Vol agt i got a plaque on my wall from Gerber from 1989 being one of their top agents and i won their trip to Antiqua so you're dead wrong.They used to pay 90% with no chargebacks.Matter of fact they were one if not the only Gi out there. You had a few great simplified issues with co's like National old line that paid 130%. I remember the good old days of jackson national going up to $500k non med . There was no min or rx check on those days.Jackson was the last company to lower their blood limits with aids became big and i recall gay mag's running ads for all gay people to apply for life ins from Jackson. I really thought they'd good under with all the coming claims but in the end people with aids live a long time and their term policy's expired.
When a Lead is Wheelchair Bound
- Thread starter karaboo
- Start date
- 3,764
so in 1989 how much of your Gerber Life production was sold using GI????
- 15,041
So have you sold it continuously since 1989 or was there a break?
I have not been licensed since 1989. To the best of my knowledge the GI has only been available for a few year. Perhaps it started with brokers, then went direct and is now available to brokers again?
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Gerber has had a GI product for a long time. Also, for most ages Vantis was cheaper, but Gerber pays better, except for no advances.
Since Gerber obviously had a GI available to brokers about 30 years ago, I am curious if they went to direct only for a period and now have both sales channels again.
- 1,912
If Gerber has been allowing indy agents to market their same GI product consistently since the 80's thats news to me.
Regardless, every indy agent in the country is pumping bad (extremely unhealthy) business their way, more than ever.
For that reason, I dont believe the current setup is sustainable. They may not remove the product entirely, or right away, but they will start changing commissions guidelines, and eventually discontinue indy agents from marketing it.
Its the same movie Ive watched a dozen times or so.
Who has the longest standing GI product on the market now that has always had indy agents selling it? (Other than Gerber)
Does Americo still do GI? I havent kept up with them in years.
Regardless, every indy agent in the country is pumping bad (extremely unhealthy) business their way, more than ever.
For that reason, I dont believe the current setup is sustainable. They may not remove the product entirely, or right away, but they will start changing commissions guidelines, and eventually discontinue indy agents from marketing it.
Its the same movie Ive watched a dozen times or so.
Who has the longest standing GI product on the market now that has always had indy agents selling it? (Other than Gerber)
Does Americo still do GI? I havent kept up with them in years.
- 924
You fail to account for the fact that Gerber spends a ton of money on direct to consumer advertising. This inevitably leads to a ton of very healthy applicants becoming part of the overall risk pool which heavily dilutes the adverse selection.
Their direct to consumer marketing is the only reason this GI product is available to brokers at the price and commission level it is.
You simply can't compare other GI products sold through brokers to Gerber. They didn't have the direct to consumer marketing that Gerber does.
Apples and oranges my friend
- 1,912
You fail to account for the fact that Gerber spends a ton of money on direct to consumer advertising. This inevitably leads to a ton of very healthy applicants becoming part of the overall risk pool which heavily dilutes the adverse selection.
Their direct to consumer marketing is the only reason this GI product is available to brokers at the price and commission level it is.
You simply can't compare other GI products sold through brokers to Gerber. They didn't have the direct to consumer marketing that Gerber does.
Apples and oranges my friend
True, except that any responsible insurance carrier would identify pitfalls in their book of business. Once they find their losing money with brokers they will make adjustments.
But hey, thats just speculation. They'd be the only carrier in history to make it worth. Someone has to be first.
- 15,041
You fail to account for the fact that Gerber spends a ton of money on direct to consumer advertising. This inevitably leads to a ton of very healthy applicants becoming part of the overall risk pool which heavily dilutes the adverse selection.
Their direct to consumer marketing is the only reason this GI product is available to brokers at the price and commission level it is.
You simply can't compare other GI products sold through brokers to Gerber. They didn't have the direct to consumer marketing that Gerber does.
Apples and oranges my friend
NSRH is spot on in his response. Gerber would be remiss not to audit its book of business every so often. If brokers are killing them on the GI product, then they have to decide is that worth the price for all the other business they get from brokers.
- 924
You guys are right about them identifying a bad segment of their business. If the broker business model is in fact losing them money, I would expect them to one day cancel it.
However, they have been doing this for quite sometime now, so I would bet it's profitable for them to some degree.
Time will tell though.
However, they have been doing this for quite sometime now, so I would bet it's profitable for them to some degree.
Time will tell though.
