Chapter 6. Insurance Companies

Size: px
Start display at page:

Download "Chapter 6. Insurance Companies"

Transcription

1 Chapter 6 Insurance Companies

2 Fundamental Characteristics Insurance Policies and Premiums Risk bearers Sources of Profits Investment income Underwriting income 2

3 Types of Insurance Life Insurance-pays the beneficiary of the life insurance policy in the event of the death of the insured. Health Insurance-pays the insured all or a portion of the medical treatment of the insured. Property and Casualty Insurance- insure the risk of damage to various types of property. Liability Insurance- Insures in the event of lawsuits against the insured due to actions by the insured or others. Disability Insurance and Long-Term Care- insures against the inability of employed persons to earn an income. Structured Settlements- pays fixed, guaranteed periodic payments over a long period of time, typically resulting from a settlement on a disability policy or other type of policy. 3

4 Investment Oriented Products Guaranteed Investment Contracts (GICs) Annuities Fixed Variable Mutual Funds Monoline insurance 4

5 Major Risks 5

6 Top Life Insurance Companies 6

7 Top P&C Companies 7

8 Fundamentals of Insurance Relationship between revenues and costs Premiums are paid upfront Initial premium income is invested Payments to the insured are contingent on potential future events Difficulty in estimating profitability Timing and magnitude of payments are uncertain Long lag between receipts and payments 8

9 Regulation of Insurance Industry McCarran Ferguson Act of 1945 Insurance industry is regulated by individual states, not the federal government Securities and Exchange Commission (SEC) National Association of Insurance Commissioners (NAIC) 9

10 Accounting Issues Statutory versus GAAP Accounting Statutory accounting focuses on liquidity and ability to pay claims State regulators focus on statutory accounting 10

11 Monitors of Insurance Companies Types of Monitors Accountants/Auditors Rating Agencies Government Regulators Purpose of Monitors Assess financial stability Promote synchronicity between premiums and payments Assess volatility of payments 11

12 Structure of Insurance Companies Home Office or Actual Insurance Company Investment Company Sales Force Agents Brokers Commercial Banks Internet 12

13 Types of Insurance Companies Stock Insurance Company Owned by independent shareholders and the stock is publicly traded Constituencies: stockholders and policyholders Mutual Insurance Company Owned by policyholders No stock Constituencies: policyholders Mutual Holding Company 13

14 Mutual Holding Company 14

15 Individual vs. Group Insurance Individual Insurance Insurance sold to an individual Group Insurance Insurance sold to groups Companies Organizations Governments 15

16 16 Table 6-4 Life Insurance Policies What is Life Insurance: Pure Insurance Protection Against Risk of Death Term Life Insurance Cash Value or Permanent Life Ins. Whole life insurance Variable life insurance Universal life insurance Guaranteed Dollar Cash Value Policies Variable/Non- Guaranteed Policies Fixed Premium Whole Life Ins. Variable Life Ins. Flexible Premium Universal Life Ins. Variable Universal Life Ins. Insurance Against Risk of Long Life Annuity Pure Investment-Oriented Policies Guaranteed investment contract

17 General and Separate Accounts General Accounts- investment portfolio of the overall company. Insurance companies must support the guaranteed performance of their general account products to the extent of their solvency. Separate Accounts-receive no guarantee from the insurance company s general account, and their performance is not based on the performance of the insurer s general account but solely on the performance of an account separate from the general account of the insurer. 17

18 Insurance Company Investment Strategies Investment portfolio reflects liabilities of insurance company Differences in investment strategies Life Ins. companies and P&C companies Public and mutual insurance companies Tax concerns 18

19 Changes in the Insurance Industry Glass-Steagall Act (1933) separated commercial banking, investment banking, and insurance. Deregulation of the financial system Gramm-Leach-Bliley Act Internationalization of the Insurance Industry Demutualization of Insurance Companies 19

20 Evolution of Products 401(k) & Roth 401(k) IRA & Roth IRA Comparison https://www.fidelity.com/ira/iracomparison https://www.wellsfargo.com/investing/retireme nt/ira/tradvsroth/ Rollover IRA 20

21 Evolution of Products 21

22 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. 22

billion, while annuity reserves (Table 8.2) increased 6 percent to $2.5 trillion.

billion, while annuity reserves (Table 8.2) increased 6 percent to $2.5 trillion. 8annuities Annuities are financial contracts that pay a steady stream of income for either a fixed period of time or for the lifetime of the annuity owner (the annuitant). Most pension and retirement plan

More information

FREE LIFE INSURANCE PRACTICE EXAM

FREE LIFE INSURANCE PRACTICE EXAM FREE LIFE INSURANCE PRACTICE EXAM We offer an online video L&H exam prep course that includes over 10 hours of instruction. Our full pdf study manual and over 600 questions are also included. Please go

More information

LIFE INSURANCE KEY FACTS

LIFE INSURANCE KEY FACTS GENERAL INSURANCE CONCEPTS LIFE INSURANCE KEY FACTS A condition that could result in a loss is known as an EXPOSURE. An insurer is responsible for all acts of their agents as long as the agent operates

More information

Valuation Interest Rates

Valuation Interest Rates Statutory Valuation and Nonforfeiture Rates A. Life Insurance (s) Valuation Rates Nonforfeiture Rate 10 or less 82 6.75 8.50 83-86 7.25 9.00 87 6.50 8.25 88-93 6.00 7.50 94-98 5.50 7.00 99-02 5.00 6.25

More information

GLOSSARY. A contract that provides for periodic payments to an annuitant for a specified period of time, often until the annuitant s death.

