This next article was graciously submitted by another with direct experience working with the Primerica opportunity. It is, as you will see, very different from the one found here. My hope is that by sharing both stories, you, the reader and researcher can come to a determination about what you are looking for and feel good about your decision.
So without further ado:
The Primerica Opportunity
By
CCLeader
This is the first of an ongoing series of articles in regards to Primerica Financial Services (PFS), and the opportunities, products, agents, and more that so many are clamoring for information on. The ground rule I am setting for myself is that I will not use this series as a personal recruitment tool. To that end I will use a pen name (CCLEADER), and will not provide to anyone my contact information. I will be as informational as possible, and will try to keep my bias to a minimum.
I will use forthrightness when answering questions, and will accompany my answers with my philosophy. It will not always be in lock step with some of the rhetoric you might have been exposed to in other blogs, etc.
My PFS Experience:
I am a 40-year-old executive in the ultra cutthroat environment that is the automotive Industry. I have been successful at every level that I have attained, for really one reason. “I work harder and smarter then most everyone else!” I do not possess above average intelligence, but was blessed with an above average work ethic. I have an overwhelming desire to be the best at my craft.
I currently receive a 6-figure salary, and my opportunity for advancement is guaranteed. I have a wonderful wife and three children that are my “Magnificent Obsessions!” My reason for giving you this information is not to boast, but to demonstrate that I had no reason to be looking for a new career path. I do however always keep an open mind when it comes to potential business prospect.
I was exposed to Primerica through a friend of a close relative. I was really not interested in speaking with this person, but agreed. A long story short, after my complimentary FNA “Financial Needs Analysis” demonstrated to me that although we, as household, made a significant living, we really didn’t have anything to show for it. Worse yet we were not planning for the future of our children, or our retirement at the level we should be.
I looked at the opportunity in Primerica as a viable way to earn significant additional income and fund the short falls that our unchecked spending habits created. It was a sobering realization that we were sacrificing the welfare of our children and retirement for the instant gratification of plasma TV’s and new cars. It was difficult to see what financial position we were in all laid out in black and white. Hopeless was my initial reaction, until I turned the page to see a simple plan which would erase our entire $350,000.00 plus debt in 10 years instead of the 48 year track we were on. The plan DID NOT include a new mortgage, but an aggressive debt stacking model. That feeling of hopelessness was soon replaced with exuberance when it was also demonstrated that by earning extra income, and other factors, that not only were we going to be debt free, but our retirement will be funded, the kids education funded, and we would be off the credit cycle and on a life changing cash cycle forever.
Turning the page was a literal action taken, but as it turns out it had multiple meanings. The facts are that I signed up for Primerica right there and then. I didn’t research the company, although I had heard about it before, I looked at this opportunity with a pragmatic eye. You might ask why wouldn’t he have at least taken the time to delve deeper and find out more. All valid questions, but these were my rationale.
1. It was only $99.00 to start, and $25.00 a month for the support. (I spend more a month on car washes.)
2. PFS pay for your licenses.
3. PFS helped my family and it was profound.
4. If I didn’t like the company I could take my licenses and go somewhere else.
5. At the very least I was going to receive a better level of understanding of financial matters then I currently posses.
6. THERE WAS NO RISK!
To me there was no downside, so why not give it a shot.. I am a professional salesman, this to me looked extremely appealing.
Fast forward nine months later:
Let me caution you! If you think this is a get rich quick scheme, you are wrong. Most of the time everyone likes the idea of being wealthy, they just aren’t willing to do the work. What you will find is that you will need to change yourself, and learn to redirect your focus. If you are so concerned with what other people might say or think about you, then PFS is not for you. If you haven’t realized this yet, I am not long suffering for those who make excuses, and lack personal responsibility. You are where you are because you won’t do what it takes to change.
To wrap this initial installment I want those of you who are thinking about doing something, STOP IT…. JUST DO IT!!! This world is full of people who are thinking about doing something, in Primerica you can be a winner, but you must take action.
Until Next Time…
CCLEADER
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37 responses so far ↓
1 Chris H // May 12, 2009 at 8:42 am
Well said.
2 Ed Brenner // May 12, 2009 at 10:44 am
I am a client of Primerica, and very satisfied with the service they provided us. They didn’t just come in and sell us something, they asked us a lot of questions and then put together a plan that met our specific needs. I liked how they explained everything in terms we could understand. I’ve gone over our new policy with a fine tooth comb and I have 2 words, simply impressive.
And they didn’t just do our insurance they helped us manage all our finances. They looked at the big picture. They showed us where we were our net worth, how to get out of debt quicker, how to save more for retirement and even prepare a will. Primerica isn’t just life insurance; our agent Sean Cuthbert is an individual that cares about people not just their pocket book or should I say his pocket book.
If Primerica (Sean) hadn’t have come along when he did we would have lost a lot of money in this recession. Today I am so grateful for the good work they do.
