Friday, March 22, 2013

Spring-Time: Policy Review Time

According to the calendar, spring has sprung. Although with a foot of snow still on the ground and temperatures still hovering around freezing and below it really doesn't feel like it yet here in the mid-west.
We often think of spring as a time of new beginnings, or a re-birth... the days are getting longer, and it's a time to step up business and get busy living!
That brings us to policy reviews. What does that have to do with spring? Everything! Helping your clients to ensure that their insurance coverage is still adequate is a very important part of your job, and if you haven't already, you should make it a part of your business plan. If you aren't doing it, it's quite possible that some other, savvier professional will do it for you.
The policy review process facilitates an examination of how your clients’ needs have changed (income, marriage, divorce, health, education retirement etc.) and how their life insurance policies have performed since the coverage was purchased. It should include a review of policy ownership, beneficiaries, riders and any applicable sub-account allocations as well.
If you don't know how to get started, MVP can help. Check out our website,, or give us a call.

Tuesday, March 5, 2013

Sooner Rather Than Later: Women Can Expect to Pay More Premium for the Same LTCI Coverage

Gender based differences in pricing for life insurance is the industry norm. To regain profitability, the LTC industry is looking to do the same. According to the American Association for Long Term Care Insurance, female policy holders accounted for nearly two-thirds of the $6.6 billion of LTC insurance claims paid by the industry just last year.

Now is the time for your women clients to purchase LTCI. It is anticipated that before year-end, gender-based pricing will become the norm for the LTC industry. A female policy, with comparable benefits and age to a male policy, is expected to be as much as 20-40% more in premium than the male policy. You already know that women tend to live longer than men, hence they tend to need extended long-term health care more often than men do. So, the risk is larger for women and the LTC industry premiums will begin to reflect this fact.

A spokesperson for a leading LTCI carrier has said that they expect gender-based pricing to take effect as early as next month with their introduction of a new product. The change to gender-based pricing would not effect current policy holders.

So if you have women clients that are considering LTCI, there is truly no better time than the present to make that purchase.