GLOSSARY. A contract that provides for periodic payments to an annuitant for a specified period of time, often until the annuitant s death. The glossary contains explanations of certain terms and definitions used in this prospectus in connection with the Group and its business. The terms and their meanings may not correspond to standard industry

More information

STATUTORY CALENDAR YEAR INTEREST RATES BASED ON THE 1980 AMENDMENTS TO THE NAIC STANDARD VALUATION AND NONFORFEITURE LAWS. Valuation Interest Rate

STATUTORY CALENDAR YEAR INTEREST RATES BASED ON THE 1980 AMENDMENTS TO THE NAIC STANDARD VALUATION AND NONFORFEITURE LAWS. Valuation Interest Rate BASED ON THE 1980 AMENDMENTS TO THE NAIC STANDARD VALUATION AND NONFORFEITURE LAWS A. Life Insurance Valuation and Nonforfeiture Rates: (years) Valuation Rate Nonforfeiture Rate1 2006 2006 10 or less 4.50

More information

Property and casualty insurance companies are those that insure the assets of the insured party.

Property and casualty insurance companies are those that insure the assets of the insured party. International comparison of insurance taxation Argentina General insurance overview Definition Definition of property and casualty insurance company Property and casualty insurance companies are those

More information

Life Insurance Companies and Products

Life Insurance Companies and Products Part B. Life Insurance Companies and Products The current Federal income tax treatment of life insurance companies and their products al.lows investors in such products to obtain a substantially higher

More information

Thank you for considering American Church Trust Company to assist with your selfdirected IRA. We look forward to serving you for many years.

Thank you for considering American Church Trust Company to assist with your selfdirected IRA. We look forward to serving you for many years. To: IRA Investors Re: Investment in Swiss annuity through self-directed IRA American Church Trust Company welcomes your investment in Swiss annuity contracts through a self-directed IRA. Information, forms,

More information

Prepared By: The Professional Staff of the Committee on Banking and Insurance REVISED:

Prepared By: The Professional Staff of the Committee on Banking and Insurance REVISED: BILL: SB 600 The Florida Senate BILL ANALYSIS AND FISCAL IMPACT STATEMENT (This document is based on the provisions contained in the legislation as of the latest date listed below.) Prepared By: The Professional

More information

Supplemental Background Material Course CFE 4 Financial Analysis (Passing grade for this exam is 66)

Supplemental Background Material Course CFE 4 Financial Analysis (Passing grade for this exam is 66) Supplemental Background Material Course CFE 4 Financial Analysis (Passing grade for this exam is 66) Please note that this study guide is a tool for learning the materials you need to effectively study

More information

MML Bay State Life Insurance Company Management s Discussion and Analysis Of the 2005 Financial Condition and Results of Operations

MML Bay State Life Insurance Company Management s Discussion and Analysis Of the 2005 Financial Condition and Results of Operations MML Bay State Life Insurance Company Management s Discussion and Analysis Of the 2005 Financial Condition and Results of Operations General Management s Discussion and Analysis of Financial Condition and

More information

Article Insurance. (a) (1) In this section the following words have the meanings indicated.

Article Insurance. (a) (1) In this section the following words have the meanings indicated. Article Insurance [Previous][Next] 5 306. (a) (1) In this section the following words have the meanings indicated. (2) Change in fund basis means a valuation basis under which the interest rate used to

More information

Kansas City 2Life Insurance Company

Kansas City 2Life Insurance Company Kansas City 2Life Insurance Company 2012 Second Quarter Report Includes our subsidiaries: Sunset Life Insurance Company of America Old American Insurance Company Sunset Financial Services, Inc. Post Office

More information

American International Group, Inc.

American International Group, Inc. Financial Supplement Fourth Quarter 2013 All financial information in this document is unaudited. This report should be read in conjunction with AIG s Annual Report on Form 10-K for the year ended December

More information

How Property/Casualty Insurance Companies Invest Premium Dollars

How Property/Casualty Insurance Companies Invest Premium Dollars How Property/Casualty Insurance Companies Invest Premium Dollars OVERVIEW Every day, property/casualty insurers enable our economy to function by helping individuals and businesses address the various

More information

Individual Life Insurance Service Turnaround Times Survey

Individual Life Insurance Service Turnaround Times Survey Individual Life Insurance Service Turnaround Times Survey 2014 North American Questionnaire This survey questionnaire is intended for use in gathering data for the Individual Life Insurance Service Turnaround

