Blumenthal v. New York Life 2009 – LC – Blumenthal v. New York Life  —  [BonkNote] Sutherland  Phillip Stano – Sutherland – Defense Attorney for New York Life 2010 0930 – Sutherland – re: Blumenthal vs New York Life – Court Rejects Suit Alleging Fraud and Negligent Design in the Sale of Universal Life Insurance Policies…

Read More

NAIC – LIBG – Life Insurance Buyer’s Guides – Comparison Chart Words and Concepts 1976 1984 1990s 2000 2018  Scribes – Writers ACLI Life Disclosure Working Group – Chair: Bob Wilcox (UT) 1996-1 NAC Proc. – Mr. Dunlap said that a small group consisting of Mr. Higgins, Brenda Cude  (University of Illinois Cooperative Extension Service),…

Read More

Sandbox UL – Premium – 415 2017/11/15  – ACLI revised draft and letter – Life Insurance Buyer’s Guide Working Group Permanent (cash value) insurance covers you for your entire life – Unlike a term policy, which can end after a specified number of years, permanent life insurance will continue to the policy’s maturity age so…

Read More

Sandbox – UL – Dynamic Products – Raindrop or Umbrella – 414 Raindrop Umbrella    In essence, the model regulation <Universal Life Model Regulation> assumes that at issue, all universal life policies are permanent plans. The r-ratio is meant to measure the extent to which the policy is on track” as a permanent plan. Statutory Valuation…

Read More

Inside Buildup These two meetings, plus the announced intention of some members of Congress and the Treasury Department to consider taxing the inside buildup of cash values, adds a note of uncertainty to our discussion today.  —  Paul J. Overberg 1983 – SOA – Individual Life Insurance, Society of Actuaries – 22p JULY 19, 1985 Impact of…

Read More

Marketing …a great deal of our problem is caused because the people out there marketing our life insurance products are trying to market it against and like mutual funds. Until we start to market it as life insurance and describe it and teach the consumers about life insurance, they’re not in any position to make…

Read More

Deposit Term Modified Premium Whole Life Partial-Endowment-Type Products One could almost argue that Universal Life is an outgrowth of Deposit Term. Most Universal Life policies have initial sales charges, that from a practical sense resemble a deposit term contract, sold with an annuity rider.  —  Fred Jonske 1984 – SOA – Individual Term Portfolio Management, Society of…

Read More

Solvency Failures Insolvent Insolvencies Surplus Notes Solidity (Solvency) During the early 1990s, however, the solvency problems of the life insurance industry increased, climaxing in the failure in 1991 of several large insurers– Executive Life Insurance Company, First Capital Life Insurance Company (EF Hutton) Fidelity Bankers Life Insurance Company, Monarch Life Insurance Company, and Mutual Benefit…

Read More

Regulation 187 Regulation 187 “Best Interest” Suitability A Changing Mosaic in SEC Regulation and Enforcement: BrokerDealers and Investment Advisers https://scholarship.law.uc.edu/cgi/viewcontent.cgi?article=1221&context=uclr The Fragmented Regulation of Investment Advice: A Call for Harmonization https://repository.law.umich.edu/cgi/viewcontent.cgi?article=1017&context=mbelr THOMAS V. METROPOLITAN LIFE INSURANCE CO.: SEMANTICS, FIDUCIARY DUTY, AND AN OUTDATED DISTINCTION https://www.law.du.edu/documents/denver-university-law-review/v89-2/LILES_TO_DARBY.pdf SELLING ADVICE AND CREATING EXPECTATIONS: WHY BROKERS SHOULD BE FIDUCIARIES…

Read More

Suitability There should be suitability rules in place, particularly for cash value life insurance policies to assure that sales of proper products are made.  (p14) —  J. Robert Hunter 2003 0506 – GOV (House) – Increasing the Effectiveness of State Consumer Protection – [PDF-123p, VIDEO-?]  2000 – NAIC – Suitability of sales of life insurance and…

Read More