Debatable
Q: Was AIG an Insurance Company or Something Else?
Q: AIG – Was AIG an Insurance Company or something Else? And we were told that it was the intention of the Federal Reserve, with the full support of the Administration, to make $80 billion available for the insurance company AIG. — Barney Frank (D-MA) 2009 0210 – GOV (House) – Extraordinary Efforts by the…
Read MoreQ: Where Did They Get Their Information?
Where Did They Get Their Information? With more conservative assumptions, policyholders pay in higher amounts in premiums than are required to pay the death benefits they contract for. Because the premiums earn more in reality when invested than they were assumed to and because the benefit payouts occur less gradually in reality than they were…
Read MoreLapse vs Surrender
Lapse vs Surrender Lapses and Surrender Charges Ideally you would like to compare lapses (no cash value) and surrenders (with cash value). 1994 – SOA – VALUATION ACTUARY SYMPOSIUM PROCEEDINGS – SESSION 8 – Life and Deferred Annuity Liability Models – 32p
Read MoreRewriting History? – Universal Life
Universal Life – Whole Life or Any Plan – History Rewritten Universal Life is not well understood and part of the mystery about it may well be due to a failure in my communication…… …….Universal Life was developed in 1962 as a generic plan, which means that it subsumes all other life insurance products.…
Read MoreMarket Conduct Regulation vs Solvency Regulation
Market Conduct Regulation vs Solvency Regulation Solvency Market Conduct (p12) – Daniel Schwarcz (Associate Professor, University of Minnesota Law School: So, notably, you will see that my testimony was focused on different issues than many of the other witnesses, and that is because it is true that solvency regulation is in many ways the core…
Read MoreTwin Peaks Regulation
Twin Peaks Regulation “twin peaks” “regulation” “reputational” GOV Video – ?? 1st COP Hearing – Sununu
Read MorePlan of Insurance vs Policy vs Contract
Plan of Insurance vs Policy vs Contract Any of the foregoing provisions or portions thereof not applicable by reason of the plan of insurance may to that extent be omitted from the policy. (p243) 1942-Supplement, NAIC Proceedings
Read MoreLow Interest Rate Environment
Low Interest Rate Environment The low interest rate environment poses a significant challenge for life insurers with sizable blocks of liabilities incorporating embedded interest rate guarantees, such as annuities or universal life insurance policies. The industry has reduced its minimum guarantees over time, but products sold when interest rates were higher represent a continue drag on…
Read MoreQ: What Came First Universal Life or Adjustable Life?
Q: What came first Universal Life or Adjustable Life? 1981 0511 – Ventura County Star / NYT – ‘Universal’ insurance making gains – newspapers.com/article/ventura-county-star/146622810/ The Life Insurance Co. of California was the first to sell the universal policies, in January 1979. Its name later was changed to Hutton Life. Adjustable Life Unfortunately the terminology that has developed…
Read MoreQ: Does the NAIC Get Anything Done Without Pressure From Congress?
Q: Does the NAIC get anything done without pressure from Congress? The whole process started in the NAIC, as it had to. If radical changes in the way we illustrate policies were going to be made, they had to start at the NAIC. The NAIC was only too well aware of the fact that sales…
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