ING Announces Changes to Term Life Insurance Platform

[STIBROKER]

just got this......

[FONT='Arial', 'sans-serif']Upcoming Term Life Insurance Changes Help Maintain Integrity and Complement ING's Accumulation & Protection Focus[/FONT]
[FONT=Arial,sans-serif]As the market continues to change, the ING Life Companies (ING) remain committed to offering a range of accumulation and protection life insurance products to meet client needs. It is ING's intention to offer a solid Term life insurance value proposition that includes pricing integrity, underwriting clarity and fulfillment options. [/FONT]
[FONT=Arial,sans-serif]To help maintain this value proposition, and to be more in line with our peers, we are announcing the following adjustments to the Term life insurance platform: [/FONT][FONT=Arial,sans-serif][/FONT]
[FONT=Arial,sans-serif] [FONT=Arial,sans-serif]Term Informals
[/FONT][FONT=Arial,sans-serif]Effective March 11, 2013, ING will no longer accept informals on ING TermSmart and ING TermSmart*NY or ING ROP Endowment Term and ING ROP Endowment Term*NY. Should you have a special situation that requires the use of an informal, please contact your ING sales representative.[/FONT]
[FONT=Arial,sans-serif]As an alternative, we continue to offer Quick Quote, WEBRAE (ING only) and XRAE (multiple carrier) to provide a preliminary assessment on Term life insurance quote requests. Access these tools on the ING for Professionals web site by clicking on "Manage My Business > Underwriting Quick Quote."[/FONT]
[FONT=Arial,sans-serif]Term Commission Changes[/FONT][FONT=Arial,sans-serif][/FONT][FONT=Arial,sans-serif]Effective May 1, 2013, commission rates for the ING TermSmart and ING ROP Endowment Term series of products are changing, as follows:[/FONT]
[FONT=Arial,sans-serif]Outside New York
[/FONT][FONT=Arial,sans-serif]A 5% reduction in first year commissions is being made at all compensation levels. In addition, a 1% reduction will be made in years 2-4 for renewals.[/FONT]
[FONT=Arial,sans-serif]New York
[/FONT][FONT=Arial,sans-serif]A similar reduction is being made, but it is spread across renewal years on various compensation levels. Since it differs by product, please refer to your updated commission schedule for specifics.[/FONT]
[FONT=Arial,sans-serif]Updated Compensation Grids & Schedules [/FONT][FONT=Arial,sans-serif]Effective May 1, 2013, commission rates for the ING TermSmart and ING ROP Endowment Term series of products are being reduced. Please refer to your updated commission schedule for specifics.[/FONT]
[FONT=Arial,sans-serif]Updated compensation grids reflecting these changes will be available March 25, 2013 and updated compensation schedules will be available April 15, 2013. [/FONT]
[FONT=Arial,sans-serif]Transition Information:[/FONT]

• [FONT=Arial,sans-serif]Current rates will be paid on applications signed and dated before May 1, 2013 and received at the ING Service Center by May 10, 2013.[/FONT]
• [FONT=Arial,sans-serif]New, reduced rates will be paid on all applications signed and dated on and after May 1, 2013 or received after May 10, 2013.[/FONT]

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[InsuranceMonkey]

ING is struggling right now. With an upcoming IPO, they have been cost cutting, cost cutting, cost cutting trying to tighten up finances as best they can for initial offering to investors. The layoffs have not been pretty.

 

[dgoldenz]

I've noticed that their rates don't seem to be all that competitive anymore. Have rarely put them on a quote lately.

 

[Larry Tew]

A lot of companies are watching their product margins these days. Jackson just dropped a couple of FIAs and reduced commission on the remaining ones.

 

[JGold814]

They've changed their life insurance market quite substantially. They got rid of the 25 and 30 yr options and no longer have a guaranteed UL product.