Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term Care

[DRJCBPA]

Can anyone weigh in on the strengths and benefits of each? I know it is a complex topic, but wondering if NML's product is as good as their life product? I have to make a choice regarding which company to contract with and I have had some great insight from the forum... thank you to those who have helped. I also know if I am with Mass I can easily write outside the company without negative pressure from the GA, but wondering if there is a decent way to compare the two in this product line... Very disappointed with what NML did to their LTD product. In the 80's it was one of the finest on the street. Now it is clearly not a great contract. Wonder if the Long Term Care has suffered from the same illness.

Thanks in advance.

 

[DHK]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

All LTC policies will gradually become more expensive with less benefits.

Why? LTC was not priced appropriately from the beginning. They based claims on disability. Now, with the baby boomers aging as well as their parents needing care... it's just going to get worse.

It's better to have SOME protection in place that's affordable over none at all.

That said, I'd probably choose the company that offers a state partnership policy over a company that doesn't.
IIRC, the MassMutual 500 series is/will be partnership eligible in all states. I have no idea about NML's policy.

 

[rba]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

I would contract with NML. You can always sell a Mass Mutual contract, but ifyou are contract with MML, NML will be unavailable.

NML has product enhancements due out later this year. The Copany has a history of making enhancements available to existing policyowners without new underwriting. They also pay meaningful dividends.

 

[DHK]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

That's one of the stupidest arguments that I've ever seen.

"Contract with company A because you can always offer company B, but if you go with company B, you can't offer company A."

Clients should buy what you present and propose to them - in a way that shows that you listened and made an appropriate recommendation.

Now, which company to choose? I don't have any skin in your game, but I'd pick the company that is the most FLEXIBLE to work with. Out of the 2 you mentioned, Mass is the more flexible to all your recommendations and outside Mass activities.

NML is a "captive" company and (I've heard) very rigid in your recommendations and limits any contracting with outside companies.

Read the proposed new agent contract with each company and verify what each has in writing. Go with the one that's the most flexible to offer what you feel will be in your client's best interests.

 

[CFP83]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

• Both are obviously mutual companies, so it's apples to apples there.
• Both currently pay a divident on LTC.
• Both have never raised rates.
• Both are 150+ year old companies
• Both have identical financial strength ratings

.....with all that said, Mass is on average 35% lower in cost.

A good example of this would be comparing two identical contracts from Mass an NML on a 60 year old male, 150 daily benefit, life-time benefit, automatic inflation increase.

The Mass contract has many more benefit period options.....6 different benefit periods to choose from including a 10 year benefit. NML offers 3 year benefit, 6 year benefit, and lifetime benefit. Finally Mass offers a 10 pay product, Northewestern currently does not yet.....but has one coming soon
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I would contract with NML. You can always sell a Mass Mutual contract, but ifyou are contract with MML, NML will be unavailable.

NML has product enhancements due out later this year. The Copany has a history of making enhancements available to existing policyowners without new underwriting. They also pay meaningful dividends.

wow....I'm guessing you are between a 25 and 30 year old NML agent who has never been with another company in this business, or even educated yourself about other companies in the business. The kool-aid at NML is scary strong so be careful not to be a sheep like 95% of the NML agents. When this happens your clients lose and you become a close-minded company servant.

 

[BNTRS]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

Mass over NML, not even tough. Does mass have an indemnity benefit? I know they have a cash benefit, or used to.

 

[VolAgent]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

Mass over NML, not even tough. Does mass have an indemnity benefit? I know they have a cash benefit, or used to.

I thought basically every policy was indemnity now, you had to pay extra for a cash benefit plan?

But to answer your question, yes, Mass is indemnity. You can buy a rider to have the extra benefit paid out to you.

 

[DRJCBPA]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

wow....I'm guessing you are between a 25 and 30 year old NML agent who has never been with another company in this business, or even educated yourself about other companies in the business. The kool-aid at NML is scary strong so be careful not to be a sheep like 95% of the NML agents. When this happens your clients lose and you become a close-minded company servant.[/QUOTE]

Now then, can I hear from some NML or former NML agents, I know the Kool Aide is strong, I drank it for 16 years but I am wavering this time around and looking hard at Mass predominantly based on the fantastic advice I've picked up here.

 

[BNTRS]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

I thought basically every policy was indemnity now, you had to pay extra for a cash benefit plan?

But to answer your question, yes, Mass is indemnity. You can buy a rider to have the extra benefit paid out to you.

No actually a lot of companies don't have indemnity plans.

 

[rba]

Re: Mass Mutual Long Term Care Vs. Northwestern Mutual Long Term

Actually, I've been in the business for nearly 30 years, including wirehouse and brokerage operations, field staff, and mutual companies.

Each of the other firms has flat out lied either to its field force, or to its clients during my tenure. In my 15 years with NM, that has not happened. One merely needs to examine the priniciples upon which a firm was founded, and then ask whether it has remained true, or perhaps its principles have been muddied or eclipsed by acquisitions.