More information

Prepared for: Prepared by: Robin Weingast President Robin S. Weingast Associates, Inc. 100 Quentin Roosevelt Blvd, Suite 507 Garden City, NY 11530

Prepared for: Prepared by: Robin Weingast President Robin S. Weingast Associates, Inc. 100 Quentin Roosevelt Blvd, Suite 507 Garden City, NY 11530 Prepared for: Prepared by: Robin Weingast President Robin S. Weingast Associates, Inc. 100 Quentin Roosevelt Blvd, Suite 507 Garden City, NY 11530 Phone: 516.794.8146 Fax: 516.794.8146 Email: rsw@rswtpa.com

More information

CHAPTER 9 BUSINESS INSURANCE

CHAPTER 9 BUSINESS INSURANCE CHAPTER 9 BUSINESS INSURANCE Just as individuals need insurance for protection so do businesses. Businesses need insurance to cover potential property losses and liability losses. Life insurance also is

More information

Annuity Principles and Concepts Session Five Lesson Two. Annuity (Benefit) Payment Options

Annuity Principles and Concepts Session Five Lesson Two. Annuity (Benefit) Payment Options Annuity Principles and Concepts Session Five Lesson Two Annuity (Benefit) Payment Options Life Contingency Options - How Income Payments Can Be Made To The Annuitant. Pure Life versus Life with Guaranteed

More information

GLOSSARY. A contract that provides for periodic payments to an annuitant for a specified period of time, often until the annuitant s death.

GLOSSARY. A contract that provides for periodic payments to an annuitant for a specified period of time, often until the annuitant s death. The glossary contains explanations of certain terms and definitions used in this prospectus in connection with us and our business. The terms and their meanings may not correspond to standard industry

More information

Why investing money for captive insurance companies is different and the role of an Investment Advisor

Why investing money for captive insurance companies is different and the role of an Investment Advisor Why investing money for captive insurance companies is different and the role of an Investment Advisor Ronnie Dennis Merrill Lynch Why investing money for captive insurance companies is different Regulatory

More information

Buyer s Guide for. Deferred Annuities. Fixed

Buyer s Guide for. Deferred Annuities. Fixed Buyer s Guide for Deferred Annuities Fixed Prepared by the NAIC National Association of Insurance Commissioners The National Association of Insurance Commissioners is an association of state insurance

More information

Structured Cash Flows offer buyers competitive fixed rates with predictable income that can be customized to their unique needs.

Structured Cash Flows offer buyers competitive fixed rates with predictable income that can be customized to their unique needs. Brochure Summary: The secondary structured cash flow market has been in existence for decades, and is a multibillion dollar per year industry. The secondary structured cash flow market allows an individual

More information

LIFE ONLY PRODUCER INDIANA EXAMINATION CONTENT OUTLINE *80 QUESTIONS TOTAL **TIME LIMIT 1 hour 20 minutes REVISED 6/28/2011

LIFE ONLY PRODUCER INDIANA EXAMINATION CONTENT OUTLINE *80 QUESTIONS TOTAL **TIME LIMIT 1 hour 20 minutes REVISED 6/28/2011 LIFE ONLY PRODUCER INDIANA EXAMINATION CONTENT OUTLINE *80 QUESTIONS TOTAL **TIME LIMIT 1 hour 20 minutes REVISED 6/28/2011 VII. INSURANCE BASICS (10 QUESTIONS TOTAL) A. The Very Basics (1 QUESTION) 1.

More information

United Fire & Casualty Company Reports Record Quarterly Earnings

United Fire & Casualty Company Reports Record Quarterly Earnings FOR IMMEDIATE RELEASE For: United Fire & Casualty Company 118 Second Avenue SE, PO Box 73909 Cedar Rapids, Iowa 52407-3909 Contact: John A. Rife, President/CEO, 319-399-5700 United Fire & Casualty Company

More information

GLOSSARY OF SELECTED INSURANCE AND RELATED FINANCIAL TERMS

GLOSSARY OF SELECTED INSURANCE AND RELATED FINANCIAL TERMS In an effort to help our investors and other interested parties better understand our regular SEC reports and other disclosures, we are providing a Glossary of Selected Insurance Terms. Most of the definitions

More information

SAMPLE EXAMINATION QUESTIONS

SAMPLE EXAMINATION QUESTIONS The SAMPLE QUESTIONS section provides sample questions to help candidates familiarize themselves with the form and style of question which they may see in the AFP Certification Examination. For reference

More information

GE Financial Assurance Holdings, Inc. (Exact name of registrant as specified in its charter)

GE Financial Assurance Holdings, Inc. (Exact name of registrant as specified in its charter) UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended

More information

How to Choose a Life Insurance Company *YP½PPMRK 4VSQMWIW A 2014 GUIDE THROUGH RELEVANT INDUSTRY INFORMATION

How to Choose a Life Insurance Company *YP½PPMRK 4VSQMWIW A 2014 GUIDE THROUGH RELEVANT INDUSTRY INFORMATION How to Choose a Life Insurance Company *YP½PPMRK 4VSQMWIW A 2014 GUIDE THROUGH RELEVANT INDUSTRY INFORMATION Because the most important people in your life will car, or computer, most people are completely

