- 15,041
It is quite bad. And it is illegal as well. The manager is encouraging or requiring an unlicensed individual to conduct activities that require an insurance license.
Primerica Scam
- Thread starter gurubuster
- Start date
It is quite bad. And it is illegal as well. The manager is encouraging or requiring an unlicensed individual to conduct activities that require an insurance license.
- 11,997
I think you're making a lot of assumptions here. The OP isn't really getting into details, it seems like they just want to rant over a perceived injustice.
- 15,041
If there is smoke, there is fire. There are enough people complaining about this practice by Primerica and other companies to know it is going on. Heck, even the big mutuals do it. How do I know? Because they all suggested it to me.
- 4,132
josh?
Could it be that you're getting caught up with a word or two? I think the point being made even if the wrong words are used.. is less than ethical activity.
Maybe the only word we should worry over is "wrong"?
As in "is what they're doing "wrong" ?"
Could it be that you're getting caught up with a word or two? I think the point being made even if the wrong words are used.. is less than ethical activity.
Maybe the only word we should worry over is "wrong"?
As in "is what they're doing "wrong" ?"
- 8,707
Interesting I was talking to a guy today with Primerica wanted to stop the draft and the carrier said it could only be done with the help of the agent who has not been returning the customers calls. We called the carrier together and first got thier fax number and then inquired about stopping the draft and got the same answer about needing to speak to the agent.
I asked them if they could pull up the clients app. I then asked them on the draft authorization if it was Primerica or the agent who recieved the authorization. Of course it was Primerica. I had the client inform them that he was revoking the authorization to draft premiums and a fax in writing would be following today and that if there was any drafts after they had recieved multiple notices the client would file an ACH dispute through thier bank and if said unauthorized draft caused any fees the client would expect reiumbursement from Primerica.
It's amazing what carriers will pull in effort to conserve business.
I asked them if they could pull up the clients app. I then asked them on the draft authorization if it was Primerica or the agent who recieved the authorization. Of course it was Primerica. I had the client inform them that he was revoking the authorization to draft premiums and a fax in writing would be following today and that if there was any drafts after they had recieved multiple notices the client would file an ACH dispute through thier bank and if said unauthorized draft caused any fees the client would expect reiumbursement from Primerica.
It's amazing what carriers will pull in effort to conserve business.
- Thread starter
- #26
gurubuster
New Member
- 5
Hey Josh, I wasn't born yesterday, apparently you haven't or didn't read my original Posting to get this thread going, here it is:
I have a friend who had won $710,000 at a local Casino here. She was working for a local grocery store, met a so-called "Financier" who was canvassing for "Primerica". I did a lot of research online and found out it was a Multi-Level-Marketing Pyramid Scheme, not only that the owner of this "Primerica" is a Minister of Scientology (who even tried to sell me into being a Scientologist!) Anyway, in open forum I'm asking for help in wrenching this lady friend away from this Primerica and getting bilked out of all her money and friends.
Any help will be appreciated. I like what Sabo has put out on YouTube. Type in Primerica Scams on YouTube and you will see his brave rebuttals to Primerica trolls.
Thanks kindly. Many years ago I used to work for Prudential Insurance and I remember when A.L.Williams arrived on the scene.
Now Josh, there are some say at least 11 tiers of hoops this fledgling Primerica person has to hop through, paying the recruiter, the recruiters recruiter, the trainer, the manager, the RVP and the rest of the upline, he/she gets diddly...duh...that's why Sabo96 (Ethan Vanderbuilt, YouTube PRIMERICA IS A SCAM? In my opinion it is) Ethan says the average Primerican makes $5,455 per year, it's less than a McDonalds employee makes per year and the average State Farm Agent makes 76 thousand a year!!!..duh...duh and duh again...wake up and read carefully all the other Life Insurance Agents are saying
.
I have a friend who had won $710,000 at a local Casino here. She was working for a local grocery store, met a so-called "Financier" who was canvassing for "Primerica". I did a lot of research online and found out it was a Multi-Level-Marketing Pyramid Scheme, not only that the owner of this "Primerica" is a Minister of Scientology (who even tried to sell me into being a Scientologist!) Anyway, in open forum I'm asking for help in wrenching this lady friend away from this Primerica and getting bilked out of all her money and friends.
Any help will be appreciated. I like what Sabo has put out on YouTube. Type in Primerica Scams on YouTube and you will see his brave rebuttals to Primerica trolls.
Thanks kindly. Many years ago I used to work for Prudential Insurance and I remember when A.L.Williams arrived on the scene.
