• Report: #951750

Complaint Review: Family Heritage Life Insurance Company of America

  • Submitted: Sat, October 06, 2012
  • Updated: Sat, October 06, 2012

  • Reported By: Stan — Austin Texas United States of America
Family Heritage Life Insurance Company of America
6001 East Royalton Road Cleveland, Ohio United States of America

Family Heritage Life Insurance Company of America Total scam both for the policy holder and the potential employee. Stay away! Cleveland, Ohio

*Consumer Suggestion: Grain of Salt, Anyone?

What's this?
What's this?
What's this?
Is this
Ripoff Report
About you?
Ripoff Report
A business' first
line of defense
on the Internet.
If your business is
willing to make a
commitment to
customer satisfaction
Click here now..

Does your business have a bad reputation?
Fix it the right way.
Corporate Advocacy Program™

SEO Reputation Management at its best!

Potential buyer beware. Potential employee (independent contractor) beware.  This company solicits overpriceddread-disease policies (cancer, accident, heart-disease, and life insurance) door to door in lower-class areas, often to people who cannot afford traditional major medical health insurance. 

The only people who are really making money are the CEO, Howard Lewis, and his slimy entourage of upper management.  You are merely a slave, given no base salary, no benefits whatsoever, who is encouraged to work from 10am to 9pm, Monday through Saturday to fatten the wallets of your managers while they are out brainwashing more potential sales reps.  Why?  Because the turnover for this legal pyramid scheme is through the roof they cant hire people fast enough to replace all of the turnover (which is probably in the 60-75% range.  Seriously). 

Why this is an awful insurance policy to own:

1)     It is overpriced compared to Aflac and other policies available through your employer.

2)     They target people in lower-class neighborhoods, many of which dont own a major medical policy. They are conned into thinking that at least they have some coverage.  In reality, they do not they are only covered if their family deals with cancer, heart disease, or accidents.  And poorly covered, at that the reimbursements hardly cover the money you pay in premium.

3)     The customer service is awful and they, like any other insurance company, will do their best to avoid paying claims whenever possible.

4)     If it was so great, wouldnt you have called them?  They just showed up at your doorstep to sell this thing to you.  Doesnt that sound a bit strange?

Why this is an awful insurance company to work for:

1)     Door to door. Residential. 

2)     They place you in lower-class neighborhoods, encouraging you to work from 10am to 9pm at night.  Most of these areas are unsafe after dark.

3)     No base salary. No benefits.  Nothing.  You pay your own gas, your own hotel costs, your own airfare to company functions, even the parties that are held at company functions those go right on your tab! What a joke!

4)     100% Commission-based.  And the commission is entirely arbitrary they assign your contract percentage based on how badly they want you to work for them.  The directors/managers are on 80% or higher contracts.  They give their slave labor contracts ranging from 30-70% of the premium amount.  That means, in most cases, your manager makes MORE money than you do on YOUR sales!

5)     They dont care if you quit if you quit, your manager still gets paid on your policy for the time that policy stays on the books.

6)      \Policy retention these policies, much like the salesforce, have an incredibly high turnover. 

Policies are cancelled at a ridiculous clip somewhere in the 25-30% range.  If not higher.

In summation, you are out of your mind if you are ever convinced that this is a good company to work for or buy a policy from.  The polices are terrible, the salesforce is a bunch of kool-aid drinking half-wits who are merely slaves to their manager, who kicks back and makes the majority of the money while you sweat your tail off, selling this crap door to door. Buyer beware.  Employee beware.  You have been warned.

This report was posted on Ripoff Report on 10/06/2012 03:41 PM and is a permanent record located here: http://www.ripoffreport.com/r/Family-Heritage-Life-Insurance-Company-of-America/Cleveland-Ohio-44147/Family-Heritage-Life-Insurance-Company-of-America-Total-scam-both-for-the-policy-holder-a-951750. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report.

Click Here to read other Ripoff Reports on Family Heritage Life Insurance Company of America

Search for additional reports

If you would like to see more Rip-off Reports on this company/individual, search here:

Search Tips
Report & Rebuttal
Respond to this report!
What's this?
Also a victim?
What's this?
Repair Your Reputation!
What's this?
0Author 1Consumer 0Employee/Owner
Updates & Rebuttals

#1 Consumer Suggestion

Grain of Salt, Anyone?

AUTHOR: icDavey - (USA)

I know virtually nothing about Heritage Family Life, but as an ex-insurance agent, I must point out that what this reviewer is complaining about is not a problem with this company but with the whole insurance industry.  To the extent that HFL is a Multi-Level Marketing opportunity, I would cast a jaded eye.  But the nature of insurance sales - most sales, in fact - is pyramidal.  Agents get bigger percentages, managers get a smaller percent of all the policies his underlings sell.  Bonuses come into play, renewal commissions continue into the future.  It is a common pay structure.

As to whether the policies are overpriced, I don't know.  I do know that, as an agent, I was often able to show people how to use the money they were spending on policies like these to purchase much better, more comprehensive coverage.  I, too, sold in the lower-income market.  I sold policies and collected premiums from people who sometimes had difficulty paying premiums.  But no one can tell the value of an insurance policy better than the person who owns it.  The peace of mind and security an insurance purchase brings is not measurable by another's yardstick.  If a policyowner liked the policy enough to buy it, it was worth it to them. 

There really are no rip-offs in the insurance industry.  There are policies of greater value and of lesser value.  The best insurance policy to own is the one that is in force when you need to make a claim.  All insurance policies are a better deal than not having one at all when you need it.  So ease up and just use your best judgement.  Whether buying from or working for an insurance company the deal is in the eye of the beholder.

Respond to this report!
What's this?
Report & Rebuttal
Respond to this report!
What's this?
Also a victim?
What's this?
Repair Your Reputation!
What's this?