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THE GOOD
John Hancock lowered the price of its very competitive "Performance UL" product by as much as 7% depending on age and issue class. This is an accumulation product offered by a carrier that is very strong in older age underwriting. Also, any business you pay for by Dec. 31st will earn a 10% commission bonus!
ING lowered term rates across the board effective Oct. 2nd. Low band policy fees are now commissionable. Also, the company improved its conversion right to the end of the guaranteed term or age 70, whichever is first. ING also lowered prices on its lifetime guaranteed UL product - they are now "top of the heap" and had the largest week in their long history last week.
Banner continues to offer its exceptional "Life Choice UL" product for conversions, but you need to hurry! This conversion offer expires Nov. 30th, after which the only available conversion option will be about 25% more expensive and pay less commission. If you're thinking of converting a Banner term policy now is the time!
West Coast also is offering it terrific "Platinum III UL" product for conversions on policies less than three years old, but only until year end. Then the price goes up dramatically. |
THE BAD
Lincoln Benefit is lowering the comp on its "Tactician Plus" annuity series. It is also abandoning the indexed annuity market it helped pioneer. The index products will be replaced by registered products offered through the Allstate brand.
American National is going to a 1% floor guarantee on its indexed annuity products in those states that will allow it.
John Hancock has withdrawn its "Protection Whole Life" product, effective immediately. It says it cannot continue to manufacture it in this rate environment. Look for others to follow suit. |
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THE UGLY
John Hancock also announced premium increases in its in force long term care block averaging 45%, and as much as 65% in some states. Their claims experience is beyond their pricing assumptions and getting worse. While this increase is based solely on John Hancock's claims, it is going to lead to bad publicity for the other LTC carriers. We are not presently aware of any other LTC writer's intention to follow Hancock's lead, but we urge you to keep up with industry announcements. |
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WHAT'S HOT?
Nationwide's "Your Life No Lapse Guarantee UL" is leading the premium parade between the ages of 40 and 70. Be sure you quote them - and their underwriting is exceptional too!
Genworth's "Total Living Coverage" and Lincoln's "Moneyguard" products are flying off the shelf! These single premium products offer a money back guarantee, up to two times tax free leverage if kept until death, and as much as four time leverage if needed for Long term Care. They pay twice what annuities pay too! If you are not offering linked benefit products as a CD or annuity alternative we guarantee your competitors will be! Call us today for a demo.
Thanks for your business always. |
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