More information

INDUSTRIAL-ALLIANCE LIFE INSURANCE COMPANY. FIRST QUARTER 2000 Consolidated Financial Statements (Non audited)

INDUSTRIAL-ALLIANCE LIFE INSURANCE COMPANY. FIRST QUARTER 2000 Consolidated Financial Statements (Non audited) INDUSTRIAL-ALLIANCE LIFE INSURANCE COMPANY FIRST QUARTER 2000 Consolidated Financial Statements (Non audited) March 31,2000 TABLE OF CONTENTS CONSOLIDATED INCOME 2 CONSOLIDATED CONTINUITY OF EQUITY 3 CONSOLIDATED

More information

Buyer s Guide for. Deferred Annuities

Buyer s Guide for. Deferred Annuities Buyer s Guide for Deferred Annuities Prepared by the NAIC National Association of Insurance Commissioners The National Association of Insurance Commissioners is an association of state insurance regulatory

More information

Understanding Annuities

Understanding Annuities This guide: Explains the different types of annuity contracts Describes the various contractual features Discusses how to shop for an annuity State of Wisconsin Office of the Commissioner of Insurance

More information

304.6-145 Minimum standards -- Operative dates. (1) The interest rates used in determining the minimum standard for the valuation of: (a) All life

304.6-145 Minimum standards -- Operative dates. (1) The interest rates used in determining the minimum standard for the valuation of: (a) All life 304.6-145 Minimum standards -- Operative dates. (1) The interest rates used in determining the minimum standard for the valuation of: (a) All life insurance policies issued in a particular calendar year,

More information

The Empire Life Insurance Company

The Empire Life Insurance Company The Empire Life Insurance Company Condensed Interim Consolidated Financial Statements For the six months ended June 30, 2015 Unaudited Issue Date: August 7, 2015 DRAFT NOTICE OF NO AUDITOR REVIEW OF CONDENSED

More information

IRAS e-tax Guide DEDUCTIBILITY OF KEYMAN INSURANCE PREMIUMS

IRAS e-tax Guide DEDUCTIBILITY OF KEYMAN INSURANCE PREMIUMS IRAS e-tax Guide DEDUCTIBILITY OF KEYMAN INSURANCE PREMIUMS Published by Inland Revenue Authority of Singapore Published on 29 Jun 2012 Disclaimers IRAS shall not be responsible or held accountable in

More information

Buyer s Guide for. Deferred Annuities. Fixed

Buyer s Guide for. Deferred Annuities. Fixed Buyer s Guide for Deferred Annuities Fixed Prepared by the NAIC National Association of Insurance Commissioners The National Association of Insurance Commissioners is an association of state insurance

More information

DESCRIPTION OF THE CHAIRMAN S MARK RELATING TO MODIFICATIONS TO ALTERNATIVE TAX FOR CERTAIN SMALL INSURANCE COMPANIES

DESCRIPTION OF THE CHAIRMAN S MARK RELATING TO MODIFICATIONS TO ALTERNATIVE TAX FOR CERTAIN SMALL INSURANCE COMPANIES DESCRIPTION OF THE CHAIRMAN S MARK RELATING TO MODIFICATIONS TO ALTERNATIVE TAX FOR CERTAIN SMALL INSURANCE COMPANIES Scheduled for Markup by the SENATE COMMITTEE ON FINANCE on February 11, 2015 Prepared

More information

for life A predictable monthly income stream. Option to choose an income that s guaranteed to last a lifetime.

for life A predictable monthly income stream. Option to choose an income that s guaranteed to last a lifetime. for life A predictable monthly income stream. Option to choose an income that s guaranteed to last a lifetime. Financial peace of mind during retirement. To enjoy a secure retirement, you need more than

More information

A Technical Guide for Individuals. The Whole Story. Understanding the features and benefits of whole life insurance. Insurance Strategies

A Technical Guide for Individuals. The Whole Story. Understanding the features and benefits of whole life insurance. Insurance Strategies A Technical Guide for Individuals The Whole Story Understanding the features and benefits of whole life insurance Insurance Strategies Contents 1 Insurance for Your Lifetime 3 How Does Whole Life Insurance

More information

An Overview of Business Insurance Copyright 2015 RegEd Inc. 2100 Gateway Centre Blvd. Suite 200

An Overview of Business Insurance Copyright 2015 RegEd Inc. 2100 Gateway Centre Blvd. Suite 200 An Overview of Business Insurance Copyright 2015 RegEd Inc. 2100 Gateway Centre Blvd. Suite 200 Morrisville, NC 27560 800-334-8322 email: info@reged.com All rights reserved. No portion may be reproduced

More information

Life ONLY Agent/Broker

Life ONLY Agent/Broker Life Agent/Broker SERIES 17-51, Content Outline 100 items - 2 hours Exam Content Topic Locator (2014-2015) Please list the textbooks and references, to be given to the students: Title: Publisher Publication

More information

Annuities. Introduction 2. What is an Annuity?... 2. How do they work?... 3. Types of Annuities... 4. Fixed vs. Variable annuities...

