Final Expense + Aged Leads + Knocking on Doors

[slushpuppyking]

Re: Final Expense + Aged Leads + Knocking on Doors ...

Not that you're asking me but NTO is Not Taken Out. Like, if you were to draft 1st premium let's say the 3rd of next month and they canceled before the draft. That is an example of an NTO.

As far as your business model goes, I'm NOT speaking of LH as a whole but most of the the groups w/ LH won't be happy if they know you're doing that. meaning, they want you to be 100% LH. If you're running around selling med sups and they find out, first off, they will think you're using their leads to sell that and 2nd, they will tell you to focus that energy on selling FE for them.

But, who knows? Again, it depends on the RD/mgr/group you go under. Also, on an 80% or anything under 100% w/ LH, the renewals are a joke.

"Disclaimer: that was not bashing Lincoln to discredit them. The renewals are way, way lower than most any other carrier especially at an 80%. To me, that's a joke." End Disclaimer.

If you wanna find someone who does both FE & med sup I would find an organization who does it openly. Save yourself the headache. Or...my opinion...concentrate on one or the other and master it?

This is also great advice, though I am a little confused on renewals and FE. I thought renewals for FE paid very little no matter who you were with. Like 1% or some crap. Unlike med sup that pays a very good amount.

I know 80% commission sounds bad but at the same time isn't there value in all the training I would get for free plus the brand recognition to go with LH?

On the flipside could I recieve similar quality training by just signing up at finalexpense101.com?

 

[Newby]

Re: Final Expense + Aged Leads + Knocking on Doors ...

This is also great advice, though I am a little confused on renewals and FE. I thought renewals for FE paid very little no matter who you were with. Like 1% or some crap. Unlike med sup that pays a very good amount.

I know 80% commission sounds bad but at the same time isn't there value in all the training I would get for free plus the brand recognition to go with LH?

On the flipside could I recieve similar quality training by just signing up at finalexpense101.com?

Have you ever met anyone who has heard of Lincoln Heritage that is not a Lincoln Heritage agent? What brand recognition?

FE renewals range from 8 to 12% for the first 10 years. 1% is crazy. Several companies pay 3% or more for years 11+

 

[slushpuppyking]

Re: Final Expense + Aged Leads + Knocking on Doors ...

This is why I am on this forum, to gets me some edumication

Ok, so you're saying that some companies pay renewals as high as 12%? Wow, let me get this straight:

FE program for $40/month
Let's just say 6 months upfront commission: $240
12% of $40 is $4.80
So for the next 10 years and 6 months I would receive $4.80 for every client that renewed?

Wow...do I have that right? I mean if you could build a book of business of just lets say 100, that would be $480 per month for 10 years??? (Hypothetical best case scenario of course with everyone renewing.)

Have you ever met anyone who has heard of Lincoln Heritage that is not a Lincoln Heritage agent? What brand recognition?

FE renewals range from 8 to 12% for the first 10 years. 1% is crazy. Several companies pay 3% or more for years 11+

 

[Newby]

Re: Final Expense + Aged Leads + Knocking on Doors ...

This is why I am on this forum, to gets me some edumication
Ok, so you're saying that some companies pay renewals as high as 12%? Wow, let me get this straight:

FE program for $40/month
Let's just say 6 months upfront commission: $240
12% of $40 is $4.80
So for the next 10 years and 6 months I would receive $4.80 for every client that renewed?

Wow...do I have that right? I mean if you could build a book of business of just lets say 100, that would be $480 per month for 10 years??? (Hypothetical best case scenario of course with everyone renewing.)

You are close. You have something mixed up on the 6 months.

Let's assume an average premium of $50 monthly. On a 100% contract which is low you would make $600 the first year.

You would then get $6 per month for every month in years 2 through 10.

If you wrote 100 policies like this that stick every year, by the 10th year you have 6,000 per month in renewal income.

I favor companies that pay good renewals over 1st year with low renewals. The companies that pay the highest renewals are American Memorial, Settlers Life, ForeThought, LaFayette Life companies that pay good renewals but not 12% are Monumental, Royal Neighbors, 5-Star, Colorado Bankers,

Companies that completely screw over their agents on 1st year and renewals are ... Well, I think you already found them.

