Is she a scamster or a good samaritan?

[LaffAgent]

I hate to do it, but I have to play Dr. Phil again.

Al, you keep asking is this wrong, or is it ethical, or is it honest. Nobody has enthusiastically endorsed this process. There have been some don't do its, some maybe's and some gray areas. I think you know how you feel about this in your gut also, or else you wouldn't keep looking for an opinion you're not getting (end of Dr. Phil talking).

 

[Guest]

It seems in the dim recesses of my memory that licensing requirements prohibit earning commissions on insurance sales with those we are engaged with in another business.

You could be right, but there are tons of financial planers, CPAs etc. in CA who have an ins. license and will sell a policy and CPA or consulting fees to same client. I don't recall the DOI restricting the income of agents solely to the sale of insurance. But you've been doing this longer than I have so you would know better than I.

Al

 

[Dave020]

I thought there was some kind of prohibition on it, but I'd have to research it. I have to do my 4 hours ethics this month so perhaps it will be in that course material.

Dave
www.davefluker.com

 

[Dave020]

You could be right, but there are tons of financial planers, CPAs etc. in CA who have an ins. license and will sell a policy and CPA or consulting fees to same client.

I think the key difference here might be "client" versus technical business partner. MLM is an upline/downline profit arrangement, so there is financial incentive different from selling different specialty products to the same client.

Dave

 

[Guest]

I think you know how you feel about this in your gut also, or else you wouldn't keep looking for an opinion

Yes, I've stated how I feel, but I'm new(ish) to all of this and my mind is not cast in stone. I'm trying to draw in as many different opinions on it as possible. Why? Obviously because I'm thinking (just thinking!) about doing something similar (but not exact.)

Everyone and their dog is selling insurance. I don't want to ride the same color horse in the same direction as everyone else. First of all I think the race if fixed. Second, I'm a small horse and at a disadvantage to the really big horses. Third, even if I win today, I have to go around the same track tomorrow and the next day. What fun is that? I'm sort of like this guy:
http://www.businessweek.com/magazine/content/07_18/b4032066.htm

There is a 'better way' to "do" this business and I'm looking for it (as well as to stay out of Levenworth!). I may never find it, but I don't think following everyone else is going to lead me to it either.

As the old New York Mets fans (of the late 1960s) used to say "Ya Gotta Believe."

I don't know if that is "Dr. Phil" enough for you, but you probably have a better picture from which to issue a 'diagnoisis'

Al

 

[Sam]

In some states, it is now legal for a CPA to receive commission on an insurance policy that he recommends. Lawyers too.

 

[somarco]

the carriers don't care if a business makes money or not

You are right, they don't.

But to have a legitimate group (in most states at least) they want to see payroll records.

 

[STIBROKER]

In some states, it is now legal for a CPA to receive commission on an insurance policy that he recommends. Lawyers too.

I am pretty sure you still need a lic. to get a com. from an insurance co....I had a client move to Ill and kept my plan but stop recieving a comm. because I was not Lic. in that state.....and if you want to charge a fee for just advising them then the insurance consultation licence is needed....have there been changes lately.....

 

[senior-advisor-indiana]

There is a 'better way' to "do" this business and I'm looking for it

Is this the reason most agents fail in this business? Because they try to find an easier way. There is not much to it. Find prospects, sell policies, be honest.

 

[Crabcake Johnny]

Trying to play this off on "helping others" while enriching yourself is total kaka. I assume that if she likes to walk in grey area then she'll be giving her commissions back to the business owners to further help them?

She has found a "easy kill" method to lining her pockets. Nothing more, nothing less.