We hate to be the bearer of bad news, and we are sending this same email to all our Shenandoah agents. Shenandoah Life has the following information posted on the front page of www.shenlife.com:
To our Valued Policyholders:
Earlier today we announced that the merger with OneAmerica would not take place. Many of you have had questions about our company's next steps.
Below please find a press release issued by the State Corporation Commission this morning.
Also attached is an initial Question and Answer document that should help provide you with some immediate answers.
Both the press release and the Question and Answer document are being posted to our agent website, StarNet, as well as our public website.
Additional information regarding the changes at Shenandoah Life will be provided as soon as possible.
Thank you for your patience.
Sincerely,
Robert W. Clark, FLMI
President and Chief Executive Officer [COLOR=#0000ff]SCC Named Receiver of Shenandoah Life Insurance Company[/COLOR] [COLOR=#0000ff]Questions and Answers[/COLOR]
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Joe Moore
National Senior Benefits
Asurco Insurance Marketing www.finalexpenseagents.comwww.shenagents.com
PO Box 1954, Morristown, TN 37816
1-800-226-1004, 1-423-581-1004
Glad we never marketed their products to agents I am sure this is bound cause a lot of problems for people.
Originally Posted by Joe Moore
We hate to be the bearer of bad news, and we are sending this same email to all our Shenandoah agents. Shenandoah Life has the following information posted on the front page of www.shenlife.com:
To our Valued Policyholders:
Earlier today we announced that the merger with OneAmerica would not take place. Many of you have had questions about our company's next steps.
Below please find a press release issued by the State Corporation Commission this morning.
Also attached is an initial Question and Answer document that should help provide you with some immediate answers.
Both the press release and the Question and Answer document are being posted to our agent website, StarNet, as well as our public website.
Additional information regarding the changes at Shenandoah Life will be provided as soon as possible.
Thank you for your patience.
Sincerely,
Robert W. Clark, FLMI
President and Chief Executive Officer [COLOR=#0000ff]SCC Named Receiver of Shenandoah Life Insurance Company[/COLOR] [COLOR=#0000ff]Questions and Answers[/COLOR]
I've been writing for them for over 10 years and have placed a great deal of my life business with them. Numerous policyholders within a 50 mile radius of where I live.
I'm probably voicing my opinion at the wrong time, but .......this is bullshit and I'm 99.9% convinced, this job is.
25 years of selling insurance. I wouldn't wish this job on my worst enemy.
I've been writing for them for over 10 years and have placed a great deal of my life business with them. Numerous policyholders within a 50 mile radius of where I live.
I'm probably voicing my opinion at the wrong time, but .......this is bullshit and I'm 99.9% convinced, this job is.
25 years of selling insurance. I wouldn't wish this job on my worst enemy.
Maybe that's part of the problem, you view it as a JOB (and I'm not trying to be ugly). I enjoy what I do. I don't look at it as a job. I get to solve problems for people and get paid to do it. Of course, if I were starting over every week with no renewal income, I'd probably get tired of it. As a matter of fact, I did. That's why my focus shifted several years ago away from life sales to investments and health insurance (individual, group and Med Supps).
When I first started in the business back in 1989, life sales were my only source of income. That lasted until around 1998. Now commissions from life insurance makes up about 5%-10% of my income. I'm probably missing out on some income by not marketing life insurance, but that's ok with me. The only life insurance I sell now is when someone asks me about it. My only regret is that I didn't have a real business plan for many years and just floundered around making decent money, but not really good money. Now I'm getting to the really good money category (at least I think it is). And I couldn't imagine doing anything else.
I hate to dump on them but this is just thinning of the herd.
I tried to do a little business with Shenandoah and they were always useless when I called them for anything. They absolutely didn't know anything about insurance from my dealings with them.
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J Scott Burke
Funeral Preplanning
Life Insurance
Medicare Supplements
Long-Term Care Insurance
Annuities
Indiana, Kentucky, Tennessee www.newburyfinancial.com
Maybe that's part of the problem, you view it as a JOB (and I'm not trying to be ugly). I enjoy what I do. I don't look at it as a job. I get to solve problems for people and get paid to do it. Of course, if I were starting over every week with no renewal income, I'd probably get tired of it. As a matter of fact, I did. That's why my focus shifted several years ago away from life sales to investments and health insurance (individual, group and Med Supps).
