New zero premium life insurance policy/life settlements

I know what my peeps want......freedom of speech and the truth....so far we are batting 50/50 here......
 
It is the most entertaining thing I read each day. I can't wait when I get up in the morning and sit down at my computer with a cup of coffee and read "the latest in this continuing saga".

Frank, all I can say is, you need a bit more excitement in your life if this gets you moving in the AM.

Have you considered watching Richard Simmons dance with the oldies, perhaps?

I know it's just not the same since Dave Garraway & J. Fred Muggs passed on, but let's try & deal with it, OK?

Feel better?

I know I do . . .
 
Speaking of entertainment...one of the funniest shows (other than Seinfeld and Curb Your Enthusiasm) around is old reruns of "The Man Show" (with Jimmy Kimmel).

It's on late at night, and my wife cringes when it comes on. Ah...that "Wheel of Destiny."

Man-Show-02.jpg
 
Speaking of entertainment...one of the funniest shows (other than Seinfeld and Curb Your Enthusiasm) around is old reruns of "The Man Show" (with Jimmy Kimmel).

It's on late at night, and my wife cringes when it comes on. Ah...that "Wheel of Destiny."

Man-Show-02.jpg

I remember my wife storming out of the room when they got to "girls jumping on trampolines."
 
I'm still trying to understand how something like this can work without the insurer risking loss (financial and licensure) and the agent risking discplinary action or suspension of license.

As I understand it, a third party corporation will act as premium payor and principal beneficiary on life insurance policies issued to seniors in certain areas of USA. Agents will receive a "commission" (aka kickback, aka rebate) for the sale. So I have to ask:

- how is insurable interest created between the insured and the corporation? Is there going to be some kind of loan? Is the premium considered a loan due for repayment? If so, doesn't insurable interest have to exist at the time of application, not the time of approval?? If that is the case, then how is the corporation creating the insurable interest since there is no insurable interest until such time as the policy is approved and premiums are paid? And if the premium is in fact the loan creating the supposed insurable interest, how can the insurer justify that insurable interest would be equal amongst the entire spectrum of potential insureds given the age range offered versus standard mortality indices?

Certainly the life expectancy of an 85 year old is substantially less than that of a 65 year old. Yet from what I have read, all plans in this program will offer the 50k deal with 35k back to the corporation. So, certainly it is reasonable to assume that the level of insurable interest would be higher for younger insureds and much lower for the older ones.

Someone posted earlier a rather lengthy rebuttal concerning STOLI/SOLI plans. Yes, they exist, however the one difference is that those STOLI/SOLI plans have an existent insurable interest before the application takes place. In this case, where does the insurable interest exist prior to the approval of the policy? And if no insurable interest exists at the time of application for coverage, the beneficiary has no claim to insure the applicant.

Dave
 
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