A lot of people have been asking us, “Is Primerica a Pyramid Scheme?”.
Read this unbiased review to learn more.
Primerica has been the subject of controversy recently, with some people claiming its a scam, while others say its a life-saving opportunity.
Who can you trust?
Let’s find out if Primerica is a pyramid scheme or not.
Product Name: Primerica
Product Type: MLM for Insurance and Financial Services
Creator: Glenn Williams
Price: $99 + 25/month.
Best For: Those that want to recruit new members to build a team and sell insurance and financial related products.
Summary: Primerica has more value in it’s core insurance and financial products compared to most mlm products. The primary focus is on sales and recruitment of new members like all MLM systems.
However, you’ll be competing in a tough niche with established brand name companies using outdated marketing methods, backed with a mlm reputation – Not an easy sale. Your success will be highly dependent on your sales and marketing skills.
Recommended: No. If you’re looking into Primerica for the money making opportunity, I’d encourage you to take a look at my favorite online business training program instead. It’s got all the tools and support you need to run a successful online business. Plus 10 Free classes to get started.
Would you like to check out our Primerica Video Review? Just click the video below…
What is Primerica:
Established in 1977, Primerica is a company in the Financial Services industry, and they provide various insurance and financial plans for middle class families.
To join the company, an initial fee of $99 is required plus an additional $25/month to use their online platform and tools.
To earn money, members are required to promote the company and build a team to earn additional bonuses and rewards.
In short, members will be promoting two things; the financial plans, and the business opportunity.
- Debt Solutions
- Auto & Home
- Long-term Care
- Legal Protection
If someone you refer to Primerica buys a financial plan or joins the business opportunity, commissions will be added to your account.
So as a member, can you make money with Primerica?
Naturally, there are different levels within the company, even official positions with a fixed salary, so income levels vary drastically.
Though this company does use the same pitch that most network marketing companies use (e.g. live free, be your own boss), it does have some unique features.
For instance, one thing about the company I appreciate is that every member needs to do a background-check before participating in the business opportunity.
As we all know, there are a lot of people promoting network marketing companies who have no idea what they’re doing!
Primerica officially hires members, so a background check is necessary.
The initial fee of $99 is put towards a background check and a sales license, and the fee can be refunded in a few months time.
Then, once everything is in the clear, a subscription fee of $25/month is required to access the tools and platform.
In most cases, when a company hires someone, they’ll pay for a background check out of their pocket, instead of asking the employee to pay it.
Nevertheless, the fee is refundable, so it’s not a complete deal-breaker.
It’s a smart move on the companies part, it filters out the untrustworthy members.
I also like how after the background check you’ll be given an official license to promote the business.
The background check will scan for criminal records to see if you’re a fit to work for the business.
In short, Primerica does put effort into making sure their independent distributors are qualified, unlike other companies that hire everyone under the sun. It’s a little similar to American Income Life.
Primerica Training Included:
Some training material is also included in the members area.
The material will teach you how to market the services without coming across as too pushy.
There are also some marketing tools to help with promotion.
In addition to marketing material, there are some helpful videos that explain various rules of personal finance.
The commissions are also not too bad, with each member qualified to earn 25% of the sale they make.
Is Promoting Primerica a Good Idea?
When you register for a license, Primerica asks for a list of “Hot” leads – anyone who you think would be interested in the business.
In most cases, this is a list of your friends and family members.
Like most networking companies, the idea is to build your team so you can live off of your team’s sales commissions.
If you do decide to promote Primerica, you should learn how to target warm traffic that’s interested in Primerica’s products.
Makes for an easy sale!
It’s not that hard and you can learn how I do it in our free eBook. It’s really a guide to how I rank on Google.
Is Primerica a Scam?
To be honest, Primerica is not a scam or pyramid scheme.
Though it does have some things in common with pyramid selling it also is a bit different.
For instance, the commissions are not “Sent Up” the ladder, and there are no down-lines.
Instead, new affiliates are added to your team, and there can only be one team.
There are membership levels, and you can qualify depending on the amount of sales you and your team earn.
To join you’ll need to send an application to the company or get in touch with an representative, there are no online registration forms at the moment.
Need help understanding the difference between MLM’s and Affiliate Marketing? Check out our in depth post comparing the two models by clicking the image below.
Why Is Primerica Considered a Pyramid Scheme?
The problem with Primerica is they advertise the opportunity as the solution to all your problems.
- Financial freedom.
- Be your own boss.
- Never worry about money again.
- Earn a comfortable income.
- Work from Home.
- Dream Big.
These are all vague promises.
Primerica also wants you to believe its very easy to make money with the program, but its actually a little harder than you think.
If you don’t have experience in sales, it will be difficult to promote this company, at least enough to earn some side-income.
In short, Primerica is a network marketing company that does have some issues but it’s definitely not a pyramid scheme or a scam.
Can you make fast cash?
I can’t recommend this company for fast cash.
Primerica, like most network marketing companies, is a long-term project that you slowly build.
If you’re good at selling insurance (the main product being sold) then you can likely see some success with this business.
But keep in mind, about 60% of all members fail to make a single cent.
Nevertheless, the company’s services are useful and have helped many people come out of financial holes.
In other words, its easier to promote Primerica services than other networking marketing services where there’s not much value.
Conclusion to Our Primerica Review:
To summarize, Primerica is not a pyramid scheme, but I also don’t recommend it.
I don’t think its a good idea to invest so much time into a business that could go under at anytime, taking all your hard work down with them.
It’s also a struggle to find clients.
I think its much better to build your own website, one that can – potentially – bring in a lot of clients and cash on auto-pilot.
How Do I Make Money Online?
Rather than relying on your team or down-line to produce income, I found a way to build my own income source.
It’s nothing crazy. I created a niche website based a topic of interest. Then I learned how to drive free traffic to my site.
By focusing on a specific niche, I’m able to target my audience and bring warm leads to my business that easily convert into sales.
It’s not rocket science. It’s just about helping people.
Wanna Learn More?
Have you tried Primerica? Is Primerica a Pyramid Scheme in your opinion?
Leave a comment below and share your experiences!