3 Ken // May 14, 2009 at 8:41 pm
How ironic, there’s no Sean Cuthbert registered to be legally giving you any advice that could have saved you a lot of money during the recession.
http://brokercheck.finra.org/Search/Search.aspx
4 Ex-Primerican // May 16, 2009 at 4:40 pm
CCleader,
You are very well spoken and I can honestly say that you are a very rare rep for Primerica. I spent over a decade with the company & like you I loved Primerica. Finally the day came that I made the decision to leave and I honestly felt horrible doing it. Primerica is filled with some great people who only want to do what is best for their family & friends. These “team mates” have became some of my best friends and I am thankful for Primerica for this.
My issue with Primerica is that we (Primerica Reps) are trained in a fashion that is very similar to cult brainwashing. We are repeatedly told that “if you are not with Primerica you’re being ripped off” and that, “we do what is right 100% of the time”. My baseshop was a dominate force in the mid-west & my family made a very good living with PFS. Those days came to an end one evening when I got into it with my OSJ/NSD (For those non-primerica people out there this is the big boss of a territory) when I confronted him on some of the things he was telling my reps. He runs his hierarchy as a recruiting machine, while I ran my baseshop focusing on helping clients. Our difference of opinion became a heated debate & when I contacted the home office I was told to just “deal with it”. This made me start reevaluating my career. See PFS loves to say you’re in business for yourself, but not by yourself. That is a lie. You are in business for your RVP, for your NSD, for your SNSD, and then the home office. If you don’t like it you can leave and since you do not own your own business you have lost those years of work and your clients roll up to the people you are having your issues with. (very few RVPs actually own their business and NO -that’s right-NO part-timers own their business). All of that said this is a personal issue I had so let me get to the problem with PFS as a whole. I am lucky that I had a friend who was a CFP who sat me down and showed me the real financial world. The one where you could do what is truly best for your clients and still make a great living.
1. Primerica reps mislead people into coming to the meeting or interview. I have spoken to thousands of reps and most of them come to the interview or meeting thinking it is a job. Only after they sit through the meeting do they find out it is a MLM company and you pay to come to work. It is simple to look online and see how many people have been duped into coming to a PFS office thinking it is a job, when in fact it is an “opportunity”. If PFS is such a great thing why is this the #1 complaint about the company. Deceptive recruiting tactics.
2. Inexperienced people giving financial advice. Let’s face it most of us enter this industry with little formal education in finances and receive OJT to learn, but PFS agents take this to a whole new level. There are reps out giving advice to people who don’t have a clue. If PFS had a structured training program it could help, but when the focus on getting new recruits is taught 80% of the time and product knowledge is 20% of the time there is an issue. To combat this lack of experience the “greenie” goes out and helps family and friends. Of course they trust them so the sales are easy to come by and the family member doesn’t go out and shop for better products. You can’t teach someone the rule of 72 and Bank A Bank B and consider yourself financial experts!
3. Expensive Life Products- It has been proven over and over that PFS life is some of the most expensive term on the market. There is nothing wrong with that if the client buys it, but those inexperienced reps sell it as the best. The most recent policy I replaced was 4 yrs old on a 20yr term for a husband & wife $250k each spending almost $89 per month. I was able to use ING for him and Banner for her, same coverage, new 20yr term for $41 for both of them. Now those inexperienced reps will repeat the same thing over & over about war clause, force conversion, the company won’t pay, no reinsurability, etc.. , but the truth is both companies are that same as PFS just cheaper! I have replaced about 30 PFS policies this quarter alone. I have never not saved the client tons of money of give them a lot more coverage. See Art Williams founded the company to be competitive, but now they are not….. Why?
4. Heavily loaded mutual funds - 5% load on A shares is pretty ridiculous! That’s all I have to say!
5. $MART loan - I loved the $MART loan & I am confident even to this day I could convince someone how great it is. The problem is when I learned the truth I felt disgusted. I would go in and destroy my competition with the $MART conditional loan worksheet, but it wasn’t fair. I was comparing the $MART to a 30yr loan. Now I know that if I was facing a 20yr conventional I couldn’t win. See we are trained in PFS to focus on simple interest, but the truth is the rate is soooooooo high it sucks! If PFS would be competitive with the $MART loan and lower those rates they would be unstoppable! The problem is that the client would be better off going to get a 20yr conventional (cash out or rate & term) with no prepay, lower closing costs, paid off faster, and spend less each month on payments. See the smoke and mirrors doesn’t work when you have the facts!
CCLeader I was you at one time. I loved the company I looked forward to running my 2 opp nights per week. I loved the Saturday training and being part of the fast start schools every couple months. I went and spoke on EPN. I wont those incentive trips. I lived the Primerica dream and it hurt, I mean really hurt, when I made the decision to leave. See I felt like a looser, a quitter, and a cry baby. Then reality set in. I always told me clients & recruits that if something better came along I would do it. I wasn’t representing PFS I was representing my clients and what was best for them.
