Working with "Consultants"

[bluemarlin08]

I recently lost all my business to a consultant. I had worked with the 4 shareholders for 12 years. Probably had 35,000 of life premium, 17,000 LTC premium and several hundred thousand annuities. I pointed out some potential problems with some older blended WL policies. They decided to hire a consultant to give unbiased advice. Agreed with me on the problems, rewrote my life for a longer term, another thing I recommended. Long story short, lost all the life plus additional, probably 100k in first year commision.. CPA works jointly with the consultant. Be careful, I use to do the same thing and would replace their life long agent. I guess what comes around goes around.

 

[Franz Kafka]

Are you not an insurance consultant? There's no friggin license for being a consultant. You've got to be very aggressive and decimate them at every corner before they even enter the arena. Don't be friends. Make em a client (??? huh ???) Only good enemy is a dead enemy in high premium world. These enemies usually back off when you challenge them face to face (too ***** to fight you). KILL KILL KILL

"He will consult you for a fee? I will not only consult you but also execute the plan, implement necessary changes as changes occur and answer all your phone calls whenever you have a question. I've done this hundreds of times and all for free. Why would you want to go and spend extra money for something I can do better without charging anything? What can he offer you that I can't?"

 

[scagnt83]

Are you not an insurance consultant? There's no friggin license for being a consultant. You've got to be very aggressive and decimate them at every corner before they even enter the arena. Don't be friends. Make em a client (??? huh ???) Only good enemy is a dead enemy in high premium world. These enemies usually back off when you challenge them face to face (too ***** to fight you). KILL KILL KILL

"He will consult you for a fee? I will not only consult you but also execute the plan, implement necessary changes as changes occur and answer all your phone calls whenever you have a question. I've done this hundreds of times and all for free. Why would you want to go and spend extra money for something I can do better without charging anything? What can he offer you that I can't?"

Excellent post Franz.

At the mere mention of a consultant, I start asking questions and finding out exactly what clubs this "consultant" has in the bag.. if they sound like competition I will directly ask the owner if they are; it forces the owner to place them in a box and think about them that way.

And if they think of them as your competition, then they start wondering why they are paying a fee on top of his commissions...

 

[Franz Kafka]

IMO the "wedge" has to be driven not only against the incumbent broker but against all the advisors (unless they are with you) - viz. lawyers, accountants, consultants, PEOs, stupid friends etc. The more the client loses his trust in them, the more he will trust you. JMO

 

[ABC]

Good feed back.

My group that hired the consultant is not a well managed business. The consultant is a client of the group and so he prospected them.

It was so funny in the meeting. This guys is talking about shopping a micro group like there is going to be a bidding war for. Then I actually started laughing when employee meetings were being discussed.

It got even funnier because when the consultant was talking I could tell he really had no idea what he was talking about.

I got into a large case and they hired a consultant to handle the RFP. The f--king RFP was 12 pages long. LOL
No clue!

This month has been the week of consultants for me.

 

[VolAgent]

Good feed back.

My group that hired the consultant is not a well managed business. The consultant is a client of the group and so he prospected them.

It was so funny in the meeting. This guys is talking about shopping a micro group like there is going to be a bidding war for. Then I actually started laughing when employee meetings were being discussed.

It got even funnier because when the consultant was talking I could tell he really had no idea what he was talking about.

I got into a large case and they hired a consultant to handle the RFP. The f--king RFP was 12 pages long. LOL
No clue!

This month has been the week of consultants for me.

So what was the reaction from the client and the consultant when you started laughing?

Also, I have to wonder how tight your relationship is with the employer if they bring in a consultant. Just saying..

 

[ABC]

So what was the reaction from the client and the consultant when you started laughing?

Also, I have to wonder how tight your relationship is with the employer if they bring in a consultant. Just saying..

Fair questions

The consultant wanted me out right a way the owner told him no.


The owners of the this 4 life company I have known since high school. When they started their firm 6 months ago they needed a group health plan in within 8 days because of (pre-x) I was able to pull that off. The spouse of one of the owners is in the employee benefit business but was not able to do what I was able to do.


When I laughed I then explained to them that we did have employee meetings and they were one on one.

It gets even funnier. The consultant starts talking about setting up a FSA for a group that has an HSA. THen he wants to move the HSA which is being admin for free to another bank that will charge for it.

 

[VolAgent]

Fair questions

The consultant wanted me out right a way the owner told him no.


The owners of the this 4 life company I have known since high school. When they started their firm 6 months ago they needed a group health plan in within 8 days because of (pre-x) I was able to pull that off. The spouse of one of the owners is in the employee benefit business but was not able to do what I was able to do.


When I laughed I then explained to them that we did have employee meetings and they were one on one.

It gets even funnier. The consultant starts talking about setting up a FSA for a group that has an HSA. THen he wants to move the HSA which is being admin for free to another bank that will charge for it.

Guy sounds like a joke.

I have to wonder about the owner though. He only has four employees, and one has pre-ex. How can a consultant possibly save enough in premium to justify his fees?

 

[scagnt83]

I would agree. It sounds like the owner needs a consultant to tell him how to run his whole business, not just the benefits.

 

[ABC]

I would agree. It sounds like the owner needs a consultant to tell him how to run his whole business, not just the benefits.

You are correct!