Insurance products are products that are guaranteed or returned according to the needs of the insured through scientific calculation and capital investment. They are legal and compliant financial management and security products supervised by the State Insurance Regulatory Commission, which are different from pyramid schemes that collect high admission fees to make huge profits.
2. From the perspective of development mode.
MLM is profitable by developing offline. Generally speaking, the more people under the line, the greater the profits of the people at the top of the pyramid. In MLM, ordinary salespeople don't make money at all, but the insurance industry is different. From the director to the general salesman, all employees are sales. Everyone calculates the commission according to the business volume, so the way to calculate the income is different.
3. From the perspective of personnel training.
China's insurance practitioners must undergo rigorous training and examination, and obtain the agency qualification certificate before they can start business. The development of insurance industry has a set of quite perfect training and assessment standards from top to bottom, which is different from the simple way of developing MLM offline.
Extended data
Insurable value is the actual value of the subject matter insured. According to China's Insurance Law, if the insured and the insurer have an agreement on the insured value of the subject matter insured and specify it in the contract, when the subject matter insured suffers losses, the agreed insured value shall be taken as the compensation calculation standard.
If the insured and the insurer have not agreed on the insured value of the subject matter insured, when the subject matter insured suffers losses, the actual value of the subject matter insured at the time of the insured accident shall be taken as the compensation calculation standard.
Simply put, the insured value can be determined by three methods:
1) According to the provisions of the law and contract law, the law and contract law are the fundamental basis for determining the insurance value;
2) According to the insurance contract and the agreement of both parties. It is difficult to measure the insurance value of some insurance objects, such as life insurance and health insurance. If people's health and life cannot be measured by money, the insurance value shall be agreed by both parties.
3) Determine the insured value according to the change of market price. The insured value of some insurance objects is not always constant. Most of the subject matter will also depreciate with the passage of time, and its insurance value will show a downward trend.
Reference Insurance Baidu Encyclopedia MLM Baidu Encyclopedia