| Topic Name: |
The real deal - an unvarnished look at being a captive agent |
| Message Name: |
captive agents |
| Date Posted: |
05/21/1999 |
| In Reply To: |
The only thing worse than the scam policies foisted upon an uneducated public is the terrible injustice done to unsuspecting recruits to the insurance industry. The companies tell you that you can make a hundred grand and run your own business. The fact is over 95% of all recruits never even make $75,000 in 1first year commisions once in their career! The reality, like a lot of things in life is that if your not already rich or have the right political connections, insurance selling is the pits. The good leads are only given to the politically in people in the agency. The people who do favors for the Agency boss,
or worse. Sometimes the Agency boss has
a relative in the agency who will definitely get all the good leads. The corruption and nepotism is devastating. The companies like to point to their top salesmen as examples, but they are but the few. Everyone else is literally raped for up to 10 years, and then after getting smart - quit. When you leave the company store they steal your renewal income. You are left with practically nothing - they have stolen your clients. Many insurance companies dump their senior agents just before they qualify for maximum pensions. (New York Life among others pulled this scam.) You have to be very careful before you give in to the hype of the insurance agency recruiter. Make sure you have your CFP or Series 7 before you join them so you have some professional flexibility and can move on to the banking or securities industry in case they screw you as they have screwed thousands before you in the last 100 years. Whatever you do watch out for the Agency Heads also known as Agency Managers and General Agents. These guys are NOT YOUR FRIENDS!! After they sign you up you are just another dog. If you don't produce they kick you out of the old cubicle for the next fool. Also, don't depend on the insurance company to train you. They're training is worthless. The only way you can get trained is by working with an experienced agent, an established accountant or you have a well researched marketing plan of your own. If you ever depend on the insurance company or manager you are, at least statistically speaking -- screwed. So, kind friend, don't believe the hype. Try to avoid being a career agent - (Captive Agent) Stay independent, work in brokerage or banking. Or if you do join 'em - use 'em till the salary runs out - then get into a financial planning with a real firm. |
| Message: |
Sav is right. I worked for a large financial planning firm for five years. left for independance and am really glad I did. THe firms that try to "captivate" your license are doing so illegally. They hold your license under the company's name so you won't get any mail telling you about the REAL products people are selling and making money on.
You can selll outside products despite the "you'll get fired" hype, I did while workling for a major brokerage firm and made a real good living for a year or two.
If your considering going into the biz I won't recruit you because I no longer can work in the industry but can give you some real world advice.
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