Career NYLife, Pru, NW Mutual, etc. Agents

[scagnt83]

He wrote a million dollar term policy with NYL with an annual premium of $30,000. Three months into the term an agent replaced it for $12,000 per year. I will never contract with a captive company again. NYL thinks if you will just say you are an agent with them your prospect will roll over and beg you to let them buy your policy.

This x1000000

NYL acts exactly like that. Just tell them its NYL and the best there is and thats why it costs more.

Truth is that I could not stomach convincing people to pay 2x-3x more for their term insurance than what other high quality well rated carriers charged. It was a moral issue for me.

And as a new agent, you are going to sell a lot of term. Very few HNW individuals are going to trust a 1st year agent with hundreds of thousands of dollars (over the life of policy) going into a product they just learned about (both client and agent).

 

[Jack12345]

It sounds like so far you have only talked to NYL/NWM recruiter because you have only listed positives. You will need to learn how to prospect. While at recruiting they may make it sound so easy but it is not. All those HNW people get phone calls daily, you will be number 300th when you get a chance to meet them. Typical NYL sales cycle is 6 to 8 weeks, fact find, close and delivery. SO if you can sell a 10K a year policy you will get paid sometime in 2 to 3 months. Unlike FE, you will need to maintain relationship. Clients question the need for whole life or they will get visited by brokers who will trash you so the 10K premium will have to be re-sold several times in the next 20 years. UNlike FE, you can't let a 8 year whole life plan lapse, NYL/NWM will cut you loose for lapse rate. No such issue in FE market. It is expected you will lapse 20%, the carrier is counting on it. If you have some savings for 6 months, joining them will help you with your FE and MP sales if you dont make it. However, if you are day to day in savings, dont try it. Also besides recruiters, talk to someone who has been at the office 1 years and 5 years and dont talk to their hishest producer. Also there is a wide difference in quality of coaching you get at NYL/NWM from manager to manager. Dont work for someone new. Ask them whats their retention rate after 5 years. They will likely lie, but anything crazy number, just walk away. If the person interviewing tells you 19 out 20 people will fail in 5 years, they are being honest. Last, lets say you find a client for 20K into whole and they sign everything, schedule exam, obtain all medical records, understand underwriting is so different than FE. That sleep study suggested 16 years ago will automatically decline an application. You will work for 2 months and get nothing. NO such thing in FE. If it is hard- to deal with lapses on FE market, how are you going to deal with the eventual -20k month. I have 9 years with NYL. I am independent now. Hope this helps. I dig out of -47K once. I had no choice.

Can I send you a private message to hear a bit more about your experience with NYL and why you chose to go independent?

 

[Jack12345]

Most NYL and NWM career shops frown upon using IBC. I have seen NYL send out Cease and Desist letters to agents actively marketing the concept.

At one time they both supported the LEAP system, but it is different than IBC and is more of a true financial planning system and not just a sales system to sell WL like IBC is.

I am very well versed in what IBC is, even attended seminars with Nelson Nash, the man who literally wrote the first book on the subject. You are not going to make headway in the HNW market like you think you will with IBC. Often they want to keep their largest debt (home) because it is a valuable tax write off... their CPA will be 100% against you in that situation... and the CPA will win 9 times out of 10. Then there is the issue of just getting enough into the policy to replace the debt... its not a quick process at all and usually takes 5-7 years minimum just to get to the point of "financing yourself" on a purchase.

So besides the fact that NYL and NWM likely will not allow you to market the concept. The concept itself is a long term financial goal, not a quick one.

Unless the office you are interviewing at is pushing IBC, I would run from it. And if the office is pushing IBC... Id run from that office.

WL and IUL can be fantastic assets to own and build your wealth. And they dont need complicated selling systems like IBC, LEAP, COW to sell them once you learn the product and how it truly benefits the client.

Those HNW doctors and lawyers have huge needs for life insurance. Lots of GUL, Term & WL to sell them based on protection needs alone. And I guarantee you that will make you a ton more money than IBC will. A $10k premium into WL for IBC is going to pay you around $3k at NYL or NWM.... $10k in GUL premium will pay you around $5k at NYL or NWM. But, the IBC case will take up 5x-10x more of your time vs. a GUL or Term case... or even a normal protection based WL case. So the amount you make per hour doing IBC is tiny compared to protection based insurance. Now, if you are indy, that WL would pay around $6k and the GUL would pay around $10k. So its even more of a difference once you go indy. (which you should after 2-3 years at a career shop). Dont get me wrong, I love CV WL and IUL and enjoy that side of the business. But I have learned the hard way it does not pay as much as many new agents seem to think it does. And early on I learned that IBC is bought much more often by middle income consumers vs. HNW consumers... in addition to the issues the concept has.

Just keep in mind not to drink the coolaid too much while there if you go with them. No one carrier is the "best". And NYL/NWM are 2 of the worst carriers when it comes to being competitive with rates (even with IBC). Great customer service and financial ratings... but that is not exclusive to them at all. However, if you go with them, you need to drink the coolaid enough to be comfortable selling a product you know is not the most competitive option available.

My thoughts as a former NYL career agent who has been in the biz since 2006.

Can I reach out to you to hear more about your experience there and why you chose to leave?

 

[Jack12345]

I was a NYL agent for 9 years. The professional market is hard to crack. You can starve trying to sell this market. I sold more disability in that market than life. I recently talked to a NYL agent and he was crying. He wrote a million dollar term policy with NYL with an annual premium of $30,000. Three months into the term an agent replaced it for $12,000 per year. I will never contract with a captive company again. NYL thinks if you will just say you are an agent with them your prospect will roll over and beg you to let them buy your policy.

Can I reach out to you to hear a bit more about why you left NYL and went independent?

 

[Jack12345]

This x1000000

NYL acts exactly like that. Just tell them its NYL and the best there is and thats why it costs more.

Truth is that I could not stomach convincing people to pay 2x-3x more for their term insurance than what other high quality well rated carriers charged. It was a moral issue for me.

And as a new agent, you are going to sell a lot of term. Very few HNW individuals are going to trust a 1st year agent with hundreds of thousands of dollars (over the life of policy) going into a product they just learned about (both client and agent).

Can I reach out to you to hear a bit more about your experience as a captive agent and why you left (or at least I'm assuming you went independent based on your comment)?

 

[scagnt83]

Can I reach out to you to hear more about your experience there and why you chose to leave?

Can I reach out to you to hear a bit more about your experience as a captive agent and why you left (or at least I'm assuming you went independent based on your comment)?

Sure

 

[ehall2]

Sure.

 

[Jack12345]

Sure

Sent you a message.