Primerica

[wolfe42]

Hello everyone,

I wanted to know if anyone has worked or does work with them, and would like to know any pros or cons working with them

Thank you in advance!

 

[Newby]

Hello everyone,

I wanted to know if anyone has worked or does work with them, and would like to know any pros or cons working with them

Thank you in advance!

Their term life rates are not competitive. Very easy to beat with other term carriers. Plus it has no conversion options so it’s substandard compared to the other term carriers.

They don’t even offer whole-life because their pitch gimmick is to “buy term and invest the difference”. Yet, most of their clients still need insurance as they get older as they bought term and spent the difference.

 

[GoPokes]

Pros: you get to hit up all your friends and family, and pressure them to invest money and buy life insurance. they get coverage they didnt have before, and you make money, win-win

Cons: In 12 months, you will no longer work there, and all your sold clients are now orphan leads for your former manager.

 

[Ghost]

You can only sell term, they will teach you that cash value policies are bad and also won't know the difference between cv policies. Term rates with them tend to be more expensive and you need to become securities registered to offer investments with them.

 

[Allen Trent]

Cons: In 12 months, you will no longer work there, and all your sold clients are now orphan leads for your former manager.

in all fairness, that is an exaggeration. with the average annual sales of 1 policy per Primerica rep (including personal policies on themselves), really isnt much going to that manager.........................................LOL--I agree with you

 

[HomeService]

If you look up "pyramid scheme posing as insurance operation", in the dictionary, a photo of primerica comes up. Seriously, they recruit and recruit and recruit some more.

 

[jcorr]

This is a bit dated (I wrote this a few years ago and haven't taken the time to update it yet but the numbers haven't changed much). Let’s start with the positives. First no matter what anyone says it’s a legitimate company. They sell life insurance and pay their claims. They are extremely effective at recruiting, probably one of the most effective companies in that respect. They will help you get your licenses. They get a lot people covered. They sell a lot of policies. You can make money.

Now lets look at the downsides (in no particular order).

• In all the companies out there, there is only one that I know of that starts you at a lower commission rate. Pretty much anywhere you go you’ll start off higher. Not just by a little but we are talking 2–4 times as much.
• They are myopic in their outlook, they only sell one type of insurance, term. They say that any other type is “rip-off” and they have examples to “prove it”. Well the examples they use are truly horrendous, I wouldn’t sell them and they are bad examples. The problem is that they are not typical of how permanent policies should be used but they don’t understand that. One type of insurance is not “better” than the other, they are both financial tools.
• They’ll talk about how they have more “million dollar” earners than any other company. Well in an absolute sense that’s true but would you rather be with a company were 1 out of 2500 are million dollar earners or 1 out of 80 are “million dollar” earners?
• 80–90% Their policies are replaced every year. Only 60% in a good year. Page 15 of the 2021 Form 10-K
• Part of the reason for the high replacement rate is that their policies tend to be 10%-20% higher in price. There are some exceptions, usually male, smokers, over 50, less than $100K in coverage.
• They had over a 100% turnover rate in recruits last year (I think this was in 2021, their turnover is still above 90%)
• They LOST over 5000 agents last year (that’s high even for PFS) Page 6 of the 2021 Form 10-K. With such a high attrition rate it makes it much harder to advance
• You’ll have limited choices in what you can offer
• You have all the restrictions of being a captive agent with none of the benefits (They claim to be independent but I haven’t met any PFS agents that can sell anything but Primerica policies)
• They sold less than one policy for every person they recruited last year. Pages 6 and 15 of the 2021 Form 10-K. That tells me that even their own recruits don’t necessarily believe in the company.
• The training seems to be extremely minimal. They only encourage their agents to start of with a life license, not life and health license which limits what they can do.
• You have to recruit to advance, they may tell that you don’t but all their literature says you do. PFS can only survive by massive recruiting.

I have more but that should give you an idea of some of the downsides.

 

[edderbubbles]

You can only sell term, they will teach you that cash value policies are bad and also won't know the difference between cv policies. Term rates with them tend to be more expensive and you need to become securities registered to offer investments with them.

Not trying to be funny, but what other options exist in order to offer investments? What other Securities route exist + what are standard requirements at other agencies? Doing some research for different IMOs so just curious.

 

[marindependent]

"About 80% of Primerica recruits don't actually become insurance agents, often because they flunk state licensing exams" Wall Street Journal

 

[Tahoe Ray]

Not trying to be funny, but what other options exist in order to offer investments? What other Securities route exist + what are standard requirements at other agencies? Doing some research for different IMOs so just curious.

Any captive insurer is going to get you licensed (NY Life, NorthWestern, etc.).

There are smaller broker/dealers that will also license independent agents for securities. They are focused on the insurance space.

You can do all of this without signing up with a Primerica/WFG-type outfit.

But, you really shouldn't offer securities unless you know what you're doing so getting some training (that's not from the aforementioned companies) is really helpful.