Photo by ryan shapiro photography
As an economics major, Richard Stone knew throughout his time at Virginia Military Institute that he wanted a career in the financial world. Still, his foray into insurance happened somewhat by chance: He crossed paths with the brother of a New York Life sales manager and, despite low test scores on questions related to experience, his determination triumphed and he got the job. Today, that same determination has helped him become one of the benefits industry's experts. He is a pioneer of non-traditional health plans like HSAs and HRAs, and equally authoritative when it comes to packaging classic life and DI policies.
Q: What do you enjoy most about your job?
RS: I really like the challenge of finding the best product mix for the client. I'm known as the "product guy" in my office. I worked closely with several major health carriers in the area, and actually helped a few design their initial HRA and HSA programs that went to market.
I like the flexibility of working for myself. I like that each company provides a new challenge to find the best fit. I also really like the people. I work with a fantastic team of partners and staff.
Q: Is there a specific accomplishment you're most proud of?
RS: I think you'll enjoy this story. Several years ago, I worked with an elderly, African-American veteran who lived in a poor community in Bladensburg, Md. He lived on his own and his entire life savings was just $17,000; I helped him manage those assets. He called me on a regular basis to assist him with his budget and any large items he wanted to purchase. I think sometimes he called just to talk.
A few times I saved him from making overly expensive purchases that were recommended by others, such as a pre-paid funeral, which he didn't need because he was a veteran. I worked with him for three years until the day he died, and somehow we managed to stretch that $17,000 so that he lived comfortably but modestly for those three years. A few months before he died, he said I was a blessing to him. That's not something you hear every day.
Q: What opportunities do you see for the industry in 2012?
RS: On the individual product side, I see two trends. One, there will be far more fee-based life and annuity products in the marketplace. Two, there will be a flight back to guarantees. Traditional whole life and annuities with guarantees will be a cornerstone of most people's insurance and financial plan.
On the group side, I see most of the health care reform law being adjusted and some parts eliminated. I predict that the states with health insurance exchanges that include compensation for the insurance agent will run lower in cost and have a higher satisfaction rate than those who don't. I don't believe the government will be able to hire enough people to answer the millions of calls and service questions.
