Is Primerica A Pyramid Scheme? (2022)


In this article, I will show you complete information about Primerica MLM Company’s insurance policy and the Real Answer to the query, Is Primerica a Pyramid Scheme.

Here, you will know about,

  • About Primerica MLM Company
  • Primerica Insurence Policy
  • The answer of Is Primerica a Pyramid Scheme
  • And, lots of information

Let’s get started.

Overview of Primerica Financial Services Company

Primerica is a USA Based MLM Company which is founded by Arthur L. Williams Jr. and Glen J. Williams in 1977 in Duluth, Georgia. Company Provides Financial Service and Insurence Policy in the United States. Primerica also ranked in the list of Top 10 MLM Companies in USA.

Basically, Primerica targets Middle-Class families to sell Life Insurance policies and make them sales agents of the company. Primerica company is recognized by the Forbes rating and has a good BBB rating of 7. There are some complaints about this product and very few success stories are found on the company’s website.

Primerica  Company Profile

Company Name Primerica, Inc.
Founder Arthur L. Williams Jr. and Glenn J. Williams
CEO Glenn J. Williams (1 Apr 2015–)
Started 10 February 1977
Product Categories Insurance Policy
Headoffice Duluth, Georgia, United States

What does Primerica do?

Primerica provides a wide range of insurance and financial services for the daily life of the people. From providing Insurence Policy to investment opportunities to the people, Primerica Company will have something for anyone.

By using the Multi-level Marketing (MLM) method, Primerica gives opportunity to every person to start their own business and make money by selling Primica’s Products and Services.

There is a step by process video on the official website of Primerica where you can get full information on starting and sustaining revenue as a representative or business partner with the company.

What Products And Services Does Primerica Offer?

1. Financial Needs Analysis

Primerica has a 100% complete Financial Need Analysis (FNA) Marketing Tool. This tool helps their Insurance Agents to find the potential selling area to show you the “position” in your insurance coverage and investment plan.

Regardless of the company, if a person working on a commission-based sale offers such products “for free”, it is important to be skeptical and not make a purchase decision based solely on that information.

2. Term Life Insurance

The Term Life Insurance Products of the company is financially Strong the company. Though, the Term Life Insurance Policy is 29% more expensive than the other company of industry average for the same product.

Many People’s concerns are mainly around the Term Life Insurence service and demand side of this Primerica’s Life Insurence Products. But, there are also some complaints about marketing and sales. 

By the way, before buying any Term Life Insurance Policy, the client must be involved in the sales process of the Primerica agent. Although the term life insurance product is a good product; Pricing, support, and pay-out tend to be more of a negative aspect around this company.

3. Auto & Homeowners Insurance

Primerica’s Auto & Homeowner insurance sales are called Primerica Secure. It is a referral service for Answer Financial and acts as a lead generation company for that company. Agen will receive a 

small amount from the Busines shipped to Answer Financial. Answer Financial is an Allstate-owned subsidiary.

4. Long Term Care Insurance

Long Term Care Insurance is not only the biggest moneymaker and Profitable product of the company, but also, it does provide an additional product for agents to sell to prospects and the product is backed by a financially strong insurance company.

Keep in mind, that Primerica Long Term Care Policies are really more expensive. And, also it becomes more expensive if you want to get more benefits with inflation. In addition, these policies have premiums that are not level, or where the price is locked, allowing the premium to increase over time.

As a Policy Holder, Long Term Care Insurance helps you save money in the long run by taking advantage of the quick benefits associated with the policy.

5. Financial investments

The Advisory Sales Division of Primerica manages everything about the investment of their Customer. By the way,  Primerica does not hold ownership and is a broker for large mutual funds and insurance companies. The quality of the mutual funds offered is similar to what you can get from anywhere else, as they represent big names in the field like American Fund and Fidelity. Basically, there is nothing a big difference between Primerica’s Business that sets it apart from other competitors providing the same product.

6. Primerica  Debt Management 

Primerica Debt Management analyzes the debt of their client and provides some actionable strategies to repay the Debt. Basically, this service focused on debt stacking, the program uses your Equifax credit report to create a plan to help you pay off debt faster.

