I never thought it would be difficult to do business with family and friends until very recent. I know I can count on my family or friends more than a stranger and I also know friends & family have my best interest at heart and vice versa. But we all must accept that we can’t see all sides and some people view business and pleasure as two separate relationships. But the insurance business is very unique and this information might help the consumer make a wise choice as to whom they choose to use as their agent in the future. I can help with various needs you may have such as life insurance for your parents. No one wants to think about losing a loved one, but let me make things easier on you by directing you to a plan that will cover funeral costs for your parents. I want to help you in making the best decision for you and your family. Life insurance for parents is necessary, not easy to think about, but necessary.
- Best prices and companies: An independent life insurance broker is self-employed and chooses to operate this way to provide the best service and prices to the consumer. An independent life insurance broker has no bias; the broker is looking to help a consumer compare all companies to find the impartial best deal with the highest rated companies like, Pacific Life, Transamerica, Met Life, Prudential, ING, American General, and many more.
- Life insurance brokers are free: An independent life insurance broker gets compensated by the insurance companies for introducing the insured to them. The insurance companies charge the same amount no matter how you find them, whether it’s through an independent broker or direct. So why not use a broker who can compare all companies and get you the best rated and priced policies?
- Avoid mistakes: There are companies that sell life insurance at higher prices by dangling the no exam coverage carrot or teaser rates that are not locked in for a level period of time. Companies like Globe Life Insurance, sometimes called Global Life Insurance offer coverage for a dollar the first month. Would you trust your family to coverage that costs a buck? Monumental Life Insurance, Colonial Penn Insurance, Primerica, sometimes called Prime America are just a few more companies consumers complain to be misleading. You should not buy coverage where premiums are not guaranteed to stay level and the premiums should never be one dollar.
- All brokers are not equal: A truly independent life insurance broker wont push clients to a specific product or preferred vendor. A good example is a New York Life (NYLAARP), Allstate, or State Farm agent who can only sell their companies’ products. Brokers like Zander Insurance who Dave Ramsey pushes (sometimes called Zander Life Insurance) have preferred insurance carriers that pay them a premium to they push those products over the best price. Matrix Direct is owned by American General so they push American General policies first. Efinancial used to be a good brokerage until Fidelity Life Association bought out the owner for thirty million. Now Efinancial incentivizes their agents to sell their own Hybrid policy which is thirty percent life insurance and the seventy percent accident only. In most cases the consumer has no idea they bought accidental insurance.
- Personal Information: You can’t buy life insurance without disclosing some personal info to the agent. Health or weight concerns, DOBs, social security numbers, gross income, assets and liabilities are some of the details required on a life insurance application. I understand if friends or family prefer not sharing personal info. If the applicant can overcome these objections, it will allow the independent broker to shop and find the best possible deal.
- No Risk: A life insurance broker helping friends shop rates for coverage will help save money, time, and effort. I understand the concern of investing with a stockbroker friend. If the stockbroker loses money it could be awkward and I get it. Life insurance companies and their products are by nature extremely conservative. A term life insurance policy is simple, has no moving parts, and does not accrue cash value so there is no reason to be concerned with a relationship going sour over the purchase of term life insurance. On the other hand cash value insurance depending on the product and purpose, could lead to false promises of returns on the cash side. As long as the product is fixed (and not variable) there is no risk to losing money and therefore a friend should not worry about completing a transaction with another friend in the insurance business.
Friends and family can rely on an insurance broker to always have their best interests at heart. Think of yourself when shopping for insurance as a boxer, and the life insurance broker as your manager in your corner. The manager doesn’t win the fight unless you win the fight. I want to help you win the fight, and insure you find the best prices and companies to choose from.