racjac, your in the business of helping families protect their loved ones, so I respect you for that.
In terms of the training you have received, and your knowledge about this business, it is all propaganda that has been handed down through the years from A.L. Williams, the founder of your company.
The facts are this, you sell a product from a company that 98.5% of your clients never benefit from! Think about that....only 1.5% of your work and labor in this business actually produces anything positive for your clients.
In my mind A.L Williams theories and your beliefs are only the "right" recommendation for your clients 1.5% of the time. You know as well as I do that only a small portion of your clients are actually "investing the difference".
Follow the brightest minds and most successful businessmen in this country and you'll find that the vast majority of them choose to own their life contracts instead of rent them. Citigroup has billions of dollars of cash-value in their COLI policies by the way.
[COLOR=black]You know that we cannot help those who do not want to help themselves. Although we do more than investments we help families free up money so they can save for retirement or whatever they decide is best for them.[/COLOR]
[COLOR=black]We do educate them also, no matter what you have heard or experienced from Primerica.[/COLOR]
[COLOR=black]I agree there are those base shops that don’t always do what is right, BUT OURS DOES from start to finish and we are always there to help coach our clients as best as we can.[/COLOR]
[COLOR=black]I will be honest with you I will be glad when Primerica separates from CITI.[/COLOR]
Last edited by racjac : 10-14-2009 at 03:07 AM.
Reason: typo
Hi guys, I am a brand new N00B to this forum. I also happen to be a primerica agent.
This has been an interesting read for sure!
Here's what I've learned:
You can "what if" ANYTHING to death.
A whole life policy that is owned outright may still have some actual monetary value.( It seems to me, that the biggest difference between the BTITD mindset and a whole life mindset is that the WL company invests part of the premium, and then pays cash or death benefit depending on which ever happens first)
Do all of our clients actually invest in ANY thing? I can't answer that. I do know that the average American has a less than zero savings balance.
Including myself!
I also know that I will sleep very well at night, knowing that the rates never go up in that 30 year term.
I also know that NO investment is "absolutely guaranteed".
However, I did buy Citi stock. The market goes up, the market goes down. People get married and divorced, have kids and grand kids.
Part of our training shows several "cash value" policies that don't gain any cash value for the first five years. Then, as the PO gets older, his actual cost keeps going up.
The difference in cost comes out of the saved cash value, so that when age 65 comes, there is no cash or life insurance left.
And, in order to keep the policy the owner has to either cough up 36K, or pay the taxes on the policy that consumed itself.
So, as far as I can tell, while Primerica may not have the very best rates for term, at least they try to do something, other than take money for nothing, that benefits the consumer.
I don't have my securities license yet, but I am looking forward to it.
I can see where in certain circumstances a wl policy may be of some benefit.
But I can also see where 98% of Americans don't have a flippin clue about any of this stuff.
If people understood how their money actually worked, for other than self enslavement or instant gratification, we truly would live in the land of the free.....
I am fairly versed in Primerica. They tried to recruit me pretty hard and I have hired several Primerica agents also have a Primerica Agent has his own office locally. He sends me a lot of people he can not write. I sometimes send him people that think they want to sell insurance.
There are several questions I have for you. The first is "" I also know that I will sleep very well at night, knowing that the rates never go up in that 30 year term."" Every Primerica agent that I sit across says this. Are you taught that your 30 year term is Guaranteed level for 30 years?
I have tried to ask the agents but they are always angry at me.
BTW, any questions you have regarding non primerica products this is the place to ask. No one here is getting an override on you.
Oh, also does your upline know you are on here?
Thanks,
Originally Posted by woodsnake
Hi guys, I am a brand new N00B to this forum. I also happen to be a primerica agent.
This has been an interesting read for sure!
Here's what I've learned:
You can "what if" ANYTHING to death.
A whole life policy that is owned outright may still have some actual monetary value.( It seems to me, that the biggest difference between the BTITD mindset and a whole life mindset is that the WL company invests part of the premium, and then pays cash or death benefit depending on which ever happens first)
Do all of our clients actually invest in ANY thing? I can't answer that. I do know that the average American has a less than zero savings balance.
