Important Information Regarding Guaranteed Issue Whole Life (GIWL)

[Northeast Agent]

Sons of Norway

Valued Agent Partners,

Effective December 5, 2022, Sons of Norway will no longer accept new applications for the Guaranteed Issue Whole Life (GIWL) product.

This decision was not taken lightly as we pride ourselves in offering solutions to ALL of our members; however, the results of recent studies indicated that the performance of this product was not hitting the target for the organization’s long-term success.

As such, immediate action is needed to curtail this risk, and while it pains us to limit our product availability, we appreciate your understanding as we make this change and continue to develop offerings to ensure our members, and you, our trusted agent partners are best served now and in the future.

What does this mean?

• As of 12/5/22, Guaranteed Issue (GIWL) will no longer be available for sale to new applicants.
• This does not impact policies that are currently in force.
• This change ONLY applies to Guaranteed Issue (GIWL) and does not affect any other products in Sons of Norway's product lineup.

What does this mean to applications in flight?

• Any applications in-process need to be received, in good order, by close of business (5 PM CT) on December 2nd regardless of when they are scheduled to be issued.
  • For example: If an application is received on 12/2 with a draft/issue date of 12/12, it will be processed as requested.

Where are we going?

Sons of Norway does not wish to be known solely as a “GI Shop”, and it’s through this lens that we look to the future, where we maintain our practice of fair pricing, excellent customer service, and offering life & annuity products that put our members first. Our commitment now is to work hard, and quickly, to develop products that fit on your final expense and traditional whole life shelf space.

As we work to enhance our product offering, check out our Simplified Issue Whole Life (SIWL) product. SIWL offers face values up to $50k*, and we recently removed the Personal Health Interview (PHI). Run a quote with Sons of Norway with your next final expense case and see how we stack up.

Should you have any additional questions, please contact sales at (833) 707-0012 option 2.

 

[Life Hawk]

Handwriting was all over that wall, only a matter of time. Was the only reason I used them. Commission far too low on any of thier other product.

Now it seems they will return to an insignificant role.

Oh well.

 

[goillini52]

Handwriting was all over that wall, only a matter of time. Was the only reason I used them. Commission far too low on any of thier other product.

Now it seems they will return to an insignificant role.

Oh well.

A weeks notice. No more need for them. GWIC will be my GI now.

 

[Life Hawk]

They couldn't handle business.

Amazes me how these companies step up to the plate somehow prepared for slow pitch soft ball, all the while standing smack dab in front of a first pick lefty with a crazy fast ball.

Does anyone run the numbers and do the history before making the investment???

Why do people get higher an education? Seems like for many its a major waste of time and effort.

 

[jdeasy]

This is why mofo and PM don’t want their GI sold by brokers.

They want perfectly healthy people buying it out of convenience. Not even realizing it’s a 2 year wait.

Brokers only sell GI to people that can’t get anything else.

 

[Newby]

They lasted WAY longer than I expected with that product. When we first spoke with them around 4-years ago and they were pitching us on their GI product the sales manager said "We know we are not the least expensive guaranteed issue whole life but we are not the most expensive either". lol They had no idea that they were the cheapest by a LOT. They were even cheaper then than they were more recently. They just didn't have a clue.
Then we spoke to them about what amount of volume they could handle and it wasn't very much. More than about 25 really active agents would have broke them in half.

The people who bought those policies did get a great deal. But the company better find a new niche fast. Or re-price the one they had. You don't have to be cheap to sell GI to ages 0-85. Look at Senior Life and Lincoln Heritage. What in the world made these guys think they were competing on price with anyone like that. They could triple their price on those young ages and still be the cheapest game around.

 

[shonceman]

 

[jdeasy]

But SoN is delusional. They don’t want to be known as a GI shop but they have nothing else to offer.

Maybe develop some other viable products and you won’t be a GI shop?

 

[Allen Trent]

Brokers only sell GI to people that can’t get anything else.

bingo

I work for a single state multi-line company that has strong PC & life company. our agents sell our fully underwritten life products & have access to all these final expense & other carriers. Healthy people get our fully underwritten product. the $25,000 product minimum is same price or lower than all the FE $10k face amounts, so that is how the agents work.

our company also owns a couple of worksite life companies & a pre-paid/final expense carrier. Our executives always ask why we are not promoting these subsidiary carrier products to our agents. I always explain our agents will only put the unhealthy with those carriers & it will harm their bottom line. Final expense simplified & guaranteed issue seems to only work more than temporarily when agents either dont have access to other products, dont want the hassle and put the entire spectrum of healthy & unhealthy on the books with the carrier. Adverse selection, insufficient pricing and/or insufficient UW is a sure recipe for bad financials for carriers

 

[jdeasy]

bingo

I work for a single state multi-line company that has strong PC & life company. our agents sell our fully underwritten life products & have access to all these final expense & other carriers. Healthy people get our fully underwritten product. the $25,000 product minimum is same price or lower than all the FE $10k face amounts, so that is how the agents work.

our company also owns a couple of worksite life companies & a pre-paid/final expense carrier. Our executives always ask why we are not promoting these subsidiary carrier products to our agents. I always explain our agents will only put the unhealthy with those carriers & it will harm their bottom line. Final expense simplified & guaranteed issue seems to only work more than temporarily when agents either dont have access to other products, dont want the hassle and put the entire spectrum of healthy & unhealthy on the books with the carrier. Adverse selection, insufficient pricing and/or insufficient UW is a sure recipe for bad financials for carriers

You have some examples of those great fu rates?

Personally I write quite a bit of FU. Especially for someone running FE leads.


And I have one FU company that has a $10K minimum and one that has a $5K minimum.