I was actually looking for some life insurance and it wasn’t hard for me to get at least one recommendation from my network of oh so feisty network marketers.
The first one that was thrown at me was Primerica, which I had no clue about until it was presented to me by someone I barely even knew.
All I was told that this was not only a great place to get that insurance I was looking for but also a way to make some money in the process.
Immediately I knew this had to do with recruiting, which is something I have let go, now that I make money online with a thing called affiliate marketing.
Although I am not a fan of multilevel marketing (MLM), I figured that if Primerica can offer me some good rates along with that chance to share it with others and make money, then why not, right?
Of course I was skeptical and thought this might just be another hyped pyramid scheme but I definitely had to do some serious research to get a better understanding of what this company was really about.
So through all that research and a lot of asking questions, I was finally able to put together this Primerica review, which I’m sure will help a lot of you who are thinking about joining this multilevel marketing business.
For those of you who have questions and need answers, this post is for you.
So before you go back to the person who introduced this to you, let me break things down for you before you commit to something that might not fit your already crazy lifestyle.
Owner: Arthur L. Williams Jr.
Type of Business: Multilevel marketing
Overall Rating: 2/5 stars
Primerica is a U.S bases multi-level marketing company that provides individuals with the opportunity to make a living by selling insurance as well as a number of other financial services.
It’s definitely popular and while there aren’t quite as many representatives as say, Tupperware, they do have somewhere in the neighborhood of 125,000 people currently out selling insurance and other financial services.
The nice thing about Primerica is that for the right person, it provides the opportunity to make a good living in a classic career field that has provided many people with a living over the decades.
On the other hand, you definitely need to be the right person, as multi-level marketing opportunities (MLMs) are notoriously difficult on people that aren’t sales minded which is why today we will be taking a close look at Primerica to see if it is right for you.
What You Are Selling
As mentioned in the company overview, Primerica is in the business of selling insurance, as well as other financial services, including mutual bonds, prepaid legal services, home insurance, life insurance, and auto insurance.
Some of this insurance is supplemental, meaning your job will be to compound the coverage that your potential clients are getting form the primary providers.
Naturally, product is very important when it comes to MLMs because your income is based entirely on how you are able to sell it.
That being the case, you are naturally going to want to make sure that the product is something that is both easy and lucrative to sell.
In the case of Primerica, compensation actually is pretty lucrative, as you are selling a service that provides a much larger commission than say, Tupperware.
On the other hand, it’s also a producg that isn’t as easy to place.
The traveling salesperson method of selling insurance isn’t as prominent as it used to be.
People are naturally wary of a salesperson “cold calling” them (so to speak) to place coverage that they previously did not consider that they might need.
However, Primerica does have a few things going for it. For one thing there is definitely a built in base of people looking for supplemental insurance, especially in the retired community.
It also helps that Primerica has a reputation for being a very legitimate establishment.
While the fear with these companies that many potential customers have is that they will be paying into a service that they will never see a return on (not that you hope for the circumstances in which insurance provides a return on your investment) Primerica is on the up and up.
The company has millions of clients and has paid millions in claims as well.
So What About Primerica Complaints?
It is worth noting that they are not without their controversy.
The one major complaint that I came across was one about some guy that became disabled and was cut from his life insurance after 20 years of being with the company.
I mean, this is the whole reason why anyone would join an insurance company in the first place, so this is one that has really made me think twice about joining.
See more complaints on Primerica here.
There was actually a recent lawsuit placed against them in Florida after a group of sales representatives were accused of using high-pressure sales tactics to convince teachers and firemen to stray from their current retirement plans to participate in high-risk investment opportunities they were selling.
It sounds bad but the truth is that most MLMs have experienced controversy at some point.
Depending on the size of the company there are hundreds, or even thousands of people running their own small business that represents the company without actually having an employer to answer to.
For that reason, the actions of individuals are often attributed to the company as a whole and that’s really what happened in this case.
In wasn’t the company itself that caused the problem, but a few individuals.
I have also seen that some were not particularly happy with the way they were told to introduce the company to family and friends being that they are a “warm market”.
If you know a thing or two about MLM, this is very much a common practice and something that is usually taught no matter what.
Ultimately, if you are good at sales, and you know a little bit about insurance you shouldn’t have a problem selling these services.
Now if you’re not into the whole recruiting thing, you might want to checkout my #1 recommended work from home program as it is probably the only real business that doesn’t have you dealing with family and friends.
The Compensation Plan
In the world of MLMs the compensation plan provided by Primerica is among the best that I have ever seen.
The actual sales commission itself is a standard 25%, which is what you can expect to see with pretty much any MLM.
However, you also need to keep in mind that the products and services provided by this company are more expensive than those of most other MLMs.
This makes a big difference when it comes to your commission.
As a result of the higher price of these products, the average sales representative for Primerica is making around $5,000 a year.
Naturally, most of you are probably thinking that you can’t provide a living for yourself and your family off of $5k a year as this is true, but do keep in mind that this is just the average.
The average income for many MLMs is around a dollar and that goes for any company with whatever product they have to offer.
For a lot of people MLMs are part-time gigs, not their main source of income. If you want to treat Primerica as a full time business opportunity, you could potentially make a lot more.
Of course, it is worth noting that compensation is based exclusively on commission, meaning if you aren’t very good at sales you might make a lot less than $5,000.
It’s relatively affordable to startup and I was actually really impressed.
To begin you are going to need to pay $100 for what they call a startup kit, which provides basic information and training so that you can get started with your sales.
Aside from the initial cost of starting up, they also require a monthly fee of $25.
Fees and startups costs are naturally a drag, but if you are selling product, neither will be a financial strain.
When it comes to MLMs, this is as affordable as it gets but then again, you aren’t even selling anything tangible.
Total Price to Get Started: $100 for startup kit and then a $25 monthly fee.
Pros & Cons
- Is affordable
- Has been around for a really long time
- Can make you money
- Requires recruiting (to make money)
- Too many complaints
Is Primerica right for you? It really depends on the kind of person that you are, but for what it is worth I think that this company has a lot to offer those that are currently in the market for an MLM.
While there are a lot of people that are uncomfortable with supplemental insurance coverage, or financial consultations that they did not solicit, there nevertheless is still a built in market of customers that depend on these opportunities.
If you have a friendly personality and a knack for sales, I have no doubt that you could utilize that built in customer base to make a good living.
One huge thing to take not of though is that Primerica is not a scam, which is definitely a big deal for anyone concerned about the legitimacy of this company.
It may have its pros and cons like any other MLM but at least you know exactly what you are getting yourself into.
If it doesn’t workout, that’s all on you.
What I Really Think
I think it is very affordable but I understand that a lot of you are not comfortable with the whole recruiting thing in order to make money.
I used to think that network marketing was the only way out of the rat race for the small guy up until I was introduced to affiliate marketing.
So if you want to work from home and are not an MLM-er, you might want to give that a try.
Other than that, thanks for reading my Primerica review and I hope that I have given you all the information you need so you can make a better decision on whether or not to join this company.
If you have any questions, feel free to leave them in the comments section below and I will get back to you as soon as I can.
Thanks for reading and good luck!