Primerica

[WinoBlues]

Re: CMO of Primerica Harassing Me

Why are Primerica 30 and 35 year products not on your tool?

Also when Primerica is the cheapest are you referring them to a Primerica Agent?

And when are the much hyped and anticipates Permanent policies going to be there?

Why aren't Primerica's non guaranteed 30 term plans there? Ah, because they are not guaranteed 30.

I answered your question please answer mine here. Why doesn't Primerica guarantee their 30 term?

 

[scagnt83]

Re: CMO of Primerica Harassing Me

I answered your question please answer mine here. Why doesn't Primerica guarantee their 30 term?

Same reason NWM doesn't.

If they did they would have to charge more in order to keep the same ratings. Or they would have to suffer a slip in ratings if they kept the same price points...

The real question is how does NWM keep a AAA rating and have cheaper term prices than Primerica?....

 

[VolAgent]

Re: CMO of Primerica Harassing Me

The real question is how does NWM keep a AAA rating and have cheaper term prices than Primerica?....

I bet all the WL and DI has something to do with that.

 

[JimmyUt]

Re: CMO of Primerica Harassing Me

Is there a time when Primerica is cheapest?

It is always the cheapest when their agents tell you so. If the rater says so it must be incorrect.

 

[sman]

It is always the cheapest when their agents tell you so. If the rater says so it must be incorrect.

Looks like he's another hit and run artist. Come on here, make grand claims, insult some folks and then run away with his tail tucked between his legs once asked to provide proof of his claims.

Typical Primerica rep.

 

[Norwayguy]

Re: CMO of Primerica Harassing Me

Looks like he's another hit and run artist. Come on here, make grand claims, insult some folks and then run away with his tail tucked between his legs once asked to provide proof of his claims.

Typical Primerica rep.

Sman he joined Primerica and was all full of piss and vinegar when he made his post and was out the next day which is why no replies. So he is a typical Primerica rep in business today and out tomorrow once he has sold his friends and family.

 

[sman]

Sman he joined Primerica and was all full of piss and vinegar when he made his post and was out the next day which is why no replies. So he is a typical Primerica rep in business today and out tomorrow once he has sold his friends and family.

That's what I was thinking as well.

 

[Robert Barney]

Re: CMO of Primerica Harassing Me

Primerica's greatest price weakness is that it continues to embrace unisex rates, in other words the girls get to pay the same higher price as the boys. That's left over behavior from the days when Massachusetts regulators (where Primerica is home based) mandated that all life insurance policies sold in the state must be unisex priced. Eventually MA abandoned that rather bizarre concept and most companies that sold insurance in MA quickly switched to male/female distinct pricing structures. Companies based in MA were slower to change, but SBLI eventually came around and pitched its unisex pricing overboard. Primerica remains the one high profile hold out.

Montana is the one state left in the country that mandates unisex pricing. An analysis of life insurance premiums from various companies will demonstrate that the only thing MT has succeeded in doing is punishing females buying life insurance. Most companies who offer policies in MT simply require females to pay the same premiums that males pay everywhere else. Equality comes at a price in MT.

A few companies offer a truly "unisex" rate in MT, but the examination of a unisex premium rate will show that it is slightly lower than a male rate, but much higher than a female rate. So, the unisex rates punish the female and offer a slight benefit to the male.

And that is the rut that Primerica finds itself in: the company is offering unisex premiums in all states. All the discussions about Primerica's competitive pricing overlooks the fact that a female, wanting a term policy, can get one from a whole host of companies at a much lower price than Primerica and the cost differences are significant.

Of course if Primerica adopted male/female distinct pricing, it's male rates would have to go up a notch. As long as everyone ignores the girls, Primerica has a small cost advantage versus its competition.

Primerica makes all this muddy by offering bulk banding when a husband and wife buy a policy together. If both buy a quarter million dollar plan, they get the $500,000 band ($250K plus $250K) and they get to share one policy fee. It all sounds wonderful as long as you overlook the fact that the female is getting soaked by having to pay a virtual male premium in the first place. I suspect, if the company adopted a true male/female pricing structure, it would have to give up its bulk banding strategy. As long as it can overcharge the wife, it can pretend to offer a package deal price with cost savings that no one else offers.

Meanwhile the single mom takes it on the chin. What's most frustrating about that is when you confront a Primerica agent with these facts, and that their single female customers would be far better off buying a policy up the street, the Primerica agent will still justify selling the overpriced female policy because Primerica is not evil like those other companies that peddle whole life. In other words, the girls should still have to pay more because Primerica is morally superior. That's when evidence of kool-aid consumption is apparent.

And finally, in Canada, where Primerica sells the exact same products with the exact same prices, it enjoys a very competitive position in the market. For some peculiar reason Canadians have an aversion to U.S. life insurance companies, and so when a U.S. company offers a term life insurance product at a much lower price than the competition, Canadian agents simply ignore it because it's American.

It is also worth noting that in Canada, the Primerica 30 year premium is guaranteed for 30 years. The difference is the bizarre reserve rules imposed upon U.S. actuaries by U.S. insurance regulators. Those of you who were around in 1999/2000 will remember the Triple-X regulation and some may remember my campaign/opposition to it. It was, and still is, a complete overreach of government regulators into the pricing of life insurance products. A company that shortens its guarantee can do so with a substantial cost saving in regards to reserves.

Now I should note I did not post this to denigrate Primerica, which I do think is competitive, particularly in the Canadian market. My point is that no one life insurance company offers the best deal all the time. Agents who sell for a single company, regardless of how competitive that company's product is or is not, are not agents I would ever want to deal with. There are a lot of agents who condemn Primerica, who themselves are selling overpriced products to consumers. In case anyone forgot, that's what motivated Art Williams in the first place.

If you think I am kidding about price differences find out for yourself at www.term4sale.com.

The Canadian counterpart is found at www.term4sale.ca.

Full Disclosure: I own both sites through my company Compulife.

 

[scagnt83]

Re: CMO of Primerica Harassing Me

Robert, you should venture outside of the political forums more often. Excellent post!

 

[Norwayguy]

Re: CMO of Primerica Harassing Me

Robert, you should venture outside of the political forums more often. Excellent post!

x2 on that. Robert you are missed from parts of the forum that do not included politics.