Now Josh, there are some say at least 11 tiers of hoops this fledgling Primerica person has to hop through, paying the recruiter, the recruiters recruiter, the trainer, the manager, the RVP and the rest of the upline, he/she gets diddly...duh...that's why Sabo96 (Ethan Vanderbuilt, YouTube PRIMERICA IS A SCAM? In my opinion it is) Ethan says the average Primerican makes $5,455 per year, it's less than a McDonalds employee makes per year and the average State Farm Agent makes 76 thousand a year!!!..duh...duh and duh again...wake up and read carefully all the other Life Insurance Agents are saying
.
- 11,997
gurubuster, I've been more than polite here and I don't appreciate the tone you're taking here. I read your post and there was a lack of details. Apparently there has been some confusion here, so let me ask you a fairly specific question:
How is your friend allegedly getting scammed? How do you think they're going to be scammed?
I don't have any particular affection for Primerica. That said, what they're offering isn't much different from the way the industry as a whole works. If you're friend wants to get into the insurance industry there are a number of other venues they could take and Primerica isn't likely the solution for them, but what is the "scam" you're referring to? Is it taking her into a product that isn't suitable? Trying to get her to work for them?
The Primerica vs SF agent earnings is bunk math. State Farm has a vetting process that forces folks to actually be qualified, most folks that can fog a mirror can get recruited by Primerica. They do have extremely low contract levels and their products are very competitive relative to the rest of the industry which can cause challenges for folks looking to earn a steady income.
How is your friend allegedly getting scammed? How do you think they're going to be scammed?
I don't have any particular affection for Primerica. That said, what they're offering isn't much different from the way the industry as a whole works. If you're friend wants to get into the insurance industry there are a number of other venues they could take and Primerica isn't likely the solution for them, but what is the "scam" you're referring to? Is it taking her into a product that isn't suitable? Trying to get her to work for them?
The Primerica vs SF agent earnings is bunk math. State Farm has a vetting process that forces folks to actually be qualified, most folks that can fog a mirror can get recruited by Primerica. They do have extremely low contract levels and their products are very competitive relative to the rest of the industry which can cause challenges for folks looking to earn a steady income.
Years ago Primerica put information on their website about their "opportunity". Below is a copy of one of their charts (I copied and pasted it years ago):
[FONT="]A 24-Year Track Record of Success[/FONT]
[FONT="]Personal Income [/FONT]
[FONT="]$2,000,000 - $4,999,999[/FONT]
[FONT="]$1,000,000 - $1,999,999[/FONT]
[FONT="]$100,000 - $999,999[/FONT]
[FONT="]$50,000 - $99,999[/FONT]
[FONT="]A 24-Year Track Record of Success[/FONT]
[FONT="]Personal Income [/FONT]
[FONT="]Today[/FONT]
[FONT="]Goal 2004[/FONT]
[FONT="]11[/FONT]
[FONT="]20[/FONT]
[FONT="]24[/FONT]
[FONT="]85[/FONT]
[FONT="]1,522[/FONT]
[FONT="]6,000[/FONT]
[FONT="]3,653[/FONT]
[FONT="]15,000
[/FONT]
[/FONT]
[FONT="]This was the webpage which had this information [/FONT]
http://ww4.primerica.com/public/what/opp/track_record.html
As you can see, it no longer exists.
[FONT="]Ok, that chart didn't paste too well. It looked fine prior to my previewing it. The first column is income levels of their reps. The second column with two sets of numbers shows the number of reps currently (top number) and their goal by 2004 is the bottom number. I don't recall what year this was, but I believe it had to be around 2001 since Primerica started in 1977 as A.L. Williams and the chart shows a 24-year track record.
In the past they touted the mythical six figure income and the reps I always ran into touted they had 100,000 reps. So let's break down the numbers (at least how they were back then). Keep in mind, these are generalities:
[/FONT]11 reps "earn" $2 million – $5 million per year. $2 million times 11 reps is $22 million. That leaves $428 million in compensation and 99,989 reps. ($450 million - $22 million and 100,000 - 11)
24 reps "earn" $1 million – $2 million per year. $1 million times 24 reps is $24 million. That leaves $404 million in compensation and 99,965 reps. ($428 million - $24 million and 99,989 - 24)
1,522 "earn" $100,000 - $999,999 per year. 1,522 reps times $100,000 is $152.2 million. That leaves $251.8 million in compensation and 98,443 reps. ($404 million - $152.2 million and 99,965 – 1,522)
3,653 "earn" $50,000 - $99,999 per year. 3,653 reps times $50,000 is $182.65 million. That leaves $69.15 million in compensation and 94,790 reps. ($251.8 million – 182.65 million and 98,443 – 3,653)
That leaves $69.15 million in compensation to split between 94,790 reps. That averages out to approximately $730 per rep, per year BEFORE EXPENSES. And that is figuring at the low end. (Some of the first group make more than $2 million, some of the second group make more than $1 million, etc., which will bring the average compensation per rep, per year LOWER!! What does this mean? It means that 95% of the agents at Primerica DO NOT make a livable income.
