Beware - You Can Be Sold!

[VolAgent]

I always felt they exist to protect the insurance company from liability. The FMO can be responsible for the marketing of their products and sales activities of agents, etc.

Side note:

I wonder if having open releases as an industry standard would make for better FMO's?

I think the poor FMO's would fail and the good ones would prosper. It would at least create more competition and be better for agents IMO.

JMO,

The carriers would never go for it. It would be a race to the bottom. FMOs would constantly up commission to steal away agents and support would get even worse than it is.

FMOs exist because the carriers don't want to support agents, otherwise they'd just have an agency system. Carriers need the release system to keep FMOs from constantly poaching agents from other FMOs.

I know LFG has a rule that if you change GAs, your comp remains the same for 6 months to try and cut down on stealing agents for higher comp.

 

[DS4]

.....support would get even worse than it is.

Worse? How could it get worse than never returning my telephone call.

 

[VolAgent]

Worse? How could it get worse than never returning my telephone call.

I have a great relationship with mine as well as reasonable contracts.

 

[JAG82]

a very very simple solution to your problem......I had an FMO that would not release me from an FE company that I wanted to switch FMOs and recieve a much higher commission rate. So, instead of using the company i wanted a release from....i used other FE companies for 6 months. If I am not mistaken, after not writing any new buisness with a company for 6months a release is not needed.....you can sign with a new FMO or go direct without even needing the release signed.

After the 6 months of inactivity for that company i switched FMOs without a release and no phone call from old FMO about it!!!

 

[senior-advisor-indiana]

a very very simple solution to your problem......I had an FMO that would not release me from an FE company that I wanted to switch FMOs and recieve a much higher commission rate. So, instead of using the company i wanted a release from....i used other FE companies for 6 months. If I am not mistaken, after not writing any new buisness with a company for 6months a release is not needed.....you can sign with a new FMO or go direct without even needing the release signed.

After the 6 months of inactivity for that company i switched FMOs without a release and no phone call from old FMO about it!!!

That's not always a feasible solution with Medicare Advantage plans. There aren't as many companies to choose from.

 

[Newby]

a very very simple solution to your problem......I had an FMO that would not release me from an FE company that I wanted to switch FMOs and recieve a much higher commission rate. So, instead of using the company i wanted a release from....i used other FE companies for 6 months. If I am not mistaken, after not writing any new buisness with a company for 6months a release is not needed.....you can sign with a new FMO or go direct without even needing the release signed.

After the 6 months of inactivity for that company i switched FMOs without a release and no phone call from old FMO about it!!!

With some companies, that's not enough. You have to actually cancel your contract and wait 6-months.

 

[jtow]

a very very simple solution to your problem......I had an FMO that would not release me from an FE company that I wanted to switch FMOs and recieve a much higher commission rate. So, instead of using the company i wanted a release from....i used other FE companies for 6 months. If I am not mistaken, after not writing any new buisness with a company for 6months a release is not needed.....you can sign with a new FMO or go direct without even needing the release signed.

After the 6 months of inactivity for that company i switched FMOs without a release and no phone call from old FMO about it!!!

Unless the old FMO you want released from is Amerilife, then wait 12 mos.

 

[GAJ638]

Unless the old FMO you want released from is Amerilife, then wait 12 mos.

Add NAA to that list. If you inadverdantly sign up with them and they appoint you with any of their companies, you have to wait one year to be released.

 

[AngelBand]

18 months in some cases with AmeriLife.