When I first started in the business back in 1989, life sales were my only source of income. That lasted until around 1998. Now commissions from life insurance makes up about 5%-10% of my income. I'm probably missing out on some income by not marketing life insurance, but that's ok with me. The only life insurance I sell now is when someone asks me about it. My only regret is that I didn't have a real business plan for many years and just floundered around making decent money, but not really good money. Now I'm getting to the really good money category (at least I think it is). And I couldn't imagine doing anything else.
5-10% of my income is in life...maybe 15%. And yes, I enjoy what I do. What I don't enjoy is companies that don't pay you for 2 months with no correspondence why....M of O....and now this....yeah, I view it as a job....a job to get my money!
Oh...do you know anyone that will take a 50 year-old insurance agent with prior kidney failure, on a term policy at a decent rate. You see, I have my term with Shenandoah too! I'm not only an agent, I'm their customer too.
I've had a company go under before...First National Life, until American Pioneer bought them out. Shenandoah needs another buyer or else bye-bye agents commission, forever.
Also...I called Shenandoah to talk to someone in commissions. Got the standard...."their in a meeting now". I see why was my response to the nice lady. I wonder if I'll get my money tomorrow from them?
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The former Shenandoah Life.....A.M. Best Downgrades Ratings of Shenandoah Life Insurance Company
Last edited by Russ : 02-12-2009 at 06:03 PM.
Reason: Posts merged
We have all seen this coming. When knew they were down graded and was up for sale.
A lot of companies have stop taking new business lately.
It is always good to have more then one company to work with.
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Mark Rosenthal aka markingriffin
IMO/Ins Agent/Agent Trainer/Free Advice markcrosenthal@aol.comwww.realfastservice.com
Please visit mywebsite to learn more about me.
Email me for my Free Prospecting MP3 Tapes.
I noticed the other companies that were affiliated with the company that was buying Shenandoah are "A" rated. Wonder why OneAmerica backed out?
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May have something to do with the $70 million they lost last year (out of a $1.6 billion portfolio). Duh!
44% loss... Guess they got caught too heavily leveraged in RE, along with others that forgot the basic principle of diversification! Just a guess...
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To be truly independent, an agent should not be dependent on a government bureaucrat for contracts or commissions.
You can always count AM Best.... especially after the receiver steps in... Duh, isn't a rating agency supposed to be out front warning of the financial strength of a company... more than a few hours...?
The horses are gone... we better lock the barn door... huh...?
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"A successful man is one who can lay a firm foundation with the bricks others have thrown at him." David Brinkley
Seems like I saw where Americo dropped some of their UL products this month.
You will start to see some other companies tighten up very soon.
I know of a couple of companies that I don't work with that will start taking back an agents commissions if they lapse it anytime in the 1st year. I'm talking about if it lapse in month 11, they will take all 12 months back.
Example ForeThought is already doing it and Aviva will release very soon, ,well I better not let that cat out of the bag.
You will see prices start to go up on R.O.P. Products, you will see companies get tougher on lapses, you will see the interest rates on U.L. keep going down, and you will see companies pulling products, and you will see a few more companies stop taking new business. Just out of the blue and no warning.
I can't tell you how many companies I've been with and all of hte sudden they were gone. A lot of them got bought by other companies. I used to be with U.P.I. until Conseco bought them. It was the best company in the world, until they bought them and then they closed the doors about 3 months later. I still miss U.S. Financial.
I would highly recommend that you have more then one company. Don't ever put all of your eggs in one basket.
You will start to see some other companies tighten up very soon.
I know of a couple of companies that I don't work with that will start taking back an agents commissions if they lapse it anytime in the 1st year. I'm talking about if it lapse in month 11, they will take all 12 months back.
Example ForeThought is already doing it and Aviva will release very soon, ,well I better not let that cat out of the bag.
You will see prices start to go up on R.O.P. Products, you will see companies get tougher on lapses, you will see the interest rates on U.L. keep going down, and you will see companies pulling products, and you will see a few more companies stop taking new business. Just out of the blue and no warning.
I can't tell you how many companies I've been with and all of hte sudden they were gone. A lot of them got bought by other companies. I used to be with U.P.I. until Conseco bought them. It was the best company in the world, until they bought them and then they closed the doors about 3 months later. I still miss U.S. Financial.
I would highly recommend that you have more then one company. Don't ever put all of your eggs in one basket.
Great post there Mark. There is a whole economic side to these companies pulling products, that I think a great deal of agents miss.
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