Life Insurance Premiums Likely to Decline with the new 2017 CSO Tables
Alan Bennett
SVP at Cavalier Associates, Looking Forward To Increase Your Life Insurance Revenue. CA License: 0E73681
Over the past ten years, insurance industry regulators have been developing a new system to determine mandated financial reserves for life insurance companies. The “principle-based reserving” framework has been adopted by all but four states and was rolled out nationwide on January 1 of this year. Insurance companies have three years to transition to the new system. The good news is that premiums are expected to decline as companies make the switch.
The new framework is a major shift in the industry. Traditionally, most insurance products were very similar and regulators used a standard formula to determine reserve requirements. Today, however, companies offer myriad policies with a variety of terms. The older method of calculating reserves is no longer workable, and in many cases has required reserves far larger than necessary... Read More>>
Here is a recent success:
Male-66
Old Policy
585k Universal Life Policy issued 13yrs ago
Cash Value: $130,000
Premium Payments: $11,670/yr
Improved Policy
$750,000 in death benefit
Premium Payments: $9,007/yr
With $15,000/mo. in LTC Benefits
Father | Veteran | Helping to build & protect wealth for families!
1 年Alan, thanks for sharing! It is an interesting perspective.
I specialize in succession planning using sophisticated insurance solutions to mitigate risk & transfer wealth. I bring extensive experience to these planning challenges facing my clients.
7 年Good article Alan Bennett, helpful information that consumers can understand - lower premiums.