Retirement Planning and Disdain for Insurance

[jmarkk1]

I'm not wanting a bunch of bickering back and forth, but why does there seem to be such disdain towards using insurance as one or more components for retirement planning from securities based brokers/advisors?

 

[xrac]

I'm not wanting a bunch of bickering back and forth, but why does there seem to be such disdain towards using insurance as one or more components for retirement planning from securities based brokers/advisors?

Because they have been brainwashed against it and because they don't understand what can be done with it.

 

[HealthGuy]

Because they don't want to lose their commissions to insurance products when they lose their hallowed "assets under management"

 

[jmarkk1]

Is it really all about misinformation and commissions?
I can't believe there are so many that trust blindly especially when it comes to actually using their nest egg for retirement expenses, etc
Their advisors haven't talked to them at all about costs of living, etc.

 

[AnonymousOne]

I don't think you will find disdain from independent advisors. The disdain comes from insurance agents acting as financial planners when they are not well versed in this area. (Many are, many are not)

 

[xrac]

I don't think you will find disdain from independent advisors. The disdain comes from insurance agents acting as financial planners when they are not well versed in this area. (Many are, many are not)

The question was why the disdain for insurance products. I do not think insurance agents are the ones with disdain.

 

[AnonymousOne]

The question was why the disdain for insurance products. I do not think insurance agents are the ones with disdain.

Sorry bad wording. The disdain of brokers/advisors is directed toward insurance products being sold by insurance agents throwing annuities at everything.

 

[Tahoe Ray]

Sorry bad wording. The disdain of brokers/advisors is directed toward insurance products being sold by insurance agents throwing annuities at everything.

90% of my market is financial advisors/planners. A large percentage of them sell annuities (although not in every situation).

I certainly have clients who fit the profile you mention (of disdain) however most don't position life, LTC, DI etc. simply because they don't know enough about the problem/process/products to feel confident in discussing it with their clients.

That's where we can help........

 

[xrac]

Sorry bad wording. The disdain of brokers/advisors is directed toward insurance products being sold by insurance agents throwing annuities at everything.

Is that different than a broker throwing mutual funds, ETFS, or managed accounts at everything? Almost all of us have the products we like or are comfortable with.

 

[scagnt83]

Of course the Financial Planners who only care about how much AUM are on the books no matter what the risk tolerance or need might be.... or the financial planners who double dip.... or the financial planners who know next to nothing about how insurance products work yet try to advise clients on them.... none of them should have disdain directed at them


There are bad apples in every barrel.

I have heard horribly inaccurate, dangerous, and even just plain stupid advice from CFPs & CPAs, and Insurance Agents.