Archive for June 2020
Ratebook
Ratebook Universal Life is a ratebook and more, all by itself. If you say you have Universal Life, you in fact have more of a product than you probably have in your current portfolio at the present time. — Thomas F. Eason 1983 – SOA – Individual Life Insurance, Society of Actuaries – 22p Adjustable Life -…
Read MoreIndustry Reputation
Industry Reputation Disintermediation Reputational Risk NAIC Current / Recent Working Groups 11/14-15/2014 IULISG – IUL Illustration Subgroup CC, NAIC Proceedings Mr. Ehren (Securian) said it is in the industry’s best interests to provide additional disclosures for IUL illustrations. 11/14-15/2014 LATF 6-63 Greg Gurlick (Northwestern Mutual Life) said that if consumers are not satisfied…
Read MoreWalter Miller
Walter Miller dignitymemorial.com/obituaries///walter-miller 1951-1986 – New York Life Insurance Company 1986-1994 – Prudential Insurance Company (senior vice president and chief actuary for Prudential Preferred Financial Services) We continue to put out these apples vs. oranges illustrations. We’re misleading our policyholders. We are providing the ammunition to make replacements of inforce policies with new coverage that…
Read MoreHistory – Academic
History 1872 – AP – Life Insurance in the Time of Queen Elizabeth. An order given by the Judges of the Admiralty, and confirmed by the Privy Council on 14 March 1587 – 5p 2010 – Book – Investing in Life: Insurance in Antebellum America, by Sharon Ann Murphy 2010 – AP – Capitalist Development and…
Read MoreAetna v. Wisconsin Insurance Commissioner
Aetna v. Wisconsin Insurance Commissioner 1980 – SOA – The Wisconsin Imbroglio, Society of Actuaries – 3p Ed. Note: Several Society members testified in a recent lawsuit in which 14 stock life companies and two field men’s groups sought to prevent Wisconsin’s Insurance Commissioner from requiring that buyers be given (1) a preliminary policy summary…
Read MoreInterest Adjusted Method
Interest Adjusted Method IAM – Interest Adjusted Method Interest Adjusted Index C.L. TROWBRIDGE: My interest in this challenging subject goes back to my membership on the 1970 Joint Special Committee chaired by Jack Moorhead. This Committee proposed what was then known as the interest-adjusted method, which later became the basis of the NAIC approach now…
Read MoreCash Surrender Values
Cash Surrender Values My topic this morning is required cash surrender values for Universal Life products. A few of the questions I will address include: What is the status of NAIC activity in this area? What are the prospects of the NAIC adopting the current ACLI nonforfeiture proposal? As I personally do not believe that…
Read MoreCost Structure
Cost Structure The key to our proof was to bundle the product back up and to look at the guaranteed future benefits. When we did this, we made some interesting discoveries. Perhaps the most important was that the role of the account value and mortality and interest guarantees to define what the policy’s guaranteed death…
Read MoreQ: How Can Universal Life Insurance Be Classified? Permanent / Whole / Term / Other
Q: How Can Universal Life be Classified? Permanent / Whole / Cash Value / Term / Other Why is Universal Life called Permanent or Whole Life? Maybe Universal Life Shouldn’t be Called Permanent or Whole Life How Else Could Universal Life Be Explained? NAIC Drafting Note: Although highly flexible, Universal Life insurance is generally considered…
Read MoreConfusing to People
Confusing If we are going to have a group of consumers of our products who are satisfied with what they get, we have to meet their expectations. Obviously, there are two adjustment points whereby that can be accomplished. One is that you can change the outcome to match the expectations. The other is to change…
Read More