Geez Genworth, Your Comdex Score is Now a 61

[trustandadvice]

Moody's Rating Action: Moody's downgrades Genworth (sr debt to Ba1) following LTC charges; outlook negative

Global Credit Research: 11 Feb 2015

"Moody's stated that given the negative outlook on the company, an upgrade over the near term is unlikely. However, the following could change the outlook back to stable: 1) significant LTC rate approvals and/or other actions that help grow margins in the legacy LTC book of business; or 2) progress in improving profitable life insurance sales. Conversely, factors that could cause downward pressure include: 1) Further deterioration of the margins on LTC reserves, increasing the probability of a material reserve charge in the future; 2) denial of LTC rate approvals by regulators, pressuring reserve adequacy of legacy LTC business; or 3) a lack of progress in improving life insurance sales."

 

[magnusblack]

You shouldn't miss-quote a document that is so easily found.

shame on you.

Looks like he did a pretty good job of summarizing the premium increases. He didn't misquote it at all. He even referenced the source.

 

[pfg1]

I didn't read all the posts here, but just thinking about Genworth and their relatively quick fall from a top rated company to obviously not so good right now got me thinking...

Seems that alot of agents put quite a bit of emphasis on Comdex score and ratings because "why would you want to sell a company with lower ratings, or a comdex below 90 (or whatever your # is)".

The premise is that it would be a bad move for our clients and for us as agents to put them in a borderline company.... and we should only use A rated companies with 90+ comdex.

Well, if you sold Genworth a few years ago...that was exactly where you stood and probably with confidence that may even have been your pitch to clients. I'd bet nobody would have predicted their comdex dropping 30pts, along with the downgrades, etc., in a short timeframe.

Who's to say it couldn't happen to most any company in a similar fashion?


I have no dog in the fight here with Genworth, just some food for thought as I see people constantly talking about Comdex and ratings as one of the primary ways they decide what companies they sell.

 

[Mr_Ed]

Looks like he did a pretty good job of summarizing the premium increases. He didn't misquote it at all. He even referenced the source.

he certainly did misrepresent Genworth's rate increase history.
take a closer look!

 

[trustandadvice]

Let us prepare the Supreme Court paperwork!!!

 

[Mr_Ed]

Let us prepare the Supreme Court paperwork!!!

when you described their rate increase history you left out about half the data.

 

[yankee466]

Why debate Genworth, when Hancock is about to release their Performance LTC product next week in most states. Billed as the lowest cost 3% compound LTC plan on the market (cheaper than MOO...and no more CPI option)...and with "performance credits" in their portfolio, the premium should reduce to Zero by the time you are 80...and if you never use it, the credits can actually generate a refund of premium. Not to mention their wonderful Comdex scores!!!

If it all sounds to good to be true, then it might be...but it should be interesting.

 

[Arthur Rudnick]

originally posted by yankee466

Why debate Genworth, when Hancock is about to release their Performance LTC product next week in most states. Billed as the lowest cost 3% compound LTC plan on the market (cheaper than MOO...and no more CPI option)...and with "performance credits" in their portfolio, the premium should reduce to Zero by the time you are 80...and if you never use it, the credits can actually generate a refund of premium. Not to mention their wonderful Comdex scores!!!

If it all sounds to good to be true, then it might be...but it should be interesting.

Herman,
I didn't know that you smoked crack so early in the day.

 

[yankee466]

originally posted by yankee466



Herman,
I didn't know that you smoked crack so early in the day.

Selling ObamaCare made me do it!!!!

 

[ltcadviser]

Why debate Genworth, when Hancock is about to release their Performance LTC product next week in most states. Billed as the lowest cost 3% compound LTC plan on the market (cheaper than MOO...and no more CPI option)...and with "performance credits" in their portfolio, the premium should reduce to Zero by the time you are 80...and if you never use it, the credits can actually generate a refund of premium. Not to mention their wonderful Comdex scores!!!

If it all sounds to good to be true, then it might be...but it should be interesting.

Tired of bs marketing with insurance policies.
What is so difficult about simply stating what the policyholder will own, and what the policyholder's premium will be? Either the consumer will find value or the consumer will not find value?

The continuous tap dancing by marketers makes me puke; and the agents who are so dull brained that they swallow this bs marketing make me puke, as well.