fyi...I was illustrating absurdity by being absurd.
I'm sorry that my sarcasm was too subtle for you to grasp.
I didn't think I'd have to explain to anyone that I was being sarcastic about Exxon leaving the oil business.
(palm in face)
Genworth Suspension Notice for MA & NH
- Thread starter aclaro
- Start date
fyi...I was illustrating absurdity by being absurd.
I'm sorry that my sarcasm was too subtle for you to grasp.
I didn't think I'd have to explain to anyone that I was being sarcastic about Exxon leaving the oil business.
(palm in face)
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Yes your sarcasm was lost on me... especially since you mixed it in with actual quotes from the article like it was part of it...
Also, Exxon does more than just oil. They are a leader in NatGas and have a strong chemical division.
Genworth actually is seriously considering leaving the LTCI business. So I have no clue how you would consider someone doubting the future of their LTCI business absurd. Im not talking about rumors, we are talking about actual statements made publicly on conference calls or by board members.
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By not applauding Genworth's decision to take $541 million from profits and put it into LTCi reserves, you're siding with those in corporate America who want to screw policyholders and just reap profits from policyholders instead of paying claims.
Genworth has put paying policyholders' claims BEFORE corporate profits!
That says a helluva lot!
Much like SCagnt83 pointed out GW fulfilled a LEGAL requirement to meet reserves requirement. This was not done out of the "goodness" in their hearts. but because the government required it.
So shouldn't you be singing thank god for government oversight, it is protecting GW policyholders.. ???? I mean if you handing out praise and all.
Genworth has put paying policyholders' claims BEFORE corporate profits!
That says a helluva lot!
Much like SCagnt83 pointed out GW fulfilled a LEGAL requirement to meet reserves requirement. This was not done out of the "goodness" in their hearts. but because the government required it.
So shouldn't you be singing thank god for government oversight, it is protecting GW policyholders.. ???? I mean if you handing out praise and all.
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As a free market believer I really hate agreeing with this comment...
Once again, your post falsehoods. Just do a little bit of research before you make posts that are completely false.
Instead of believing your general agent's bullsh*t, just read the transcript from the Investor Conference Call from Nov. 6th.
The CEO clearly states:
"We believe staying in the LTC business is the right decision for three reasons. First, in our opinion, the best way to improve near-term performance of these legacy older blocks of business, which were written over a decade ago, is to continue to work with regulators on premium rate increases to limit losses and improve returns. We believe that our commitment to the LTC business is a positive catalyst towards continuing to obtain these premium rate increases....
Second, we believe our new LTC products have strong returns and manageable risks.
And third, we believe there is future demand for LTC insurance as Americans seek to mitigate long term care costs in retirement and there are a limited number of providers.
On that basis, we remain confident that over time the LTC insurance business can become a very good business for Genworth."
And, Arthur, since you probably don't know, since Genworth is a publicly traded company, the CEO can't mislead investors on a conference call... if he did he could go to federal prison. They can't just do a 180 degree turn and stop selling LTCi because they feel like it next year. It's a publicly traded company and the CEO has to follow SEC regulations and be completely truthful about the company's plans.
P.S. You don't even have to read the entire transcript. Just go straight to the CEO's "summary" at the end where he outlines the company's long-term strategy.
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First, I have no General Agent... I do my own research and trust IMOs like I trust a rattlesnake.
I am well aware of what the CEO stated on his investor conference call.
What I was referring to were comments that individual board members made in interviews with stock analysts earlier this year.
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Scott, its a good thing you were not on the titanic because you never would have made it to one of the life rafts with the way you buy into the company coolaid.
If you did "a little bit of research" like you suggested I do... you would know that the CEOs comments on the Nov 6th conference call infuriated stock analysts because they were not in line with previous comments the CEO had made on conference calls earlier in the year and in 2013.
