Knights of Columbus LTC

[yankee466]

I could not find any old threads.......so does anyone have any idea what i am up against besides respecting a fellow knight and A++ ratings?

I'll assume decent rates, limited choices, and a captive audience.

Thanks

 

[Arthur Rudnick]

I'll assume decent rates, limited choices, and a captive audience.

Good assumption. Also add a good policy & A++ and that's a tough combination. I remember coming up against them a few years ago and didn't stand much of a chance.

 

[Guest]

Aren't fraternal organizations (like KC) in many states under a "different" section of the various insurance statutes such that they are not held to the same financial reserves or whatever than mutual (policyholder) and investor owned carriers?

(Honestly. It is just a simple question. Please don't reply with a personal attack about how stupid the question is or how mentally unbalanced one has to be to ask it. I admit up front to the moderator that I'm not an expert on LTC.)

 

[Arthur Rudnick]

(Honestly. It is just a simple question. Please don't reply with a personal attack about how stupid the question is or how mentally unbalanced one has to be to ask it. I admit up front to the moderator that I'm not an expert on LTC.)

Actually, that's a stupid question and you are mentally unbalanced to ask it.

- - - - - - - - - - - - - - - - - -
OK Al, just joking..............

Actually, that's a good question and I don't have the answer.

If I had to guess, they may be treated as a self-funded Trust.
I do not believe that Trusts have the same rules & regs as other carriers who fall under the jurisdiction of state DOI.

 

[Guest]

If I had to guess, they may be treated as a self-funded Trust.
I do not believe that Trusts have the same rules & regs as other carriers who fall under the jurisdiction of state DOI.

So do you think there might be more risk (or perceived risk) for writing LTC with a fraternal? That's how I look at it.

Given the volatility of the LTC (carrier) market I feel "safer" with companies that have a long history with this product.

(Disclosure: I don't write LTC... I "give" those cases to a woman who is an LTC expert... all she does... and we split the premium each getting whatever the comp % is... usually 60% (although she is agent of record.) Fair deal. I land the client... she does most of the work. It's "found money" for each of us.)

Al
You can find me here.

 

[Arthur Rudnick]

So do you think there might be more risk (or perceived risk) for writing LTC with a fraternal? That's how I look at it.
Given the volatility of the LTC (carrier) market I feel "safer" with companies that have a long history with this product.

It's all about the Reserves. If the Reserves are adequate then a fraternal shouldn't have any more risk than any other carrier. If K of C ratings are A++, I would have to assume that their reserves are deemed acceptable to the rating agencies for present & future claim obligations.

(Disclosure: I don't write LTC... I "give" those cases to a woman who is an LTC expert... all she does... and we split the premium each getting whatever the comp % is... usually 60% (although she is agent of record.) Fair deal. I land the client... she does most of the work. It's "found money" for each of
us.)

That's pretty much standard procedure in the LTC market. If the 2nd agent (referring agent) is licensed in the state and appointed with the carrier, his/her name can be listed on the app and the company will pay 1st yr & renewals directly.

If the 2nd agent is not licensed in that state then some sort of arrangement with the writing agent must be agreed upon.

Herman, if you can get any type of information on K of C, please share it with us. A copy of a policy or Outline of Coverage is probably asking for too much, but if you can get your hands on that, that would be a big help.

 

[ltcadviser]

So do you think there might be more risk (or perceived risk) for writing LTC with a fraternal? That's how I look at it.

Given the volatility of the LTC (carrier) market I feel "safer" with companies that have a long history with this product.

(Disclosure: I don't write LTC... I "give" those cases to a woman who is an LTC expert... all she does... and we split the premium each getting whatever the comp % is... usually 60% (although she is agent of record.) Fair deal. I land the client... she does most of the work. It's "found money" for each of us.)

Al
You can find me here.

Your partner and you can do a lot better than 60% FYC.

 

[yankee466]

Herman, if you can get any type of information on K of C, please share it with us. A copy of a policy or Outline of Coverage is probably asking for too much, but if you can get your hands on that, that would be a big help.


I'll see what I can come up with....so far the client has only been short and sweet on the phone. "My husband needs to first talk to his fellow Knight"... is about all I got so far. A K of C policy or outline may be as about as elusive as a Humana LTC brochure.

Maybe something like a Cash Alternative or Full cash so they can live in Botswana will do the trick!!!!

Thanks, but it sounds like a tough row to hoe. If Arthur can't beat them, likely no one can.

 

[Arthur Rudnick]

Your partner and you can do a lot better than 60% FYC.

Maybe Al's partner is doing better than 60%????

If Arthur can't beat them, likely no one can.

First of all, it was about 4-5 years ago and I have no idea if what I was up against was a NY specific contract. It may be different in GA.

And, when I met the prospect, I was dressed as a Knight in Shinning Armor. Didn't help. Maybe I should have dressed as King Arthur?

But..... thanks for the compliment.

 

[yankee466]

The knight outfit may be a good idea....as I am not even Catholic.