Clients who live off CD income do so for safety and to conserve their principle. But at what cost? Consider the following comparison of a CD vs. a split annuity for 5 years.

By using a split annuity we have increased the after tax income by $89.00! k

• Safeco
  Still our favorite! The margin on the Safekey Index Annuity product was increased from 3.85% to 4.25%. No big deal! For 1998 the margin stays at 3.85% (except in CT, FL, IN, MD & SC where it is 4.25% for the full term). After 1998 the 4.25% will apply.

• Jefferson Pilot
  Effective June 1, 1998 the participation rate on the Jeff Pilot EIA has been set at 65%. JP will guarantee the 65% through the first 8 years. JP is the highest rated company with an Index Annuity. They pay a very good commission also.

Sales Notes

Sales of Equity Indexed Annuities continue to be very strong. In fact, once the broker grasps all the positive features of Index Annuities (EIAs), we are seeing multiple sales. You’ll be surprised how many excellent prospects you have now who would buy if they just knew about the existence of such a product.

If you are not now selling EIA’s you are missing out on the most exciting product I’ve seen in my nearly 30 years in the annuity business. If you are not comfortable with the product features, general concept, specific product details, etc.—please call me.

We will give you the necessary time and knowledge to make EIA’s your favorite product too. We can simplify it so you will be an expert quickly. We will help you identify prospects you can sell now. Don’t pass up this great sales opportunity. Your clients will thank you for letting them in on such an approach to a fixed annuity. By the way, if you don’t like EIA’s also call me and tell me why. We might find a middleground.

An issue which has been coming up more and more has to do with pre-appointment states.

Many companies are now requiring agents to be appointed with the company prior to quoting or selling a case. We want to make you aware since a few Insurance Companies will actually send back the apps for agents who were not already appointed. If you think you are going to sell a specific company - get appointed!

We are seeing an increase in this program. Payments are annual and cover the premium and usually the tax on the SPIA income. Sometimes a 7 or 10 year period certain SPIA is used, other times a life only benefit is used. Either way it creates two sales and guarantees money for the Life Insurance premium. Call us for a quote.

We at FSD Financial want to assist our brokers with not just contracting like other BGAs. We want to give you ideas, hints and the best in creative ideas. Call us - talk with us, we want to increase your sales!!