Life Insurance Underwriting Questions

[David Gordon]

Question: DOB= 4/26/1969, male needs 20 or 30 year term for 200k

Height and weight very good, no meds, is a Capt in Vol Fire Dept besides regular job in aerospace tool and die company.

Answer:

Banner Life: offers a drop ticket system via IGO.  You fill out a section and the carrier does the rest.  However, it’s fully underwritten.

Principal Life: drop ticket is available as well as e-app via IGO.  Based on the fact your client appears to be healthy, Principal may waive the exam.

Foresters Life: this Foresters product is fully underwritten.

Protective Life: offers drop ticket or e-app.  The Custom Choice UL has better conversion options and it’s built on a UL chassis.  In the event he doesn’t convert by the end of the term, the premiums remain the same, but the death benefit decreases.  Protective just came out with Accelerated underwriting. But I am noticing that most apps are being denied accelerated and going full underwriting. 

John Hancock Life: prior to having a producer code, you can use an e-app on IGo.  Once you have a code, you can use their drop ticket system available on the Edison website.  JH offers accelerated underwriting, so based on the fact your client is healthy, they may waive the exam.  Includes Vitality…

Prudential Life: offers a drop ticket via IGO.  They are fully underwritten.

Assurity Life – offers an e-app via IGO and should waive the exam based on the fact your client appears to be healthy.

 

Please let us know if you have any questions or concerns.

[David Gordon]

A term policy on a friend that’s in her last trimester of pregnancy.  Protective Life wanted her to take an exam and she didn’t feel like subjecting herself to that, so we switched to John Hancock.  They issued her STD Plus, no meds, no exam…

[David Gordon]

Question:

I have a client who stopped smoking a year ago, she is 70 years old (just turned a few months ago) who is looking for 500K coverage in California.  I want to show her Guaranteed Universal Life products.

I have run quotes with AIG's GUL3 and Mutual of Omaha's GUL product.

 

She has excellent height and weight, stopped smoking a year ago, and no other issues that I am aware of.

 

I have an appt with her on Monday of next week, can you ask your underwriter to find another GUL product (not an IUL or another UL) to find the best rates.  I believe AIG gave the best rates so far but I wanted to see if you have any other carriers that may have better rates.

 

She may be able to spend $1000-$1300/month, but I will be competing with another agent, so I want to get it as cheap as possible.

 

And her mother is still living until 97, so I want a product that will be guaranteed to age 100 or 105 at the minimum.

 

Answer:

AIG will not offer preferred on a client that only quit smoking a year ago.  She would have had to quit at least three years ago to qualify for preferred.  Attached please find the AIG field underwriting guide.  However, AIG will offer standard non-tobacco.  Those rates are attached and are $14,640.30 to age 105.  A slightly better option could be Symetra.  They will go standard plus non-tobacco after 12 months.  That field underwriting guide is also attached.  The Symetra STD Plus rates to 105, also attached, are $14,046.46.  Finally, I ran MOO as well.  STD: $17,416, STD Plus: $16,800, and PFD: $14,217.  However, MOO won’t offer preferred on this client, see attached underwriting guidelines, so they are out.

 AIG: good carrier, we write a lot of business with them.  They also have a couple of ROP options.  I am sure you are aware of this as you ran the illustration.  However, they have been a little tougher on seniors as of late and have also been on the slower side of town.  That being said, nothing wrong with AIG.

Symetra: also a good carrier, we write a lot of business with them also.  They have a good built in chronic illness rider and the client can pay additional premiums for a fantastic rider.  In addition, they are good with seniors.

I will send the complete illustrations for both carriers in a separate e-mail.  Please let us know if you have any questions or concerns.

Attached please find the complete illustrations for both Symetra at STD Plus and AIG at STD.  The pricing is similar, however AIG is a tad more expensive.  As you can see, if she spends $14,046.45 with both carriers, Symetra goes to age 105 and AIG lapses as age 99.  In order to get to 105 with AIG, she would need to spend $14,640.30 annually. 

AIG: offers ROP at 90 and 95

Symetra: has a good built in chronic illness rider vs AIG’s terminal illness rider.

[David Gordon]

Question: Client wants 50K to 100K

20 year term or GUL guaranteed to age 88

She will not take anything less than 50k or anything shorter than 20k.

 California

Female

DOB 12-3-1950

Has HBP takes 1 medication to control it.
Has Rehumatiod arthritus diagnosed 16 years ago and takes Hydroxychloroquine.  Fully functional, exercises regularly. 
Type 2 diabeties diagnosed 12 years ago, perscribed metformin, and has A1C reading of 5.7. 

