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  • In 1985 a committee looked at problems associated with sales of annuities coupled with life insurance.
  • One suggestion was to prohibit the sale of combination products.
  • Another suggestion was to review the advertising rules to clearly indicate the joint responsibility of insurers and agents in the area of abusive sales practices.

1985-2, NAIC Proceedings

  • LC - Walker vs LSW - One Fee 
  • 1988 0325 - GOV (Senate) - Tax Treatment of Single-Premium Life Insurance, aka Single Premium Life Insurance
    • [PDF-199p, VIDEO-CSPAN] -> Not on govinfo.gov
    • (p13) - 
    • Senate - Committee on Finance -  Subcommittee on Taxation and Debt Management
  • I do think that analogy could lead you to some very incorrect conclusions.
  • The principal one that I would address is the question of "honesty".
  • There are advertisements for back-end loaded Universal Life products which say things such as,

     

    "A product in which there is no expense charge to the persisting policyholder".

  • That language is artfully worded to convince the person who buys that there is no expense charge.
  • That is obviously not the case in actuarial pricing.
  • There are expenses and they will be amortized one way or another.

-- Thomas Eason

1983 - INDIVIDUAL LIFE INSURANCE, Society of Actuaries

  • 1961 - ADV - General American Life Insurance - Economaster Policy - Wives sometimes object to Life Insurance..... Widows Never Do!