Best Whole Life Plan?

[LGilmore]

The AIG response is also in here. The insurance division was in absolutely no danger of failing. AIG is a multifaceted international concern, it is not a single company. Their mortgage company went tits, not their insurance company. Part of the reason for the bailout was that the corporation couldn't use the insurance company's reserves to bail out another arm of the corporation. Insurance laws prevented that. If you go back to page 6 or so of this thread you'll find comments on the subject.

And I was replying to your post above mine. At this point it appears you're just rehashing stuff that was about 6-7 pages back. Your questions have already been answered back there when we were responding to another poster who was making similar statements.

Most states don't want agents to use the SGA as a sales tool, and honestly if you're talking about it, bringing it up, you're using it as a sales tool.

 

[Newby]

Newby- can you spell out exactly how the Sga works as versus FDIC? Do you know the process for filing if an insurer goes bankrupt- how does the policyholder file a claim and how long generally would it take the SGA to answer the claim?

You do realize there are 50 states and so 50 different organizations and they all have different rules?

Here is where you can research a lot of your questions if you are so inclined. http://www.nolhga.com/factsandfigures/main.cfm/location/stateinfo

 

[tbrennan14]

LGilmore-Not rehashing, the thread took off on it's own. Was hoping more people would list the top ten carriers, have only seen four or five. As for the SGA I wouldn't expect someone to delineate the procedures for all 50 states, just a general protocol for what happens when an insurer caves and policyholders are left wondering what procedures to follow.

 

[VolAgent]

LGilmore-Not rehashing, the thread took off on it's own. Was hoping more people would list the top ten carriers, have only seen four or five. As for the SGA I wouldn't expect someone to delineate the procedures for all 50 states, just a general protocol for what happens when an insurer caves and policyholders are left wondering what procedures to follow.

While I am sure there are other companies, the best known of the top tier in no particular order are: NYL, Guardian, NWM, Ohio National, Penn Mutual and Mass Mutual.

Also, the SGA will inform the policyholders of what to do if it ever comes to it. For most, it will be about the same as when the FDIC takes over a bank. You'll get a notice that your new insurance company is now X. Please remit all payments to them and contact them regarding any service issues. It is very rare for the SGA to have to back-stop a company, they can generally sell it off. If they had to run it, ala Executive Life, then they would inform the policyholders of any new procedures and who to contact.

Obviously it isn't always smooth and some people will experience bumps along the way. For many though, it'll just be a new name on statements, a new address for payments and a new number to contact.

 

[LGilmore]

"Was hoping more people would list the top ten carriers, have only seen four or five."

Again there is no real numerical order to show you. There is a grouping of companies that offer WL that are as highly rated as can be. But I guess, are you asking so you can join one of these companies or what? Some of these companies are captive only. Others offer brokers a chance to write them. As an independent I write with those companies. Can't write with the ones that require captive.... No problem talking to clients about companies in this tier and I explain why I write with who I do.. They would not be worse off with a captive agent company, they just wouldn't get the policy through me... Works very well actually.


"As for the SGA I wouldn't expect someone to delineate the procedures for all 50 states, just a general protocol for what happens when an insurer caves and policyholders are left wondering what procedures to follow. "

Maybe because this is such a rare occurrence I suggest you visit your state's OIC and either look around or simply call and ask the question. They will tell you exactly how it works.... Don't be afraid of your OIC, I often call to make sure I am clear on something if unsure. Better to do that, then go off of possible bad information here.

Let us know what you find out about your state. cheers.

 

[tbrennan14]

lgilmore-gotcha on the OIC, what imo do you use for your whole life carriers-yes, obviously I am looking to sign up

 

[scagnt83]

WL is not like term. With term, everyone out there has a policy. And they are all pretty much the same for the most part.

But WL can be a very different product from company to company. There just arent a lot of high quality dividend paying WL companies out there.

As far as the SGA. Go to their website and read it for yourself!!!! It breaks it down very simply for you. Google is your friend. How do you think other agents learned?

 

[LGilmore]

As an independent, I use Guardian. There are a couple others independents can use that want a mutual company that offer a good solid whole life, their names escape me right now. One I was thinking of, but the regional GA turned me off.

Guardian has a good whole life product, does well, has a good track record. Others might be able to "split atoms" explaining "why" one is superior to the other, but really beyond a certain point, it really doesn't matter if a client is in one of those stronger companies for their WL. They will all do well and that is a great thing for this industry, because the day we have one outshine all the others, we're in for a spot of trouble. We actually want our industry to be strong and remain strong. One company can't carry the rest.

 

[timcomp]

I think that AIG sells GUL, but not participating WL.

 

[LottieGarza]

Life insurance plans are sometimes referred to as temporary life, there are fixed amount of time for life insurance plan, after that time the policy will increase yearly where it becomes unaffordable or policy terminates.