Including myself!
I also know that I will sleep very well at night, knowing that the rates never go up in that 30 year term.
I also know that NO investment is "absolutely guaranteed".
However, I did buy Citi stock. The market goes up, the market goes down. People get married and divorced, have kids and grand kids.
Part of our training shows several "cash value" policies that don't gain any cash value for the first five years. Then, as the PO gets older, his actual cost keeps going up.
The difference in cost comes out of the saved cash value, so that when age 65 comes, there is no cash or life insurance left.
And, in order to keep the policy the owner has to either cough up 36K, or pay the taxes on the policy that consumed itself.
So, as far as I can tell, while Primerica may not have the very best rates for term, at least they try to do something, other than take money for nothing, that benefits the consumer.
I don't have my securities license yet, but I am looking forward to it.
I can see where in certain circumstances a wl policy may be of some benefit.
But I can also see where 98% of Americans don't have a flippin clue about any of this stuff.
If people understood how their money actually worked, for other than self enslavement or instant gratification, we truly would live in the land of the free.....
"It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change." Charles Darwin
Does anyone know a Primerica agent who sold a policy to someone who bought term and invested the difference and it actually worked? I'd be interested to find out.
Unless they have changed it lately. I had several in my Primerica drawer
If you would like, PM me and I will see if I can find one and email the spec page to you.
I really am curious if they are told it is guaranteed. They really do seem shocked when I point it out to them. Same in the old days with AL Williams and their 20 year term.
Originally Posted by David C
Wino,
Are you saying the guarantee on a Primerica policy is not for thirty? How long is it guaranteed? 20?
Thanks for the welcome.
No, my upline doesn't know I'm on here, but I'm pretty sure they don't care what I do when I'm not actually "on the job", if you will.
I haven't questioned the 30 year term, but I will when I next meet with my folks.
As far as the question of any one actually "investing the difference", as I said, I'm still new, and only on this part time.
However, it would seem to me that if a person put any amount of money into a few mutual funds, at the end of any number of years, they would have to have some kind of return on investment, wouldn't they?
Again, part of why I feel good about working with the folks that I do, is that we do actually try and teach folks a better way. But, you can't make somebody do the right thing.
How many people with cancer still smoke? Or how many teens "try" meth, just this once? Or any number of hugely stupid things?
We have debt consolidation services, "debt stacker" products to help folks pay off their debt sooner. And, we do all this not as one product at a time thing, but towards a purpose of helping people get and stay free of debt, and invest some money, so they will be able to retire. Lots of places offer the same services we provide, but as far as I know, no body else has the same "bundle" of services we offer.
I guess if a person had NO knowledge at all, then a CD that returns
1.5% with a 3 year commitment and 2500.00 minimum, would be a very safe way to give up control of your money.
I guess?
Who else offers the bundle of products that we do? I could be convinced to make a move, if the money was right!
I agree woodsnake, I have in my five years of being a Primerica rep NEVER seen a good WL policy. Yes there is a savings part to WL but you have to borrow against it to get it.
When you expire the only thing you get is the face amount of the policy less the amount you borrow from your cash value. Or you can surrender you policy and get the cash value paying anywhere from 2% to 5% interest.
I agree woodsnake, I have in my five years of being a Primerica rep NEVER seen a good WL policy. Yes there is a savings part to WL but you have to borrow against it to get it.
When you expire the only thing you get is the face amount of the policy less the amount you borrow from your cash value. Or you can surrender you policy and get the cash value paying anywhere from 2% to 5% interest.
Surrendering the policy is the stupid way to access the money. The smart way is to surrender to basis and then start borrowing. Since you supposedly work for a such a great financial services company, surely you know what a 5% tax-free, almost risk-free return is worth to someone in a 25% tax bracket?
You are welcome. What you will find here is a very diverse group of people with a wide variety of opinions.