I met my OSJ a few years and he asked me did I regret leaving the company. I tried to keep it friendly, but he started with the kool-aid speeches again and I had to put him in his places. Here was the guy who hired me, trained me, and I felt was like a father to me, but that all changed when I challenged PFS. He was one of the first wave of people hired by Art Williams and I thought he was a hero of the middle class. No sitting in a Starbucks he became a snake oil salesman rambling with the same “overcoming objections” lines he taught me. See I stuck to my facts. His palm pilot vs. my life term engine. Guess what. I beat him in every case! Next he went after my mortgage business. His conditional loan worksheet vs. a Franklin American conventional rate sheet. I won there too. When it all ended he told me that while I might have better products he has a better system, which he is 100% correct. See I chose to not just say that I was doing what is right 100% of the time, but actually do it!
I do not have a problem with Primerica the way many people do. I don’t consider Primerica a scam, just a MLM company very similar to Amway, Monavie, and 100 others. See Primerica does not need the best products because it’s sales force becomes the clients! It is an amazing system actually! My problem is that PFS reps are out lying to people and putting down other companies. They are trained to mislead clients to make their products look better and explain the price. The proof is all over every blog I have read on Primerica. You will see stuff about war clause, not paying death claims, forced conversion to cash value products, etc… This is what makes me sick to my stomach.
CCleader I have spent a lot of time in the trenches as a PFS rep and I can honestly say you are unlike most I have ever met. I hope that you can take what you have learned and teach your team the truth. When I replace a banner policy with a Genworth policy I do not slam Banner, I just do my job and help the client. Why not try that with Primerica?
If not some day you will find yourself in my shoes explaining to the people you love that you got caught up in a MLM cult like atmosphere and sold them products that weren’t really the best!
5 Primerica RVP // May 28, 2009 at 11:16 pm
To Ken:
Guess what? My name doesn’t come up with FINRA either? Why? Because im licenced Canada!!!
How do you even know where Sean Cuthbert has his resident licence?
It’s comments like that, that mis-lead poeple and start un-true lies about Primerica.
Keep pitching your half-truths. It’s so easy when no one is held accountable through these blogs and message borads!!
Primerica RVP
P.S. How fast would it take to start a blog that says Ken loves Barbie??? I can get all of Ken’s friends - GI Joe, Optimus Prime, Alf, and The Purple Teletubby to post on my Message board\blog supporting all my claims that…. KEN LOVES BARBIE!!!!
Easy there Tiger.
I’m sure, Primerica RVP, that when you wrote that P.S. you believed your point was entirely obvious, but to the rest of us it appears a bit (ok quite a bit) like you’re launching a flame. It’s a good thing everyone here is wearing their flame retardant suits.
Right everyone here? Let this be a warning shot across the bow. My trigger finger is poised and ready over the comment delete button. And it’s itchy.
Chris
P.S. I thought Ken did love Barbie.
6 Ex-Primerican // May 29, 2009 at 3:17 pm
I feel like I am beating a dead horse here, but I felt like I hate to respond to the previous poster. Seeing as if I have sat on both sides of this fence I have to point out that again a Primerica rep posted a statement with zero facts. When I was with Primerica I did the exact same thing. We are trained to avoid those “little” technical details when confronting someone. The BTID (buy term invest the difference) war cry can only last so long. Once you get past the “hoopla” of the meetings and the crusade there are very few facts Primerica reps bring to the table.
Since I was a Primerica rep for so long I have the “overcoming objections” ingrained in me and feel like I could write a Primerica rebuttal as well as a critique. So I feel like I know both sides of the story. The facts speak for themselves.
When Primerica RVP made the statement, “Keep pitching your half-truths. It’s so easy when no one is held accountable through these blogs and message borads!!” He brought nothing to the table! If you believe Primerica is the best company and has the best products, prove it!
Again here are the facts:
1. Primerica policies are no where near the best! Neither in price or in service.
2. Mutual funds are heavily loaded.
3. $MART loans are not the best option for the client. Comparing a $MART loan to a conventional 20yr loan is a no brainer. The $mart loan is an expensive 20yr loan, not a 30yr loan that is paid off quicker. It’s smoke and mirrors and when you compare apples to apples to 20yr conventional will win every time.
4. Primerica’s training program is 80% recruiting people and 20% how great their products are. This leaves the Primerica rep unable to make the best decision for their clients.
5. You do not own your own business in Primerica until you achieve some very difficult promotions! As an RVP you do not own your own business. There are ownership rights that must be earner based on number of RVP direct to you & production done. Basically you need to be a SVP to have ownership. (Yes there are some exceptions, but this is the case most of the time). Ask any new Primerica rep and they will tell you they own a business. - They have been lied too.
I am one of those people who believe that Primerica is not a scam, but I do believe that there are a lot of issues with their behavior. I was with them for a very long time and argued on message boards, just like this one, in defense of Primerica. One day I woke up and learned the truth. I was not doing what was best for my family & my clients. My integrity was more important than speaking at fast start schools and winning Primerica trips. My issues are with the way Primerica reps lie and mislead people. It starts with the first recruiting call (typically a job interview lie) and goes all the way to the end with the FNA. If Primerica reps would stop lying about how great Primerica was while putting other companies down I would be done and we could move on. This of course will never happen because of the brainwashing techniques used by most baseshops.
