Standard Life and Antex

[policy doctor]

Called an old sales circular yesterday mailed to me by Antex. They were looking for agents and touting low premiums here in Ga and elsewhere for Med Supps.

Found out Antex is American National and the reason they started this block is to have an alternative for Standard Life, which they own.

Those med supps have shot up to $175/mo and more, depending on the usual factors,: age, area, etc.

The kick in the head were the commis. SL had paid 24%, but Antex, 13%.
Told them I couldn't afford to work for them. I've drawn my line in the sand at 16, and now I'm going back to 20% and better contracts, or none at all.

Wondering if any of you out there feel the same way. Talk about the Law of Diminishing Returns! Higher operating costs and lower profit.

(had to vent)

 

[somarco]

Cutting commissions is usually a sign that either the block is losing money, or they are looking for ways to get rid of most, if not all brokers.

I'll let you decide what is coming . . .

 

[policy doctor]

Well it's prob both. Gal said their claims were high on Std Life. Bet they lost enough business to MA's to hurt bottom line, plus the normal attrition. We all know companies are looking for ways to bypass broker costs. So we need to demand a higher payout for what we do.

 

[Insuranceman]

They just offered me 18% comm.

 

[senior-advisor-indiana]

I completely agree. I have drawn my line in the sand at 18%. I don't think companies are trying to get rid of brokers. We know and they know that the majority of the biz they do comes from brokers.

I was really upset with FMO's trying to say 15% was the highest commish for united world. Turns out I found a FMO offering 18%. It would have pissed me of if I would have believed the other 98% of FMO's.

I never did contract with United world because I couldnt find the 18% until recently. So if brokers keep signing these low contracts then they will just keep paying us less. I was really upset that so many people were signing up with them for 15%. Turns out that I didnt lose hardly any business to them, actually I dont think I lost any.

I would much rather sell a $90 policy for 20% commish than sell a $78 policy for 15%. Sounds horrible but thats not worth my time. If I am only gonna make 15% I will just put them on a MA plan and screw the med supps.

 

[policy doctor]

if you really think this thru, in other industries people get a pay raise as time goes on. Here in our industry, esp health, they are decreasing the % on both first year and renewals. Life contracts are not as lucrative as once upon a time.....there actually were agents retiring on their renewal contracts. The only ones now left are prob career agents....


Today was trash day and i threw out those Antex flyers. But i would like to know the name and # of the FMO offering 18% on Antex. I never did ask about the renewal rates. Are there any?

 

[Guest]

ANTEX is an odd company. You can not get more than 11% company-direct unless you meet certain production requirements and/or live in Illinois. Going through an FMO like MSIS is actually a better deal. They pay 17% 1st year/8.5% years 2-6

 

[GreenSky]

I never did contract with United world because I couldnt find the 18% until recently. So if brokers keep signing these low contracts then they will just keep paying us less. I was really upset that so many people were signing up with them for 15%.

From whom did you receive an 18% United World contract?

Rick

 

[Superchief]

I can't remember for sure, but I was offered 20% on Antex late last year. It was through Calvin Sulak and Best Marketing out of Dallas area.

 

[Guest]

I can't remember for sure, but I was offered 20% on Antex late last year. It was through Calvin Sulak and Best Marketing out of Dallas area.

Then they must have changed it this year b/c they only offer 13% now