1. How can you rebate commissions when most other insurance agents and
brokers do not?
We use internet marketing to reduce our advertizing costs. We pass the savings
on to the consumer.
2. What about no-load insurance?
Insurance companies do not price their products like, say, mutual funds. You can buy an S&P 500
mutual fund without a commission, or with a commission depending, on whether you use a no-load company or a broker. Apart
from the commission, the two products should be more or less identical. With insurance, there are many factors which
affect how a company prices its products besides the commission it may pay to an insurance agent. So, it's not uncommon to
find commission-paying policies which are cheaper than no-load policies. We invite you to compare for yourself.
3. Is rebating of commissions legal?
Yes in California. Proposition 103 made it legal for insurance agents to rebate commissions to buyers
4. What if I live outside California?
You can still qualify for the rebates as long as you are in California when the policy application is signed.
When the policy is issued, the rebate that we give you will most likely be more than enough to cover the cost of
5. Is term life insurance suitable for me?
We recommend term life insurance for those who need coverage for a fixed period of time, usually in
the younger years. For instance, a 47-year old wage earner may need coverage for 20 years, but a further need for
life insurance is not anticipated after retirement at age 67. Term insurance would work well in this situation
because it provides a relatively high amount of coverage per premium dollar. There are several versions of term life.
Among the most popular in today's marketplace are those policies which have a fixed premium for 5, 10, 15, or 20 years.
One caveat: the cost of term insurance becomes more expensive the older you get. If you think you will need coverage for
the full period of your life, term may not be suitable for you.
6. Is Whole Life or Universal Life suitable for me?
Whole life and Universal Life may be suitable for those who need life insurance coverage for an indefinite
period of time. Think of these policies as having two parts - a term life insurance component , and a savings account, or
cash value component. Part of each premium payment is split between these two parts, so you can expect to pay higher
premiums in a whole life/universal life policy in the earlier years compared to a term life policy. The
cash value can build up inside the policy, often on a tax-deferred basis. The earnings on the cash value can offset the cost
of insurance within the policy, thus keeping later-year premium payments lower than a pure term insurance policy.
The result is a more cost effective policy over a longer period compared to a term life policy, the cost of which could become prohibitive for someone in their 80's or 90's. If you need life insurance to offset anticipated
estate taxes on your death, for example, then whole life or universal life may be suitable.