Q: If insurance broker spends time with you to sell a product & you decide not to buy, can they invoice you for their time?
-Attended seminar for Medicare/Social Security in Feb 2023
-Met with RetPlnr in office who also began to discuss retirement planning during the initial visit
-RetPlnr informed of us annuities available that we may be interested in
-RetPlnr noted they worked on commission
-A fee schedule was not disclosed upon engagement
-There was no contract/scope of work at any time
-Met with RetPlnr 5-6 additional times for 1-1.5 hours per meeting to learn more about the annuities and to provide financial info so that RetPlnr could project income for the annuity
-We agreed to submit an application for the Fidelity & Guaranty (F&G) annuity
-We contacted F&G directly with detailed questions & learned the annuity would not work for us and cancelled the application with F&G
-RetPlnr sent us an unprofessional email with an invoice for the time spent with us
-Can RetPlnr take legal action against us if we do not pay
A retirement planner and an insurance broker are two very different occupations. A retirement planner usually provides financial advice to customers on an hourly fee basis. Retirement planners typically do not directly sell financial products, including insurance annuities. They may, however, recommend suitable financial products for their clients and refer their clients to those who do sell financial products, including insurance brokers who sell annuities.
Insurance brokers are salespeople who are traditionally compensated on a commission basis and do not earn any compensation if they do not successfully consummate a sale.
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