Cost of Insurance (COI) Increase – Page 2

California Issues Regulations Concerning Cost of Insurance Increases on Life Insurance

Almost exactly a year ago, we wrote about a new regulation implemented by the New York State Department of Financial Services to “govern life insurance company practices related to increases in the premiums” of life insurance and annuity policies. That regulation required carriers raising rates on policies to notify the department “at least 120 days prior to an adverse change in non-guaranteed elements of an [...]

ITM TwentyFirst2018-09-26T08:21:57-05:00September 26th, 2018|Cost of Insurance (COI) Increase, Uncategorized|0 Comments

Lawsuit Filed Against Voya Cost of Insurance (COI) Increase

In May of 2016 we reported that the cost of insurance was being raised on a specific block of approximately 18 universal life products originally issued by Aetna Life Insurance and Annuity Company (now Voya Retirement Insurance and Annuity Company.) Lincoln Financial Group was the administrative agent and reinsurer on the policies. We were unsure of the total number of policies affected. Last week (August [...]

ITM TwentyFirst2018-08-21T12:20:14-05:00August 21st, 2018|Cost of Insurance (COI) Increase, Uncategorized|0 Comments

ITM TwentyFirst Alert: Lawsuit Filed Against John Hancock for COI Increase

In February of 2017 we reported John Hancock had placed restrictions on certain inforce illustrations. At that time, we mentioned this was a possible precursor to a cost of insurance increase. A year later the carrier notified the New York Department of Financial Services that it would be raising the cost of insurance (COI) on some Performance UL policies. Last month we reported the first [...]

mbrohawn2018-06-11T15:56:46-05:00June 11th, 2018|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, Policy Management|4 Comments

First John Hancock Cost of Insurance (COI) Increase Letters Arrive

In February of 2017 we reported John Hancock had placed limitations on inforce ledgers for certain Performance UL policies. A year later, in February of this year, we wrote that The Life Settlements Report, a trade publication, reported that John Hancock had voluntarily notified the state of New York that it would be raising the cost of insurance (COI) on 1,700 Performance UL policies. Today, [...]

mbrohawn2018-05-09T13:55:59-05:00May 9th, 2018|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, News, Uncategorized|1 Comment

Lawsuit Filed Against Phoenix for 2017 Cost of Insurance (COI) Increase

On April 19th, a class action lawsuit was brought in the Southern District of New York against PHL Variable Life Insurance Company (Phoenix) for subjecting policyholders “to an unlawful and excessive cost of insurance (“COI”) increase” …“in violation of their insurance policies.” We reported on the cost increase in August of last year. A 2010-11 COI increase resulted in a 2015 settlement against Phoenix for [...]

mbrohawn2018-04-21T09:30:24-05:00April 21st, 2018|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest|1 Comment

New Transamerica Cost of Insurance Increase Is One of the Largest Yet

In the summer of 2017 we posted a blog about another Transamerica cost of insurance (COI) rate increase affecting Ultra 115 and TransSurvivorship products purchased in 1998-99. We anticipated that the increases would be around 58%—a hefty raise. What we are seeing now could easily surpass that. We are now beginning to receive notices of monthly deduction rate increases for some policies. Some of the [...]

mbrohawn2021-12-14T13:44:19-06:00April 18th, 2018|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, Policy Management, Transamerica|2 Comments

NCOIL Tables Model Legislation Efforts to Deal with Cost of Insurance Increases in Life Insurance

NCOIL, the National Council of Insurance Legislators, met in Atlanta last weekend to discuss, among other things, “legislative solutions to unjustified premium increases (1).” NCOIL is an organization made up of state legislators interested in insurance and financial matters, many of whom serve on related committees in their home states. The goal of the organization is to inform state legislators by creating a venue for [...]

mbrohawn2018-03-09T07:35:12-06:00March 9th, 2018|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, News, Policy Management|3 Comments

John Hancock To Raise Cost Of Insurance (COI) On Performance Universal Life Policies

In February of last year, we reported on limitations placed on inforce illustrations for John Hancock Performance universal life policies. At that time, the carrier announced a “temporary” situation, saying they were unable to provide current inforce illustrations because “regulatory standards that govern illustration practices . . . prevent us from illustrating currently payable amounts based on our current non-guaranteed elements.” In that report, we mentioned that [...]

mbrohawn2018-02-09T11:00:03-06:00February 9th, 2018|Cost of Insurance (COI) Increase, General Interest, Life Insurance Investments, News, Uncategorized|0 Comments

New York State Issues New Regulations Regarding Cost of Insurance (COI) Increases

In November of last year we reported on a regulation floated by the New York State Department of Financial Services to “govern life insurance company practices related to increases in the premiums” of life insurance and annuity policies. The goal was to “protect New Yorkers from unjustified life insurance premium increases.” This week, the department issued their final regulation. According to a press release announcing [...]

mbrohawn2017-09-21T14:57:21-05:00September 21st, 2017|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, Policy Management|0 Comments

Lincoln National Consolidated COI Lawsuit Update – The Case Is Moving On

A little over a year ago we posted a blog about a Lincoln Financial cost of insurance (COI) increase on Legend Series Universal Life policies issued between 1999 and 2007 that originated at Jefferson Pilot (Lincoln Financial purchased Jefferson Pilot in 2006). Earlier this year we reported on a class action lawsuit filed in in the Eastern District of Pennsylvania against Lincoln. Other lawsuits soon followed, and in May we reported that [...]

mbrohawn2017-09-18T15:05:58-05:00September 18th, 2017|Cost of Insurance (COI) Increase, Current Assumption Universal Life, General Interest, Policy Management|1 Comment