You may have been approached by a friend, family member or colleague about buying a life insurance policy from Primerica, also referred to as Prime America.  I encourage you to take 4 minutes to read this article to get the facts about term life insurance from Primerica.

WSJ Prime AmericaThe first thing you should understand is that Primerica is built as a multi-level marketing business

Which means the agent who presented you this Primerica term life insurance will probably ask you to join their team in the future - so they can make money off the life insurance policies you sell. 

This doesn't exactly scream "expert" life insurance agent.  In fact, most recruits have trouble passing the insurance exam according to the Wall Street Journal.

The reason I present this information first, is so you know that your Primerica agent is a recruiter first and life insurance agent second.

Enough of that.  Lets get into the review of Primerica's (aka Prime America) actual term life insurance offerings.

Fact #1: Primerica ONLY offers term life insurance

Which is fine, for today, if you only need term life insurance.  However, one of the biggest benefits of a term life insurance policy is it's conversion feature - which "Prime America" doesn't have and almost every other life insurance company on the market has.

A life insurance conversion lets you convert your term life insurance policy to a permanent policy with no evidence of insurability.  No one really plans on converting their policy to a permanent one when they initially purchase term life insurance, but it's common for situations to arise throughout the term of your policy where you might consider it.  

For example: Your policy is about expire and you can't qualify for coverage because of a health issue you developed.  The conversion option lets you keep your coverage at the same health class that you applied. This can be a HUGE option for your family down the road.

Life changes and your term life insurance policy needs to be flexible.  There is no reason why your term life insurance policy shouldn't have this conversion option. 

Fact #2:  Primerica (Prime America) has EXPENSIVE term life insurance

Run an instant life insurance quote on our website and compare it to your Primerica life insurance rates.  You'll notice that there are much better life insurance options out there with the same financial ratings. 

Here's why: We're an independent life insurance broker and can offer any life insurance company on the market.  On top of that, we let you compare rates side by side, so you know you're getting the best rate available.

Just know that you can find MUCH better life insurance rates by shopping elsewhere.

And for the record, all of those quotes you're seeing have that conversion option that was mentioned above.

Fact #3: They don't take any high risks

If you have any moderate to major health issues, good luck getting coverage with Prime America.  It seems we're always helping those who were declined life insurance by Primerica find affordable life insurance coverage.

In fact this is what prompted us to write this article.  Too many people think they are uninsurable, but in reality, they just used the wrong company for their risk.

If you find yourself in this category, we're high risk life insurance experts.  Please don't hesitate to contat us.

Don't let a Primerica agent spin the truth about their life insurance offerings.

Life Insurance Truths Prime AmericaIf you confront your agent/friend/family member about being able to find coverage at sometimes HALF the cost, they'll have a canned response they've been trained to give.  They'll tell you about 3 things:

1.  Financial Ratings.  Your Primerica agent will tell you about the A+ AM Best financial strength rating.  Just know that almost all of their competitors have A or A+ ratings and still crush their rates.

2. The VALUE of their policy over others.  Your Primerica agent will tell you about the "living benefits" of their policy which other life insurance companies with less expensive rates include with theirs policies as well.  There's nothing special about their "living benefits" over others.

3. Quick claims paying.  Most likely you'll hear a story of how someone's mother or father passed away and Primerica paid their claim within 1 week (I've heard the same story from several agents).  It's just a canned response they're trained to give to sell you "peace of mind".  The truth is if you're outside the 2 year contestability period of a life insurance policy, almost every life insurance company will have a check in your hand within a week.

You see, Primerica agents are masters at "spinning" the truth about their expensive life insurance offerings.  And they have to because it's the only insurance they can sell.  They can't offer anyone else.

Don't get us wrong, Primerica, aka "Prime America" agents are GREAT people.  They genuinely want to help your family and we applaud them for that.  They are just limited in their life insurance options.

Our Primerica life insurance review is intended to get you the information your Primerica life insurance agent wouldn't ever provide.

When we field the question "Is Primerica Life Insurance a good company?", we always refer people to this article.