 

[0b1kanobee]

Re: Final Expense + Aged Leads + Knocking on Doors ...

Companies that completely screw over their agents on 1st year and renewals are ... Well, I think you already found them.

Slushy Dude.......one thing you also need to look into and I'm not sure if it has been mentioned or not is with LH and some of these other places, ARE YOUR RENEWALS VESTED from the start?

I was talking to a company the other day and they said that another company doesn't VEST agent renewals for something like 3 or 4 years and of course if you aren't with them for that long, even if the company still retained the client for those years, you are NOT vested. So, if you were to leave or be terminated, I guess you would not have any renewals until those policies were each individually on the books for 3 or 4 years. This would be something to look into. Another words, you HAVE to be with them long with the policy for that time period to get the VESTING. You quit in year 5, the policy you sold in year 4 (1 year prior) might not be vested. Regardless, not getting 'vesting' from day one is crappy because it is your customer, your business. You as the agent had to sell the policy.

ALSO.......they said that if you were to leave or get terminated, you have to be careful that they don't come after you for your advanced commissions. I was advised that unless you know the specific language in your contract, it might be better to go 'as earned' vs. advanced because they could come after you for your advanced commissions. Essentially your career could be over. You think it is hard to be an insurance agent? Try doing it owing one of these companies money or being in litigation. Some of these companies (these captive....semi-captive FE outfits) can get you by the short hairs it sounds.

Now I don't know how much of this is true or not. I'm just saying tread very carefully.

 

[TDinsgrp]

Renewals, vesting, how long etc...it really comes down to a few variables. The carrier, upline or IMO, manager. I have/had 10 carriers at once that we wrote for. They were all different. One advanced 12 months up front with no renewals at all. The group pushes that one heavily! Wonder why? Maybe because "they" take your renewals. But, you are getting a big up front advance and you are vested 100% from day one.

Another carrier vested after 3 years. 10 year renewals was it and the renewals were yrs 2-6 6% 6-10 2% Nothing after 10 yrs.

Another carrier vested 100% day one. Adv was 9 months. Renewal was 5% yrs 2-5. A ridiculous 1.5% yrs 6-10. Nothing after that.

NOW...I know agents at these same carriers with other groups and everything I just told you...completely different. Get it? So, your upline/IMO/FMO whatever, can design he whole program themselves with the carrier.

READ THE CONTRACT FROM EACH CARRIER! GET YOUR ENTIRE COMMISSION SCHEDULE!

Now, if you're getting paid as earned AND buying leads? You must have some deep pockets because it will be a very, very long time before you build enough to buy a fancy dinner. Again...in FE. Take the advance. Write good biz. Conserve your biz. Then, once you build a nice backend with renewals and the rest of your adv's...start to slowly decrease your advance every 6-8 months. Your talking 2 years in and with one or a majority one carrier.

I obviously can go on and on (as I normally do lol) just because the answer to your question is a little complex based on who you sign up with and the deal they have in place.

 

[Newby]

The key is to compare companies by the Total commissions paid over 10 years. You can get screwed over by only focusing on 1st year only.

 

[TDinsgrp]

The key is to compare companies by the Total commissions paid over 10 years. You can get screwed over by only focusing on 1st year only.

Man...you hit the nail on the head! Most care about "what can I make today" instead of taking this career and understanding that it takes time and you need to build and put in the time, effort and dedication. Not move from this big thing to the next big thing.

Great point!

 

[jacobtn]

Re: Final Expense + Aged Leads + Knocking on Doors ...

"Disclaimer: that was not bashing Lincoln to discredit them. The renewals are way, way lower than most any other carrier especially at an 80%. To me, that's a joke." End Disclaimer.

If you wanna find someone who does both FE & med sup I would find an organization who does it openly. Save yourself the headache. Or...my opinion...concentrate on one or the other and master it?

Since you are being a *****, I will bash and discredit them. They BLOW. Terrible commissions, lowest in the industry.

 

[Newby]

Re: Final Expense + Aged Leads + Knocking on Doors ...

Since you are being a *****, I will bash and discredit them. They BLOW. Terrible commissions, lowest in the industry.

STOP with the joking around!!!

LH has been very good for me.