The disconnect of the Nov 6th call with his previous calls was one of the main reasons for their debt rating downgrade. One month everything is rosy and all financials are in order... 6 months later they need $500mill in cash to keep the reserves at their legally required levels... 6 months ago board members are telling analysts that they are considering discontinuing LTCI sales... 6 months later the CEO announces a "commitment" to the LTCI business despite all of the financial hardships it is causing...
Again, I am not saying this is bad for existing policies. I am saying it is a possible negative for the future of GWs LTCI biz. I know that you have a hard time separate those two concepts (or you just like to mix them together to make opinion seem close to accurate).
I have stated on this forum years ago that GW was shopping their old LTCI blocks of business. You swore up and down it was bs... but look at how much new revenue they are loosing to those old blocks you swore were financially sound. The only reason the blocks of biz are not still on the market is because everyone knows they are toxic assets...
You can choose to believe a CEO who is already being accused of misleading investors. I will choose to believe the facts as they come to light and interpret them in a logical manner.
(and my facts do not come from GAs or uplines as you maliciously claimed.... which you already knew that... you just wanted to attempt to make me look bad)
How many times do you need to make false statements?
Just because you refuse to face the facts, the facts are still the facts.
It was on the August 2013 conference call when the Genworth CEO said they were reviewing whether or not they should stay in the LTCi business.
http://howardgleckman.com/2013/08/m...reassess-the-business-amidst-more-rate-hikes/
In November of 2013 the CEO of Genworth said they were NOT getting out of the LTCI business. (That was 4 conference calls ago). No such statement was made in the August or the May or the February conference calls of 2014.
You need to get up to speed. You're more than a year behind on your facts.
Genworth CEO RE Long-Term Care Insurance - Forbes
There is such a thing as the internet.
You can easily search things and find out the truth, if you really want the truth.
:-)
p.s. I did not know you don't have a general agent. I don't even know your name. I just assumed you did have a general agent due to some of the statements you make. Only a general agent would make some of the non-sensical statements you've made.
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It was reported earlier THIS year from board members that they were considering AGAIN if they should exit the LTCI business. Mainly because of the huge unexpected losses they were being hit with on older blocks of business.
I guess I'll have to take your word for it since you won't reference any source.
If your source is your general agent, just send me his name/number and I'll verify it with him. The word of a general agent is good enough for me.
All kidding aside, this statement does not make sense:
"...they were considering AGAIN if they should exit the LTCI business. Mainly because of the huge unexpected losses they were being hit with on older blocks of business..."
Exiting the LTCi business would NOT stop the unexpected losses on older blocks of business.
If they stop selling new LTCI policies they would STILL HAVE the unexpected losses on older blocks of business.
I don't think a Board member of a Fortune 500 company is dumb enough to make such a statement. Board members of Fortune 500 companies usually have some business acumen.
Why would a Board member say, "We are stopping the sale of new LTCi policies, which are profitable, because we're losing money on the older policies which are not profitable?"
hmmmm..... it doesn't take a genius to figure out the problem with that sentence.
This is why I believe you are told this B.S. by a general agent, because a normal person with modest skills in logic wouldn't believe such nonsense. You have to throw out all reasoning and logic to believe what you say. But, to be fair, that's what most insurance agents do--so you fit right in.
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Funny how you rip on GAs when you are one yourself.... but I guess who better to tell us about the BS from GAs than straight from the horses mouth...
I read the comment on multiple financial news outlets over the summer. And you need to work on your reading comprehension. I never said the comment was "we are stopping sales".
Board members make off the record operational comments to the financial press all the time.
Stopping new sales would do nothing for the old blocks. What it would accomplish is to stop possible future bleeding since they still have no clue if the new blocks are toxic or not. From a board members standpoint, why sell an iffy product when you have proven money makers you could push instead.
But dont worry Scott. Everything is just rosy in Genworths world. They will do so much revenue with the recent rate reductions and the 100s of new regional wholesalers that they will turn that junk bond rating into a AAA in no time....
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