The whole annuity business stinks
- Thread starter rats0001
- Start date
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RATS WTF can you please clarify we are all waiting on pins and needles baffled.
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They stated “We are a strong and dependable partner” oops guess they got it wrong
I sold a Colorado Bankers fixed annuity last year when I started selling annuities. It was the only one I sold. So what will likely be the net affect to folks with Colorado Bankers fixed annuities? Any guesses here? I was told by my upline, that everyone would likely be made whole, but they would not likely be able to recieve the full amt of their annuity during the rehab process. How long does this process usually take?
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It is always amazing to me how Imo's etc will push any low rated company
if the comp is right.
I hear it all the time.
Check out this new 5 year rate, or, we have a great B+ carrier with
a high participation rate and double digital comp for the agent!!
How long might it take you ask?
Well, depends, Read the first post again.
I had a friend that was burned with Executive Life GIC contracted.
(GIC stands for Guaranteed Investment Contracted)
He had a handicapped daughter and put money aside for her with
Executive back when everyone was calling them the greatest stock company
in history.
Ten years later he finally received all his principal back, without any interest
payed on the contract.
Not a lump sum either.
It was payed out over a five year period, nothing the first 5 years then 20 percent
of his investment per year the next five.
Yes you can face a lot of heart ache when a company goes under.
So think for yourself and don't let up-lines, IMO"s, etc push you
into a situation you will regret.
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Wow one of my buddies was always talking about CBL. I'll have to check his damage. He Kept telling me how great their rates are. Glad to finally sort of know what happens when an insurance company has issues.
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Hypothetical - If someone buys a $10,000 annuity with guaranteed 3%. how does the insurance company use the money? Seems like they have to be doing something with more risk for a higher return & putting annuity owners money at risk.
They buy bonds.
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Also Mortgages, in particular commercial mortgages
