Any life insurance agents on here
- Thread starter shakobe
- Start date
Not an agent but I work in the industry.
Generally speaking, yes, it's hard.
Simply because the competition has gotten incredibly fierce over the last decade with several smaller startups and larger companies that didn't offer life insurance now doing so.
Life insurance is mainly a rate driven product. There are no service issues that might cause a client to choose a more expensive carrier with something like Long or Short Term disability.
As such, most life insurance products are sold piggybacking off other high margin products.
Basically, if a person or company is getting a break on their medical rates, for example, they'll likely tack on the life insurance since it's a negligible charge to the employer/client.
I mean there's a difference in medical insurance with Kaiser and Aetna.
There's no difference, really, in Life insurance no matter who you sign with. The payout is the payout and the rate is the rate.
So if you're just selling Life, you're going to have a hard time unless your rates are far and away the lowest. And if you get even 1 claim, chances are the group is a total loss.
You sell a small group some life insurance...say..a 60 life group...maybe they've got a 10k benefit for everyone or a flat 50k. The premium for the year will be less than any 1 claim if someone dies.
All it takes is a few deaths and you're either fired, or the company is going belly up.
Generally speaking, yes, it's hard.
Simply because the competition has gotten incredibly fierce over the last decade with several smaller startups and larger companies that didn't offer life insurance now doing so.
Life insurance is mainly a rate driven product. There are no service issues that might cause a client to choose a more expensive carrier with something like Long or Short Term disability.
As such, most life insurance products are sold piggybacking off other high margin products.
Basically, if a person or company is getting a break on their medical rates, for example, they'll likely tack on the life insurance since it's a negligible charge to the employer/client.
I mean there's a difference in medical insurance with Kaiser and Aetna.
There's no difference, really, in Life insurance no matter who you sign with. The payout is the payout and the rate is the rate.
So if you're just selling Life, you're going to have a hard time unless your rates are far and away the lowest. And if you get even 1 claim, chances are the group is a total loss.
You sell a small group some life insurance...say..a 60 life group...maybe they've got a 10k benefit for everyone or a flat 50k. The premium for the year will be less than any 1 claim if someone dies.
All it takes is a few deaths and you're either fired, or the company is going belly up.
the cac mamba
Veteran
so youre basically payin a rate to get a payoff if u die early, right?
i remeber i used to be like "well wtf is the insurance, everyone dies" ;russ: someone would have to lose. obv thats retarded but i never thought about it
Well yeah.
But it depends.
Most people have life insurance through their jobs and it's paid for by their employer.
In that case, your employer probably signed up for voluntary life insurance which is additional (supplementary) that you can choose to pay for.
Usually a units-based plan. Something like units of 10k up to a certain maximum...500k, a million..2 million, whatever. And your payment is based on how many units you purchase. Say, $0.24 per 10k unit...so if you bought, say...$100,000, that's 10 units, so $0.24 times 10 = $2.40 per month. Now the rates vary depending on your age bracket, but that's the gist of it.
If you were to pass away and your plan was current (and also assuming you didn't lie about any health issues you might have...and that you didn't die while committing a crime), your designated recipient would get your benefit.
