New to Industry. Questions About Agency?

[iclouduser]

Hi all,

A wealth of information on the stickies! Okay so here are my newb questions.

DHK's Post mentions focusing on Term-Life however; the agency I am looking to contract with seems to highlight Whole Life products and Disability Income Insurance. It is through Guardian

Does anyone know FRs in an Agency through Guardian?

I recently laid off and need income to start flowing but not sure if I would be a good fit.

 

[DavidHill76]

Hi all,

A wealth of information on the stickies! Okay so here are my newb questions.

DHK's Post mentions focusing on Term-Life however; the agency I am looking to contract with seems to highlight Whole Life products and Disability Income Insurance. It is through Guardian

I'm sure they offer term life, it's just Whole Life tends to have larger commissions. I would find out if they have guaranteed no-lapse universal life.

80%+ of Whole Life owners cancel it before death, that's why its big deal. The numbers play out, also why DHK recommends selling term. Term was once seen as the evil because at the end of it all you had nothing to show for all those years of payments, now whole life is the enemy of figures like Dave Ramsey.

Good Luck

 

[DHK]

What the hell are you talking about???

There are a few reasons to recommend term life insurance. Here they are:
1) They can't afford or understand why to buy whole life.
2) It's better to get a sale and get paid on something, than 100% of nothing.
3) At least they'll have some protection.

Don't ever assume to speak for my mindset. You don't know what you don't know.

Guardian works very similar to MassMutual. Of COURSE they preach "whole life for everyone". Here's the problem: UNTIL you know how to properly present it, it's better to have some term life insurance INVENTORY for future conversions... than to lose sales opportunities.

If you sell 20 $1,000 annual premium term life applications in one month, I'll nearly guarantee you that your manager won't have any problem with the production you are doing.

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BTW, MassMutual paid career agents 45% on term life (including term life riders on whole life) and 55% on whole life contracts and the majority of riders.

The difference isn't that much. I suspect Guardian agents are paid similarly.

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This is the post he's referencing. Start here: http://www.insurance-forums.net/for...nsurance/guidance-new-life-agents-t29999.html

 

[VolAgent]

I'll add, if you sell that much term, Mass will help you convert it too.

They will send out a mailer at birthday and policy anniversary inviting you to have a review with your agent.

Also, that level of production will start getting you bonuses and your comp will greatly increase.

 

[DavidHill76]

What the hell are you talking about???



Don't ever assume to speak for my mindset. You don't know what you don't know.

I don't think either of us are trying to speak for you, he asked if anyone could help, I offered my measly advice. But definitely not trying to speak on your behalf! I hate it when people put words into my mouth!

 

[DHK]

When you said this... you were trying to speak for me.

80%+ of Whole Life owners cancel it before death, that's why its big deal. The numbers play out, also why DHK recommends selling term.

Then you added this in the same paragraph:

Term was once seen as the evil because at the end of it all you had nothing to show for all those years of payments, now whole life is the enemy of figures like Dave Ramsey.

So you can see how it's easy to think that you were trying to interpret something that I never said?

No hard feelings, but you can easily see how I could come to that conclusion.

 

[DavidHill76]

When you said this... you were trying to speak for me.



Then you added this in the same paragraph:



So you can see how it's easy to think that you were trying to interpret something that I never said?

No hard feelings, but you can easily see how I could come to that conclusion.

oh yeah. Too much caffeine, run-on sentences, etc. was always much better with numbers


Edit:
Also, I liked your FB page!

Thanks for givin me slack

 

[rousemark]

I'm sure they offer term life, it's just Whole Life tends to have larger commissions. I would find out if they have guaranteed no-lapse universal life.

80%+ of Whole Life owners cancel it before death, that's why its big deal. The numbers play out, also why DHK recommends selling term. Term was once seen as the evil because at the end of it all you had nothing to show for all those years of payments, now whole life is the enemy of figures like Dave Ramsey.

Good Luck

If 20% of WL polices results in a claim, that is far more than term.. It is said only about 3% of term policies ever pays out in a claim.

 

[WinoBlues]

I will add that for term to be an inventory book you need to treat it as an asset. A good portion of my term conversions and rewrites are orphans. I have either AOR'd or serviced and poisoned the well so the old agent can not get back in.

Vol is correct about companies sending out term conversion mail. Most agents do not follow up on those. We either call them or jot a "let's review" on my copy and include a flyer or two on a different product. Creates in bound calls every week.

 

[DavidHill76]

I have either AOR'd or serviced and poisoned the well so the old agent can not get back in.

I like that idea, but I have no idea what AOR means. And how does one poison the well?

Vol is correct about companies sending out term conversion mail. Most agents do not follow up on those. We either call them or jot a "let's review" on my copy and include a flyer or two on a different product. Creates in bound calls every week.

A guy I sat down with today mentioned his agent does this, I'm not a snake and couldn't see any reason to get him to buy anything over his coverage of 250k (prob term) 7 months out of a divorce and no kids. Nice house though