I have been a 20+yr top career producer with Genworth (formerly AMEX, GE Cap). Always found the career side very agent friendly. However a recent experience on the non career (broker) side showed me how evil Genworth really is. We submitted and PLACED a Sureterm Life case. 3 wks later another agent swoops in and "convinces" the client that they really need a Genworth FlexPlus UL. which reduces her face amt by more than half and increases the monthly premium. Here is the kicker, Genworth never notifies us, no replacement notification and no internal notification. We are informed by GNW that since it was an "internal replacement" they DO NOT have to inform us. wow. utter shock. very bad practice. I have obtained GNW document that demonstrate the two sided policies of internal notification and ethical market guidelines. I think is a unfair trade practice and deceptive
Genworth NOT Agent Friendly
- Thread starter scottjays
- Start date
- 4,096
I do a some business with Genworth.
I agree with you that they should have a better internal process for this kind of situation.
It sounds to me that you got out sold.
I agree with you that they should have a better internal process for this kind of situation.
It sounds to me that you got out sold.
- Thread starter
- #3
I normally would agree with you, however, its not a question of being outsold. If GNW had given us notification of this, we could have easily handled this. It is deceptive that the state req replacement forms and GNW internal replacements are totally opposite. very bad for the consumer. basically if I was replacing your placed GNW business internally with diff GNW products they would NOT inform you. I would be the last agent that had your clients attention.
- 1,926
Quit doing business with them, I pretty much have. To many other companies with less baggage and that are more agent friendly.
I agree it sounds unethical. First how is this in the clients interest to decrease the face amount? Did her need go down? I doubt it. How did this other agent just happen to sell her with the same company 3 weeks later but on a UL product? So you're out the commission and the new guy gets a full year of new commission? Also why would the agent do a whole new policy when the term was already approved and could just have been converted? It sounds like you got screwed. If you don't want to do business with them anymore I'd file a complaint with the State Insurance Commissioner about it.
- Thread starter
- #6
"I'd file a complaint with the State Insurance Commissioner about it."
We called the state to complain, the state of Florida, says no laws were broken. Since the Replacement form was filled out and submitted, they cannot police the company's practice. Just shows how much BS the state REQ. Replacement forms really are. I have taken my complaint to the exec admin office at Genworth. I am hoping someone with half a brain will see how poorly this reflects on a struggling life carrier.
scott
We called the state to complain, the state of Florida, says no laws were broken. Since the Replacement form was filled out and submitted, they cannot police the company's practice. Just shows how much BS the state REQ. Replacement forms really are. I have taken my complaint to the exec admin office at Genworth. I am hoping someone with half a brain will see how poorly this reflects on a struggling life carrier.
scott
- 919
Other than your creed of ethics, which I applaud you for observing, what's to prevent you from flipping this customer to ANOTHER internal policy? It seems to me that this is the kind of behavior Genworth is promoting...
- 8,707
Yeah this type of stuff sucks...The question is have you contacted the client and found out what they want, are they aware the face amount decreases and the premiums increase? Have their needs changed...I think trying to fight this out with Genworth is a losing battle unless you have the client convinced they have been wronged in which case you could resubmit the term app or take the case to another carrier...There should be no need to a new paramed.
I think Genworth only has one product that you can convert to and the UL available may be less expensive than the conversion. Her need probably didn't go down, but the guy probably convinced her that the benefit guaranteed forever was more important. Either way, sounds like a client I wouldn't want to have if they're talking to someone else instead of going back to you.
- Thread starter
- #10
just a follow up on this, I am the OP. Went back to client, who informs me she thought the UL had Cash Value and that combined with the permanent componet was better. After looking at the table, it was obvious the Cash Value was meager starting after the 9th yr. She was very surprised. Now she feels misled by other agent. Replacing again with 20 yr level term. hoping this will be the last of it.
