cyndi asked in Business & FinanceInsurance · 1 decade ago

Primerica (Scam or Not)?

I have found good and bad websites. To me it kinda sounds like it's too good to be true. Does any one know if the life insurance they sell is any good or if that is also another scam.

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  • 1 decade ago
    Best Answer

    As big as Primamerica is.... they have a terrible reputation. The biggest problem is their selling network & high expenses.

    Many investments & poicies are sold inapropriatley......

    Try to stick to life insurance companies licenced in New York (some of the best consumer protection laws). Make sure the company is highly rated (if they go out of business... you lose).

    In general, Term Policy's are the best for most people. I like the "term certain" the best. We purchased one that was 30 years certain (quaranteed rate and coverage).

    There are special reasons to look at other types but remember;

    Life Insurance is not (NOT) an investment vehcle. Most people are better off with Term.

    Whole Life is the worst with Variable Annuities even worse.

    Good luck!

  • 1 decade ago

    Primerica is not a scam.

    I've been a marketing officer and financial advisor for 34 years. While I would NOT represent or recommend Primerica, they are NOT a scam.

    To me they are like a multi-level marketing group, and I don't personally consider their local managers or training folks as very professional. IMO, it's 'do whatever, say whatever, just get the sale and don't leave any $$$ on the table.' I disagree with that, and personally think it's unethical. People deserve individual attention from a full-time professional - just like they would want a full-time doctor or full-time attorney, not a part-timer.

    Just my observations over the years.

  • 1 decade ago

    Your best bet is to talk to several insurance agents about your needs then listen to the advice you get and follow it.

    Everyone has different needs and those needs change throughout your life.

    Primerica is a legitimate company that offers insurance products. Those products may or may not fit your needs. Other companies offer the same products with different price tags.

    The other answer is correct. Primerica wants you to join them and sell their insurance and recruit more people into the Primerica Household.

    Go talk to several agents in your area.

  • Anonymous
    1 decade ago

    I don't think Primerica/Citigroup is a scam. However, I expressed interest working for them 2 months ago, but changed my mind, however different recruiters from the same office continue calling me asking if I'm still looking for a job. Commission only!

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  • 1 decade ago

    Primerica is rated A+ - they are a solid life insurance company to buy from.

    Before you buy life insurance, you have to figure out what goal you want it to accomplish for you. Then you select the product that meets your goal - NOT one that gets sold to you.

    You can find cheaper insurance out there than Primerica - also from A+ companies. But I think Primerica hires (and fires) more salesmen than anyone else.

    Source(s): agent, 21+ years
  • Anonymous
    1 decade ago

    Their life insurance is top rated in the insurance industry with an AM Best rating of A+.

    They have won the Dalbar Service award for the 4th year in the row. Dalbar, Inc. is a client service rating organization focused on raising the standards of customer satisfaction and quality in the financial services industry. Dalbar develops ratings for mutual funds, life insurance, and so on.

    With these ratings, you can conclude that their life insurance is not a scam. If it was, individual states will not let that company do business in their state or give licenses to their agents.

    To see news articles about Primerica, go here: http://news.primerica.com/

    If go to the ripoffreport website, the owner and editor of that website concludes Primerica is not a ripoff or a scam: http://www.ripoffreport.com/reports/ripoff229393.h...

    Source(s): +
  • 1 decade ago

    Since I am now retired and no longer an insurance agent (which prohibits saying derogatory things about another insurance company), I would tell anyone I know NOT to work for or do business with this company.

    The agents are poorly trained, and most that I met had little experience with insurance. Some of the things I heard that agents told prospects boggled my mind, and they were purportedly singing the tunes that the company told them to sing. I personally know people who lost thousands of dollars by being talked into exchanging a long-standing policy for one that not only didn't perform as well but had limitiations the person could ill afford.

    As in any industry, there are good and bad people. IMO if you are looking for a job in this industry go to an established company with a good track record. If you are looking to purchase life insurance go to someone with lots of experience who can help you choose the right type of policy for YOU.

    The amount of misinformation out there is mind boggling.

    Good luck!

  • 1 decade ago

    primerica is a warm market mlm.you must go to their life insurance school,then take your test at a state exam board,once you are licensed in your state,then you can earn commissions from each sale you make.you also are licensed to write mortgages.you can then go get your license to sell stocks,and make commissions from that,you are a licensed salesman for them,but you do not get hired,if you get terminated,chances are you will be going to jail because you did something illegal.the opportunity to make a lot of legitimate money selling quality products is there,just remember,it is a warm market business,you will have a lot of fun!!!!!!!!!!

  • Rob D
    Lv 5
    1 decade ago

    It depends on what you mean by "scam." Primerica is a legitimate company (especially since being acquired by Citicorp) with quality products; but the operation is still a hoaky multilevel marketing ploy.

    Granted, they still follow the irresponsible "buy term, invest the difference" model that their founder, A.L. Williams pioneered, but much of the industry has long been on that bandwagon as well.

    Source(s): Financial planner.
  • ricks
    Lv 5
    1 decade ago

    Are you looking to buy insurance from them or to join the group? The insurance is fair to ok. The company itself is a multi level marketing company, meaning that they want you to join them (after you buy insruance from them) and get other people to join in under you. That is how they make money. They will mostly try to sell 10 year term.

    I have heard many bad stories about sales tactics & clients not getting what they thought or more than what they bargained for.

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