Annuities. Introduction 2. What is an Annuity?... 2. How do they work?... 3. Types of Annuities... 4. Fixed vs. Variable annuities... An Insider s Guide to Annuities Whatever your picture of retirement, the best way to get there and enjoy it once you ve arrived is with a focused, thoughtful plan. Introduction 2 What is an Annuity?...

More information

Altium Structured Settlement Investments (SSI s)

Altium Structured Settlement Investments (SSI s) What is an Altium Structured Settlement Investment or SSI? Altium SSI s are streams of court ordered cash payments, paid by an Insurance Carrier, the payer, to a plaintiff who won a personal injury lawsuit.

More information

Chapter 14. Agenda. Individual Annuities. Annuities and Individual Retirement Accounts

Chapter 14. Agenda. Individual Annuities. Annuities and Individual Retirement Accounts Chapter 14 Annuities and Individual Retirement Accounts Agenda 2 Individual Annuities Types of Annuities Taxation of Individual Annuities Individual Retirement Accounts Individual Annuities 3 An annuity

More information

BULLETIN NO. 06-21 MAXIMUM RESERVE VALUATION AND NONFORFEITURE RATES

BULLETIN NO. 06-21 MAXIMUM RESERVE VALUATION AND NONFORFEITURE RATES BULLETIN NO. 06-21 TO: FROM: SUBJECT: ALL DOMESTIC LIFE INSURANCE COMPANIES AND CHARITABLE ANNUITIES STEVEN M. GOLDMAN, COMMISSIONER MAXIMUM RESERVE VALUATION AND NONFORFEITURE RATES In accordance with

More information

Understanding Annuities

Understanding Annuities This guide: Explains the different types of annuity contracts Describes the various contractual features Discusses how to shop for an annuity State of Wisconsin Office of the Commissioner of Insurance

More information

State Life Care Solutions. Asset-Care. Producer guide

State Life Care Solutions. Asset-Care. Producer guide State Life Care Solutions Asset-Care Producer guide Products and financial services provided by The State Life Insurance Company a OneAmerica company I-21013 (IPR) Not a deposit. Not FDIC insured. Not

More information

LIFE INSURANCE THE DIVIDEND DIFFERENCE. Adding Value to Your Whole Life Insurance Policy INVEST INSURE RETIRE

LIFE INSURANCE THE DIVIDEND DIFFERENCE. Adding Value to Your Whole Life Insurance Policy INVEST INSURE RETIRE LIFE INSURANCE THE DIVIDEND DIFFERENCE Adding Value to Your Whole Life Insurance Policy INVEST INSURE RETIRE NOT A BANK OR A CREDIT UNION DEPOSIT OR OBLIGATION NOT FDIC OR NCUA-INSURED NOT INSURED BY ANY

More information

KENTUCKY EMPLOYERS' MUTUAL INSURANCE AUTHORITY dba KENTUCKY EMPLOYERS' MUTUAL INSURANCE

KENTUCKY EMPLOYERS' MUTUAL INSURANCE AUTHORITY dba KENTUCKY EMPLOYERS' MUTUAL INSURANCE KENTUCKY EMPLOYERS' MUTUAL INSURANCE AUTHORITY dba KENTUCKY EMPLOYERS' MUTUAL INSURANCE Statutory Basis Financial Statements and Supplementary Information Years Ended December 31, 2010 and 2009 with Independent

More information

Securities Backed by Life Settlements: Considerations for Institutional Investors

Securities Backed by Life Settlements: Considerations for Institutional Investors Prudential Financial Securities Backed by Life Settlements: Considerations for Institutional Investors Introduction A life settlement is a financial transaction in which the owner of a life insurance policy

More information

Participant Distributions

Participant Distributions City of Los Angeles Deferred Compensation Plan Participant Distributions considering your options living your dreams Severance of Employment Table of Contents Introduction... 1 What Are My Choices?...

More information

Kansas City 4Life Insurance Company

Kansas City 4Life Insurance Company Kansas City 4Life Insurance Company 2009 Fourth Quarter Report Includes our subsidiaries: Sunset Life Insurance Company of America Old American Insurance Company Sunset Financial Services, Inc. Post Office

More information

58-58-50. Standard Valuation Law.

58-58-50. Standard Valuation Law. 58-58-50. Standard Valuation Law. (a) This section shall be known as the Standard Valuation Law. (b) Each year the Commissioner shall value or cause to be valued the reserve liabilities ("reserves") for

More information

Buyer s Guide for. Deferred Annuities. For personal, non-commercial use only.

