Fex Contracting or the Insurance Squad

[myinsurebiz]

I'm no lawyer, but it seems to be addressing agents trying to roll business and agents trying to recruit SL agents to a competitor. Are you saying that other FE carriers do not address the same issues? If they don't that seems kinda dumb. Maybe that's because most other carriers have very, very few upper management people with FE sales experience and don't know what they should be looking out for. Maybe that's why a few FE carriers have exited the arena the last few years, and there's more that are facing the exit door. Just an educated guess.

It says that if I have had Tom as a client for years, and I write him a SL policy - I can never write Tom any other Life Insurance product or service ever . . . I may want to write Tom a UL or Term policy down the road and this prohibits that for me and any of my downline that I personally recruited if they also appoint with SL.

It also says that if I personally recruit my own agents, and if they appoint with SL, that I am restricted in how we operate with other Carriers presently or if we decide to leave SL.

 

[myinsurebiz]

I'm no lawyer, but it seems to be addressing agents trying to roll business and agents trying to recruit SL agents to a competitor. Are you saying that other FE carriers do not address the same issues? If they don't that seems kinda dumb. Maybe that's because most other carriers have very, very few upper management people with FE sales experience and don't know what they should be looking out for. Maybe that's why a few FE carriers have exited the arena the last few years, and there's more that are facing the exit door. Just an educated guess.

Not roll business - but, can't solicit any life products to my own clients, that I also enroll in a SL policy.

 

[rousemark]

A $3 difference in price isn't much though. Most agents don't think twice about an extra $3-5/month if it means they will get a better commission %. Not sure how the VAT is any different.

Not saying the LA is worth it, but I don't think anyone is obligated to give a client a run down of all the company prices either.

Not saying it is not worth it... but it is not a part of the premium so the client needs to be informed it is added on as an option.

 

[rousemark]

Louis, when Legacy is presented properly, Ms. Jones WANTS Legacy with her policy. That's why it's safe to say our agents will get an extra 1-2, sometimes maybe 3 extra sales per 20-25 leads worked. There is more to the story besides the HUGE savings on the casket, vault, and monument.

No problem with it "when presented properly" which means the client is fully informed that it is optional and not required for the purchase of insurance...

 

[rousemark]

Not roll business - but, can't solicit any life products to my own clients, that I also enroll in a SL policy.

I have signed many contracts over the years and that by far has the longest and most gobly gook non solicitation and remedies clause of any I have seen. It literally could be interpreted as preventing you from conducting business with any other company using the agents you appoint with SL up to a two year period after their termination..

 

[myinsurebiz]

I have signed many contracts over the years and that by far has the longest and most gobly gook non solicitation and remedies clause of any I have seen. It literally could be interpreted as preventing you from conducting business with any other company using the agents you appoint with SL up to a two year period after their termination..

Exactly. Luckily, my 131.5 IQ read all that . . .

Plus - you can't market any Life Insurance product or service to any of your clients that you also put in to a SL policy.

I tried to get SL to amend 5.6 - but, they wouldn't. Sneaky.

 

[Abrasax]

Not saying it is not worth it... but it is not a part of the premium so the client needs to be informed it is added on as an option.

Sounds like order taking.

 

[theinsuranceman]

No problem with it "when presented properly" which means the client is fully informed that it is optional and not required for the purchase of insurance...

Louis I'm not selling insurance policies. I'm selling BUNDLES. BUNDLES are composed of an insurance policy and a Legacy membership. I'm not selling just policies and not selling just Legacy memberships.

You're forgetting that Legacy also negotiates the price of the funeral on the family's behalf. Why would a family ever refuse this kind of assistance?

 

[Abrasax]

Exactly. Luckily, my 131.5 IQ read all that . . .

Plus - you can't market any Life Insurance product or service to any of your clients that you also put in to a SL policy.

I tried to get SL to amend 5.6 - but, they wouldn't. Sneaky.

Are you this colorful in real life?

 

[Newby]

Same thing, but much worse, for someone prepaying for their funeral in full down at the funeral home. If the funeral home goes out of business then person who prepaid just lost their $8k-$10k right? Newby can tell us about the funeral homes.

If a person pays Legacy $3 per month that's $36 a year. After 10 years the client has only paid in $360! Why would any sane rational person not jump at the chance to pay just $3 per month to get an approx. immediate savings of about $3k-$4k on their funeral? GI gets immediate savings also. After 10 years they would have paid in ONLY $360 and their casket, vault, and monument is still locked in at $3500 (even if they live 50+ more years) but the funeral home after 10 years may be charging $10k+ for a casket, vault, and monument. Louis you either don't understand how Legacy is a HUGE savings for Ms. Jones on her funeral or just picking at it because you can't offer this savings to your customers you write with other carriers.

Greg if you are in this business for as long as you have been you should know that was a completely bogus statement. If a funeral home goes out of business it doesn't cancel anyone's PreNeed policy. No more than if you (an agent) retired it would not cancel your policies.

A funeral home in my town did close about 5- years ago. They had wound down over the years because the owner was near 80 years old when he closed it. But they still had around 100 prepaid funerals on the books. Every one of the other funeral homes in town took out newspaper ads saying "We accept ALL prepaid funerals regardless of which funeral home you prepaid. "

The insurance company or bank that holds the prepaid funds always pays whichever funeral does the funeral. Not the one that set up the Preplan.