Is this agent's explanation of my whole life policy accurate?

[Charlielor]

What is that screenshot from? The original sales illustration? Or a recent statement?

What time period do you plan on paying premiums for? If its for the life of the policy then you are fine.

That screen shot is from the latest annual report "in-force life insurance policy illustration." I pay my premium monthly. I assumed the term "premium" is the amount that is initially in the insurance policy contact that I am supposed to pay and not any less, correct? If so, yes. I setup to automatically takes it from my bank account every month.

 

[Lloyds of Lubbock]

Do yourself a favor.
Get an inforce illustration, based on the premium you expect to pay.
You will then see how long the guarantee runs.
Make sure they run the illustration based on a monthly premium.

 

[rousemark]

I'm sorry Todd is correct. It's UL. At the bottom of the first of the illustration page, it says this. Does this mean based on the guaranteed assumptions there is no laps until 8/12/2096 with the current payment?
View attachment 7704

If you quit paying the premiums today and paid no more in the future the insurance would remain in force until 2038. That would make you 62 at the time of lapse. Would appear the agent is using that figure to mislead you insinuating that is what will happen even if you continue paying premiums. BTW, Apparently the current costs and interest rates are the same as the Gtd. as they both end on the same date if no future premiums are paid.

 

[The Benefit Coach]

Looking at the screen shot your policy is likely a Guaranteed UL (GUL) lasting until age 120. This is essentially like a term policy for life. There may even be LTC or chronic care benefits to it as well (look at the riders). Basically GULs say if you make your monthly premium payments, your coverage will last until a certain date. Age 120 in this case. The coverage on these policies will continue even if there is no cash value (hence the guarantee part). In fact, accessing any cash value the policy builds may negate the guarantee.

Based on what you said your objective is, a GUL is the life insurance product that is a perfect fit. And it seems you already own it. I see your objectives, then I look at your existing policy, and unless there's something more that's not being disclosed I have to cringe at the idea that someone is even suggesting that you replace it. I just don't see how that would be a suitable replacement. If you need more coverage, then look at adding another policy but don't let your existing policy go.

 

[WinoBlues]

Would appear the agent is using that figure to mislead you insinuating that is what will happen even if you continue paying premiums.

The replacing agent could be flat out lying, has no clue what he is looking at or a combination of both. Either would disqualify him. The policy is guaranteed to age 120, probably shows past that but premiums stop then, it is 8 years old. Unless there is a compelling reason I don't see a reason to replace.

@Charlielor You seem to have a pretty good grasp of the policy and insurance terms. The graphic you posted looks like part of an annual report. That is better than the original policy illustration as it shows current based on history. As the other guys suggested I would start with an inforce illustration. Should be at zero cost. Since you will be ordering them anyway ask for any other options you may want to look at. Such as a solve to stop premiums at age 65 based on guaranteed values. Also, consider asking one these guys to do a review with you.

Once again the replacing agent is at best out of his depth in my opinion.

 

[rousemark]

Looking at the screen shot your policy is likely a Guaranteed UL (GUL) lasting until age 120. This is essentially like a term policy for life. There may even be LTC or chronic care benefits to it as well (look at the riders). Basically GULs say if you make your monthly premium payments, your coverage will last until a certain date. Age 120 in this case. The coverage on these policies will continue even if there is no cash value (hence the guarantee part). In fact, accessing any cash value the policy builds may negate the guarantee.

Based on what you said your objective is, a GUL is the life insurance product that is a perfect fit. And it seems you already own it. I see your objectives, then I look at your existing policy, and unless there's something more that's not being disclosed I have to cringe at the idea that someone is even suggesting that you replace it. I just don't see how that would be a suitable replacement. If you need more coverage, then look at adding another policy but don't let your existing policy go.

Were they selling GULs 8 years ago?

 

[The Benefit Coach]

Were they selling GULs 8 years ago?

I was selling them during my MetLife days in the mid 2000's.

 

[rousemark]

I was selling them during my MetLife days in the mid 2000's.

OK... Guess time flies whether you are having fun or not.

 

[WinoBlues]

Were they selling GULs 8 years ago?

Yes a few companies. Ohio National had a great one.

 

[Charlielor]

Is there a difference between the "complete" and current "annual/quarterly statement"? The IUL agent insists that my "annual/quarterly statement" is in accurate and not able to tell me the truth about my policy. I want to make sure I fully understand my policy before cancelling my current policy and getting a new one. From what many of you who responded, it seems like my policy does exactly what wanted which is guaranteed until I'm 120 (not that anyone will live that long).