Buyer s Guide for. Deferred Annuities. For personal, non-commercial use only. Buyer s Guide for Deferred Annuities Prepared by the NAIC National Association of Insurance Commissioners The National Association of Insurance Commissioners is an association of state insurance regulatory

More information

16 LC 37 2118ER A BILL TO BE ENTITLED AN ACT BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

16 LC 37 2118ER A BILL TO BE ENTITLED AN ACT BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: Senate Bill 347 By: Senator Bethel of the 54th A BILL TO BE ENTITLED AN ACT 1 2 3 4 5 6 To amend Title 33 of the Official Code of Georgia Annotated, relating to insurance, so as to provide for extensive

More information

Small Business: Dealing with Retirement

Small Business: Dealing with Retirement Small Business: Dealing with Retirement Insurance Professor.net OFFICE 6060 S Kenton Way Englewood CO 80111 PHONE 303.912.5490 FAX 866.837.1248 EMAIL aj@insuranceprofessor.net WEB www.insuranceprofessor.net

More information

annuity considerations contributed more than half (51%) (Figure 4.1).

annuity considerations contributed more than half (51%) (Figure 4.1). 4INCOME The gross income of life insurance companies comes from two main sources: premiums paid by policyholders and earnings on investments. In 200, total income of all U.S. life insurers increased 0

More information

OPTION SELECT ROTH IRA DISCLOSURE STATEMENT

OPTION SELECT ROTH IRA DISCLOSURE STATEMENT OPTION SELECT ROTH IRA DISCLOSURE STATEMENT Group Policy Form No. 01-1115-98 Group Certificate Form No. 01-1115C-98 and state variations thereof. Not for use in Florida. Regarding Roth Individual Retirement

More information

The Roth Option: Is It Right for You?

The Roth Option: Is It Right for You? The Roth Option: Is It Right for You? Your 401(k) Plan accepts Roth 401(k) contributions, giving you the flexibility to designate all or a portion of your 401(k) elective deferrals as Roth contributions.

More information

Kansas City 1Life Insurance Company

Kansas City 1Life Insurance Company Kansas City 1Life Insurance Company 2011 First Quarter Report Includes our subsidiaries: Sunset Life Insurance Company of America Old American Insurance Company Sunset Financial Services, Inc. Post Office

More information

30 Cannon Street, London EC4M 6XH, England Phone: +44 (0)20 7246 6410, Fax: +44 (0)20 7246 6411 Email: iasb@iasb.org.uk Website: http://www.iasb.

30 Cannon Street, London EC4M 6XH, England Phone: +44 (0)20 7246 6410, Fax: +44 (0)20 7246 6411 Email: iasb@iasb.org.uk Website: http://www.iasb. 30 Cannon Street, London EC4M 6XH, England Phone: +44 (0)20 7246 6410, Fax: +44 (0)20 7246 6411 Email: iasb@iasb.org.uk Website: http://www.iasb.org International Accounting Standards Board This document

More information

What is Whole Life insurance?

What is Whole Life insurance? What is Whole Life insurance? A quick look at permanence and stability Whole Life is a versatile financial instrument used for protecting families and businesses while creating and enhancing portfolio

More information

Your pension benefit options

Your pension benefit options 2 Your pension benefit options Traditional pension plans generally provide the option of a lump-sum payment or a fixed monthly payment for life through an annuity. The fixed monthly payment amount is usually

More information

Investing In Life Settlements

Investing In Life Settlements Investing In Life Settlements What are Life Settlements? A life settlement is simply the purchase of an existing life insurance policy at a discount to its full face amount. The price of the policy is

More information

are affiliated with other life and non-life insurance companies in fleets with a single owner.

are affiliated with other life and non-life insurance companies in fleets with a single owner. 1OVERVIEW U.S. life insurance companies sell the vast majority of life insurance and annuities purchased in the United States. Fraternal organizations and federal government agencies are also in the marketplace,

More information

Department of Insurance

Department of Insurance Role and Overview The (INS) provides consumer protection through education and fair but vigilant regulation while promoting a stable and competitive insurance marketplace. The Department is charged under

More information

American International Group, Inc. Financial Supplement Fourth Quarter 2005

American International Group, Inc. Financial Supplement Fourth Quarter 2005 Financial Supplement Fourth Quarter 2005 This report should be read in conjunction with AIG's Annual Report on Form 10-K for the year ended December 31, 2005 filed with the Securities and Exchange Commission.

More information

Title 24-A: MAINE INSURANCE CODE

Title 24-A: MAINE INSURANCE CODE Maine Revised Statutes Title 24-A: MAINE INSURANCE CODE Chapter 11: ASSETS AND LIABILITIES 953-A. APPLICABLE INTEREST RATES 1. The interest rates used in determining the minimum standard for the valuation

More information

Participant Protections for Defined Benefit Plan Benefits: Benefit Security

Participant Protections for Defined Benefit Plan Benefits: Benefit Security TOPICS IN Pension risk management Participant Protections for Defined Benefit Plan Benefits: Benefit Security As persistent economic and related market factors continue to keep volatility front and center

More information

No. 63 Page 1 of 71 2015

No. 63 Page 1 of 71 2015 No. 63 Page 1 of 71 No. 63. An act relating to principle-based valuation for life insurance reserves and a standard nonforfeiture law for life insurance policies. (H.482) It is hereby enacted by the General

More information

BANKRUPTCY QUESTIONNAIRE and DOCUMENT REQUEST. Documents due to your Trustee no later than TEN days prior to your Meeting of Creditors.

