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 products out there today do have no-lapse guarantees.
• The 2001 table will help that. The impact of the new mortality table on life-insurance-retirement-planning (LIRP) sales, cash accumulation sales, is that it will lower the amount of money that you can get into contracts, but I think that still makes it a relatively attractive sale long-term.

2003 - SOA - Variable Life—Product and Distribution Issues, Society of Actuaries - 28p