The Company and Products
A Primerica review is incomplete without mentioning Arthur L. Williams. He founded the company as A. L. Williams and Associates in 1977 with the goal of changing the insurance industry. He believed that the large insurance companies sold too many add-on packages, including whole life insurance. His customers could save money by buying term insurance and investing the difference in these more expensive vehicles. This would allow them to better manage their retirement and higher education. He was able to grow his company into a six-million-customer service in the U.S., Canada and Puerto Rico with the “buy term and then invest the rest” strategy. Primerica has a team of 100,000 licensed representatives who sell term life, auto and home insurance, as well as mutual funds and other financial instruments. The company is currently a Citigroup division. They plan to sell Primerica, due to Citigroup’s massive losses and the government bailout this fiscal year.
The Program
This company is a multi-level marketing organization or direct sales organization. The 100,000 agents are independent agents. Nearly all the reps work part-time and make commissions on the products they sell. They also recruit other agents to the business opportunity in order to make additional down-line compensations. Primerica can help you start your career. Primerica does not require any business experience or education to start your career. Signing up will provide you with training and support. You can also access legal and compliance advice. There are publications for clients and prospects to educate. An online back office allows you to track your business and you have a handheld device to submit claims and orders. Primerica’s primary marketing tool is the Financial Needs Analysis. This free tool offers potential clients an assessment of their current financial status and recommends a strategy to improve their financial security.
Analysis
Primerica’s success rate over the past 30 years is impressive, and their products can be a huge help to thousands of families. Primerica is a great way to make money running your own business. However, most independent agents will not be able to succeed in this system. There are many challenges that they must face, but perhaps the most important is the fact that they will need to recruit and sell to their friends, family, and acquaintances in order to make any money. Many people find this difficult and frustrating and give up after several failed attempts. Your business has an additional market: the millions of people you don’t know. This is a difficult task given the variety of marketing options available. Primerica doesn’t allow products to be sold over the Internet. This will limit a rep’s ability access to his cold market of potential clients of millions. Primerica’s lack of online sales is another problem for many reps. This means that they may not be in a financially sound position when they start their careers with the company. Primerica is a great opportunity for those who believe they can make a positive impact on the lives of others and are able to recruit friends and family members into the business. You should continue your search for the perfect home business for you.
