Moving Mutual of Omaha from FMO to company appointment

Might be a rumor

Don't know how true this is, but just last week a fellow agent and I were discussing crappy FMO's and getting released from their contracts.

In the conversation she said that the state of GA (where we are) frowns on agent-direct contracts with companies, but rather the agency( FMO) system is preferred. Haven't had time to research this, but would like to know if this is also true in other states.
 
Some agencies absolutely DO NOT release agents. Others are more reasonable. In the case of unreasonable FMO's, you generally have to self terminate the contract and wait anywhere from 6 months to a year to before you can re-appoint with someone else.


Does this mean re-appoint with someone else within the same company, or re-appoint with any other carrier?
 
OK so it sounds like SMS is doing the right thing by this.

I have been on the fence with them. What do you guys think that have been writing with them? Good? Great? Average?

Your answers will greatly influence my decision.
 
Senior Market Sales

I have doing business with SMS for a number of years. I have put most of my business through them. They always stand behind the agent and have taken care of all my concerns in a courteous fashion. I got several leads during Part D Open Enrollment free of charge. They offer trips and other incentives as well.
I have heard from other agents that once you get contracted with the FMO for Mutual out of Clearwater, FL you are stuck for life unless you go without production.
 
Hey Super Genius

What products are you offering or wanting to offer through Mutual?

I know SMS pretty well, & I'll tell you that they're highly unlikely to release anyone. Particularly if you've ever produced while being under their contract / hierarchy.

Lately I have been a big promoter of Great American's setup. While they have some FMO's pushing their products, they have a very competent internal marketing team. I hold several contracts through them and all of them are direct.

Obviously you do not know SMS all that good. Keep in Mind you do not have a contract with SMS, it is with Mutual. If a FMO recruits you, they have spent a ton of money per agent to get you that contract. SMS is not a basement operation, I think there is over 50 people working there and have been around a long time.

As far as your Great American comment, Let's see, Boesch in Clearwater has his hold on UTA, Loyal American and probably GA. The have a strict NO RELEASE policy. Ever since they bought Ceres, with CGI, CRL and Provident American, those FMO's got screwed in favor of Boesch. Now Peter Nauert has his greedy little fingers in it with ACP. Great American has a distribution system that mimics a spider web and you are the fly.
 
Malcolm...

I appreciate your analogy belittling me as the fly. Thanks.

However, you're extremely misinformed.

Boesch in no way, has any type of stronghold on UTA or any Great American product line. April 2006, Boesch's exclusive with UTA was cancelled, and agents began contracting direct. In September, Great American acquired Ceres and began offering direct contracts for CGI, CRL & Provident American.

Peter Nauert has no major connection with any Great American products either. He was given a small exclusive with the GA med supp, but that all ended with GA shelving the product, and gearing up for it's re-release under direct contracts again. The GA med supp along with Loyal American, are technically on the shelf and not being marketed by home office. There are a handful of agents who still have access to Loyal, but not many at all.

I know all of this for fact. I used to work with Boesch on the UTA exclusive. When he lost his exclusive contract, a handful of the marketers went direct to Great American, and some left altogether. I went independent and later picked up the direct contracts through Great American.

As far as SMS goes, I wasn't bashing them or accusing them of being a "basement shop". I know exactly who they are and have worked with them in the past. They have an excellent shop as far as products and agent service to my knowledge. I have spoken with many agents who are extremely loyal to them. My experience with them is purely as a marketer, not as an agent. There were a couple of times I tried to assist an agent in getting released. As I remember, it wasn't as simple as pie.
 
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Does SMS even pay the top commissions? I tried to get a 16% commish with united world and they said they need production requirements. So I went to Eager 1 and got a 17% contract with no reqquirements. and yes it IS A LEVEL CONTRACT FOR 8 YRS.

So what is so great about them???:err:
 
Not Here to Defend

Does SMS even pay the top commissions? I tried to get a 16% commish with united world and they said they need production requirements. So I went to Eager 1 and got a 17% contract with no reqquirements. and yes it IS A LEVEL CONTRACT FOR 8 YRS.

So what is so great about them???:err:

I also have that Level of Contract but at the same time I have 50 agents under me. Eager 1 did not tell you there is a $500,000 production quota which is Mutual's not SMS's. What is the big deal, all contracts are Level for 8 years in Indiana but then it stops. State Law.
 
Did I hit a Nerve

Malcolm...

I appreciate your analogy belittling me as the fly. Thanks.

However, you're extremely misinformed.

Boesch in no way, has any type of stronghold on UTA or any Great American product line. April 2006, Boesch's exclusive with UTA was cancelled, and agents began contracting direct. In September, Great American acquired Ceres and began offering direct contracts for CGI, CRL & Provident American.

Peter Nauert has no major connection with any Great American products either. He was given a small exclusive with the GA med supp, but that all ended with GA shelving the product, and gearing up for it's re-release under direct contracts again. The GA med supp along with Loyal American, are technically on the shelf and not being marketed by home office. There are a handful of agents who still have access to Loyal, but not many at all.

I know all of this for fact. I used to work with Boesch on the UTA exclusive. When he lost his exclusive contract, a handful of the marketers went direct to Great American, and some left altogether. I went independent and later picked up the direct contracts through Great American.

As far as SMS goes, I wasn't bashing them or accusing them of being a "basement shop". I know exactly who they are and have worked with them in the past. They have an excellent shop as far as products and agent service to my knowledge. I have spoken with many agents who are extremely loyal to them. My experience with them is purely as a marketer, not as an agent. There were a couple of times I tried to assist an agent in getting released. As I remember, it wasn't as simple as pie.

You are correct the Boesch does not have an exclusive which only means he does not get a piece of you but he still has a lot of agents under contract that he will release to NOBODY. Maybe someone from CERES should respond on how they were treated by Great American. Good for GA to shed Peter Nauert.
 
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