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I wouldn't base my product recommendations on those two moving parts, but in how those two moving parts work in relation to each other.
Is the Transamerica IUL bad?
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I wouldn't base my product recommendations on those two moving parts, but in how those two moving parts work in relation to each other.
Your up-line gets 10%, his/her up-line gets 10%, his/her up-line's up-line gets 10%...all the way up to Xuan Nguyen.
- 11,471
But TransAmerica has their own career agent division and independent division. It's the same product.
Transamerica Careers
And this whole Don Blanton training was done in a TransAmerica office (not WFG):
It's incorrect to shame a product based on one distribution channel (WFG) when they distribute the same products through various channels.
Transamerica Careers
And this whole Don Blanton training was done in a TransAmerica office (not WFG):
It's incorrect to shame a product based on one distribution channel (WFG) when they distribute the same products through various channels.
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- #14
And here we go again, a person says WFG and they bring up the overrides instead of sticking to the main topic, which is discussing the product that's being sold.
And for your information, Xuan Nguyen has nothing to do with me. The guy grew his team so big that he has his own division and own Convention. He owns 2 buildings in San Jose that are his office locations. If anything, my Broker overrides me by 10% and her Broker overrides her by 5%. I would still like for you to explain to me how all of this fits in the Target points. For example, each juvenile policy is only $60 a month, but because I did on Premium and not Target, my commission was lower. That's some huge override that my Broker got from me, she can probably retire now!
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- #15
- 11,471
I never compare companies. It's not about the company.
I only compete against other agents.
The fees are in every contract and nobody understands them anyway.
The only thing I would compare on IUL is how an agent is structuring the policy.
With UL/IUL/VUL, you need to manage the formula:
Net death benefit = cash values + net amount at risk - any outstanding loans.
Cash values has earnings (or not depending on that year in indexes or sub-accounts)
Net amount at risk has costs of insurance charges (which means a 0% year has a cost of insurance that will invade your cash values)
Outstanding loans has loan interest charges.
Learn how to structure IULs by managing the volume on these. I would at a MINIMUM do Target funding of a minimum death benefit - either death benefit option A (level, but higher death benefit - protection focused) or death benefit option B (increasing lower death benefit, cash values focused).
Those rules work for EVERY IUL... although I'm noticing that with the new 2017 CSO tables that there isn't much of any first year cash values even using DB option B. (Could just be what I've been comparing to though.)
I only compete against other agents.
The fees are in every contract and nobody understands them anyway.
The only thing I would compare on IUL is how an agent is structuring the policy.
With UL/IUL/VUL, you need to manage the formula:
Net death benefit = cash values + net amount at risk - any outstanding loans.
Cash values has earnings (or not depending on that year in indexes or sub-accounts)
Net amount at risk has costs of insurance charges (which means a 0% year has a cost of insurance that will invade your cash values)
Outstanding loans has loan interest charges.
Learn how to structure IULs by managing the volume on these. I would at a MINIMUM do Target funding of a minimum death benefit - either death benefit option A (level, but higher death benefit - protection focused) or death benefit option B (increasing lower death benefit, cash values focused).
Those rules work for EVERY IUL... although I'm noticing that with the new 2017 CSO tables that there isn't much of any first year cash values even using DB option B. (Could just be what I've been comparing to though.)
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- #17
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- #19
IUL design is very important as most people know.
But fees are very important as well. TA is know to be a high fee product. Hi fees erode the performance long term, and can be especially impactful when taking lifetime income from IUL.
I'm not sure what you mean by top 10. They have an 84 comdex.
Fixed it for you.
I believe which company you use can definitely be important, but that isn't the only thing to look at. And this is not saying TA is a bad company, I'm just responding to your statement.
Personally, I'd use a better company and product if I was selling IUL.
But fees are very important as well. TA is know to be a high fee product. Hi fees erode the performance long term, and can be especially impactful when taking lifetime income from IUL.
I'm not sure what you mean by top 10. They have an 84 comdex.
Fixed it for you.
I believe which company you use can definitely be important, but that isn't the only thing to look at. And this is not saying TA is a bad company, I'm just responding to your statement.
Personally, I'd use a better company and product if I was selling IUL.
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