Posted by:
Adam Cavalier on 4/23/2013
The recent announcement by Northwestern Mutual of a limitation on first year premiums is but the latest chapter in the saga of the current economic environment and its impact on the life insurance industry. The extended period of low interest rates combined with the anticipated continuation of low rates for the foreseeable future is pushing carrier after carrier to make some tough decisions.
Posted by:
Jeff Reed on 10/23/2012
Aside from being able to quote one of the most quotable individuals in history, why would I feel compelled to make such a comment? It feels just like 2010, that's why. Rather than get into all the similarities (which are staggering in number), today's focus is on one of the budget proposals on the table for 2013 that includes language that could very easily cause the inclusion of ILIT held assets in a decedent's taxable estate.
That's right. Included, not excluded. Sound like a problem? You bet.
Posted by:
Jeff Reed on 10/16/2012
We all know there is a large amount of Whole Life business on the books that has been significantly impacted but the recent economic environment. We have all talked about decreased dividend scales and their impact, but there is another danger lurking for some of these contracts: clients who have not been able to make their premium payments.
Posted by:
Jeff Reed on 10/9/2012
Conventional wisdom from the underwriting community will usually limit a proposed insured with a history of Transient Ischemic Attack (TIA) to no better than a Standard Nonsmoker offer. There is at least one carrier out there, however, who has a more progressive approach to this history. If enough time has gone by since the incident, and the balance of the client's medical history is favorable, there may be a Preferred offer out there, just waiting for you to apply.
Posted by:
Jeff Reed on 10/2/2012
We spend a lot of time in our business talking about all the creative solutions that are out there for business owners and executives. The unfortunate truth is the majority of our clients will never be able to use them. Why is that? How many of your small business owner clients are C-Corps? Go ahead and count. I'll wait...