I would _not_ let your upline know that you are here or read any outside educational material. They will want to know why you are asking about the 30 year plan. It is not guaranteed to age 30. Same for the 35 year plan and the Increasing benefit rider. Now I know that when questioned they will come back with "well we won't raise the premium or we never have or.... Then Guarantee it. Just an FYI.
Hey, if you are life licenced, Awesome, you are on your way. Try to find some of the many unInsured people out there. If you just rely on the AL Williams approach of replacement you will starve out like the majority. If not licenced, do not fall for the "let's go see your friends and family to practice" BS. They _will_ sell your best prospects and you will not get squat. If they do sell them make a list, if you leave Primerica you can put them in lower cost term. Keep your own files separate from the mothership (office).
""I could be convinced to make a move, if the money was right!""
I started 25 years ago at one of the lowest percentages in the industry. 50%. That got me a desk, phone, staff and the key to the 5th floor Bay Area office also a book of orphans to run and a healthy weekly paycheck ,for I think aleast 6 months. My cousin started at Primerica and got 25% and a t-shirt with an eagle on it. My first year convention was to New Orleans for a week. first class hotel, including air far. All expenses paid. My cousin paid his own way to Atlanta slept on the floor in a room shared with four other Primerica agents and one of their wives. He got another t-shirt. He used to call me the "low life that sells whole life". That really cracked me up.
Hey, This is a great business. Learn all you can at Primerica. take at the crap about "we care" "the other guys are rip offs" "Whole life is this and Ul is that" "Our term is not the cheapest but..." or "he did not make it because he is a loser" "his family does not support him" etc. for what it is, Recuiters wanting you to sell for them.
Sorry for the rant, My kid talked me into drinking one of those big rockstars.
Another question: what is up with that increasing benefit rider. What is the purpose.
Originally Posted by woodsnake
Thanks for the welcome.
No, my upline doesn't know I'm on here, but I'm pretty sure they don't care what I do when I'm not actually "on the job", if you will.
I haven't questioned the 30 year term, but I will when I next meet with my folks.
As far as the question of any one actually "investing the difference", as I said, I'm still new, and only on this part time.
However, it would seem to me that if a person put any amount of money into a few mutual funds, at the end of any number of years, they would have to have some kind of return on investment, wouldn't they?
Again, part of why I feel good about working with the folks that I do, is that we do actually try and teach folks a better way. But, you can't make somebody do the right thing.
How many people with cancer still smoke? Or how many teens "try" meth, just this once? Or any number of hugely stupid things?
We have debt consolidation services, "debt stacker" products to help folks pay off their debt sooner. And, we do all this not as one product at a time thing, but towards a purpose of helping people get and stay free of debt, and invest some money, so they will be able to retire. Lots of places offer the same services we provide, but as far as I know, no body else has the same "bundle" of services we offer.
I guess if a person had NO knowledge at all, then a CD that returns
1.5% with a 3 year commitment and 2500.00 minimum, would be a very safe way to give up control of your money.
I guess?
Who else offers the bundle of products that we do? I could be convinced to make a move, if the money was right!
- - - - - - - - - - - - - - - - - -
Hi Racjac, First I am a low life that sells whole life. However, I do not sell much of it to younger than say age 60. I do however sell a crap load of term and UL.
I had asked woodsnake a question, but you are the veteran so I'll ask you. What is up with the Increasing Benefit Rider? I have seen it on almost every policy I have seen lately. What is the purpose. Example 30 year old father $300,000 with child rider and a Increasing Benefit Rider.
Thanks in advance and if you have a question on a policy with any company I sell let me know.
Originally Posted by racjac
I agree woodsnake, I have in my five years of being a Primerica rep NEVER seen a good WL policy. Yes there is a savings part to WL but you have to borrow against it to get it.
When you expire the only thing you get is the face amount of the policy less the amount you borrow from your cash value. Or you can surrender you policy and get the cash value paying anywhere from 2% to 5% interest.
Last edited by WinoBlues : 10-22-2009 at 05:05 AM.
Reason: Posts merged
Increasing Benefit Rider lets the client increasing their death benifit each year by a certain percentage 10% 20% etc.
