CEFLI - Compliance & Ethics Forum for Life Insurers

  • 2. Indexed Universal Life Insurance
    • Don shared with the Committee reported concerns regarding some possible issues with Indexed Universal Life Insurance, and how it is being presented at sale.
      • [Bonk: Don = Don Walters]
    • Also, the Committee commented that the state of Iowa is looking to meet with its domestic insurance companies on this issue
    • ⇒ Next Steps: CEFLI will continue to explore issues associated with the sale of Indexed Universal Life and bring any findings back to the Committee for further review and discussion.  (p7)

2011 1219 - CEFLI - MINUTES Meeting of the Compliance & Ethics Committee - The Compliance & Ethics Forum for Life Insurers - 7p

  • Impactful Ideas to Promote Ethics Awareness
  • Small Group Case Study Discussions
    • Use Real (Sanitized) Cases From Your Own Company
    • Supplement With Industry Challenges (e.g. Underfunded Universal Life Insurance Policies and What Steps Company Compliance & Ethics Professionals Can Take to Help Their Companies Address this Issue)

2019 1025 - ACLI / CEFLI - Meeting the Challenge of Promoting Ethics, Kelly Ireland, Vice President – Compliance & Ethics, Compliance & Ethics Forum for Life Insurers - 29p

  • VI. Indexed Universal Life Insurance Products.
    • In recent months, regulators have expressed concern regarding the manner in which indexed universal life insurance products are being sold to consumers.
    • Some regulators have indicated that these products are being sold on the basis of illustrations that may project rates of return that may not be attainable in all market environments.
    • Also, the complexity of the design of these products poses disclosure challenges for producers as well as consumers.
    • The Committee will be asked to comment upon their observation of the sale of indexed universal life insurance products in the marketplace.
    • The Committee will be asked to comment upon how these products are sold, whether valid concerns exist regarding the manner in which these products are sold and whether additional regulatory guidance may be warranted with respect to illustrations associated with the sale of these products and, if so, what additional steps may be appropriate.  (p3)

2012 0110 - CEFLI - Advisory Committee Meeting -  4p

  • VIII. Indexed Universal Life Insurance Products.
    • Regulators have expressed concerns regarding the manner in which illustrations may be used to  promote the sale of indexed universal life insurance products.
    • The Committee acknowledged that these issues are under review through the Life and Health Actuarial Task Force at the NAIC.
    • Efforts are underway to attempt to address these issues without having to amend the existing Illustration Model Regulation.
    • One of the key challenges pertaining to this issue relates to the question of how a life insurer may illustrate performance of indexed universal life insurance products.  (p7)

2014 1105 - CEFLI - Minutes - Meeting of the 2014 CEFLI Advisory Committee - 11p

  • C. NYDFS Consumer Alert on Universal Life Insurance.
    • The New York Department of financial services recently issued a Consumer Alert on Universal Life Insurance. (See copy attached.) - (p83-85) or dfs.ny.gov/consumers/alerts/universal_life_insurance
    • The Consumer Alert explains universal life insurance products and alerts consumers that their premium amounts may increase.

2019 0328 - CEFLI - CEFLI Compliance & Ethics Committee Meeting - 87p