In these tough economic times, you need to pay the lowest possible cost for your term life insurance.  Make sure you contact an independent agent so you can compare rates.

Jeff Root
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About Jeff Root

is the owner of He's an independent life insurance agent who has helped 1,000's of consumers purchase life insurance online and over the phone.

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Gregory Sloan, CLU, ChFC

You are 100% correct!

December 7, 2012 at 12:11 pm
Rourke GT

Truth is, and the biggest issue with most or all companies is their agents. Most agents representing other companies would rather sell Universal Life, Index Universal Life, Variable Universal Life, and Whole Life because there is much incentives in doing so without looking into an individuals specific needs. Sometimes a person feels that cheaper insurance is better, but at the same time one may need to look at a company that is more conservative. Most life insurance companies are doing whatever in their power to create a product with cheap prices, but you have to consider the facts that as good as a promise is, is the company standing behind it. It doesn’t matter whether it’s a 100 year old company compared to a young company like Primerica. What comes down to the bottom line is, which company will make it easier for a family when a claims arises regardless if it’s before or after the 2 year incontestable clause. That all comes down to friends or family experiences on claims and customer services from a company that will make an individual choose which company to do business with. Sometimes a person may preferred to choose Primerica over another competitive company and sometimes, not, but the question here is that the person has bought a policy that makes sense to them.

July 14, 2013 at 1:46 am
Merrissia Rorie

I am interested in getting my Life insurance license. I am currently licensed in Health Insurance and specialize in Medicare. Please send me info on how your training process works and how to get assistance with the life insurance exam.



December 16, 2014 at 4:25 pm
Alistair Rapier

First off, the only people that ever refer to “Primerica” as “Prime America” are people that have no idea what they are talking about when discussing the company.
Second, the company has been in business for 37 years (starting as “A.L. Williams”, named after the founder) and has always held to the belief that selling insurance for the death benefit and investing money for retirement should be two different accounts.
Proponents of the “cash value” policies in all their various forms don’t tell you that you pay 6 times what Primerica will charge you for the same death benefit. What they will tell you is that their policy has a separate account that builds “cash value” and that you can access this money when needed. They leave out the part that says that you don’t get the cash value AND the death benefit. If you die, your family gets the death benefit and the insurance company keeps the cash value (that they have been investing and earning interest on all this time). If you have taken out the cash value (and your policy hasn’t died because of it) and you die, then your family gets the death benefit less the amount of money you pulled out of the cash value.
3. Yeah, as to that whole recruiting thing. There are two ways to earn money at Primerica, in sales or in management. If you want to do sales you make your commission just like at any other company. If you want to manage your own office and make money off what other people are doing in your office (you know, like real estate brokers do), then you will need to recruit people to work for you…just like at any other company.

It sounds to me that the author has an axe to grind.

January 17, 2015 at 5:06 pm
    Jeff Root


    No axe to grind here. Primerica is good for an independent agent’s business because Primerica’s policy holders eventually realize they can get a much less expensive term life insurance policy after having a conversation with one of us. Primerica offers term life insurance at inflated prices – any independent agent can easily offer the same thing you’re offering for less.

    I say “Prime America” because a lot of consumers refer to it as that. Even your current policy holders. To say your clients don’t know what they’re talking about is a little harsh.

    Being in business for 37 years doesn’t mean anything – I’d bet over 80% of the life insurance companies on the market have been in business over 50 years.

    Lastly, consumers want to protect their family with life insurance. After they take care of protecting their family, they don’t want to be offered to come to a meeting about an “opportunity” and be sold into selling for you guys. There’s a great discussion of Primerica’s tactics here.

    January 17, 2015 at 11:34 pm
      Donahue Vanderhider

      I have a friend from central america who is killing it selling Primerica, but she knows nothing about the business outside of what they teach her in those meetings. She got me to attend one, and its like any other multi-level marketing “scam”, they hype the hell out of how much money you will make and encourage you to get your friends to come to the meetings so they get in on it. etc. etc.

      January 22, 2015 at 8:27 pm
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