For younger people that is a great way to to build up their benifit a little at a time because most young families can not afford what they actually need at first.
But they have a choice within the first year to take the Increasing Benefit Rider. If they choose not to they will not be obligated to do so. And they can cancel it at any time.
I was looking over the rider a while back on some replacement paper work sent by Primerica. $300,000 (ea) on a couple in their early 30s with a couple real young kids.
Looked like the face automatically went up and doubled in say 20 years. Price also automatically increased.
My question is: If the goal was to have this family to the point that they did not need any insurance by the end of the term period. How can they need almost $600,000 in year 19 and zero in year 20. I am sure their Primerica financial planner had a reason, I just could not see it.
Don't take me wrong, I like that rider, as an agent. Wish I had it to add on all my policies.(Is the raise 1st yr commission?) Just trying to see the concept when the end game is to need zero at the end of the term.
Thanks inadvance.
Originally Posted by racjac
Increasing Benefit Rider lets the client increasing their death benifit each year by a certain percentage 10% 20% etc.
For younger people that is a great way to to build up their benifit a little at a time because most young families can not afford what they actually need at first.
But they have a choice within the first year to take the Increasing Benefit Rider. If they choose not to they will not be obligated to do so. And they can cancel it at any time.
I met earlier today with someone who has a $500k Primerica term policy with the 10% DB increase rider on it. Can someone explain to me if the increase happens automatically? Or, can the client opt out of it? Also, when the increase in DB occurs, how is the new premium calculated? Is it based on the age of the client in the year it increased, or is it based on the year the policy was started? Is the 10% in subsequent years based on the original DB or the new, attained one? Also, once the yearly increases start, can they be stopped in later years?
Slightly off-topic, all the Primerica policies I've seen (that I can recall) have never had waiver of premium on them. Is this because they don't offer it, or the agents I've come across don't put it on?
Thanks in advance.
Edit: I see racjac answered some of my questions, mostly on the opting in/out part of the rider.
Let me know if you need more info. I can probably fax u a copy of the rider or a copy of an illustration. I asked the primerica guys to give me the concept/reasoning for it, no response yet.
In most cases if the policy is fairly new you can write the higher amount day one at the same or lower premium. And if the primerica term is 30 year, you can beat their 20 yr guarantee.
Originally Posted by Death Cab For Tootie
I met earlier today with someone who has a $500k Primerica term policy with the 10% DB increase rider on it. Can someone explain to me if the increase happens automatically? Or, can the client opt out of it? Also, when the increase in DB occurs, how is the new premium calculated? Is it based on the age of the client in the year it increased, or is it based on the year the policy was started? Is the 10% in subsequent years based on the original DB or the new, attained one? Also, once the yearly increases start, can they be stopped in later years?
Slightly off-topic, all the Primerica policies I've seen (that I can recall) have never had waiver of premium on them. Is this because they don't offer it, or the agents I've come across don't put it on?
Thanks in advance.
Edit: I see racjac answered some of my questions, mostly on the opting in/out part of the rider.
Thanks, if you could, PM me an illustration. This gentleman has a T20 policy with the benefit increase rider, and although it's not competitive price-wise with some other carriers, it's not totally out of the ballpark. However, when you add that it doesn't have WoP and non-existent conversion features, I'm pretty confident we can do better for him. Thanks in advance!
"I have in my five years of being a Primerica rep NEVER seen a good WL policy."
Then you probably don't get out enough or get into the household where they are....
" Yes there is a savings part to WL but you have to borrow against it to get it."
Or you can take dividends tax free and not borrow at all. Why did you forget to mention that?
"When you expire the only thing you get is the face amount of the policy less the amount you borrow from your cash value"
But if my death benefit today is greater than the original death benefit I purchased because I used paid up additions, am I ahead or behind in death benefit?
The problem with prime... is they teach you a little, just enough to raise doubts in a customer. They don't teach you everything about the different types of coverage because it would raise doubts in you about them. One size doesn't fit all.
Re: Primerica Term Conversion?
Linear Mode
