Termination for Cause

[The Doc]

Im a newbie but not in the business. Question, I replaced an older annuity that was pretty weak, put the client into something more beneficial to them, more benefits, filled out all replacement paperwork correctly and also listed myself as the agent replacing the annuity was the agent who had wrote the annuity, all legit, passed suitability etc, after doing that one we proceeded with his sousing annuity which was the same older contract and going into newer. About a month later the company sends me an email asking if I know anything about these replacements etc (I'm sure they can see handwriting is the same). I respond that I did replace and gave a few specific details in the email but not to detailed because I still have client confidentiality. Now, I log on today to check normal business and the company that I originally wrote the policies with has terminated my contract effective the end of August. I am unsure if its a termination for cause, im sure it is, but my question is what happens with a term for cause and the DOI? Haven't had a term for cause before except for lack of production so can anyone tell me what is coming my way?

Thanks

 

[Todd King]

Unless you have renewals with that company, not much will happen until you go to pick up another company. Most companies ask if you have ever been terminated "for cause" before. Then they ask you to provide an explanation....or they will just flat turn you down.

 

[goillini52]

Im a newbie but not in the business. Question, I replaced an older annuity that was pretty weak, put the client into something more beneficial to them, more benefits, filled out all replacement paperwork correctly and also listed myself as the agent replacing the annuity

If you're not in the business, how can you sell an annuity? Could this be why you were termed for cause? How did you get appointed in the 1st place? Very cornfusing post.

 

[vic120]

If you're not in the business, how can you sell an annuity? Could this be why you were termed for cause? How did you get appointed in the 1st place? Very cornfusing post.

I'm trying to understand as well

A person cannot be termed for cause for fliping client into a better plan right?

 

[The Doc]

If you're not in the business, how can you sell an annuity? Could this be why you were termed for cause? How did you get appointed in the 1st place? Very cornfusing post.

I ment not new in the business, guess I didn't clarify that to well

 

[The Doc]

I'm trying to understand as well

A person cannot be termed for cause for fliping client into a better plan right?

I did violate my contract because I replaced company business

 

[goillini52]

I did violate my contract because I replaced company business

Ok, so you got termed for replacing your own business.

You can get away with that if you sell Med Supps.

 

[Newby]

Im a newbie but not in the business. Question, I replaced an older annuity that was pretty weak, put the client into something more beneficial to them, more benefits, filled out all replacement paperwork correctly and also listed myself as the agent replacing the annuity was the agent who had wrote the annuity, all legit, passed suitability etc, after doing that one we proceeded with his sousing annuity which was the same older contract and going into newer. About a month later the company sends me an email asking if I know anything about these replacements etc (I'm sure they can see handwriting is the same). I respond that I did replace and gave a few specific details in the email but not to detailed because I still have client confidentiality. Now, I log on today to check normal business and the company that I originally wrote the policies with has terminated my contract effective the end of August. I am unsure if its a termination for cause, im sure it is, but my question is what happens with a term for cause and the DOI? Haven't had a term for cause before except for lack of production so can anyone tell me what is coming my way?

Thanks

Didn't the client have huge surrender charges? Or did you 30 day free look them?

 

[The Doc]

Didn't the client have huge surrender charges? Or did you 30 day free look them?

Client had a 5.5% surrender, I don't remember the exact dollar amount off hand, the contract was just shy of 5 years old when I replaced it. Clients have been happy, zero issues, I know it was the better option for them along with passing suitability. I am just curious how does this termination get reported to the DOI and what follow up does the DOI do?

 

[goillini52]

Client had a 5.5% surrender, I don't remember the exact dollar amount off hand, the contract was just shy of 5 years old when I replaced it. Clients have been happy, zero issues, I know it was the better option for them along with passing suitability. I am just curious how does this termination get reported to the DOI and what follow up does the DOI do?

You can justify a 5.5% surrender charge?