Premium and Benefits - Market Conduct

  • 6. Agreed to Discuss Universal Life Policies
    • Kim O'Brien (Americans for Asset Protection-AAP) said:
      • ... there is a growing problem with universal life insurance policies that is hitting the elderly particularly hard.
      • Due to the low interest rate environment, policies purchased 10 and 20 years ago require additional premiums to stay in force, and the premium hikes are particularly difficult for the elderly to pay.
      • Commissioner Doug Ommen (IA) said:
        • ... he would put the issue on the agenda for a future meeting.
        • the issue might be one for the Market Regulation and Consumer Affairs (D) Committee, as well.

2018-3, NAIC Proc. -  (LIAC) Life Insurance (A) Committee

  • Statement on Behalf of the American Council of Life Insurance to the NAIC Market Conduct Surveillance (EX3) Task Force, June 13, 1988 - Attachment Two
    • .....provide illustrations based on different assumptions. 
    • This would serve to demonstrate to the consumer the effect on future benefits of changes in assumptions.

Proposed Amendment To NAIC Model Advertising Rules

1988-2, NAIC Proceeding

  • IAIS - ICP 19 Conduct of Business
    • The supervisor requires that insurers and intermediaries, in their conduct of insurance business, treat customers fairly, both before a contract is entered into and through to the point at which all obligations under a contract have been satisfied. - [link]
 
  • In its June 7, 1994 Consent Order #94-102, the NJDBI cited N.J.S.A. 17B:30-3 and N.J.A.C. 11:2-23.4 and subsequently fined MetLife $965,555 for MetLife’s practice of misrepresenting life insurance to be retirement or savings plans, particularly in advertisements sent to nurses and other professionals. 

Report of the Metropolitan Life Insurance Companies located in New York, New York as of December 31, 1998 - 44p