Ohio National - Demutualization

[scagnt83]

If you don't know which 'term' screwed them over, how in the hell can you address it going forward?? I believe that clients LIKE it when their agent doesn't just say "Your policy is screwed. Let's go to THIS one!" I believe it makes far better sense to have a level, educated discussion of "Here's what happened, here's what's going on with your policy, and there are some options. What would you like to do?"

You are just being defensive and refusing to actually consider the point PFG made.

Of course the agent needs to know the difference. Most of us in the discussion assume the agents already know the difference and we dont need to inform each other of basic facts about permanent life insurance.

The point he made was that both scenarios are risks to the clients intended plan for buying the product.

And of course I am not talking to other agents like I would speak to a client who holds one of those policies. Again, assuming we are all agents here who know the basics.

 

[scagnt83]

If I'm selling WL... why do I need to know how UL works?

You are the one telling me I am confused. Im not confused, you just dont fully understand how UL works. I am replying to your statement about me.

 

[DHK]

You still haven't proven that you know the difference between a short-pay strategy and a limited-pay policy.

You're confusing the plan vs the policy.

You're confusing expenses with performance.

Yes, the point that PFG made is that the client is the one taking the hit. The solution is to figure out WHY and then help the client make new informed decisions that feel right to them.

To gloss over the reasons and to not properly categorize them can lead to an accusation of twisting or even churning policies just to earn a commission.

 

[scagnt83]

Can I guess that they would be front-loaded with cash and then have that cash eroded over time, but still have the death benefit guaranteed? That would be a logical assumption to later be proven.

Your guess would be wrong. The numbers look no different than a 10pay WL.

 

[scagnt83]

And again, there's a big difference between a short-pay strategy and a limited pay policy.

Not when the UL is fully guaranteed. (Im not talking about a secondary guarantee of the DB)

 

[scagnt83]

You still haven't proven that you know the difference between a short-pay strategy and a limited-pay policy.

I have nothing to prove to someone who doesnt understand how a UL policy actually works.

A "short pay" (not a technical term) UL can be every bit as guaranteed and have every bit as much CV as a Limited Pay WL.

 

[DHK]

You are the one telling me I am confused. Im not confused, you just dont fully understand how UL works. I am replying to your statement about me.

Show me a limited pay IUL policy that has COI stop at a given age or after a period of time AND will still earn indexed returns.

I'll take any carrier's product link to a policy that would match that description.


You may say "that doesn't exist". And that's my point. I know what I'm looking for and IF it existed, I'd love to learn about it.

But I guess I'm just a dumb CLU that knows that target premiums does not guarantee a policy against a lapse and that COI is an ongoing increasing expense. And other than reducing the future DB in a later year... and knowing that overloan protection riders primarily prevent LAWSUITS that could arise from phantom income when a policy lapses (should it qualify for the rider to be activated), I'd love to see an innovative product that would solve these fundamental issues in IUL.

I don't believe it exists, but I'd love to be wrong.

 

[scagnt83]

You're confusing the plan vs the policy.

You're confusing expenses with performance.

You are just talking in circles now. The policy is the plan for people who buy into an agent selling WL as Supplemental Retirement Income.

 

[DHK]

A "short pay" (not a technical term) UL can be every bit as guaranteed and have every bit as much CV as a Limited Pay WL.

Except you can't use the word 'guaranteed'.

 

[scagnt83]

Show me a limited pay IUL policy that has COI stop at a given age or after a period of time

You cant show me a WL policy where the COI stops... because it doesnt exist.