BANKRUPTCY QUESTIONNAIRE and DOCUMENT REQUEST. Documents due to your Trustee no later than TEN days prior to your Meeting of Creditors. TO: ALL DEBTOR(S) FROM: BANKRUPTCY TRUSTEE and/or UNITED STATES TRUSTEE RE: BANKRUPTCY QUESTIONNAIRE and DOCUMENT REQUEST Documents due to your Trustee no later than TEN days prior to your Meeting of Creditors.

More information

Index Growth Annuity 5 And 7

Index Growth Annuity 5 And 7 Index Growth Annuity 5 And 7 The Broker s Sales Guide To An Individual Fixed Annuity From The Standard With an Index Growth Annuity you ll find a rewarding combination of safety, tax deferral and choice.

More information

Who s Watching Your Back? An Assessment of Life Insurance Policyholder Protections Following the Passage of the Budget Control Act of 2011

Who s Watching Your Back? An Assessment of Life Insurance Policyholder Protections Following the Passage of the Budget Control Act of 2011 Who s Watching Your Back? An Assessment of Life Insurance Policyholder Protections Following the Passage of the Budget Control Act of 2011 Nease, Lagana, Eden & Culley, Inc. 2100 RiverEdge Parkway, Suite

More information

Understanding Participating Whole. equimax

Understanding Participating Whole. equimax Understanding Participating Whole Life Insurance equimax CLIENT GUIDE ABOUT EQUITABLE LIFE OF CANADA Equitable Life is one of Canada s largest mutual life insurance companies in Canada. For generations

More information

Organizational Structure and Insurers Risk Taking: Evidence from the Life Insurance Industry in Japan

Organizational Structure and Insurers Risk Taking: Evidence from the Life Insurance Industry in Japan Organizational Structure and Insurers Risk Taking: Evidence from the Life Insurance Industry in Japan Noriyoshi Yanase, Ph.D (Tokyo Keizai University, Japan) 2013 ARIA Annual Meeting 1 1. Introduction

More information

STRONG STABLE SECURE A LOOK AT MUTUAL OF OMAHA S FINANCIAL STRENGTH. STRONG. STABLE. SECURE.

STRONG STABLE SECURE A LOOK AT MUTUAL OF OMAHA S FINANCIAL STRENGTH. STRONG. STABLE. SECURE. STRONG STABLE SECURE A LOOK AT MUTUAL OF OMAHA S FINANCIAL STRENGTH. STRONG. STABLE. SECURE. Strong. Stable. Secure. For more than a century through recessions and a Great Depression, through two World

More information

Be it enacted by the People of the State of Illinois,

Be it enacted by the People of the State of Illinois, AN ACT concerning insurance. Be it enacted by the People of the State of Illinois, represented in the General Assembly: Section 5. The Illinois Insurance Code is amended by changing Sections 223 and 229.2

More information

Title 24-A: MAINE INSURANCE CODE

Title 24-A: MAINE INSURANCE CODE Title 24-A: MAINE INSURANCE CODE Chapter 11: ASSETS AND LIABILITIES Table of Contents Subchapter 1. ASSETS... 3 Section 901. "ASSETS" DEFINED... 3 Section 901-A. STATUTORY ACCOUNTING PRINCIPLES; RESERVES...

More information

Why are the interest rates higher than those offered by other fixed investments?

Why are the interest rates higher than those offered by other fixed investments? ST RUCT URED CASHF L OWS S t r uc t ur e d Ca s h F l ows. c om Discounted Cash Flows The secondary market for a variety of cash products has existed for years. These products range from pension payments,

More information

CHAPTER 12 FINANCIAL INSTITUTIONS. Commercial Banks and Thrift Institutions

CHAPTER 12 FINANCIAL INSTITUTIONS. Commercial Banks and Thrift Institutions CHAPTER 12 FINANCIAL INSTITUTIONS Part A. Commercial Banks and Thrift Institutions This Part discusses proposals to conform special rules relating t the taxation of banks and thrift institutions to the

More information

LIFE INSURANCE RATING METHODOLOGY CREDIT RATING AGENCY OF

LIFE INSURANCE RATING METHODOLOGY CREDIT RATING AGENCY OF LIFE INSURANCE RATING METHODOLOGY CREDIT RATING AGENCY OF BANGLADESH LIMITED 1 CRAB S RATING PROCESS An independent and professional approach of the CRAB is designed to ensure reliable, consistent and

More information

Kansas City 2Life Insurance Company

Kansas City 2Life Insurance Company Kansas City 2Life Insurance Company 2011 Second Quarter Report Includes our subsidiaries: Sunset Life Insurance Company of America Old American Insurance Company Sunset Financial Services, Inc. Post Office

More information

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 File: DISK030:[02CHI3.02CHI2403]BE2403A.;4 User: DINGRAM Printed: 24-Apr-2002;15:33:36 Created: 23-APR-2002;18:39 Chksum: 342971 Client: ALLSTATE LIFE INSURANCE COMPANY HTML Page: 1 Folio: BLANK Doc #

More information

MY CINCINNATI: Adapting for today s independent agencies 2014 ANNUAL REPORT ON FORM 10-K

MY CINCINNATI: Adapting for today s independent agencies 2014 ANNUAL REPORT ON FORM 10-K MY CINCINNATI: Adapting for today s independent agencies 2014 ANNUAL REPORT ON FORM 10-K ABOUT THE COMPANY Cincinnati Financial Corporation stands among the 25 largest property casualty insurers in the

More information

WHAT IS LIFE INSURANCE?