Please for once Primerica RVP bring something to the table instead of making such a blanket statement. Or can you finally admit that there are better options for clients and leave it at that? If I worked at Jeep selling cars I wouldn’t want my customer going to Ford. I would do everything I could to win his business, but I would not lower myself to mislead the client to do so. This is my main issue with PFS reps.
This blog is an open discussion about PFS products and opportunity, so please provide real facts when you post. Post a really $MART loan conditional loan worksheet (Loan Amount, Rate, Bi-weekly payment, pay off date) and let’s compare it to the rest of the industry. Let’s do the same thing with life insurance. Let’s put all of the cards on the table and see which would be best for a client.
7 Ed Brenner // Jun 15, 2009 at 12:37 pm
For the most part, Primerica has provided my family with a better financial solution than I came up with or was offered, for that I am grateful. Now licensed through Primerica, if I can improve the quality of life of the families I serve, I believe I a fulfilling a greater purpose. So let’s stop the bickering and work together, to improve the lives we touch, each of us with our own unique talents and testimonials. God Bless.
8 Ex-Primerican // Jun 15, 2009 at 4:07 pm
I love it when you put such a simple challenge out to Primerica reps and they do not respond.
Numbers will not lie. Primerica reps are brainwashed, I mean trained, into misleading clients with rhetoric and lies, but they can not bring real honest and factual numbers to the table!
9 Daytrader_Nupe // Jun 15, 2009 at 7:52 pm
Actually I typed up a long response refuting yours Ex-Primerican but, the person running the blog will not let it post.
Daytrader,
I don’t believe I’ve gotten your “long response.” I apologize for the inconvenience. Sometimes comments get buried in my spam and I may have missed it. Or there may have been some other technical glitch. I do moderate comments, but all respectful, family friendly comments do get posted. If you would try to post again (be sure to save it in word in case of further trouble), I will be sure to publish it. If you have further trouble, please email me your comment at chris@chriswondra.com.
Chris
10 Ken // Jun 16, 2009 at 7:35 pm
Ex-Primerican,
I too enjoy how the conversation ends once we discuss numbers. Facts are to Primericans what lights are to cockroaches.
RUN!!!!!!!!!
11 Daytrader_Nupe // Jun 17, 2009 at 12:23 am
Ex-Primerican. I honestly believe your experience is an unfortunate one but, you made several points that are not totally accurate.
First, all Primerica offices are not the same. The recruitment tactics that are used by some offices are downright shameful and it infuriates me to see it going on. However, many offices are forthright and up-front about the opportunity meeting and getting people there. The office that I am working out of presented everything to me before I ever attended an opp meeting. In fact the opp meeting was simply a more concise version of the presentation that was given to me in person. Do you believe every State Farm or Nationwide Office is run with the same ethical standards? No. They are all uniquely ran because people are different. Some people hold themselves and their business to a higher standard than others. You may want to be careful with painting such a broad brush stroke on so many different people.
Second, if an inexperienced person is giving financial advice then that also is a reflection on that person and their particular baseshop (office). In my office the training that we receive is so extensive that it would be too difficult for anyone without a passion for finance and helping people to last. There is so much we are required to know before we even do serve clients. Also, on the investment end we are required to hold a series 6, 63 and 66 securities license before we offer investment advise. These are all broker sponsored licenses that are the standard within the financial sector. You would be hard pressed to someone incompetent or inexperienced holding these licenses.
12 Daytrader_Nupe // Jun 17, 2009 at 12:24 am
Ex-Primerican. I honestly believe your experience is an unfortunate one but, you made several points that are not totally accurate.
First, all Primerica offices are not the same. The recruitment tactics that are used by some offices are downright shameful and it infuriates me to see it going on. However, many offices are forthright and up-front about the
opportunity meeting and getting people there. The office that I am working out of presented everything to me before I ever attended an opp meeting. In fact the opp meeting was simply a more concise version of the presentation that was given to me in person. Do you believe every State Farm or Nationwide Office is run with the same ethical standards? No. They are all uniquely ran because people are different. Some people hold themselves and their business to a higher standard than others. You may want to be careful with painting such a broad brush stroke on so many different people.
Second, if an inexperienced person is giving financial advice then that also is a reflection on that person and their particular baseshop (office). In my office the training that we receive is so extensive that it would be
too difficult for anyone without a passion for finance and helping people to last. There is so much we are required to know before we even do serve clients. Also, on the investment end we are required to hold a series 6, 63 and 66 securities license before we offer investment advise. These are all broker sponsored licenses that are the standard within the financial sector. You would be hard pressed to someone incompetent or inexperienced holding these licenses.
Daytrader,
You were right. For some reason I am having trouble with my comments. Strange things are afoot. I’m working on it. I did get your email and hope to have the problem fixed soon. Thanks for your patience!
Chris
13 Christopher Wondra // Jun 17, 2009 at 9:30 am
Hello Everyone.
Just an FYI. I seem to be having some trouble with my website comments. I’m working on it. Please be patient. It seems any comment over 2 paragraphs long is in trouble. But, like I said, I’m working on it.
