True. This is association marketing of insurance. I had 26 associations for a national collections company prior to getting into insurance in 1980. I had Business (group payroll deduction plans) for one insurance company and another man had Association Marketing. He basically gave them a third party contract that was 10-15 % of the first year’s premium and about 5% of renewal premiums. He made 80% first year and 20% renewal off of his sales minus the 10-15% and 5% he paid to the 3rd party/association. With association marketing it is very easy to sell once an association approves it. I remember my father had The Retired officer’s Association Medicare Supplement when he got cancer. He was not pleased with the supplement. I found a so called Cadillac plan that covered cancer after 90 days and paid some 250-300% of Medicare allowable. That was 1986. He died. I looked for that policy when my wife had cancer. It is no longer available.
“True. This is association marketing of insurance.”
I was happily married for many years to a Vice President of American National Insurance Company in Galveston, Texas. You and I know how insurance works.