Is Your Current Insurance Policy (Or Your Client’s Policy) Meeting Expectations?
This service is designed to assist you in answering these questions by providing customized reports that will evaluate your current policy (or your client’s current policy).
Your customized report will provide you with the following:
- Review the Policy's Potential Lifetime Performance - to determine if based on current assumptions that your policy will continue to it’s contractual termination date as well as to your life expectancy. If it won’t, the report will include suggestions on possible adjustments to have the policy continue to meet planning objectives based on a current Inforce Illustration(s) which is required for this service (see instructions to download a sample request letter).
- Rate of Return for your policy - Determine the rate of return on your policy on year by year basis. This will help you estimate the “actual” return on your cash value life insurance policy. You’ll receive a summary showing annual Rate of Return’s 5, 10, 20 and 30 years from the date of inforce illustration.
- Rate of Return on Death Benefit – illustrates the year by year internal rate of return on the death benefit. You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Net Amount at Risk – Measure of Life Insurance , Total Death Benefit less Total Cash Surrender Value - You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Present Value Of The Death Benefit As Measured Against The Present Value Of Premiums - You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Present Value Of Cash Surrender Values As Measured Against The Present Value Of Premiums - You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Future Value Of Premium Payments (Opportunity Cost) - Calculated at a 5% Return on Investment (ROI). You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Future Value Of Cash Surrender Value – calculated at a 5% Return on Investment. You’ll receive a summary for 5, 10, 20 and 30 years from the date of inforce illustration.
- Income Tax Data for Policy – provides taxable gain and assume income tax incurred if surrendered for each year. Total premiums paid to date of inforce illustration (these may be on inforce illustration) and your income tax rate (federal and state) or a requested rate.
- Life Insurance Company Quality and Financial Strength Overview - current ratings from the five major rating services- (A.M. Best, Moody's, Standard & Poor's, and Fitch Ratings), as available with an in-depth life.
- Detailed Company Financial Information
The report will provide you with the information to see if your policy is on track to reach the needs established for it. If it is on track, then nothing needs to be done. If it is not meeting your expectations, then your options will be on the report. How you use this information is up to you. Please note that this is service is strictly information and is based upon the information submitted and is not to be construed as advice.
To request a policy evaluation, follow the instructions in the left column.
Further services are available for comparing a current policy with a new policy.
Please note that on reviews for Variable Life Policies the focus is strictly on the insurance component and the gross hypothetical rate of return on the submitted inforce (or proposed) policy illustration. There is no review or evaluation of the investment components.
Each report is designed for your particular policy. With over 1,500 active companies offering a multitude of constantly changing life insurance products, there are options, riders etc. that may not be shown on the information submitted and that may have a material impact on a policy.
To request a Comprehensive Life Insurance Policy Report:
To request a policy evaluation, follow the instructions on the life insurance policy evaluation request form (click to open, then print it):
You will also need the "Sample In-Force Illustration Letter" (click on it)
For a sample "Comprehensive Evaluation Report" (click here)