Thanks for your patience,
Chris
14 Ex-Primerican // Jun 17, 2009 at 9:02 pm
Daytrader,
I was involved with PFS for a very long time and although you might be an exception the truth is PFS reps are not trained well. As for the training requiring people to be “passionate” about finances in your baseshop that is almost unbelievable. I am not saying what you claim is not true, but for the most part the majority (I would say 95%-99% of the baseshops focus on recruiting as the majority of their business). This is why PFS reps are so easily molded to believe PFS is the only & best company in the market. With your securities statement… At PFS you need 6 & 63 (in some states only 6) and as RVPs you need a 26. The S-66 is a RIA for fee based services which are not offered by PFS. So you are incorrect there! And just because you pass a NASD/FINRA exam does not mean you are educated! The truth is PFS reps know very little outside of selling LeggMason Funds & VanKampen funds! (Which are heavily loaded!)
I have lived the PFS lifestyle and would be considered very successful if I were still there. I left for one reason. I learned the truth & could no longer represent a company that in my opinion was a complete fraud compared to their own mission statement. There is not 1 Primerica product that I can not find a better product for my clients! Period! I still keep my challenge on the table. Let’s compare real numbers. Put your life cases on the table and the same with $MART. Maybe you can learn quickly enough that you are being lied to at your Opp Meetings and you are not doing what is best for your clients. (Or even close)
15 Daytrader_Nupe // Jun 18, 2009 at 10:08 am
Ex-Primerican
Unfortunately there was a problem posting the rest of my comment that addressed your previous post fully but, to respond to what you recently posted. You are wrong. In my state we are required to have a 6, 63 and 66. I am looking at the paperwork as I type. You are correct RVP’s are required to have a 26 as well.
You are using outdated info mate. We have access to over 5000 funds. Indeed Legg Mason and Van Kampen are two of them. However, we also have access to funds with lower expense ratios and loads like American Funds, just to name one. To say we only know about two funds is laughable. Why would agents only learn two funds out of thousands. That comment holds no weight as common sense could simply dispell it. The FINRA exam is the beginning. True it is only an exam but, it does prove that the individual put in some time to at least learn the basics. So to say they are uneducated is wrong as well.
16 Daytrader_Nupe // Jun 18, 2009 at 10:08 am
I am going to attempt to post my original comment again.
17 Christopher Wondra // Jun 19, 2009 at 7:16 am
Comment update: Just wanted to let you know that I’m still having serious problems with my comments. This is rare, so I think I may have been hacked. In order to fix and prevent this I’m going to have to do a serious and much needed upgrade. This will take some time. But feel free to visit some of my supporters (advertisers), in the meantime. Doing so may help me garner the resources I need for the job ahead.
Again, I apologize, and thanks for your patience.
Chris
18 JoeBoxer // Jul 8, 2009 at 2:28 am
I just became an Primerica agent… I guess. But my Primerica pitch was “Tax-Write-off” nothing about becoming an agent or selling products. It was sort-of a part of the financial planning. The entire conversation was about my financial health and how tax-write-offs with a business with bring more income to the household. I am a little sceptical about having a business I don’t plan on doing anything with other than a tax-write-off, however, maybe I will learn alittle finance and investments in the process. I reviewed several web sites and I read about everyone’s experiences, but their sales pitch almost always says recruitment - no one has mentioned the sales pitch of tax-write-off. I am thinking of canceling but I haven’t been convinced, based on reviews,to stay or leave; you all make good sense. Please no flaming comments - honesty is what I am looking for… Good honest opinions, and if you have concrete evidence this works or doesn’t.. I lwould ike to hear it. Thank you
19 Antonio // Jul 13, 2009 at 9:58 am
TO ALL:
The Series 7 and exam like it which I’ve known NO Primerica agents to hold is a minimum competency exam. It test knowledge of basic understanding and not how well you can master these skills. Having said that, anyone who has a good undergrad background in Fin can pass it w/o studying.
20 Antonio // Jul 13, 2009 at 10:00 am
Joe Boxer, if you want a successful and long career in financial services not sales your best bet is to hook up with one of the top companies. Top 5 on Forbes are usually MetLife, Principal Financial, Mass Mutual, NY Life and Northwestern Mutual
21 Antonio // Jul 13, 2009 at 10:02 am
As for the tax write offs, first let me say check with your accountant. I am not a CPA, and i don’t think i am going out on a limb by saying whoever told you that isn’t. Especially if they are PFS workers.
22 Antonio // Jul 13, 2009 at 10:06 am
But to dig deeper into it, what i think he is talking about is that if you file a 1099, making commission, you can write off some business expenses. Depending on your state this may include but may not be limited to gas, food during business hours, supplies, work clothes, bonuses for your employees, business phone. If you do get into any job with a 1099 file keep all those expenses in one place i.e open a seperate bank acct.
23 Antonio // Jul 13, 2009 at 10:10 am
TO ALL: Not to mention i know of no Primerica agent that has passed any of the CFA exams which only 35% of MBA students even pass.
