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Is Primerica an MLM Pyramid? Or Legit 2023 Opp?

Last Updated on January 31, 2023 by Matt Zavadil

Is Primerica an MLM?

Primerica is a company that is often misunderstood.

Is Primerica a legit company?

Some people see it as a pyramid scheme, while others view it as a legitimate financial services provider.

So, what is Primerica really? In this article, I’ll take a closer look at the company and determine whether or not it is a network marketing opportunity or not.

By the way, it’s not Prime America 🙂

Some folks ask me, “What is PrimAmerica” or is there a Prime America scam? As we’ll see, there’s no Pri Financial Services, Prime America, or Primerica scam LOL

What is Primerica Financial Services?

Primerica is a financial services company that was founded in 1977.

The company sells clients a Primerica life insurance policy, mutual funds, and other investment products.

Primerica is not a pyramid scheme. It is a legitimate business opportunity with an A+ rating from the Better Business Bureau.

However, Primerica is also a network marketing company. This means that representatives have the opportunity to recruit other life insurance agents and earn money through commissions.

A Primerica family.

How Does Primerica Work?

The Primerica Life Insurance company offers several types of products in addition to the main term life insurance offering.

Financial Needs Analysis: The company offers its clients a Financial Needs Analysis (FNA) along with its term life insurance policies. The FNA is a free consultation to help people determine their financial goals and objectives.

The Financial Needs Analysis helps people find the right products and services from Primerica that will meet their needs.

Primerica Legal Protection Program: As a part of its suite of products, Primerica also offers a legal protection program. This is a pre-paid legal services plan that provides members with access to attorneys for a variety of legal needs.

The program is administered by Legalshield (formerly called Pre-Paid Legal Services), which is the largest provider of pre-paid legal services in the United States.

Mutual Funds: Primerica offers a variety of funds, which are investment products that allow people to invest in stocks, bonds, and other securities.

The company has several different funds to choose from, including the Primerica Foundation Fund, the Income Builder Fund, and the Balanced Index Fund.

Life Insurance: The main product offered by the Primerica Life Insurance company is its term life insurance coverage.

Term life insurance is a type of life insurance that provides coverage for a specific period (usually 20 or 30 years).

Is Primerica an MLM? Yes, but that's what allows reps like this to bring the FNA to more families.

Is Primerica a Scam Or Pyramid Scheme?

In a word, no.

Primerica is not a scam or pyramid scheme.

It is a legitimate financial services company that is publicly traded on the New York Stock Exchange.

The company is also a member of the Direct Selling Association, which is the trade association for direct selling companies in the United States.

Primerica has an A+ rating from the Better Business Bureau.

Legal issues

I do need to point out that at least three lawsuits have been brought against the company about denials for paying out claims.

The courts will determine the settlements. Keep in mind that all life insurance companies get sued when people dispute whether they deserve a claim payout.

Is Primerica a Good Opportunity?

Is the thought of selling term life insurance and investments attractive to you?

Then, of course, it’s a good opportunity just like selling life insurance for any other company is a good opportunity.

The difference from most other financial services companies is that there’s a multi-level marketing arm attached here.

Unlike other life insurance companies, Primerica agents can basically become brokers.

You can recruit other insurance company reps and override the commissions they bring in on the term life insurance or investment sales.

Can Primerica Make You Money?

That’s probably the wrong question to ask.

Selling Primerica life insurance takes a lot of work…

…as does any other type of business opportunity.

If you’re looking for a traditional job, then Primerica is not the right opportunity for you.

However, if you’re interested in becoming a life insurance agent and earning money through commissions, then Primerica is a good option to consider.

Why Does Primerica Have a Bad Reputation?

It doesn’t have a bad reputation with everyone. In certain circles, any network marketing business has a bad reputation.

That’s because many people misunderstand MLM and all kinds of pyramid talk are going around the Internet.

In a lot of cases, people join network marketing with pie-in-the-sky expectations.

