How bad is Table 10?

[Chuckler]

Just got a policy approved, went to reinsurance and came back at Table 10...sounds bad.

 

[somarco]

Just got a policy approved, went to reinsurance and came back at Table 10...sounds bad.

Bad is a subjective term.

What does your client think of the offer?

 

[DHK]

You mean that they were approved under normal terms for someone in their health?

 

[Chuckler]

well, the coverage was for $100,000, and the annual premium only went up by $300. I don't know how they feel yet, but the policy owner is okay with the additional cost.

I guess I wanted to ask (since this is what my superior explained) is it so bad they probably won't be approved for life insurance coverage by anyone else if they tried to apply elsewhere in the future?

 

[LostDollar]

Caveat, not an agent.

Here is one broker's explanation:

https://terminsurancebrokers.com/table-j-10-high-risk-life-insurance/

 

[DHK]

well, the coverage was for $100,000, and the annual premium only went up by $300. I don't know how they feel yet, but the policy owner is okay with the additional cost.

I guess I wanted to ask (since this is what my superior explained) is it so bad they probably won't be approved for life insurance coverage by anyone else if they tried to apply elsewhere in the future?

That may be very true - other than guaranteed issue policies.

Table ratings often increase the premium by 25% for each table. Table 10 = 250% increase.

Are you sure it's only a $300 increase? Or did you mean $3,000? Or was it $300 extra per month?

Remember they were approved under normal terms for someone in their health. They just aren't in standard health.

 

[DayTimer]

Just got a policy approved, went to reinsurance and came back at Table 10...sounds bad.

"Congratulations!" (This assumes they want the insurance so that it will help them fix or avoid a problem and that they truly understand and accept the need).

 

[Chuckler]

That may be very true - other than guaranteed issue policies.

Table ratings often increase the premium by 25% for each table. Table 10 = 250% increase.

Are you sure it's only a $300 increase? Or did you mean $3,000? Or was it $300 extra per month?

Remember they were approved under normal terms for someone in their health. They just aren't in standard health.

yeah, I ran the illustration. Original was $1,108 (annual premium), and now standard table 10 it’s like $1,400-ish. It’s a whole life policy. I’ll let you know when the policy prints if it comes out differently.

 

[Chuckler]

Caveat, not an agent.

Here is one broker's explanation:

https://terminsurancebrokers.com/table-j-10-high-risk-life-insurance/

Thanks! That was super helpful.

 

[DHK]