24 Anonymous // Oct 8, 2009 at 6:28 pm
Ex-Primerican,
I saw your story on another blog too. I have time, currently being unemployed to read through some of these, but you really have time on your hands to write such lengthy repititous responses. But, to say the least they are interesting and food for thought for anyone looking to go to work with Primerica.
I wonder, how long did you work for Primerica in the mid-west? The firm you own now, how do you find clients? Employees? Why didn’t you talk to your CFP friend sooner - before you became so successful? Do you think every product you sold as an agent with Primerica was a rip off to the client? How many did you sell? Have you righted all those wrongs now? Was it the money you earned while in Primerica that helped you start the business you have now?
Lots of questions, I know, but I’m researching what’s out there on this company and you keep coming up. You do have the most interesting background story on these blogs.
25 X-Primerican // Oct 9, 2009 at 10:46 pm
Every couple days I take a couple minutes to read through and reply to these blogs. It can be time consuming, but the reason I do it is very simple. I felt like an idiot telling everyone (friends & family) that I was doing what was right 100% of the time. I have no issue with Primerica my only issue is with people lying about the company! If 1 person learns the right questions to ask and joins Primerica great! My problem is when PFS rep represent themselves as the robinhoods for the middle class while selling the some of the most expensive products on the market. (when comparing apples to apples)
To answer your questions:
* I resigned just short of my 11th year.
* I am a guest host on a radio show about finances. I do seminars. Most importantly I grew up in this area and have a very large warm market and since I am providing the absolute best products it is very easy to get referrals. I also do also do a lot of marketing with other businesses.
* I do have some W2 employees for back office support and I hire agents as contractors. Starting pay for new agents is 50% while in training & 85% once independent. Once they meet GA standards they are promoted to a 100% contract. (The agency typically makes 110 - 115% + bonuses)
* This is going to seem like a very lame excuse, but I just couldn’t believe everything I was doing was so bad. I thought all other companies were forcing people to convert to cash value, no guaranteed insurability at the end of the term, war clause, etc. It took some personal issues with my NSD to really open my mind. Honestly leaving Primerica was the hardest thing I ever did. I felt like a looser leaving even though I knew the truth. I was either that loyal or that programmed. Also the “so” successful comment is seems alittle insulting. I do make more money now than anyone in my area with Primerica, but I don’t claim to be a millionaire! I run a very successful business that is honest and provides the best service possible. I offer clients at least three other companies to compare prices and make an informed decision. I feel that you can not say you do what’s right 100% of the time when you only represent 1 company.
* I don’t think I ripped anyone off. I feel like I misrepresented myself & my products to everyone. Those people truly believed in me and what I was selling. I told them what I had was the best and when they asked about other “cheaper” companies I repeated the rhetoric you here PFS agents spew.
* I would say it is fair to say I never had less than $5k in personal premium per month from the day I was licensed. Of course baseshop premium was more.
* I honored my no compete clause and did not contact any clients until my 2 yrs was up. During that time I did have clients come to me, but once the 2 years was up I began contacting clients. Every client I have seen I have been able to either reduce the premium and increase the term. In some case I have increased coverage for the same premium. The only clients I could not help were due to health issues. To answer your question I have not seen every client. Unfortunately I do not know how to contact them. Every family member I have who has owned a $mart loan has replaced it. While I was setting up the MBB I had them contact their local credit unions.
* Yes I did use some of the money I earned to start my business. I have apologized to every person I sold products to. The most common response was we did it to help you, but you were really crazy with the Primerica stuff. The running joke with friends & friends was I was in a cult and to avoid talking about going to a meeting or joining “the business”.
Please do not get me wrong. I do not think that Primerica people are bad folks! They are some of the most honest and sincere people I have ever met. They truly believe in what they are doing. The problem is that they are so programmed they believe that only Primerica products benefit the clients. There is a Primerica rep on Chris other blog that is repeating the exact same rhetoric. We are not a MLM, the $mart loan is the best because of Simple Interest, Primerica term is better than other term because of ____ (lies), etc… This person honestly doesn’t know any better. He/She is saying exactly what I used to say! There will come a day when that person realizes how foolish they have been. That is my issue with Primerica! These people are listening to their RVPs and not doing the research to find out the truth.
I wish you the best of luck in whatever you do!
26 Maxx86 // Oct 22, 2009 at 3:16 am
If they cannot withstand the scrutiny by having the light of day shine on their dubious activities, then the Fed. ,
27 Primerica and the end of the SMART loan | Chris Wondra . com // Oct 25, 2009 at 7:54 pm
[...] The Primerica Opportunity (positive), by CCleader [...]
28 b.c. // Nov 13, 2009 at 8:21 am
I would like to see an explanation and numbers of how other companies products are better than primerica. I would like to see how much better these products are
29 X-Primerican // Nov 13, 2009 at 3:36 pm
No offense BC, but I have posted real numbers many times on this blog and I have broken down all of the bells & whistles too. I will give you a recent case I am dealing with as an example.
