Words – Page 13 – [BonkNote]

CSO On the regulatory front, we have 2001 CSO coming into play. That will help UL writers and variable life writers. It reduces the cost of reserves when we provide guarantees to clients. However, the impact on term and UL is probably moderate, probably low. On the variable life side, a number of variable life…

Fatally Flawed This deficiency led one NAIC group to conclude that the system of relative cost disclosure was “fatally flawed and seriously defective.” 1995 – JIR / NAIC – Symposium on the Regulation of Life Cost Disclosure and Market Conduct, by Tom Foley and Carolyn Johnson – 48p First to comment was Sen. Howard Metzenbaum…

Risk Classification 1980 – SOA – Risk Classification, Society of Actuaries – 18p 26. Five sets of congressional hearings have been held on a bill introduced by Senators Hatfield and Packwood and Representative Dingell that would prohibit classification on the basis of race, color, religion, sex, and national origin. Most of the testimony from the…

Integrated Contract 1985 – LR – An Examination of the 1984 Requirement That All Insurance Policies Must Qualify as Integrated Contracts Pursuant to State Law, by James R. Burkhard – Drake Law Review, Volume 34, Number 4 – 52p 1984 – GOV – GENERAL EXPLANATION OF THE REVENUE PROVISIONS OF THE DEFICIT REDUCTION ACT OF 1984

Special Plans 1982-2, NAIC Proc. – A new exposure draft of a revised model regulation has been prepared by the staff of the American Council of Life Insurance [ACLI] The following are among the principal features incorporated in the revised draft: The introduction of the concept of a nonguaranteed element to measure the extent to which…

Linton Yield Albert Linton James Hunt Richard C. MURPHY: One of your charges was to comment on the use of the Linton yields for dissimilar plans and to compare the costs. Has your group made much progress on that issue? William SNELL, Northwestern Mutual: We have looked into that and are not ready to comment…

Capital Formation Second, an adequate flow of long-term capital is a critical need of a free society. Indeed, many of the problems this country is experiencing at the present time are reportedly due to the fact that we don’t have an adequate flow of long-term capital. Whole life for over 100 years has been a…

Numeric Summary Illustrations and Premium Limits The NAIC Life Insurance Illustrations Model Regulation requires a basic illustration to consist of a numeric summary of the death benefits and values on three bases: Here is an example. The policy illustrated below is $100,000 specified amount with a $60 policy load, assessed monthly. The guaranteed interest rate…

Yield Index Yield Index Advisory Committee – NAIC 1989 – SOA – What Will Be The Life Insurance Products Of The Future, Society of Actuaries – 18p 1987 – SOA – Regulatory Update, Society of Actuaries – 26p The NAIC Yield Index Advisory Committee was started in the middle of 1984 at the behest of the…

Promises At the 1986 Annual Meeting of the American Council of Life Insurance ACLI Chairman John Pearson stated: Our products must do what we say they do. Our companies must fulfill their promises. All the words in the world – the best government relations, the best public relations-will not be enough without performance. (p2) 1987 01…