23 Jan 2020
Is it true that insurance agents don’t want you to buy term so that they can sell more life policies for more commission?
How do you know if an insurance agent is really helping you the find the best insurance for your needs, or just trying to sell you a plan that would be the most profitable for them?
You'll have to compare across the various companies to see if you're getting the best value for a particular policy.
One easier way is to go to an independent firm (a.k.a. distributor) first. Usually, they will also have their own agenda, but at least you get them to present a few across a few companies...as compared to just an agent representing 1 company (AIA, GE, NTUC, etc.)
There are term plans where the commissions are higher than life policies. Ultimately it boils down to the need of the individual, some prefer to sell life plans because of the cash value compared to term plans while others prefer to sell term as they believe in “buy term invest the rest” strategy.
Ask the agent to explain the basis of their recommendation to you on why they recommend this product and why not the other.
Instead of spending time to focus on the agent, use the effort to understand more about yourself and...
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