If you would like to provide some real numbers I would be glad to run some quotes to give you fair and real comparisons. I am sure Chris will back me up when I say that if you are in Primerica product that is competitive I will be the first to admit it.
My most recent replacement that I have done was written 8 yrs ago. At the time the client was 30yrs old and has been paying $87 per month for a 25yr level term $500,000 face amount. I was able to replace this policy with a new 30yr product for $48.95 per month. (He age is now rounded up to3 39yrs old). So he is saving nearly $40 per month and have a longer term.
The PFS agent told him that he should be worried about a war clause, not guaranteed reinsurability at the end of the term, no terminal illness, not paying the claim, and finally forced conversion to a cash value policy. All of these issues are 100% untrue and are just a tactic to convince the client to keep a more expensive product.
If you would post some current numbers or product questions I will be glad to answer them.
Cheers!
30 Prime Rica Rep. // Feb 17, 2010 at 12:11 am
LOL I love this!
I hear Primerica’s term being replaced with an other term for less (which is probably true, since I was able to get someone who was already with primerica to convert to proffered when they were NT saving them on their cost, BECAUSE whom ever there rep was, just wanted to make more $)
Now Primerica’s design is to help the middle income people, and do what’s best for them, that doesn’t stop some mofo from coming in and “hurting” the client. They only “hurt” them with an over charged term, rather than a VUL with say WFG(since the founder of WFG was linked to Primerica before)
How ever, I do find myself replacing alot of term from other companies with Primerica’s term. And I’m aware there are other terms for say $8-$10 cheaper, But I also understand, cheaper is not always better.
The service that I PERSONALLY bring to the table, I would match myself to a CFP (at the end of the day, they just sell you the same stuff). Being able to save them money just on everyday expenses, little tricks here and there to get to same more money, you know what that means? They love me so much they invite their friends over to meet me, and they personally set up the referrals for me.
I do so much more for my clients that just, making sure they are properly protected with the correct insurance, making sure they’re investing their money properly, helping them put together a strategy to pay off their debt sooner(I haven’t done a SMART, I usually just say do a consolidation and we’ll work from there since we don’t offer unsecured loans in Canada). I educate them to the extent of their understanding, and in simple terms. Now if they want more, I say join me in business, and I’ll slowly teach you everything I know.
I have yet to sit down with someone who said my banker or my financial planner already taught me all this stuff, I know how my investments work, I know where it’s going. Oh my insurance, yeah I know exactly how it works. I’m on track to retire at 60, with X amount, and I’ll have X amount coming in from my RRSP. I know how to get the best usage from my TFSA. I know how to build my credit properly my Financial Guy already taught me all that.
I could, because I’m that good with production, just sit with the family, sell them, give them a few tips and leave, then call them once a year. Or I could build that relationship with them. Because I undserant if I on my own work build a solid relationship with 200 families, that will pay me 3,250 a month without having to work, and as each year passes pay me more and more money on trails. And I am only talking personally on one product. Not Overrides, and if I trained just 10 people while I’m finding my 200 clients to be half as good as me. Lets just say I’m making 6 figures with little to no work.
I’ve no complaints about Primerica as a company. Most people who do, don’t understand what it will take to win.
Also, if you don’t like your OSJ… go get networked to someone else
31 Prime Rica Rep. // Feb 17, 2010 at 12:20 am
X-Primerican,
I think you’re forgetting that Primerica had reduced the cost of their term, I’m trying to run the quotes you said, and it’s alot less, but then again 8 years ago term was more expensive than it is today, so it’s very believable that you did that.
32 Xprimerican // Feb 18, 2010 at 8:22 am
Prime Rica Rep,
The quotes that I ran were not from 8 yrs ago. The most recent quotes, directly from the Quick Quote software, were done around August or September. I spent the majority of my adult life wearing the Primerica jersey and like you I fought for what I thought I was the right company. The fact that you just said EVERYTHING I used to say makes me believe that you are a very passionate person and truly wants to do what’s right for the client & your family.
I look forward to seeing those numbers so we can run some comparison quotes. (I have yet to find a single PFS rep who would do that!!!)
Here are some other issues I have with Primerica life. I would love to get your opinion on these facts.
#
So what’s wrong with Primerica insurance?
1. Expensive. Typically 30-70% more expensive than other equally or better rated companies. This means you are getting significately less coverage for your dollar!
2. Not Guaranteed - (funny how PFS reps never address this!) Regardless of the term you buy 25,30,35 year term is only guaranteed for 20yrs!!!! There’s no way to spin it so PFSers just avoid mentioning it. (that is called lying when you tell someone they are buying a 35yr level term when we know that’s not the case!)
3. Crap Terminall Illness right - it is only 40% of the face amount up to $250k. Other companies are 50-75% of the face amount and up to $500k-750k. Where is a family better off?
