOR]

Here is the link to some of the membership benefits received from RNA policyholders.

[COLOR=#800080]http://www.royalneighbors.org/Member-Benefits.aspx[/COLOR]

Discount programs… [COLOR=#800080]http://www.royalneighbors.org/Member-Benefits/Discount-Program.aspx[/COLOR]

magagent · 09-12-2008, 10:37 PM

Psrayburn, yes RNA is approved in Mississippi go through Travis (HooiserDaddy). 95% of mine are issued and approved in 72 hours through RN.

TexasGirlyGirl · 10-01-2009, 02:12 PM

I have a client who needs a final expense for her "friend" who is in a nursing home, and is 71. He had a stroke about 5 years ago and is in a nursing facility because none of his kids will take care of him. He is in a wheelchair, as he can not walk alot. Other than this, he is in excellent health. Just looking for a $10,000 policy.

Does anyone know of a company that would write this? I don't have a policy that I can write for him. Anyone interested in helping me?

Thanks

Markingriffin · 10-01-2009, 03:09 PM

Originally Posted by TexasGirlyGirl

I have a client who needs a final expense for her "friend" who is in a nursing home, and is 71. He had a stroke about 5 years ago and is in a nursing facility because none of his kids will take care of him. He is in a wheelchair, as he can not walk alot. Other than this, he is in excellent health. Just looking for a $10,000 policy.

Does anyone know of a company that would write this? I don't have a policy that I can write for him. Anyone interested in helping me?

Thanks

I'm still laughing about the part "Other than this, he is in excellent health."

I hear that a lot from my clients..

I would give up on this client!! Run fast as you can away.

TristanTLC · 10-01-2009, 04:30 PM

He's in a nursing home, most Graded benefits won't even take him. You'll need a full true GI to get this one done.

Newby · 10-01-2009, 04:34 PM

Originally Posted by TexasGirlyGirl

I have a client who needs a final expense for her "friend" who is in a nursing home, and is 71. He had a stroke about 5 years ago and is in a nursing facility because none of his kids will take care of him. He is in a wheelchair, as he can not walk alot. Other than this, he is in excellent health. Just looking for a $10,000 policy.

Does anyone know of a company that would write this? I don't have a policy that I can write for him. Anyone interested in helping me?

Thanks

He really needs a funeral preplan policy from a funeral home. They can sell him a policy with 70% coverage after the 12th month and 100% after 24th. If he is spending down for Medicaid, this policy is instantly exempt with no lookback.

Short of that, there are few options.