AMERICAN INCOME LIFE INSURANCE- SCAM OR NOT?
Photo by: Fábio Pinheiro
Lots of rumors circulating around the net regarding American Life Insurance. Many ex-employees do not seem to be particularly happy with their experience with the company.
The company has a lot working FOR it, though:
1. It has been rated A+ for financial strength and credit quality by AM Best (recog. by US Securities and Exchange Commission).
2. It is a sister-concern of TorchMark Corporation, owners of the well-known brand name, TMK.
3. Have been successfully in business for more than 50 years.
So, what’s wrong?
It may be seen by some people as a scam in the sense that it is more of an MLM company than your regular insurance company. Perhaps, this fact has not been communicated outside properly.
The company offers jobs as agents who are expected to sell their insurance policies. Payments for this is based on commission. People join expecting to work in a regular job and anticipate, at the end of the month, to get to carry home a fixed income. They realize later than sooner that this is not actually the case. Turns out to be something they may not have bargained for when joining the company.
Secondly, being based on the MLM business model, an agent really starts making some money when he/she has other agents productively working under him/her.
Failure to make money leads to disenchantment and suspicions about the company. The company gets a bad image when the disgruntled ex-agents start circulating their experience with the company, negatively.
This seems to be a case of poor PR on the part of the company. They can save themselves such trouble by explicitly stating to agents how they can expect to be paid.
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I WAS RECENTLY HIRED ON, STUDIED HARD AND
February 14th, 2008 at 2:39 pmGOT MY INSURANCE LICENSE. BUT, I STARTED TO
THINK, EVERYONE THEY INTERVIEW AND ITS ALWAYS A LARGE GROUP, THE COMPANY HIRES.
I SENT MY FRIEND TO CHECK IT OUT AND THEY
HIRED HER. SHE IS THE ONE WHO SAID SOMETHING IS WRONG. I ALSO, WHEN HIRED HAD
TO PURCHASE AIL’S SOFTWARE FOR $300.00. ANY
WAY THAT I CAN GET A REFUND??
It is more usual, that company fails in communication with customers. But also agents are important and not every company realises their significance. Good team is essential when trying to get long lasting relation with client. I always try to have the best people by my side in my term life insurance team. And that is rule on all stages - from top managment to agents…
February 18th, 2008 at 10:43 amThe company is not exactly a scam per se, but anyone with experience with AIL will tell anyone not to associate with this company in any way.
All recruits know very well they are paid only on their production before signing up-it’s just that the recruiters lie about the average income that you will earn working there-that is how they obtain hires and that is why 98% of agents quit within 6 months. Income projections are exagerrated upwards of 200%-300% to prospective agents.
Further, the entire company is known for its unscrupulous conduct from the top executives down to the bottom.
February 28th, 2008 at 4:10 pmThis company is a scam per se, because it’s simply another dressed up ponzi scheme, yea, there are actual sales, but don’t forget how little they care about their end customers! That means they only care about making you sell, makeing people “under” you to sell, the compensation structure is totally a ponzi scheme, just like social security, but why is it as legal as social security? cause my friend the definition of a scam means total exploition and crooking of money, while actual sales does happen in this company, but it’s ponzi sheme sale, the only charecteristics and resulting outcome of this regime is TONS OF LOSERS, LITTLE winners, so decide for yourself, they are not a insurance company, only a reseller of existing legalized insurance policies, the whole business mainly works like a cash flow processing department in an investment bank, and exploit all its profit from (no matter if it is) their contracters or employees by this ponzi scheme compensation system. well… boy, this f***in country is really hard on everybody… f**k united states of s**t!
March 25th, 2008 at 5:20 amThey wanted $700 from me to start working there… I dun’think so.. No REAL job makes you PAY to work for them!
April 30th, 2008 at 3:51 pmThanks for the information, i am glad i did a bit of research before calling these people to set up an interview
May 2nd, 2008 at 4:30 pmI am also glad that I did not call these people because I new something about this was wrong, and I am glad I verify it. Thanks for the heads up.
May 3rd, 2008 at 2:26 pmAIL is a scam…
They have 4 year old leads…
They want to seduce you with big lies and the woman who I “interviewed” with was obviously an actractive actress who was there to seduce men to take the bait…
May 4th, 2008 at 12:48 amI almost took the job. After their series of interviews and working through the chain of command, they made it seem as if you were really the best candidate and then you show up for your first day and the place is once again packed with people, either waiting to interview or new hires. Can their really be that many leads to feed all of these people. Or is this why they want close to $700 to train you ect. Anyway glad I finaly wised up and didn’t invest 700 for a 50 dollar license. Good luck to them and to their cusomters. Think I will stay away from selling insurance.
May 10th, 2008 at 3:38 pm