Primerica Scam – Review

You’re probably wondering if Primerica is a scam. The answer is probably yes and this review will show you the details about the Primerica scam.


What is Primerica? Primerica is an insurance and financial services company that uses multi-level marketing (MLM) to sell financial products and services. It was originally owned by Citigroup but was spun off in 2010. Almost all the products offered by Primerica are from Citigroup, its corporate parent. All the mutual funds and annuities are sold through Primerica’s licensed broker/dealer subsidiary, PFS Investments.

Primerica Sales Network

Primerica operates via the multi-level marketing (MLM) model; while agents get commissions for selling products, they get commission for referring others. This referring of others is how the money gets made. After all, it’s hard for one person to sell more directly than thousands of referral agents can sell.
As of 2018, they have about 129,000 “independent life insurance agents”. However, they also had 290,000 “new recruits” in 2018 and 303,000 “new recruits” in 2017. Which means they’re having a lot of people being recruited, but not a lot of people stick around. Perhaps they realize it’s a scam when their earnings are so bleak.

Primerica Scam

The Primerica sales network is why some people consider Primerica a scam. In 2018, Primerica paid cash flow to its North American sales force at an average of $6,069, which includes commissions paid on all lines of business to licensed representatives. That’s not a lot of earnings, and tend to be concentrated at a top in typical pyramid fashion.

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