4. Waiver of Premium is on the primary policy owner not the spouse. (something NEVER mentioned by the PFSers)
5. Spousal conversion is VERY expensive. Spouse must convert at their obtained age not the original policy age!
EXAMPLE - Husband & Wife, both 34 yrs old, purchase a Primerica life insurance policy with the husband being the primary & wife as a spousal rider. 20 yrs later the husband dies. The wife WILL get the death benefit from her husband, but decides she would like to keep her own life insurance. With Primerica the wife mus tdo a spousal conversion, BUT, but she will charged the new rate based on her attained age. So she is going to pay the rate of a 54 yr old! Yeah that seems like the right thing to do; right? With other carriers she has her own policy and any changes in her life (Death of the spouse, divorce, etc) does not effect her policy.
6. Preferred Status is only good for renewals if you reach the end of term prior to age 55. If after age 55 you will be rated Standard!
7. Primerica rates are all Unisex. So it is much more expensive for women. Other companies offer male & female rates which allows women to get cheaper premiums.
8. Primerica has only 3 Non-tobacco, 1 tobacco, and 3 table ratings. Other companies have 4 non-tobacco, 2 tobacco, and 6 table ratings. Transaltion better premiums because the company has more options for you.
9. Finally the one that I think is the biggest scam with Primerica. If your agent checks the Standard Non-tobacco box on the life application and you qualify for Preferred the company will not give you the better rate. Whatever is checked on the application is the best rating you will get. With other companies the underwriter uses the Paramed, Blood & Urine, and other things to determine what the best rating would be for the client. If I check the application at Standard and the client could qualify for Preferred best the policy will be issued at Preferred best!!! That is the way it should be.
So here are 9 points that Primerica Reps don’t know and/or don’t want the client to know when buying their life insurance. Of course no Primerica rep will challenge me on the facts. I will be called a looser & quitter who couldn’t make it in the company, but they will not address these facts.
I’m not here to argue, but make a point. Art Williams founded an amazing company, but they are no longer the company he founded.
“In fact, replacement was a perfectly wonderful thing. It forced competition, badly needed and long overdue.” -Art Williams, “Coach” book
33 Hawk // Mar 1, 2010 at 8:46 am
X,
Question. Do you still receive commission from the people that were you brought in and were under you although you are no longer working with Primerica? I need clarification on how the works.
34 Xprimerican // Mar 1, 2010 at 7:09 pm
Hi Hawk,
Just answered your last post & I hope that the information provided helps!
No when I left Primerica I left my book of business there. Luckily my two year no compete clause was up sometime ago and I have regained about 95% of my clients. I was able to replaced almost every life insurance with a better & cheaper policy!!! The only ones I was not able to replace were the clients while health issues.
I hope this clarifies the ownership of a Primerica business:
* PFS reps do not own their business. That means that they don’t own their book of business.
* Once a PFS rep earns ownership (typically around the SVP position) they still do not own their book of business in the traditional sense. What happens is if that rep with ownership decides to leave Primerica he must sell his “code number” (think of it as an employee number) to another Primerica person. The value of that code number will be determine by what they person wanting to buy the Primerica baseshop is willing to pay.
Here is an example:
Let’s say I have been in Primerica for 30yrs and I’m ready to leave Primerica. I am a SVP (don’t get caught up on the VP titles they are sales designations not real VP titles!) with ownership. I can not take my client base (aka book of business) and go work for say Edward Jones like I could if I worked for a traditional firm. I must sell my solution number to someone in PFS (for what they are willing to pay) or just continue to get my trailers and overrides and fade away.
If you have not earner ownership from the company (typically around the SVP level) the you have NOTHING! Just because an RVP is wearing a ring does not mean he/she has ownership right!
It is really hard to explain, but I hope this makes it a little easier to understand.
Again I am grateful for my time with Primerica, but I decided to take another path once I realized that I was not representing myself honestly. When I tell people I am doing the right thing 100% of the time I need to mean it. I couldn’t in good conscience tell people one thing when I knew it wasn’t the truth.
PFS is a great start, but just don’t believe all the hype!
PS - I’m not a big believer in Cash Value either! I think the Buy Term & Invest the differnce is the way to go 99% of the time! (I’m sure the Primerica rep will just call me a salesman who is upset because Primerica is kicking their butt. Not true 100% of the time!) LOL!!!
Cheers!
35 Hawk // Mar 1, 2010 at 10:35 pm
Thanks a lots. I really appreciate the info.
36 Jean // Mar 5, 2010 at 7:05 pm
Hi I just joined Primerica and i just think that if I dont work extra hard to get clients ect. that I am wasting my time and my husbands time any thoughts on this and what do you think should be my next step?
37 Xprimerican // Mar 6, 2010 at 1:36 pm
Jean,
To be successful in this industry there is no way to get around the working hard part. It is all about getting the knowledge and learning how to communicate with potential clients. If you treat people right you will get referrals. Referrals are the key to this business!
It doesn’t matter if you work for Primerica, Capital Choice, AMEX, or as an independent agent you have to put the hours on the clock. The key is to develop the professional knowledge (not just one sided) to truly help people.
Here is a link to some of the reasons I left Primerica. Just scroll down to the bottom to see them. (There might be a few things you don’t know listed there) - http://chriswondra.com/2009/05/11/the-primerica-opportunity-a-guest-post/
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