Devoted to the Insurance industry and all thing related

I’ll be the first to tell you that purchasing an annuity because an agent pressured you into it is usually the wrong way to go.  An annuity is not a simple product with minimal financial repercussions to the client, quite the opposite.  Most insurers require either a substantial rollover of money, initial investment or an initial investment and a monthly contribution.

Therefore if you’ve rolled over your entire retirement plan into an annuity there is no room for error or pushy agents.  According to National Underwriter the Nevada Division of Insurance has recently aired commercials to warn people of pushy or coercive agents.  

“Each ad represents a ‘simulated sales’ vignette shown from the perspective of the purchaser as they are coerced into buying a faulty annuity for all the wrong reasons.  The ads creatively show a ‘sales person’ communicating with a potential annuity customer, then flashes to a photo of a predator that most creatively represents each salesperson, demonstrating how the customer is deceived through witty and coercive tactics.”

 

The bottom line is that an annuity can be the perfect product for your situation or lead you down the wrong path.  Certain annuities offer many flexible options including death benefits and riders but they also have surrender charges and fees that might not make sense for your situation.  If an agent is trying to push an annuity or any product on to you take a step back and do some research of your own before writing a check or signing anything.