Term life carrier wanted

Feb 3, 2007

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  1. Guest
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    Guest Guest

    I sell health insurance, and I'm looking at DI. However, I'd like to get an appointment with a good solid term life insurance carrier and add that to my bag of tricks. There is a market for plain old term in my area. I'm sure there is one for WL or UL, but that's a longer sales cycle than I want to get into... to say nothing about the complexity.

    The Blues here both sell term life and I get asked for it, but they don't pay the kind of commission they should (same 20% as health)... I don't kow why... probably because there is no extra application or extra work. So when I write a client who asks for life, I would like to offer something where I can make a few dollars.... I don't mind the extra work.

    Will someone recommend a good solid carrier in CA who will work with an indie like me and who is easy for us indies to work with? And if you know their commision rate, please post it as well.


    Thanks,

    Al
    http://www.InsuranceSolutions123.com
     
  2. Dave020
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    Dave020 Super Moderator Moderator

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    Al,

    I work with Brokers Alliance out of Fountain Hills, AZ and primarily use West Coast Life for term. They are the GA for US Financial which is a decent company for higher risk term cases but a bit pricey for the good risks.

    They rep about 20 different term carriers and help a lot with the medicals, paperwork and so on which makes my life easier. Commissions are paid directly for the carrier and they will help you with the appointment paperwork (free).

    Check them out at

    http://www.brokersalliance.com/

    Term rates for the bulk of independent carriers like you will see on Brokers Alliance run 70-85% first year only on term - no renewals. You can get renewals on permanent products UL WL if you decide to go that route later.

    Dave
    www.davefluker.com
     
  3. Guest
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    Guest Guest

    I thought all life insurance... term and WL had renewals. Is this non-renewal thing particular to BA or does term not have renewals?

    Al
     
  4. somarco
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    somarco That Medicare Guy

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    Term rarely pays renewals, unless you are captive. Check out http://agencyservices.com for life insurance. They are paying higher commission than BA and have online quoting + form download
     
  5. sman
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    sman Guru

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    Al,

    I use Financial Brokerage for all my term business (www.fb-inc.com). They have multiple carriers and offer incentive trips every year. Any business you place through them counts towards the trip.
     
  6. James
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    James Guru

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    If you are looking for small term cases you can file easily with out app's check out Fidelity. http://www.fidelitylifeassociation.com/agents/agents.asp

    Now this shouldn't be your main product but if you have clients that want small issue policy with little hassle this may be the ticket to use as a side product. You can fax or email the app's in and usually issue quickly. The premiums are not that bad either, while they won't match up with Banner or West Coast they are not as bad as others I have seen.
     
  7. Dave020
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    Dave020 Super Moderator Moderator

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    I primarily use West Coast Life, tried Banner a few times also. West Coast has top premiums for non-tobacco.

    In California, you often deal with large benefit amounts due to home costs and hi tech income replacement. For a family, staring benefit is likely at least $500k minimum and often 1-1.5 million benefit on a term plan (houses here in Gilroy start at $600k).

    Most of what I sell is around $1 million death benefit 20-year term.

    I think the commission rate is carrier based, so higher can be available from different carriers but the average I have gotten (WCL, Empire General, Banner) is around 80% first year (with no renewals).

    I like Brokers Alliance, they are easy to work with and really know the CA term life marketplace. I do term as an aside to health insurance so it is extra cross sell business and not my primary focus - but this sure beats the old 35% with renewals I used to get from NML.

    Dave
    www.davefluker.com
     
  8. NHB_MMA
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    NHB_MMA Guru

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    Hmm. I surprised that many carriers don't pay renewals on term. I just assumed it was standard.
     
  9. Guest
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    Guest Guest

    Me too. Why don't they pay renewals on term?

    Better yet, who DOES pay renewal on term? All things being equal I'd rather write for them.

    Al
     
  10. somarco
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    somarco That Medicare Guy

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    The captive carriers are the only ones that may still pay a renewal on term. Cant think of a single brokerage company. Term stays on the books around 3 years. Why even bother with taking a smaller commission on the front for something on the back that may never pay out?
     
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