Kathmandu. A life member of the Million Dollar Round Table (MDRT) of the global insurance sector, # Dharmaraj Bhandari. Bhandari has been continuously becoming an MDRT since he entered the profession of an insurance agent. After being registered as an MDRT for 10 consecutive years, one can become a life member. Bhandari has been an MDRT for 11 consecutive years. He is currently doing insurance business as an agent with National Life Insurance Company. He joined National Life only a few months ago. He had entered the insurance sector as an agent with Life Insurance Corporation (LIC Nepal). After being dissatisfied with the bonus rate received by the insured, he left LIC Nepal and joined National Life. Interviewed with MDRT Life Member Bhandari on ##Insurance Talk##. Summary of the conversation:
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## ##You have a tagline hanging on your coat, MDRT Life Member. You are an insurance agent. How much meaning does it have? What will the citizen understand from this?
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## MDRT stands for ‘Million Dollar Round Table’. Its head office is in Chicago, USA. You can finally become a life member after reaching the target given by the insurance company or the target given by the international MDRT within 10 consecutive times.
Does this mean that you have become a life member of MDRT?
I have become an MDRT 12 times. I am an MDRT. I have been an MDRT life member since the year I entered insurance.
What does this mean in the insurance business?
In Nepal, this is not the case. However, abroad, MDRT Life Members are highly respected. It is considered a highly respected profession. Those working in insurance must be MDRT and must also obtain registration. It is considered very good to wear this logo when walking outside. However, it is not such a good practice in Nepal. Companies have not given it much importance. Also, they have not sent people to participate in international conferences. Therefore, not everyone knows about it. Therefore, whoever gets it, wears the MDRT logo as if it were a shirt button. Activities like insulting genuine MDRT members have been taking place in Nepal.
You are an MDRT first. Can you become a Life Member after that?
You can only become a Life Member after being an MDRT 10 times in a row.
What steps does an agent need to go through to become a life member of MDRT?
An agent must first find an insurance business. Then a premium of Rs 5.4 million is required at the current ratio. 6 percent is calculated on the term, this is calculated on the single premium. Last year, some companies cheated MDRT by adding 25 percent, which is wrong. In the case of other regular premiums, if he can reach the premium of Rs 5.4 million, he will be eligible for MDRT for 2026. Then he has to pay a registration fee of $ 600 in the US. Then MDRT sends a letter stating that he is eligible to use the logo. Then he can use the logo. In addition, he also sends an approval letter to participate in the related conference. He also facilitates visa processing. Then it becomes easy for us.
How many life members of MDRT are there in Nepal so far?
So far, there are only 5 people.
Are you among the 5 people?
I am number three among the 5 people.
How many MDRTs are there?
There are many MDRTs. They have to be renewed every year by paying a fee. This is just a pleasure, not like the title a doctor gets. But, if you can do it for 10 years, then that is what happens. Once you become a life member, it stays forever.
Is there no point in selling a policy worth crores, when you have to be ready to spend money?
Yes. If you are not a member of MDRT, even selling a policy worth 5 crores is meaningless. This is necessary to get it legalized. The company has given a target, after meeting the target, the body that gives legality is different. If that body does not give legitimacy, no matter how much premium you collect, it is useless.
How much does it cost?
If you go to America once, all the expenses including the registration fee will cost at least 1 million rupees.
If that is not spent, is it just to do business in Nepal?
Yes. It is not considered to be done in a professional manner. There are many people in the market who illegally apply stickers like a stamp. We are also ashamed because of them. The use of the MDRT logo is now being tightened. The company is also being taught about this.
What is the relationship between MDRT and insurance companies?
There is nothing like that. The company writes an official letter and gives it. The company only writes an official letter about so-and-so doing so much business with me. Without an official letter, MDRT cannot be registered.
How many countries have you visited so far?
I have visited 47 countries so far. I have visited so many countries in the span of about 9 years since MDRT.
Do you spend more on it than you earn?
This is also my hobby. After working, it becomes an expense, right?
Are you an agent of National Life Insurance now?
Yes.
Where were you before?
Earlier I was in LIC Nepal.
Why did you leave?
Bonus reduced. Product is not good.
Didn’t you bring a new product?
Not a new product. We had to protest repeatedly, there. The company betrayed the promise we made to the insured. The CEOs of any company leave one day. But, we have to stay in this market. The company betrayed us. And I left. The insured never chose the company. They chose the agent. The insured takes insurance because of the agent.
Have you heard that agents, after leaving the old company and joining a new company, surrender to the old company and take it to the new one?
I don’t do that. I don’t have any intention of doing so yet. There may be exceptions, but there may be some who leave for other reasons. Otherwise, it doesn’t mean that you have to surrender when you leave a company. We get the services and facilities there.
Do they give more commission when they go to a new company?
That is not the case. The commission is as per the provisions of the Insurance Authority. The commission rate of all companies is the same. We only go in the interest of the insured.
When you joined the new company, wasn’t it unfair to the thousands of insured people who had insurance with the old company?
It has not happened. If I sell the same policy again, it will be unfair.
Is LIC Nepal doing injustice by reducing the bonus?
LIC Nepal has done injustice to the insured by reducing the bonus rate. We had also complained to the Insurance Authority about this. But, there was no hearing. Then I came to National Life.
Will National Life also reduce the bonus rate?
National Life can also reduce it. Bonuses should not fluctuate too much. The company has its own rules. It does not matter if it fluctuates by two to four rupees. However, it is not good to fluctuate by 20 to 22 rupees at once. This should not happen.
You say that you get a bonus of 30-35 rupees to 85-90 rupees when you sell a policy. And when you sell, you show the upper line!
I don’t show the upper line myself. It depends on how many years I have done it. It’s 64 rupees per thousand for 10 years, that’s what I show.
What’s the point of showing 64-65 rupees and giving 30-35 rupees?
There is also one for 19 rupees in the market. Bonus is very important when insuring. Bonus is important in everything, including surrender, claims.
You sell an insurance policy by explaining it like this. However, it is said that after selling an insurance policy, the insured does not visit the insured much. Is the after-sales service weak?
99 percent of my insured have not even seen my office. Sometimes I just take them myself. I am always in touch when he is in trouble. I call him every day. I have insured about 1500 people. I am in touch with them. When some of the insured are in trouble, I have paid the premium myself and renewed them.
Do you work as an agent full time?
Yes. Apart from that, I have nothing else.
