Complaint Review: Lincoln Heritage

I will try to make my report as brief and direct as possible.  I understand that many people want to complain and have difficulty piecing together an articulate thought.  Please note that I joined this company as an independent agent, allowing me to write for multiple carriers, and had known very little about this company and its business practices.  I will tell you point-by-point how Lincoln Heritage differs from other final expense companies.

1) The first thing one needs to know is that Lincoln Heritage has a two-year vesting period on commissions.  They make MILLIONS of dollars from terminating agents inside of this period and keeping their back-end and renewal commissions.  This is not the industry norm, which any agent can witness if he/she contracts with Foresters, Columbian Life, American Continental, Monumental, etc.  Most companies allow for immediate vesting of commissions, which allow you to keep everything (assuming you don't owe a chargeback balance) even if you only write 5-10 cases.

2) The lead cost is substantial and also not the industry norm.  In the state of Georgia, an average lead will run between $20-$25.  Sometimes it will cost more if a mail drop is done and a poor response is made by the consumers.  Please be aware that Lincoln Heritage makes money on their leads.  Do not believe a word they say about this matter.  They pay very little for mail drops and television advertising.  They charge $33/lead for television ads and $27/lead for mail drops.  Their goal is to start a new agent at a %70 contract while paying full price for leads, and have him/her wash out because the lead cost becomes too great.  This goes back to the point of stealing back-end and renewal commissions.

3) My final point covers a very unethical aspect of what they do.  I have never seen this in all my years of selling final expense and it makes me sick to my stomach.  Most companies will pay an agent a 9-month advance on his/her commission.  If the consumer cancels the policy inside of 9 months, the agent is only required to pay back a pro-rated amount of the commission.  For example, a cancelled policy that has paid for 5 months will only cost the agent a chargeback of the remaining 4 months.  Please be aware that Lincoln Heritage will charge the agent back for the ENTIRE 9 MONTHS.  This is beyond my understanding.  How can a company justify being paid a portion of the premium, yet charge the agent back his/her entire advance?  Also, keep in mind that LH has some of the highest premiums in the industry.

In conclusion, please stay away from this company.  The UBI marketing firm who contracts agents for LH in the SouthEast consists of Ted Wilson, Dale Hawkins, Furman Dingle, and Shawn Dinwiddie (who is one of many field managers).  These men are marketing fiends and have never really sold final expense.  They are sharks and snakes and will take your money.  With Lincoln Heritage, the house always wins.  Please be aware that they will play the "Jesus Card" with any agent that comes through the door.  There is nothing wrong with being religious and having faith, except when it deals with these people.  They prey on black/African American agents for the most part and use this religious background as a way to attract new agents with little to no experience.  Everything I have stated was witnessed first-hand and not worded in my contract.  My advice is for whomever reads this to not contract with LH or stay out of final expense entirely.