How Can You Make Money With Primerica?

Like Other MLM Companies and MLM methods, there is two way to make money from the Primerica Company.

  1. Product (Insurence Policy) Selling
  2. Recruiting other members and making them Agent 

Primerica Compensation Plan

According to the Primerica Compensation Plan, there are 4 main ways you can earn a commission from the company.

  • Insurance Sales Commission: Commissions are earned when you sell a financial plan.
  • Overrides on downline insurance: 10% override commission for sales from your downline.
  • Differences From Downline Insurance Sales: You Get Commissions To Help Your Downline Sell Insurance.
  • Commissions on other products: You can earn commissions from the sale of any other Primerica product.

How Much Does It Cost to Get Started on Primerica?

To join and get started Business with Primerica as Insurance and Financial Advisory Agent, it will cost $99.

Then there is the 25 monthly payment for being active as a Primerica Agent. By the way, there is no additional cost or amount you have to spend or sell other products each month to stay active.

Understanding The Tier-11 Membership Of Primerica

It is not difficult to understand. Primerica Tier-11 Membership Plan is really easy to understand.

For Example, When you join the company as an Agent or Representative, you will receive a 25% commission on any product sales. Basically, when you made sales of any products of Primerica which is worth $1000, the company will give $250.

In addition, when you recruit other people, you will be promoted to the next level. Suppose you continue to campaign and represent the people and get promoted to the position of Regional Manager. In that case, you can earn up to $450 if a representative under you sells a product worth $1000, that person will only earn $250.

Is Primerica a Scam?

Technically, Primerica is not a Scam. Basically, when you as an agent of the company sell any products or recruit new members under you, you will earn money.

Basically, There are 2main ways an online course can be a scam:

  1. Take your money and run to the sunset, never to be heard again.
  2. Provide some information but it does not fulfill their promise.

By the way, Primerica has a long-lasting business record and definitely provides some legitimate financial products. Normally, Primerica’s agents sell insurance policies to the people. Whether or not Primerica products are the best in the market is completely different, but these products compete favorably with their competitors.

Really, Is Primerica a Pyramid Scheme?

Again, I say, Technically, Primerica is not a Pyramid Scheme.

A pyramid scheme is a promise to pay customers for hiring new members to the program, rather than selling an actual product. If the only way for them to make money is to hire new members, it would be a 100% pyramid scheme. A pyramid scheme is an illegal business. You don’t want to associate yourself with them, especially when fully aware. 

But, Primerica is not a pyramid scheme as there are many products in Primerica and it is possible for employers to make money by selling these products.

FAQs on Primerica Pyramid Scheme

  1. is Primerica life insurance a pyramid scheme?

    NO. Primerica life insurance is not a pyramid scheme. Basically, When the Agent of this company sells an insurance policy or recruits new agents, the company will give some commission.

  2. What does Dave Ramsey say about Primerica?

    Dave Ramsey says about Primerica Company, “A.L. Williams almost 40 years ago for 3 months when I was 22. Hardly an endorsement. We do not endorse Primerica, their cost of insurance is HIGH.”

  3. Is Primerica legitimate?

    Yes, Primerica is a Legit Company. The company is a publicly-traded insurance and financial services company. The Office of the Company is available in almost every part of the USA with more than 130,000 independent life insurance agents.

  4. How do Primerica representatives get paid? 

    Primerica representatives get paid, in commission style by selling Insurance Products and recruiting new agents under them.

  5. Is Primerica financial service a pyramid scheme?

    Nope. Primerica financial service is not a Pyramid Scheme. Primerica is a Legal MLM Company where agents will earn commission by selling products and recruiting new members.


In short, Primerica is USA Based MLM Company that sells Insurence Policy and Financial services to the people. I hope you find complete information about Primerica Company and got your answer to your Query, Is Primerica a Pyramid Scheme? from this in-depth article.

Now, I’d like to know from you:

Do you have any Insurance Plans?

Did you ever meet an Agent of Primerica Company?

How is the experience?

Let me know in the comment Right now.

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