Genworth problems

[insurehound]

SportsNut...my hat is off to you. I just had my eyes opened after a long discussion with a guy up at my State's Department of Insurance regarding how insurance companies are regulated to invest their money.

As I have said before, I was under the assumption that insurance companies are mandated to invest a majority of their money in highly graded corporate bonds for safety.

I was told that in general, that was correct BUT like with so many things in life, there are ways around this.

I was told to look at a company's investment portfolio very closely along with info from AM Best as a guide. Even then, I was told that there are ways to keep questionable investment practices off the books so who really knows???

You have to be very careful how you represent safety these days to your clients.

 

[optnman]

I've been reading these LTC posts and started wondering does anybody do buisness with GTL? I see where they are up 86% on the year in LTCi. Was wondering what they sell

 

[Mr_Ed]

Who or what is GTL?

 

[somarco]

LTC and Life policies is that even IF Genworth or any other company gets in devastating financial troubles to their doom, anothe carrier will step in

LTCi policies are in greater danger than life.

Exceptions are the limited pay LTCi and term life.

Those premiums are contractual and cannot be changed, even by a new carrier, unless there is something funky in the policy language I have never seen before.

Any perm life plan, annuity or traditional pay LTCi can have future premiums adjusted if the new carrier decides the premium or cash value crediting formula is hazardous to their health.

 

[optnman]

GTL is Guarantee Trust Life, They sold a lot of LTC insurance this past year. I was wondering what they were selling. Was it Genworth, Hancock, etc or their own product.
Just wondering if anyone knows of them.

 

[Russ]

No I haven't been. Thanks for bringing it to our attention. I have a lot of clients with Continental Life.

Continental Life, before they became a part of Genworth, has for the last nine years been one of the best, most stable companies I could put my clients with. They have just, or about to, initiate a 25% premium increase for all their Med Supp plans.

American Continental is now in Missouri but even it isn't all that competitive. Only a few dollars a year less than Continental Life.

The last increase was 9% on Plan D and 25% on Plan F. I didn't understand why Plan D took such a big hit. Now I have a much better idea why.

Thanks. The whole senior market appears to be going down the toilet. A greeters job at Wal-Mart is looking better and better.

Is Continental going up 25% in all states? I have written for them in Florida and have a decent amount of renewals with them.

I don't write much med-supp business with them anymore...the advance is only 6 months and the commission is low.

I also got an announcement from them that their pulling ALL of their remaining life-products off of the market after December 31st, 2008.

 

[retread]

Is Continental going up 25% in all states? I have written for them in Florida and have a decent amount of renewals with them.

I don't write much med-supp business with them anymore...the advance is only 6 months and the commission is low.

I also got an announcement from them that their pulling ALL of their remaining life-products off of the market after December 31st, 2008.

Well, I just threw out all my Genworth, Continental, American Cont. product literature. Cleaned house. Won't be selling any of their products, period.