I’ve made no bones about my disdain for the way supposedly reputable life insurance companies treat us seniors. The somehow want us to believe that over 50 life insurance is suddenly different.
I’ve been giving some thought to an appropriate analogy that drives home the point I’ve been pounding on about the misleading marketing and the horrible products that are coming from the likes of AARP/New York Life and Colonial Penn to name a few. What if you were planning to buy a car and knew ahead of time that you would need to finance it.
You find the car that meets all of your needs and sit down to discuss financing. You have great credit, but the credit manager makes you two offers anyway, “wait half an hour while we check your credit, or you can sign right here, take the keys and drive away…..for twice the price. And we won’t be able to include the extended warranty or any guarantee at all if you take the sign and drive deal.” That is exactly the type of option that the big name final expense life insurance companies are offering when they say “no exam”.
The only difference isn’t they aren’t offering you the first choice which is the equivalent of taking an exam. They’re offering you choice number two, instant gratification for an inferior product at a higher price.
I just finished an article for Agent’s Sales Journal on this subject calling on all independent agents to get the word out. I truly believe that if I came up with some of these products and tried to sell them door to door I would end up on a scam alert and hopefully in jail. People on fixed incomes need the best value and they need to have a price that isn’t going to double, or worse, every 5 years.
Bottom line. I really don’t get it. Companies and agents are battling it out to see who can offer the best and least expensive products until it comes to senior life insurance. Put the words final expense life insurance on it and all integrity goes out the window. It doesn’t have to be that way.