Primerica: Is it a Real Business or a Pyramid Scheme?

Find out the truth

In this documentary we discuss the truth about Primerica.

Now just to clarify on the stance of being “neutral” what i means is as a new person outsider looking in and getting as much information to clarify whether or not they would be interested in the business or not.

Ten Years ago A friend of mine messaged me on MSN
Messanger stating he had to show me something. So we met
up at a local cafe so I could see what he had that was very
important and really cool.
So first my friend’s trainer named Alex asked me how much I
knew about personal finance, which at 18 was absolutely
nothing. He gave me a bit of information on their company and
products and told me that they essentially were a very
successful company that aimed to “Teach people how to make
a save money and be debt free”, which didn’t tell me a whole
lot but still intrigued me.
To this point I already had experience and knew that I wanted
to be an entrepreneur. Although I knew very little of what
information I was being told as these two dudes were quite
fresh in the business I did know one thing. I trusted MO and
knew that I was in.


What does Primerica do?

The main concept of Primerica has two main parts: the client
side and the business side.
On the client side Primerica takes Personal Finance to a more
simplified level. A side that pretty much all the books and
professionals suggest. What I mean by that is, they sell only
products that can be used by the average person or family in
the best and most efficient ways possible.
They break down finances as if it were a house. They
essentially start from the foundation of the home and work
their way to the top. In essence completing your entire
financial workup as if it were a brand new house that was being
constructed or I guess in their case, rebuilt.
They teach the simplicity of having life insurance in the form of
Term Life insurance which is the most affordable life insurance
product available on the market. Term Life is what is
recommended for every average consumer or middle class
family. Any other product is not suitable for the middle class
family. Period. I don’t care what other life insurance agents
want to argue they’re wrong.

And this can be backed up by whats known as the theory of
decreasing responsibility which can best be described when a
family has most responsibility in the beginning when you have a
home and young children. At this point Life Insurance is
needed to cover any expenses God forbid one of the family
members were to pass. As you save and grow your investment
portfolios over time your responsibilities also decrease. Which
means at this point you can now self insure your self using your
own assets and since the mortgage should be paid off

hypothetically and your children all grown up there is
absolutely no need at this point for life insurance.

Primerica was essentially built on the philosophy by ART
williams who took the financial marketplace by storm replacing
all kinds of cash value and permanent types of life insurance.

After I witnessed this happening to my own mother who was
sold a product called universal life insurance while I was still
very young. She was sold a policy that cost $60 a month for
$50,000 of coverage when really at that time she could have
purchased $150,000 worth of term insurance for the same
dollar amount. And lets be realistic, at 10 years old what is
$50,000 going to do for me. It would likely pay for a funeral
and that’s it no more money for Angelo to grow up on without
a mother. And the kicker is this policy was sold to her by a
cousin who obviously preferred to sell a more expensive
product for a higher commission rather than the one that one
that suited her situation better. And he even admitted to
taking advantage of it years later to my face.
This turned me into a crusader. I knew the industry was ripping
people off and I was compelled to change the world.

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Primerica has become one of the largest financial organizations
in North America utilizing methods of recruiting new agents.
With over 100,000 agents to date and several hundred people
who earn over $100,000 per year. A pretty astonishing number
for life insurance agents.
Because Primerica recruits they often get grouped in with other
MLM style companies. Or in laments terms Pyramid style
Which is where the bad rap starts.

It’s a pyramid a lot of people say but in actuality every business
in the world is in fact a pyramid. There is always someone
directly at the top earning the most with people working
underneath them, managers, supervisors, and then regular
employees right at the bottom making the least.
This even occurs in the roman catholic church you have the
priest, the cardinals, the pope. There you go. Pyramid!
However, even though it is in the shape of a pyramid does not
make it a pyramid scam which is what a lot of people assume.
And I don’t think majority of people even realize what a
pyramid scam really is.

pyr·a·mid scheme
a form of investment (illegal in the US and elsewhere) in which each paying
participant recruits two further participants, with returns being given to early
participants using money contributed by later ones.

While there is a fee by Primerica when you join the company
this fee is not used to pay anyone above you. This fee which is
$100 in Canada is used to pay for your education. What do I
mean by education? Well in order to qualify to sell the specific
products Primerica offers much like other companies in the
industry you are legally and would like to emphasize “legally”
required to be educated and licensed by the government itself.
By paying Primerica $100 you are enrolling into a 40 hour
course provided by licensed educators, which will provide you
all the required knowledge you need to then go on to write
your final exams in order to become licensed to sell life
insurance and its related products.
With that the simple fact that the company and its agents are
in fact regulated by the government should be the only proof
you need to understand that the Primerica Operations are in
fact fully legal and not a scam or scheme or pyramid thing like
so many people believe.
But still people go on that yeah but still its a scam. Face Palm.
Why people think its a scam?
Simple. The fact that the people “above” you are making
money off of you and your efforts. Well if you really think
about it, so does your boss and their bosses at your job. Does
your manager not typically make more money than you? Is his
salary not dictated by the profits generated by your efforts?
See where I am going with this?
Yes the people “above” you do make money off your efforts
however there is a major difference here between being an
employee at your job or being in Primerica.


In Primerica you are NOT classified as an employee. You do not
work for Primerica you work as a “contractor” on a commission
basis within Primerica. This essentially means your given the
opportunity to conduct sales and build up your own business
within Primerica as you see fit. A lot of poeple join and work
within the company itself on a part time basis earning much
smaller figures than many other agents of Primerica however
typically only realistically having to work a few hours at a time
to earn that extra part time income.
Which brings us to the part where I talk about the people
within the company itself making a lot of money off the efforts
of others. Initially it may sound odd that so many people in one
company could be making sooo much money off other people.
So here is how that works. As an agent within Primerica you
have an option to recruit other agents. You train these other
agents and help them learn to make money and begin building
their business within yours benefiting themselves and you as
well. It’s almost as if you opened your business such as a
sporting goods store where you needed to hire employees that
you are now able to make money off of. In essence it’s the
same except for the simple fact that the people you recruit
have the same opportunity to grow their business like yourself
and the same applies to the people “above” you as well.
Imagine bringing in 100s if not 1000s of people into your
business and those continue to bring in more people and
making a margin that could be between $200-$10000 per
month off each group of people. The opportunities are endless
where your success within the company can continue to
compound for a long period of time.
Interview successful Primerica people:

But why and how with so much high earners do people fail?
Well its very simple. Not everyone is going to make it.
Motivation has a shelf life. Just like an expiry date on milk your
motivation expires. Whether you decide to reignite your
motivation or change that expiry date is your call.
People will join thinking it’s going to be an easy ride from the
get go. However, it is wrong to think that if anything will be
worth it in the long run will ever be easy. You can easily
compare a career in Primerica to professional athlete. In the
early years you practice and train as hard as you possibly can to
become the next Michael Jordan. But some people give up.
They can’t handle the expectation of having to pass every
challenge or hurdle that comes with becoming successful
whether its in sport or in Primerica or just about any business.
So the reason why I made this film was to take a look from a
more neutral point of view on the Primerica Business and to
debunk the entire scam theory on the company itself. It’s been
years since I have worked in Primerica, however over the years
things have changed and it’s always been a regret of mine not
going as far as I could have gone. And thats why I want to go
back. Whether I decide to just stay part time or decide to make
it into a full career for the remainder of my life to me it’s
important to feel like you are making an impact on the world
and why not make a living doing it. Literally changing one
families life at a time.

“IM back baby” Lets do this. YOLO.

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