Life Insurance Companies Fleece & Deprive Insurance Agent Income 4 Ways

Do not believe for a second that life insurancereminded of your lengthy contract you have not
companies have a halo above. To the contrary liferead in years, if ever. The life Insurance
insurance companies deprive an agent of incomecompanies contracts with you state that renewals
earned. Discover the 4 ways insurance agentterminate if you leave the insuer. Your former life
income is fleeced by the companies. Do youcompany grins and takes every dime of your
honestly believe that you represent only one ofrenewals you were counting on for income.
the best insurance companies in the UnitedThe New Rate Plot
States? Then you have not witnessed how agentThis rate (or rat) plot had to have been designed
income disappears.by a master of illusions, or a team of them.
The United States is the land of opportunity. ThisPurposely cruel to agents it happens when ABC
is especially true for annuity, health, and lifeinsurance company, buys out all current business
insurance companies. You have heard lots aboutof DEF insurance company. ABC insurance has
petroleum companies draining their customers'two intentions in mind. One is to start the
wallets at the gas pump. Life insurance Companiesstoppage of paying agents their renewal
leave the source of pumping customers alone.premiums, and the other is to raise rates on
Instead, their dirty deeds done dirt-cheap arepeople having coverage. Agents are notified that
reserved for their own insurance agentthe new company is cancelling their insurance
representatives who are finding more and morerepresentative contract and not writing this kind
new customers for them.of insurance anymore.
Some insurance company plots are very wellImagine if this insurer accounted for 80% of your
know . Yet some are planned out to happen atincome. Overnight you would have to start Plan B.
lightning speed so that you do not know what hitHowever, you never had a Plan B. You have been
you. This article exposes some commonpoisoned by the new company rats.
misdeeds along with ones so rotten they makeThe Guillotine Plot
dirty diapers smell like they came from heaven.Agent marketing recruiters spend years and vast
The Premium Plotamounts of money finding other agents to at
Hundreds of thousands of new insurance traineesleast occasionally sell their company products. The
will be hired this year. Sure, life insurancerecruiter commonly has a contract entitled MGA,
companies appear initially glad to have you aboard.Managing General Agent. He provides the
They will help train you. Training (in reality) meansinsurance writing agent with a GA, general agent,
assisting in milking as many of your familyor broker contract. The insurance company may
members, relatives, neighbors, friends, and casualpay the MGA 95% commission on the policy
contacts until this source dries up. At everymoney collected. In turn, he might pay a GA 75%
meeting, you will be asked how much new moneyon the policy money the general agent collects.
you just collected. You quickly realize that sellingThe broker could be paid 65%.
relatives can be high pressure. Finding a newThe marketing MGA makes his money on
prospect is about as difficult as sitting in theoverrides. He is rewarded 20% of a general agent
dentist chair, as your dentist whistles while drillingand 30% on a broker. If there are enough
your teeth.producers writing business for him. The MGA has
Well over 250,000 newer insurance trainees thatthe opportunity to build a very respectable
fall by the wayside this year will fall into theincome from his recruiting. This lures too many
insurance agent income premium plot. The minutenew MGA's to try it. That is why at any time
they leave, the life insurance companies lay claimthere is an over abundance over 15,000 recruiters
to all policy owners,. They directly collect their firstof insurance product marketers of all types in the
year premiums and all the money each year theyUnited States.
renew. This could be called reverse lotteryThe life insurance companies decide to get richer
profitable. If the agency has only 10 dropouts thatoff all the hundreds of thousands of insurance
could mean an easy profit of $500,000 over thepolicies payments to producers the easiest and
next few years. You went into reverse, becausenastiest way possible. The guillotine plot is put into
you had to borrow money to pay expenses theaction. The Managing General Agents, and General
company never reimbursed you for.Agents are all sent the same head chopping letter.
The Handcuff PlotThe insurance company has "decided" to have
Numerous career life insurance companies haveone contract level only, that of a broker. This is
money fleecing contracts, like yours may have.not redistribution of wealth. It is talking all the
Their contract contains a hidden pitch forkexcess wealth and distributing it directly back to
awaiting you. Over a course of several years, ifthe already wealthy life insurer.
you have written a fair amount of policies, you willThese are just four of the plots, that are used.
be collecting renewal money. These agent moneyMyself, I have been victimized by every single
renewals start after the insurance policyone of them and more. The only prevention pill is
payments begin a new year. The amount ofto have company number 2 already set up at
renewals could accumulate over time to be in theslow cruise. This way Plan B could kick into action
thousands. So this provision does not sound likebefore the lack of insurance agent income knocks
the work of the devil.you out of your career.
However suddenly you see a much moreThe life insurance companies have plenty of
lucrative opportunity that matches your abilities.anti-agent rotten time-bomb eggs at their disposal.
As soon as you make the switch over, theTo many of them it is all about money, your
pitchfork jabs you in the pocketbook. It is ainsurance agent income.
bloody, unfair, and one-sided mess. You are then