TransAmerica-Sets Aside $for Future PayOut?

[jdeasy]

Maybe not... They might have such an aversion to face to face that they would not do nearly as well. Not everybody can do what you and others are doing. On the other hand, there are agents that can do very well F2F but have such a fear of the telephone, there is no way thye could make it in phone sales.

I know the number one telesales agent with Parker and Asses left them and went to face to face and is killing it.

 

[donamese]

Nonsense...................................................

What part is non-sense? Do you believe clean sheeted policies have equal or better mortality than correctly sold policies? Do you believe a company prices for a lot of people to die in the contestability period? Or do you believe that quality sales still generate a lot of deaths within 2 years?

 

[NSRH]

*****************
Are your call center agents required to tell each person who is buying a policy that they have a 2-year Contestability period and the beneficiary and/or the funeral home might have to wait up to nine months to get paid?

Well of course, don't all agents disclose this in detail with every prospect?

Kidding aside, no we don't explicitly recite what you've outlined, however there are a number of disclosures read by us and our third party verifier explaining just about every disclosure and exclusion.

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Maybe not... They might have such an aversion to face to face that they would not do nearly as well. Not everybody can do what you and others are doing. On the other hand, there are agents that can do very well F2F but have such a fear of the telephone, there is no way thye could make it in phone sales.

Face to face turn over is probably higher than most any other sales positions out there excluding MLM opportunities or door to door jobs. Some would call that a failed model too.

I believe it boils down to money. Does any model allow for salespeople to make money. If the opportunity is truly there, it doesn't matter if its face to face or telesales. However, from my experience, the output of a telesales agent is much higher than face to face. But, again, I cant speak for the entire telesales industry, just NorthStar.

 

[jdeasy]

What part is non-sense? Do you believe clean sheeted policies have equal or better mortality than correctly sold policies? Do you believe a company prices for a lot of people to die in the contestability period? Or do you believe that quality sales still generate a lot of deaths within 2 years?

I believe company men will find a way to blame the agents no matter what. I believe you are a company man.

Instead of talking parables why don't you lay the numbers out there?

What percentage of contestable claims are paid? What's the percentage of those that done with a phone interview or totally voice applications vs the ones with no interview?

Until you company men are willing to put some numbers behind your speculations and outright guesses then it will always be guesses.

 

[Prtzl]

What I'm confused about is the "Burial Expense" $ not being available immediately to the client. I'v been reading about this, watching videos and 9 times out of 10 the reps are reciting benefits are available "immediately" upon need(death).

I don't know that I could sell someone a policy knowing if it's within a two yr contestable period the payout rate is roughly 40%. I'm curious what the numbers are after two years.

If these numbers are true, the entire premise of the sale(burial expense[how's your family going to pay of your funeral?
]) is a farce.

I understand the other side also-a client can lie til their blue in the face about their condition and without a medical clearance, it's pretty much taken them at their word. So, a safe guard has to be in place. BUT- unless the client is fully aware of this contestable period, and the potential long delays in getting a payout(which means they don't get the "burial expense"(problem solved) that the agent promised-sold them on.

Man-this seems icky..

Before anyone jumps to the conclusion that I'm calling everyone a crook - no, I am not..not at all. How do you(any agent) justify the sale in their own mind as being 100% ethical, if the you do not tell the client the "immediate" payout for your burial expense may NOT in fact be available immediately...if ever.(40-48%?? of the time??)

I must be missing something here.. I have to be. Where am I confused?

 

[jdeasy]

What I'm confused about is the "Burial Expense" $ not being available immediately to the client. I'v been reading about this, watching videos and 9 times out of 10 the reps are reciting benefits are available "immediately" upon need(death).

I don't know that I could sell someone a policy knowing if it's within a two yr contestable period the payout rate is roughly 40%. I'm curious what the numbers are after two years.

If these numbers are true, the entire premise of the sale(burial expense[how's your family going to pay of your funeral?
]) is a farce.

I understand the other side also-a client can lie til their blue in the face about their condition and without a medical clearance, it's pretty much taken them at their word. So, a safe guard has to be in place. BUT- unless the client is fully aware of this contestable period, and the potential long delays in getting a payout(which means they don't get the "burial expense"(problem solved) that the agent promised-sold them on.

Man-this seems icky..

Before anyone jumps to the conclusion that I'm calling everyone a crook - no, I am not..not at all. How do you(any agent) justify the sale in their own mind as being 100% ethical, if the you do not tell the client the "immediate" payout for your burial expense may NOT in fact be available immediately...if ever.(40-48%?? of the time??)

I must be missing something here.. I have to be. Where am I confused?

Americo told me that the 50/50 gamble applied to all life insurance, not just their FE product.

All life polices are contestable for 2 years. And companies 100% of contestable claims. After the policy is 2 years old then it's paid. It cannot be contested. Any policy that's 2 years old can be assigned and the funeral home can get paid within 24 hours of death.

I don't know if the 40% is correct. That's just what was thrown out there. CL supposedly told their agents they pay half.

The fastest contestable claim I've had paid was recent. The guy died the first or second week of Nov. His policy had started Oct 3. The claim was paid mid Jan. So, about 2 months from death on a contestable claim. I doubt it gets much faster than that.

 

[goillini52]

I don't know that I could sell someone a policy knowing if it's within a two yr contestable period the payout rate is roughly 40%.

Man-this seems *icky..

Have you thought about selling Medicare Supplements...Dental Insurance...Cancer Insurance?

 

[jdeasy]

Have you thought about selling Medicare Supplements...Dental Insurance...Cancer Insurance?

They are also contestable.

 

[BibH]

When the client walks into a funeral home with a contestable policy what happens?Does the client's family have to set up a payment plan until the policy benefit's are paid?Is a preneed policy contestable?

 

[goillini52]

They are also contestable.

Yes, but not the whole thing all at once(well the cancer can be) and nowhere near the figures you mentioned for FE. I guess it would depend a lot on the shadiness of the agent, but I can't ever recall having a policy rescinded...I do cover that when filling out the app.