Full Careers - Advice on Insurance and Financial Services Career(s)?

Advice on Insurance and Financial Services Career(s)?

It looks like I am about to test for the Life & Health (license) in my state (Virginia). I have twice before held a Property & Casualty (though it was not for the purpose of selling insurance). The P&C, studying and exam wise (by my account, and virtually everyone I ever spoke to about it), was rather difficult. I am told by everyone now that the Life & Health is not nearly as difficult. Is this anyone elses experience? Is it advisable to perhaps simply go to the library, work from the internet, and learn enough to pass the exam? Also, I am looking at (hoping for) the possibilty to work in annuities and other financial products - however I am not even exactly sure what an annuity is (lol). Can anyone explain an annuity and offer any other advice about the industry (Life & Health, financial services, etc.)? I appreciate all responses - thx! - g.

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I am currently a financial advisor for a financial planning and mutual fund company so I hope I can help out some. Lets look at your questions. 1. Life and health are they as difficult? When I took the health and life insurance test for KS it was fairly simple. I haven't taken P&C but everyone I knew that tooke Life & Health didn't have too much of a problem with it. 2. Work from library and internet? Possible, but I wouldn't recommend it. I would suggest to find a good study that is specific to your state. I used a company called AD Banker for my health and life. Went to a class for life and study their book for health. Fairly easy. They taught everything you need to know. Especially the state specific law questions. 3.Annuity what are they? Easiest way to explain an annuity is...You know what a CD is at a bank. It's basically an account where you put a lump-sum amount of money in and let it earn interest and the interest compounds. Well and annuity is similar to that. There are some differences. First, it's only sold through Insurance companies. Which is why you are required to have a life insurance license. Second, when your interest compounds in an annuity you don't have to pay taxes on the earnings until the money is withdrawn. A cd you pay taxes on interest earned in the year it's earned. Third, annuities are the only investment vehicle that can guarantee a monthly payment for your whole life. What happens is you put money in it earns interest and then eventually you annuitize it. The insurance company then sends you a check each month until you die. Thats the basics of it. You'll learn more in depth about them when you study for your exam. 4.Advice... It's not easy. Take into consideration that while working in an insurance/financial services job you usually are self-employed and you just represent a company. Therefore you are really responsible for making your own paycheck. Most places put you on strictly commission. So if you don't sell anything this month you could go hungry. Make sure that you talk to all of your friends and family members. They will be the starting point of your business. Always, Always, Always, I cannot stress this enough, ask for referrals from people. It will make your business along with your paycheck grow. Don't stress out if you want to go into mutual funds or financial planning or anything. Such as getting your NASD series 6,7,63,65. They are somewhat difficult, but if you study and prepare they are actually really easy. Now, when you take these tests remember they are designed to trick you. Most of the time they are testing you on whether or not you know how to take tests. Read each question over twice make sure you know what it's asking. Watch out for questions that contain double negatives in them. And usually go with your first instinct. It's generally correct. Don't worry about any of the tests or understanding stuff greatly. You'll learn a lot about stuff as you go along. Good luck
lbalsmeier really gave some great answers here. I had my series 6 & 63 and life/health before I took my P&C test. I thought the P&C test was harder than the L&H. Definitely get a study book for your state. I got mine from Dearborn.com I think. For a good insurance news and resource site: http://www.findlocalinsurance.com Good luck!
Go to a career night at a Primerica office, you may like what you hear.
L&H test is easy. Get good study material (I used Dearborn 9 years ago) and go to town. I didn't bother with a live class because I felt the material was pretty straight forward. lbalsmeier's description of an annuity is only of one type of annuity called a fixed annuity. There is a whole other side of annuities called Variable Annuities. Instead of a crediting interest rate stated annually by the issuing insurance company, the investor has a menu of 3 or 4 dozen subaccounts to choose from. All asset categories are represented from very conservative to very aggressive. You will need to have your NASD Series 6 license in order to sell Variable products, as well as mutual funds. The NASD exams are much more challenging than the insurance exams so if you are going to pursue getting them I would suggest getting the Series 7 (and the Series 66). This will allow you to provide the widest array of investment vehicles to your clients. No point in leaving the door open for someone else who has a broader array of services to offer your clients. The best advice I can give you is to listen. The most knowledgable and creative advisor in the world will fail miserably if he/she doesn't listen to his/her clients first. Put your clients needs above your quest for commission. And stay away from Primerica, they are the amway of financial services. Hook up with an established firm that provides alot of training and marketing support without infringing on your objectivity by making you push proprietary products over non-proprietary ones. Good luck.