Income Annuities and the State Guaranty Fund

[0b1kanobee]

The fact is the true wealth of America is held in insurance companies. Insurance companies have been known to even purchase banks and at times when they have, the rating of the insurance company was downgraded. Banks don't buy insurance companies. I don't know of any insurance company purchased by a financial institution that had there ratings scores lowered because of it.

Look at ING, it is the only financial institution in the top ten companies on stock exchange. You won't find a bank in the top 10. It is an insurance company.

 

[nycagent]

You realize that ING is one of the largest banks in the world, right? In addition to their substantial insurance assets.

 

[SmartMoney]

An annuity does not have to be annuitized to be covered, so yes it would still be covered up to 100K per person per company.

HealthAgent- Great example can you name any other companies with similar problems out of the thousands of insurance companies doing business. And are you saying that these people have lost money and that the state gauantee assoc wont cover these people?

I think something like +230 banks have gone out of business vs how many insurance co's?
Not implying fdic didnt step in but that doesnt inspire confidence now does it, so where does the health g-d think is a safe place to invest?

Sorry if my question wasn't clear. I understand the policy values are covered even if it has not been annuitized. But the language of the guaranty fund in FL reads: the Fund will cover up to $100k of annuity cash value or $300k of annuity benefits. Im wondering if it is in a payout phase if the client will receive the $300k coverage instead.

 

[HarryRenard]

Sorry if my question wasn't clear. I understand the policy values are covered even if it has not been annuitized. But the language of the guaranty fund in FL reads: the Fund will cover up to $100k of annuity cash value or $300k of annuity benefits. Im wondering if it is in a payout phase if the client will receive the $300k coverage instead.

Sorry but if 3 days later you still do not know the answer you really have NO business selling annuities.

This is a question to be answered by the carrier or the DOI not the and insurance forum with 10,000 different opinions.

The fact that you would even trust the forum and move peoples money around with potentialy incorrect information scary.

 

[briko3]

SC covers up to $250K for annuities..
I heard that the new financial reform bill will mandate all SGFs to cover up to $250... but its just a rumor as far as I know..

$300,000..........

 

[scagnt83]

$300,000..........

Your right, I just looked it up, $300K... even better!!

 

[pcwest]

I went to the FDIC website and as of last month, 42 banks went out of business.

In 2009, I have 3 1/2 pages on my spreadsheet that went out of business.

Just thought I would share that info.

 

[HarryRenard]

58 Banks out of business in 2010
140 banks out of business in 2009
25 banks out of business in 2008

 

[scagnt83]

58 Banks out of business in 2010
140 banks out of business in 2009
25 banks out of business in 2008

Wow. Thats a lot.

Does anyone know how many insurance companies went under in those years??