Degree Of Honor Life Insurance Company?

Fraternal from St. Paul , MN, the trust is optional

Whole Life Insurance
Policy Face Amounts
Ages 50 - 75 between $1,000 and $40,000
Ages 76 - 80 between $1,000 and $30,000
Ages 81 - 85 between $1,000 and $20,000
Table 4, Table 8, Smoker and Non-Smoker Rates
Issue Ages: 50-85 for Table 4 / 50-80 for Table 8
Acceleration of Benefit Rider for Permanent or Terminal Illness*
Establish an "Irrevocable Trust Agreement"** (Designate a trust administered by Degree of Honor. Proceeds paid toward funeral and burial expense.)
 
I've looked at them in the past. A fraternal with no AM Best rating scared me off.

They have a funeral trust just like Settlers. They are much more "relaxed" on their underwriting than Settlers though.
 
Tiny company, customer svc dept ran by 2 ladies. Unrated by AM Best.

I have replaced 4 of their policies, and in all 4 cases they managed to conserve the business by lying to the client. All 4 were phone sales out of their home office in MN. If you do replace make sure you tell them to ignore their calls or hang up on them.
 
A new law just passed in Ohio that you have to have a disclaimer form signed when selling ANY fraternal.it explained that there is NO state guarantee protection AND the members may have to bail out the company in the event of insolvency.

Not good for fraternal sales.

Here is the exact verbiage on the form:

OHIO INSURANCE GUARANTY ASSOCIATION DISCLOSURE STATEMENT
(Name of Fraternal here) IS LICENSED TO DO BUSINESS IN THE STATE OF OHIO. AS A NOT-FOR-PROFIT, TAX-EXEMPT, MEMBERSHIP ORGANIZATION, FRATERNAL BENEFIT SOCIETIES ARE NOT INCLUDED IN THE OHIO GUARANTY ASSOCIATION. THIS MEANS THAT FRATERNAL BENEFIT SOCIETIES CANNOT BE ASSESSED FOR THE INSOLVENCY OF OTHER LIFE INSURERS OR OTHER FRATERNAL BENEFIT SOCIETIES. BY LAW, A FRATERNAL BENEFIT SOCIETY IS RESPONSIBLE FOR ITS OWN SOLVENCY. IF THERE IS AN IMPAIRMENT OF RESERVES, A CERTIFICATE HOLDER MAY BE ASSESSED A PROPORTIONATE SHARE OF THE IMPAIRMENT. THIS PROCESS IS DESCRIBED IN THE CERTIFICATE ISSUED BY THE SOCIETY.
 
A new law just passed in Ohio that you have to have a disclaimer form signed when selling ANY fraternal.it explained that there is NO state guarantee protection AND the members may have to bail out the company in the event of insolvency.

Not good for fraternal sales.

Here is the exact verbiage on the form:

OHIO INSURANCE GUARANTY ASSOCIATION DISCLOSURE STATEMENT
(Name of Fraternal here) IS LICENSED TO DO BUSINESS IN THE STATE OF OHIO. AS A NOT-FOR-PROFIT, TAX-EXEMPT, MEMBERSHIP ORGANIZATION, FRATERNAL BENEFIT SOCIETIES ARE NOT INCLUDED IN THE OHIO GUARANTY ASSOCIATION. THIS MEANS THAT FRATERNAL BENEFIT SOCIETIES CANNOT BE ASSESSED FOR THE INSOLVENCY OF OTHER LIFE INSURERS OR OTHER FRATERNAL BENEFIT SOCIETIES. BY LAW, A FRATERNAL BENEFIT SOCIETY IS RESPONSIBLE FOR ITS OWN SOLVENCY. IF THERE IS AN IMPAIRMENT OF RESERVES, A CERTIFICATE HOLDER MAY BE ASSESSED A PROPORTIONATE SHARE OF THE IMPAIRMENT. THIS PROCESS IS DESCRIBED IN THE CERTIFICATE ISSUED BY THE SOCIETY.


very interesting...I wonder if other states will follow this route
 
A new law just passed in Ohio that you have to have a disclaimer form signed when selling ANY fraternal.it explained that there is NO state guarantee protection AND the members may have to bail out the company in the event of insolvency.

Not good for fraternal sales.

Here is the exact verbiage on the form:

OHIO INSURANCE GUARANTY ASSOCIATION DISCLOSURE STATEMENT
(Name of Fraternal here) IS LICENSED TO DO BUSINESS IN THE STATE OF OHIO. AS A NOT-FOR-PROFIT, TAX-EXEMPT, MEMBERSHIP ORGANIZATION, FRATERNAL BENEFIT SOCIETIES ARE NOT INCLUDED IN THE OHIO GUARANTY ASSOCIATION. THIS MEANS THAT FRATERNAL BENEFIT SOCIETIES CANNOT BE ASSESSED FOR THE INSOLVENCY OF OTHER LIFE INSURERS OR OTHER FRATERNAL BENEFIT SOCIETIES. BY LAW, A FRATERNAL BENEFIT SOCIETY IS RESPONSIBLE FOR ITS OWN SOLVENCY. IF THERE IS AN IMPAIRMENT OF RESERVES, A CERTIFICATE HOLDER MAY BE ASSESSED A PROPORTIONATE SHARE OF THE IMPAIRMENT. THIS PROCESS IS DESCRIBED IN THE CERTIFICATE ISSUED BY THE SOCIETY.


Thanks for sharing this with us.
 
I think they should've done this years ago!!! How's the average client to know this stuff?? And if the agent tells them the customer is thinking he's saying it just to get a sell!!!
 
Thanks -- I'm going to print this off and find those Foresters policies.

Could anybody upload an Ohio disclaimer form for Foresters, RNA, etc?
 
Last edited:
Back
Top