Originally Posted by arnguy
Why are so many crapola insurers based in Texas?
See my previous post.
I started in "da business" many sun revolutions ago driving from DFW to Bumf**k Texas every week to run telemarketing leads for various "Group II" carriers. These were very small, Texas only companies that barely qualified for a stipulated premium license.
But the policies had sizzle and they paid HUGE commissions (50% on an annual premium - which we were encouraged to pick up by offering a 20% discount for paying annual).
In fairness I think most of us back then didn't know any better.
Knowing what I know today, I wish I had never gotten into the business, period, but at a minimum, I certainly regret having represented so many of those fly by night companies.
The people running those deals are still around, still in Texas. Some are now running annuity deals (Rodney Cross etc.). Others are still trying to float a boat in various health deals.
Reform should take care of those clowns once and for all.
As for Freedom, I remember its sister company National Foundation. We were selling that junk when its AM Best rating dumped down to a C.
Hard to believe anything in that group has survived.
I would not touch any organization writing Freedom Life with a 72 foot pole, much less a 10 foot one.
Word to wise: Be sure your E&O is up to date and be damn sure you have unabridged access to a damn good lawyer.