Anybody Doing this Safe Harbor Thing?

I'm not sure all FMO's do this but the one I'm looking at (for this product) is telling me that they provide E&O for this product at no charge.
I haven't decided whether to add them or not.

Don't fall for this claim..... It is a group 1m/25m coverage offered by Phoenix to all agents that only covers Phoenix policies....

However it is a claims made policy and is not worth the coverage/paper it is printed on....

Claims Made policies only cover the claim when it is made.... If this policy is lapsed or discontinued by Phoenix and the claim is made.... You the Agents, are still on the Hook.

They are rated B with a NEGATIVE outlook by AM Best.... and now they are resorting to Gimicks to get agents to do business with them with this E&O offer.

If they were really serious about the E&O issues that Agents have, they would have gotten a policy that would pay claims on a CLAIMS OCCURRED basis (during the policy period, when an agent sells the policy).... With their rating however, it is very unlikely any company would cover them on an Occurence Basis.
 
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I am leaning toward staying with my first inclination of not adding them. If I can't believe in a product or company, I'm not selling it.
 
It was actually 300k not 400.... who else offeres the living benefits for that price point?

Price is just one part of a recommendation to a client IMHO. At first blush the ads looked positive. However a question is, are those LBs guaranteed and would they be covered under the Guarantee Association? I do not know because as I started to look at them I could not get past the B with poor outlook. If all is covered that would be a plus, However, if not then that low rating and outlook is a tough sale. For me they are a non starter.
 
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It was actually 300k not 400.... who else offeres the living benefits for that price point?

Many carriers have an ABR for terminal. I don't normally focus on chronic or critical riders (especially the "free" ones) since most use an actuarial calculations based on remaining life expectancy to actually accelerate your death benefit.

A stand alone CI or even better, a DI policy, is a stronger (albeit more expensive) solution with typically much more benefit and "known" coverage (since you don't know how you'll be assessed with the free chronic/critical rider).

I guess that it is better than nothing but it wouldn't be enough for me to recommend a carrier that looks to be much more expensive than their competitors (at least at better classes).
 
Many carriers have an ABR for terminal. I don't normally focus on chronic or critical riders (especially the "free" ones) since most use an actuarial calculations based on remaining life expectancy to actually accelerate your death benefit.

A stand alone CI or even better, a DI policy, is a stronger (albeit more expensive) solution with typically much more benefit and "known" coverage (since you don't know how you'll be assessed with the free chronic/critical rider).

I guess that it is better than nothing but it wouldn't be enough for me to recommend a carrier that looks to be much more expensive than their competitors (at least at better classes).
They offer up a few examples where they're priced better than TransAmerica with the same coverages. IDK much about this as im fairly new to life insurance but as most do, they make it sound good for what you get.
 
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