MassMutual Brokers

Charlie456

Expert
88
I heard that MM is no longer going to allow brokers to sell their traditional LTCI very soon. What's that about? Do you think they just want to slow sales or are they positioning themselves to exit?
 
Well that is interesting, if true. Especially with the recent bump in sales force. ??
 
Sales are high right now, there are rumors (nothing confirmed), but they have a new product coming out in 2017 I heard.

Wonder if Scott, Ed, or anyone else has an opinion on selling current ltci products for a company if they are going to discontinue this series and start a new one next year?
 
If Mass pulls their LTCI from the independent side, then I will likely stop doing business with them all together. They are not the only fish in the sea on the life side and if they dont want me for LTC, then I dont want them for Life. And Im about to send them a very large survivorship WL case.... it might be the last one I send them if that rumor is true.

As far as LTCI goes I can just sell State Life or MoO. Life will go on without them... but can they really go on without the independent business they receive on the life side? I doubt it. And a hell of a lot of indy agents will pull life biz and go to Guardian/Penn/ON instead.

But until it is more than just some rumor, Im going about my business as usual. Even if its being considered, that doesnt mean it will happen. Also, some of their largest LTCI producers are indy agents, I doubt they are going to just walk away from that much revenue. It would be a horrible business decision if they did... they have a huge upper hand right now in the LTCI world, they need to leverage it for all its worth while they are on top.
 
Sales are high right now, there are rumors (nothing confirmed), but they have a new product coming out in 2017 I heard.

Wonder if Scott, Ed, or anyone else has an opinion on selling current ltci products for a company if they are going to discontinue this series and start a new one next year?

New policy forms are filed by every insurance company every ~3 years. As we all know, pricing/benefits gets worse not better with each passing year. No reason to not write the best policies for our clients while they are available. Everything else is outside of our control.
 
New policy forms are filed by every insurance company every ~3 years. As we all know, pricing/benefits gets worse not better with each passing year. No reason to not write the best policies for our clients while they are available. Everything else is outside of our control.

Have you heard anything about this rumor though?
 
Have you heard anything about this rumor though?

I haven't but nothing would surprise me. My gut instinct is Mass Mutual will only be a terrific option for 6 more months anyway. I just expect the forthcoming policy series whenever introduced will probably be too expensive. Especially seeing where NY Life and Northwestern Mutual are today.

Traditional LTC pricing is starting to make hybrids look terrific.
 
I haven't but nothing would surprise me. My gut instinct is Mass Mutual will only be a terrific option for 6 more months anyway. I just expect the forthcoming policy series whenever introduced will probably be too expensive. Especially seeing where NY Life and Northwestern Mutual are today.

Traditional LTC pricing is starting to make hybrids look terrific.

If you sell what they currently have isnt the asking for rate increases down the road?
 
If you sell what they currently have isnt the asking for rate increases down the road?

None of their other old policy lines have had rate increases... not saying they never will, but the dividends do help to keep rates more stable.

Even if they do have a rate increase in the future to bring the price up to the new policy line, you have still paid less for however many years vs. waiting to just pay more for the new policy.

It makes so much more sense in so many different ways to sell/buy what they have now. You would pay less cumulatively if buying now, there are insurability issues with waiting, age issues with waiting, possible changes to benefits or features if you wait (new LTCI policy lines are only reducing benefits, not enhancing them)

There is no logic in not selling/buying what they have now. Get it while its still available, its the best LTCI contract on the market right now, no reason in the world not to sell it.
 
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