Answer:

Good morning Agent.  Both Prudential and John Hancock will consider offering standard.  However, neither company will offer 50K on term.  Their minimum death benefit is 100K and the maximum term available is 15 years.  As such, we ran John Hancock’s Protection UL both with and without the Vitality Rider.  The death benefit is guaranteed for 24 years and carries to age 120 at 4.95%.  The Vitality rider could allow her to save a few bucks and earn points towards rewards such as Caribbean Cruise Lines and Hyatt Hotel stays.  Attached please find some program highlights.  If you sell the Vitality rider, JH will pay you an additional 10% in compensation.  However, if she doesn’t feel like dealing with it, the product looks great without the rider as well.  Please let us know if you have any questions or concerns.

 

 

[David Gordon]

Question: NAAIP - Please tell what to sell. 

Male, non-smoker, 36 years of age

5’ 8” 210#

No meds, no health conditions

DWI 4/14 and two DWIs in 2010

 What company at what rate class should I use for $300K of 20 year term?

Answer:  had our underwriter work on it. Here is where we are currently:

Prudential: possible Table F
Columbus Life: declined
Principal: declined
Nationwide: declined
Protective: declined
AIG Life: declined
Minnesota Life: declined
Mutual Omaha: declined

Here is some other feedback:
1.      Client must wait 10 years if he admits to currently drinking
2.      Client can apply with the carriers on attached when it’s been 5 years  AND states that he is not currently drinking
3.      Client can apply for a simplified issue product

Please let us know if you have any questions.

[David Gordon]

Question: He is in good health 33 years old. 6"3" 285 lbs and smokes 1 cigar a month. Looking for a 20 year $250,000 term. Can you direct me to a company and tell me how to get appointed? 

 

Answer: 

https://www.naaip.org/john-hancock-insurance is your best bet as they are among the least expensive for his height and weight whether or not you choose Vitality and he can smoke as many cigars as he wants and still be considered non-smoker.

in our iPipeline tool at the bottom of www.naaip.org and all subpages - There is an underwriting tools in Term and UL Quotes and submissions - iPipeline. www.naaip.org/banner-life looks good but based on client be able to smoke many cigars JH is best. 

With JH you would register for the eticket and login in the NAAIP back office and submit the sale. There is a decent chance it will be accelerated underwriting as well. 

https://www.naaip.org/john-hancock-life-expresstrack-2-pages-1.pdf

Symetra is a great company. They have a solid built in chronic illness rider and the client can pay additional funds for an even better one. AIG and ANICO have guaranteed ROP options which are nice. ANICO offers great living benefits too. 

[David Gordon]

Question: On a term policy, if someone dips is he considered a tobacco user for rating him or not?

Answer:  John Hancock, Prudential, and Lincoln Financial Group will consider STD NS

JH is my favorite carrier - they only go up to 20 year term - not 30 year. but through us it is good compensation. 

[David Gordon]

Question: - I am looking for a first to die term policy  for my client?

Answer: www.naaip.org/assurity-life offers a 1^st to die whole life product, but not term.

https://www.naaip.org/protective-life offers a second to die term product, but they do not offer a first to die rider.
I am not aware of any carriers that offer a 1^st to die/joint term product.

 

[David Gordon]

You should be able to submit Banner on iPipeline now with your code pending.  Your contracting has been submitted.  If you are having issues, you can contact iPipeline at 800-641-6557. 
You must have a writing code to submit to Lincoln.  That is pending

[David Gordon]

Question:  need IUL for 43 yo male felon in in VA

firearm conviction which includes malicious wounding .. firing into a residential dwelling.

convicted of felony...was 4 years and 8 months in jail. not on probation.  was released 2015.. and had no probation.. it was domestic with brother..

 wants an IUL and put between 11 and 12 thousand in there...male 43 years old .. non smoker.. good health....2 small children... ... he owns a tree company.. that knocks down trees..

and wants to put that 11-12k in every year.. he can show plenty of income on tax returns....

agent tried with North American and got declined because of felony.. and seems to want about 500k - it could be that does not need so much life insurance and needs retirement pension at age 65..

Answer: 

We just received this from Transamerica:

TRANSAMERICA:   follow-up to our d/c………

tentatively table –B- possibly standard  provided single charge, no history depression, no alcohol abuse  or alcohol criticism, no adverse MVR etc.    Keep in mind that he could be declined as well, but certainly worth submitting an application.

The following companies have declined due to felony conviction with firearm.

Nationwide, Minnesota, Banner Life, Principal Financial Group and AIG Life. 

Banner Life may offer 2025 after 10 years have passed since released, so not until 2025.

COLUMBUS, Mutual Omaha AND PROTECTIVE: declined as well

Good morning Agent.  Unfortunately we are not having any success finding a carrier for this client.  A few have yet to respond, but it’s not looking good.  If we get some interest, we will let you know.