They also have no business building a business because they come in with the standard employee mindset of:

“I’ll punch the time clock and see what happens.”

You can’t build any business like that.

You gotta go hard if you expect to find clients to sell insurance to, find new insurance agents to recruit and build something solid.

Understand that there’s nothing illegal going on inside a valid MLM company like Primerica.

Primerica agents don’t make money recruiting people. They make money selling valid financial services products and also on the product sales made by their downline members.

All standard and legal.

Primerica Awards

We can point to industry awards that reveal the legitimacy of the company. Here is recognition by Forbes, revealing Primerica as one of America’s Best Insurance Companies:


Is Primerica an MLM? Yes. It is also on of the Forbes 2022 listing of America's Best Insurance Companies.

AM Best

AM Best rates the company well

Top Workplaces USA

Top Workplaces rates Primerica as a quality culture with excellent values.

Should I Join If Primerica Is An MLM?

Only you can answer that question.

Selling insurance and financial products can be quite lucrative. The key is getting good at marketing.

The challenge with providing life insurance policies is that you must get licensed in your state.

This means you can’t give life insurance quotes and sell policies to people worldwide. Unlike other MLM companies that let you sell products to people of many countries, the pool of prospects is less when building an insurance business with PFS investments.

However, if you want to get into life insurance sales without needing to do all the work by yourself, definitely get involved with the Primerica Corporation.

How To Make Money with Primerica

Once you get into the MLM business model, it’s key to eventually move away from only referrals and word-of-mouth. Use local Internet marketing strategies to find new clients and recruits.

You can use things like Google AdWords to find leads in your local area.

Also, use SEO on your website or blog to get found when people search Google for information about life insurance, legal issues, and investments.

Use Attraction Marketing

If you lead all your online marketing with value, you can get life insurance policy leads asking you how you can help them.

With attraction marketing, the idea is to help enough people that those who need life insurance will come to you.

This is how you generate MLM leads and grow your business without having to constantly pester friends, family, or acquaintances.

By adding more value than anyone else in your market, you attract an endless stream of new prospects who want to do business with you.

For example, on your blog, you can write helpful articles like:

  • How to Choose the Best Life Insurance Policy
  • The Pros and Cons of Term Life Insurance
  • Investing for Beginners: A Simple Guide

Or, you might post on social media about investments. For example, you could post a video on Facebook about how to save for retirement.

Other ideas might be to write about the estate planning process, or how to choose the best financial planner for your needs.

The more value you add, the more people will see you as an expert in the industry – and the more likely they are to do business with you.

Whatever you do, make sure that the content is helpful and of high quality. That will help you attract more people who are interested in buying life insurance or learning more about investments.

Related Reading:

Network marketing scripts

My Attraction Marketing Formula review

Elite Marketing Pro review

FAQs About Primerica Life Insurance Company

Is Primerica a pyramid scheme? Is Primerica an MLM?

No, Primerica is not a pyramid scheme. It is definitely an MLM. It is a network marketing company that sells legitimate financial services products.

Do Primerica agents make money recruiting people?

No, Primerica agents do not make money recruiting people. They only make money selling valid Primerica life insurance policies and other financial services products. They can’t make revenue from the people they recruit until those downline members produce with products sales themselves.

Is Primerica worth working for?

Selling insurance and financial products can be quite lucrative. The key is getting good at marketing.

Is Primerica a hoax?

Whaaaaat? A hoax?

Where do these questions come from 🙂


No, Primerica is not a hoax. It is a network marketing company that sells legitimate financial services products.

Final Thoughts: Is Primerica an MLM?

Yes, Primerica is an MLM.

Does that mean a problem exists?

No, it doesn’t.

My suggestion to you, if you’re a Primerica agent, or thinking of becoming a Primerica agent, is to block out any negative talk that uninformed like to put out…

…instead, focus on your goals and go make your dreams of getting good at selling Primerica products a reality.