Agent Licensing test is hard

[KathiMR]

Fair enough. But that AIG name rings a bell. Were they the company that got into illiquid investments & derivatives that required the US government to loan them hundreds of millions, if not billions, to avoid catastrophe. Not saying it will happen, just pointing out a pension has guarantees that insurance policies can't match as fully guaranteed

Yeah there was something they got in the news for years back. I don’t remember exactly what it was. Citi also got into trouble. & we ended up getting free of them after a lot of hard work.
But that was before. Now they are financially strong. & we have experts that check CO’s out before we will represent them. They have to fit w our philosophy, & offer what is good for our clients, agents & co. & be top rated. As we are. So I’m glad we have experts that can vet them before ever agreeing to partner with them.

 

[Allen Trent]

Yeah there was something they got in the news for years back. I don’t remember exactly what it was. Citi also got into trouble. & we ended up getting free of them after a lot of hard work.
But that was before. Now they are financially strong. & we have experts that check CO’s out before we will represent them. They have to fit w our philosophy, & offer what is good for our clients, agents & co. & be top rated. As we are. So I’m glad we have experts that can vet them before ever agreeing to partner with them.

You realize they were A+ rated at the time, right? Again, not saying they are a bad company. Just pointing out, you may be overstating to both yourself & the client the certainty of your sale of this product in this consumers situation

 

[DHK]

But I was shocked by his response which was that it would have been suitable if it had worked.

We'd both agree...

 

[DHK]

You realize they were A+ rated at the time, right? Again, not saying they are a bad company. Just pointing out, you may be overstating to both yourself & the client the certainty of your sale of this product in this consumers situation

It was AIG the parent company of the insurance division... and they paid it all back with interest.

It's on their approved list. It's not like she's "selling away" from the company's approved list of carriers and contracts.

 

[Allen Trent]

It was AIG the parent company of the insurance division... and they paid it all back with interest.

It's on their approved list. It's not like she's "selling away" from the company's approved list of carriers and contracts.

No, but she is taking someone from a guaranteed lifetime pension. Some of the reasons given is how great her upline has hand selected quality solid carriers, one which has not come close to failure in almost 15 years.

I have talked to dozens If not hundreds of Ford employees who were offered buyouts of their pension. Those pensions had income guarantees based on old interest rates & old mortality tables. Other than unhealthy single people, I couldn't find a single reason why they should forfeit a guaranteed pension for a lump sum .........there is a reason they were offering a buyout & the math was in the favor of the pension plan to offer the buyout, not the individual

 

[DHK]

Control.

I did this all the time with AT&T and Verizon retirees - all of whom are offered lump-sum direct transfer opportunities. Granted, I was rolling them into either mutual funds, variable annuities, or AUM programs, but they all wanted more control.

I'd do things differently today, but I'd still go for the pension rollover.

 

[toolbelt]

Citi also got into trouble. & we ended up getting free of them after a lot of hard work.

The hard work was all on CITI's part, who had to keep sweetening the deal, which finally closed after they also agreed to underwrite all the insurance business for a further 5 year period.

 

[toolbelt]

They have to fit w our philosophy, & offer what is good for our clients, agents & co. & be top rated.

The best fit for a client is also paying agents based on fund performance rather than commissions based on which investments are being offered/sold to clients.

 

[KathiMR]

It was AIG the parent company of the insurance division... and they paid it all back with interest.

It's on their approved list. It's not like she's "selling away" from the company's approved list of carriers and contracts.

Yes thank you for making that clear. We are restricted to only certain CO’s that have been carefully vetted. & of course we have to be appointed w them. We have several CO’s that offer VAS & other annuities.
Not something I do very often. I’m actually semi retired. But keeping my licenses so I can help people I run into.

 

[DHK]

Yes thank you for making that clear. We are restricted to only certain CO’s that have been carefully vetted. & of course we have to be appointed w them. We have several CO’s that offer VAS & other annuities.
Not something I do very often. I’m actually semi retired. But keeping my licenses so I can help people I run into.

Carefully vetted for revenue sharing, most likely.

https://primerica.com/public/Revenue-Sharing.pdf

Every firm does it, not just yours. It just 'sounds' so much better to talk about vetting when it can really be about revenue sharing.