Monday 20th of November 2017 03:12:06 AM
I was approached by one of Northwestern Mutual's (MW) purported "financial advisors," who told me that he was a fiduciary. After a brief coffee-appointment, we met again at his office to discuss a more detailed financial plan. His advice was to invest in a Whole Life Insurance policy. (He failed to tell me about what commission he would receive if I were to complete the transaction.)Later the next day, his assistant sent me an incomplete insurance-application PDF to sign within 48 hours. I told him there were many problems and false statements on it, but his assistant told me that if I signed it—which was under penalty of perjury—they could change the text of the form after the fact before sending it.I'm fairly confident that giving false statements to an insurance company isn't a good thing to do. I then realized that, because this was an insurance policy, the "financial advisor" had no fiduciary obligation to me in procuring it under section 2-2201 of the Code of Civil Procedure. When I confronted him by email about this, directing him to stop communicating with me, he said he was still a fiduciary. But the law was clear: insurance agents owe no fiduciary duties in procuring, selling, or preparing insurance policies. Obviously, Whole Life Insurance is an insurance policy. So, end of story.The encounter was full of red flags, I cut all ties with Northwestern Mutual before signing anything. I'm sure it's a fine insurance company. But this experience didn't get any confidence from me in them as financial planners. If you've been approached by one of their "financial advisors" and they try to sell you an insurance policy, do your research before you sign anything about whether it's actually a good decision *for you.* A quick Google search of "Northwestern Mutual whole life" will get you a lot of message-board posts about people who regret buying these policies.