WHAT IS LIFE INSURANCE? UNDERSTANDING LIFE INSURANCE Presented by The Kansas Insurance Department WHAT IS LIFE INSURANCE? a. Insurance Contract issued by an Insurance Company. b. Premiums paid under the contract provide for a

More information

Universal Life Insurance

Universal Life Insurance Universal Life Insurance Wealth Protection, Accumulation and Transfer International Insurance for Individuals Prepare For Your Future Today! Introducing Sagicor s International Universal Life Insurance

More information

NC General Statutes - Chapter 58 Article 5 1

NC General Statutes - Chapter 58 Article 5 1 Article 5. Deposits and Bonds by Insurance Companies. 58-5-1. Deposits; use of master trust. Notwithstanding any other provision of law, the Commissioner is authorized to select a bank or trust company

More information

HOUSE OF REPRESENTATIVES FINAL BILL ANALYSIS SUMMARY ANALYSIS

HOUSE OF REPRESENTATIVES FINAL BILL ANALYSIS SUMMARY ANALYSIS HOUSE OF REPRESENTATIVES FINAL BILL ANALYSIS BILL #: CS/HB 509 FINAL HOUSE FLOOR ACTION: SPONSOR(S): Regulatory Affairs Committee; Van Zant 112 Y s 0 N s COMPANION BILLS: (SB 356) GOVERNOR S ACTION: Approved

More information

2015 MDRT Annual Meeting e Handout Material. Advanced Life 2015 Ideas that Thrive

2015 MDRT Annual Meeting e Handout Material. Advanced Life 2015 Ideas that Thrive 2015 MDRT Annual Meeting e Handout Material Title: Speaker: Advanced Life 2015 Ideas that Thrive David Szeremet, J.D., CLU Presentation Date: Wednesday, June 17, 2015 11:30 a.m. 12:30 p.m. The Million

More information

Article from: Risk Management. November 2005 Issue 6

Article from: Risk Management. November 2005 Issue 6 Article from: Risk Management November 2005 Issue 6 November 2005 Risk Management Hedging Variable Annuity Guarantees With Long-Dated Equity Derivatives by Mark Evans, Roma Jakiwczyk, Michelle D. Smith

More information

Jackson National Life Global Funding U.S. $9,000,000,000

Jackson National Life Global Funding U.S. $9,000,000,000 BASE PROSPECTUS SUPPLEMENT Jackson National Life Global Funding U.S. $9,000,000,000 GLOBAL DEBT ISSUANCE PROGRAM This supplement (this Base Prospectus Supplement ) is supplemental to and must be read in

More information

PRELIMINARY FACT FINDER

PRELIMINARY FACT FINDER CLIENT INFORMATION Family Information Client Spouse Full Name (First, MI, Last) Date of Birth (MM/DD/YYYY) Social Security # Drivers License # / State Address City / State / Zip Home Phone # Business Phone

More information

Choosing your guaranteed retirement income

Choosing your guaranteed retirement income Choosing your guaranteed retirement income A StEP-BY-StEP GuIdE MEMBERS Single Premium Immediate Annuity Move confidently into the future 10000258 rev 0310MHC Choose your retirement income: 6 EASY StEPS

More information

SHAY FINANCIAL SERVICES, INC. Miami, Florida (S.E.C. I.D. No. 8-043981)

SHAY FINANCIAL SERVICES, INC. Miami, Florida (S.E.C. I.D. No. 8-043981) Miami, Florida (S.E.C. I.D. No. 8-043981) STATEMENT OF FINANCIAL CONDITION and INDEPENDENT AUDITOR S REPORT Miami, Florida STATEMENT OF FINANCIAL CONDITION CONTENTS INDEPENDENT AUDITORS REPORT... 1 STATEMENT

More information

Variable Annuity Living Benefits

Variable Annuity Living Benefits Variable Annuity Living Benefits Darryl Wagner, Deloitte Consulting Agenda Types of Living Benefits Introduction to FAS133 Definition of a Derivative Identifying Embedded Derivatives Valuing Contracts

More information

Chapter 14. 1 Copyright 2012 Pearson Education, Inc. Publishing as Prentice Hall.

Chapter 14. 1 Copyright 2012 Pearson Education, Inc. Publishing as Prentice Hall. Chapter 14 1 Identify the purposes of the statement of cash flows Distinguish among operating, investing, and financing cash flows Prepare the statement of cash flows by the indirect method Identify noncash

More information