Total third quarter non-variable universal life sales were over $1,012 million, according to the 81st edition of Wink’s Sales & Market Report, released on Nov. 16. Non-Variable universal life sales include both indexed UL and fixed UL product sales.
Indexed Life sales for the third quarter of 2017 totaled $479.5 million, a figure that was down slightly over 1% when compared with the prior quarter, and up nearly 6% as compared to the same period last year.
“Although sales are down, indexed life sales were greater than any other third quarter in the history of this product line,” said Sheryl J. Moore, President and CEO of both Moore Market Intelligence and Wink, Inc. “Product repricing due to 2017 CSO [Commissioner’s Standard Ordinary mortality and morbidity tables] resulted in a big drop in sales for more than one company,” Moore added, “but I wouldn’t say that an overall market decline of 1% is a ‘big deal.’”
Pacific Life’s Pacific Discovery Xelerator IUL was the top-selling indexed life insurance product, for all channels combined, for the quarter, as well as being the top-selling product in the independent agent channel.
Top 5 3Q 2017 Indexed Life Carriers:
- Pacific Life Companies
- National Life Group
- Transamerica
- Minnesota Life-Securian
- Zurich American Life (est)
Average Target Premium:
The average target premium paid was $8,602; a trend that was up nearly 7% from the prior quarter.
Primary Pricing Objective:
Nearly 81% of sales were through products with a primary pricing objective of Cash Accumulation.
- FIXED UNIVERSAL LIFE
Universal Life sales for the third quarter of 2017 totaled $533.6 million, up more than 7% compared to the previous quarter.
Average Target Premium:
The average target premium paid was $7,676; a reduction of 2% from the prior quarter.
Primary Pricing Objective:
Nearly 53% of sales were through products with a primary pricing objective of No Lapse Guarantee.
- WHOLE LIFE
Third quarter sales for Whole Life totaled $1,042,708,767, up more than 3% compared to the prior quarter.
Average Target Premium:
The average annual whole life premium per policy reported for the quarter was $2,989, a decline of more than 18% from the prior quarter.
Primary Pricing Objective:
Over 54% of sales were through products with a primary pricing objective of Cash Accumulation.
There were 102 life insurance companies participating in the 81st edition of Wink’s Sales & Market Report, which the company bills as the insurance industry’s No. 1 resource for indexed life insurance sales data since 1997.
While Des Moines-based Wink has recently added new product lines (fixed universal life and whole life) to its quarterly sales survey, the firm is focusing on increasing participation with their current product lines of indexed universal life, traditional universal life, indexed whole life, and traditional whole life product sales. Additional product lines, such as term life insurance, will be added to Wink’s Sales & Market Report in upcoming quarters.
For more information, go to www.LookToWink.com.