The only folks making any real money are the ones who got there in the beginning and are being fed by all those on the bottom. And by bottom I mean 95% of all the reps. It's a nice gig if you were there in the beginning and don't care that you are selling overpriced products.
http://ww4.primerica.com/public/what/opp/track_record.html
As you can see, it no longer exists.
[FONT="]Ok, that chart didn't paste too well. It looked fine prior to my previewing it. The first column is income levels of their reps. The second column with two sets of numbers shows the number of reps currently (top number) and their goal by 2004 is the bottom number. I don't recall what year this was, but I believe it had to be around 2001 since Primerica started in 1977 as A.L. Williams and the chart shows a 24-year track record.
In the past they touted the mythical six figure income and the reps I always ran into touted they had 100,000 reps. So let's break down the numbers (at least how they were back then). Keep in mind, these are generalities:
[/FONT]11 reps "earn" $2 million – $5 million per year. $2 million times 11 reps is $22 million. That leaves $428 million in compensation and 99,989 reps. ($450 million - $22 million and 100,000 - 11)
24 reps "earn" $1 million – $2 million per year. $1 million times 24 reps is $24 million. That leaves $404 million in compensation and 99,965 reps. ($428 million - $24 million and 99,989 - 24)
1,522 "earn" $100,000 - $999,999 per year. 1,522 reps times $100,000 is $152.2 million. That leaves $251.8 million in compensation and 98,443 reps. ($404 million - $152.2 million and 99,965 – 1,522)
3,653 "earn" $50,000 - $99,999 per year. 3,653 reps times $50,000 is $182.65 million. That leaves $69.15 million in compensation and 94,790 reps. ($251.8 million – 182.65 million and 98,443 – 3,653)
That leaves $69.15 million in compensation to split between 94,790 reps. That averages out to approximately $730 per rep, per year BEFORE EXPENSES. And that is figuring at the low end. (Some of the first group make more than $2 million, some of the second group make more than $1 million, etc., which will bring the average compensation per rep, per year LOWER!! What does this mean? It means that 95% of the agents at Primerica DO NOT make a livable income.
The only folks making any real money are the ones who got there in the beginning and are being fed by all those on the bottom. And by bottom I mean 95% of all the reps. It's a nice gig if you were there in the beginning and don't care that you are selling overpriced products.
G
Guest
Guest
First you can't compare a Primerica agent's earnings with a State Farm agents. That's like comparing the salary of a waiter at a truck stop diner and a waiter at a 5 star restaurant. Yes, they're both waiters, but in completely different scenarios. One has qualifications, education, and experience. The other just came in and applied for a job.
Also, did Ethan mention that most Primerica agents are PT? Most have other jobs and do the Primerica thing on the side just for extra income.
Not taking up for Primerica, I'm not particularly fond of them, just trying to put things into context for you.
The problem with comparing these numbers is this...
You can't be a State Farm agent part time. You will be fired and your business transferred to another agent the moment you stop producing.
Primerica, they are not going to fire you, and you are in the system for life as long as you maintain license.
Hence the difference.
But, if you say Primerica is a scam.... so is every insurance company for that matter right? What is the attrition rate?
90% will fail within a year? So by that account... you do the same thing.. you sell sell sell then you are fired or you quit and your boss keeps your business.
As much as I dislike Primerica.... they serve a purpose, and offer a product to those who would otherwise not. I know of a few primerica reps who are good people.
You can't be a State Farm agent part time. You will be fired and your business transferred to another agent the moment you stop producing.
Primerica, they are not going to fire you, and you are in the system for life as long as you maintain license.
Hence the difference.
But, if you say Primerica is a scam.... so is every insurance company for that matter right? What is the attrition rate?
90% will fail within a year? So by that account... you do the same thing.. you sell sell sell then you are fired or you quit and your boss keeps your business.
As much as I dislike Primerica.... they serve a purpose, and offer a product to those who would otherwise not. I know of a few primerica reps who are good people.
