Why Aren’t there more Fee-Only Insurance Advisors

Fee-only insurance advisors provide advice on insurance-purchase decisions free of potential potential conflicts by commission. Fee-only consultants receive compensation through a fee that you agree to pay them for their work. In exchange for their fee, these advisors will review the facts of your specific purchase situation, insurance offers received from agents, and recommendations about your best course of action. Because this consultant does not receive any commission for the sale of a life insurance product, his advice is not opposed to what they get by selling you a life insurance policy.

How much fee-only advisor should I expect to pay?

Generally, the simplest policy review will run a few hundred rupees. Pricing is influenced by the number of life insurance offers you are reviewing. For example, the price of reviewing a policy and giving you an opinion on its adequacy for your circumstances will probably be lower than the review associated with many policies.

Additionally, the cost of hiring a fee-only consultant will also depend on the complexity of the advice you need. A simple policy review would have the lowest price (again one hundred dollars), and more complex planning situations such as estate planning, premium financing, and / or business planning were likely to be several thousand dollars.

Time and specialized expertise become major factors in cost. Many times fee-only consultants may have to turn to additional professionals to advise properly and then help you to interpret the advice from these professionals. This can drastically affect the cost of a plan for a more advanced requirement.

If you are looking for more information about our fee-only life insurance consulting service, you can find it by clicking here.

Can a sole-only advisor sell insurance?

Sometimes fee-only advisors can sell insurance, but most of them do not. Not selling insurance presents a challenge for fee-only insurance advisors as it becomes increasingly difficult to access important policy information when no one holds a license to sell insurance. It is being said that while taking a license, such liabilities are also included, which many fee-consultants are happy to avoid.

It is also important to understand the difference between a fee-only insurance and a financial advisor. Holding the right license to provide financial advice for a fee does not necessarily have to be properly licensed to provide insurance advice for a fee. So going to a financial planner for insurance advice may or may not work well.

Are these consultants worth it?

Deciding whether to be a fee-only consultant is at stake. For small life insurance purchases and most life purchases, you can probably skip the fee-only advisor. For cash value life insurance purchases, there are many more factors that may benefit from the review. I have personally helped thousands of people over the years when they avoid cash value life mistakes, they buy cash value life insurance. They and their agent had no idea what they were doing.

For some people, it is difficult to part with a few hundred dollars (or a few thousand dollars) to get advice, but the cost is normally justified in the results. Fee-only advisors can help change policy design or selection and produce significantly higher value with the same premium paid versus the original life insurance recommendation. The cash value or death benefit produced from such a review dwarfs the advisory fee.

If you are looking for more information about our fee-only life insurance consulting service, you can find it by clicking here.

Do we offer this type of advice?

On a limited basis, we are available to hire as fee-only advisors for certain life insurance purchases. We do not recommend traditional life insurance plans under this arrangement (ie helping you decide how much life insurance is right for you). Because we are experts in the field of designing cash value life insurance for maximum cash value growth, we provide advice to both insurance agents and consumers on the subject. You can find more information about our basic policy review here.

We are also available for consulting on advanced insurance planning situations such as estate planning, premium financing, and business planning. Due to the complexity of those situations, we do not have an order form page similar to the original policy review. We have to understand the situation, so we know what kind of timeliness the client needs. Once we determine this, we decide if we are ready to take the matter, and what will be our price to take it. If you are looking for this type of consultation, please reach out to us through this contact form and get as much information as possible about your needs.