Is there a Final Expense IMO/FMO that truly allows you to be fully independent?

[Baseball7]

8-10%

What product has that these days?

 

[Rearden]

He has a video where he’s claiming that telesales agents with free leads make more money than f2f on the broker side. Main reason they don’t have to worry about lead expense and the weekly stress of buying leads. At the end of the video he says after you need with his free lead program he may let you move up into the brokerage side of the business. WTF ?

We don't have a brokerage path anymore. We did in the beginning, but agents would treat the free lead program like a temporary destination when in fact it was the end goal.

A critical error many make is:

1. Not considering the free lead system's impact on optimizing agent performance and,
2. Drilling everything down to commission percentages alone.

I made this mistake for years myself and thought along the same lines as you all do. Hell, I even trash talked free lead programs in my first book back in 2016.

One last thing. The final expense forum is undeniably full of tough-minded, lone-wolf salespeople. Because of that, there is an obvious echo chamber of similar-minded people. The fatal mistake I realized is thinking that all agents should think or operate in the same manner.

 

[Baseball7]

treat the free lead program like a temporary destination when in fact it was the end goal

I’m sure you heard a lot of “can i start on free leads”

 

[Newby]

Nobody’s denying it’s super hard to do . What’s not deniable is if you succeed how much money you can make . We’re not even taking into account the 8-10% renewals being made on the back end of 10’s of millions of revenues . Again kudo’s to Dave .

At least when Dave becomes a billionaire we can get the politicians to tax him to death and give all of us FREE stuff like they promised.

#Winning!

 

[DonP]

What product has that these days?

American amicable 130% and 8.5% renewals . So the 150% contract is 10% ish .Rna 130% and 8% also . Trinity 120% and 10.5% yrs 2 and 3 then 8.5% yrs 4-10. Foresters 135% and 8.25% . Sbli 130% and 7.75 . So the 150% on those are 9-10% . Of course the cica and trans are terrible renewals . You got a big agency of 100 agents making 40-50% and no are little renewals that’s huge revenue as the yrs stack . Again we’re talking the motivation behind free leads . 2 motivations behind free leads . You give someone $1 in free and net 50 cents in overrides . With old style override you net 15-20% . But with the free leads additional huge yr 2-10 overrides . Also a very basic analysis.Overall the guy being feed free leads will do 2 times the vol of the avg guy who buys his own leads . So that’s massively more override per agent . Again the business minded long term agent won’t go this route . But 70% plus agents will be attracted to this . As Dave says this is a very tiny part of the ins world on this board . Very few agents think like this

 

[Baseball7]

You’re assuming direct carrier contracts to get the renewal amount. Very few people here think of things larger than the personal producer perspective too.

 

[theinsuranceman]

I think Dave has a good operation going. One thing to remember is that if an agent gets their leads for free they could make less effort in contacting the lead than if they paid for it. I believe his kixie dialer is what helps remove the lack of effort with free leads.

 

[DonP]

You’re assuming direct carrier contracts to get the renewal amount. Very few people here think of things larger than the personal producer perspective too.

You asked me what type overrides are out there . And I totally disagree many of these are direct carrier contracts . Scott’s spoken many times how he was under efes on some contracts tu piggy back there production and get the highest contracts . They were happy making a nickle on him . Outside small CO’s like Trinity , kskj etc many of these “ imo’s “ piggy back big Fmo’s who have the highest production and contracts No different than 1000 agents have asked “ I want a contract direct to carrier” . The answer is always you’ll get a higher contract piggy backing an fmo with no pressure to produce .

 

[Baseball7]

150/10 isn’t far off from probably being right on most top carrier deals I’m not disagreeing with you on that. But knowing the number and actually having the Contract are two separate things.

 

[JRoot]

DBGA requires you to become full time essentially making you a 9-5 employee.

To clarify, most agents work part time with us - even the successful ones. The vast majority of successful agents rarely put in a 9-5 day consistently. I interviewed 10 agents netting six-figures plus a few months ago and I'd say 75% of them are working 5-6 hours/day.

All that to say - we do not require you to be full time. We just want this business to be your main income source if we're going to pour into agents.

I'll make sure our messaging is more clear.