Have You Guys Had Encounters with Insurance Agents from WFG

[Clau]

A friend of mine sold a 10-pay Mass Mutual Wholelife policy. Couple of weeks later this guy from World Financial Group came in and offer the clients a IUL at 9.63% lapsing at age 90. They told the client that this was an investment and they were giving them the policy for free. They were offering them a 75k supplemental retirement income for 25 years and it was guaranteed.

Have any of you enconter this kind of issues in the state(s) that you sell?

Thank you in advance as always for your wisdom!!!!

Clau

 

[DHK]

That second guy... is a complete moron!

If you have the illustration... look for the word "guaranteed". Unless it's truly guaranteed, it isn't.

I love IUL... but I don't illustrate nor promise 9.63% every year.

It IS an investment... but it isn't a security. This is why so many insurance agents are afraid of using the word investment because it's misconstrued and misrepresenting the true nature of the product.

BTW, I'd love to see how the agent is promising the policy for "free".


This isn't exclusive to WFG, but it can be a chronic issue for these MLM-type companies that have a low barrier of entry into financial services.

 

[L5tc]

I was taught at NY Life to always illustrate VUL at 12%!!! My manager who insisted on that now runs the Albany NY office meaning he was rewarded for that crap, so yeh when you are getting pushed like that by sales managers whether it's the Career Shops or MLM that's what you get.

 

[rayluk]

They are both complete morons

 

[pfg1]

They are both complete morons

I agree. That kind of garbage is actually what gives us all a bad name.

I doubt WFG as a company teaches that, but they probably learned it from their upline. Sounds like a good way to test out your E&O.


The worst thing, some folks fall for that. Soon when the illustrated rates get cut back, it will help some. This type of stuff is not limited to one particular company, but in my experience the MLM ins companies tend to attract some folks that aren't above board a little more than other companies it seems.

It always amazes me that when someone makes a claim like that, that the client doesn't say "show me in writing the guarantee". Or actually call the ins company and ask. Of course, we all know that many folks are good at twisting the truth to make it look like truth.

 

[socaleric]

I agree with DHK, some life insurance policy comes with "cash value" which will be accumulated by however the company compensate it, but it can never guarantee a set amount for retirement income, due to the fact that movements of the market will fluctuate.