A Costly Lesson in Trust: How One Military Family Was Misled

Written By Omen Quelvog

The following story is inspired by real client work. Names, images, and identifying details have been changed or removed to respect confidentiality.

I sat on a Zoom call with new clients who had just uploaded their financial documents. They had recently retired from the military and somewhere along the way, had come across an insurance agent who did not have their best interest in mind.  As I opened their files, my stomach dropped. More than a fireteams worth of whole life insurance policies on both them and their minor kids totaling nearly $3,000 in premiums every month for the foreseeable future.

When we reviewed the numbers with an independent insurance broker, there was no silver lining. They did not need the policies and the premiums themselves would prevent them from achieving their life goals. After a year and a half of payments, all of their choices were terrible.  Convert to small paid up term policies, continue a huge cash flow commitment for years to come, or stop the bleeding now by cancelling the policies and get what you can.  They chose to cancel the policies and in all, they received about $8,500 back after surrender charges; about 15% of what they paid in.

The real injustice here wasn’t just the financial loss, it was the betrayal by someone who should have been a trusted professional vice a salesperson chasing a commission. Every time a commission-driven salesperson disguises themselves as a financial planner, it erodes confidence in professionals who genuinely want to help, which includes legitimate insurance professionals. The truth is, most families do need insurance such as auto, home, life, disability, and sometimes, even an annuity in the right situation. The problem is not the product itself. It is when a product is hyped and sold as the end all, be all solution.  Afterall, insurance, by definition, is a tool for managing risk, not an investment strategy.

When “Education” Is Really a Sales Pitch

Complicating things further are charlatans who present themselves as a Retirement Specialist, Wealth Strategist, or Financial Representative without ever disclosing what they actually sell, until it’s too late. They lead with fear, planting doubt about markets or your current financial plan, all to get you into a meeting where they can present their “can’t lose” or “guaranteed” solution.

Recently, I came across an advertisement from a multilevel marketing firm inviting service members, veterans, families, and supporters to attend an event “designed for the military community.” The company calls itself the “Armed Forces Division”, clearly intended to gain trust through affiliation. Their real business? Selling Indexed Universal Life insurance, a complex, costly product that is often misunderstood. Worse, they do not just sell IUL policies. They sell the dream of becoming wealthy by joining the multilevel marketing structure and recruiting others to do the same. That is not financial planning. That is exploitation wrapped in patriotism.

How to Tell the Difference Between a Charlatan and a Professional

Before scheduling any meeting, get clear on what you’re looking for.

  • Insurance coverage? Talk to an independent insurance broker who can compare multiple carriers.

  • Investment management? Look for someone who is an Investment Advisor Representative.

  • Comprehensive financial advice? Seek out professionals with designations such as:

    • Certified Financial Planner® (CFP®)

    • Chartered Financial Consultant® (ChFC®)

    • Accredited Financial Counselor® (AFC®)

    • Military Qualified Financial Planner® (MQFP®)

After scheduling but before the meeting, do your research.

  • How did they get your attention?
    Did they lead with fear or urgency? Were they clear about what they sell?

  • Who do they work for?
    Their employer and licenses reveal a lot.

During the meeting, ask clarifying questions.

  • Ask: “Are you a fiduciary 100% of the time?”
    A fiduciary is required to act in your best interest before their own.

  • Ask: “How are you paid?”

    • Fee only: paid directly for advice, no commissions.

    • Commission: paid for selling products.

    • Fee based: a mix of both.

  • Pay attention to what they ask from you.
    True planners gather details before offering solutions:

    • Pay stubs

    • Expenses

    • Tax return

    • Workplace benefits

    • Investment statements

    • Current insurance policies

  • Do not commit to anything in the meeting.

    • Take time to consider the meeting and what was said

    • Get a second opinion

Final Thoughts

You have dedicated your career to service and integrity. You deserve the same from anyone who offers to help with your finances. The opposite of a charlatan is not just an expert, it is a professional who leads with honesty, education, and your best interests at heart. Ask questions. Check credentials. Demand transparency. Real wealth does not come from secret strategies or complex products. It comes from clarity, discipline, and trust built over time.

Omen Quelvog
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