What You Need to Know About Life Expectancy Estimates

Life expectancy estimates are used by life insurance companies and other organizations in various ways. The Life Settlement market relies heavily on this type of data to ensure the health of their portfolios. Let’s take a look at how life expectancy estimates are created, and what they include. How Life Expectancy Estimates are Calculated Life Expectancy (LE) estimates take a number of factors into [...]

3 Trends in Corporate ILIT Administration That You Should Be Aware Of

There are three continuing trends with respect to TOLI management in the corporate fiduciary space.  If you find yourself managing or overseeing TOLI at a bank or trust company, I’m sure you are seeing some of this play out in your own department. TREND #1 Overdependence on Support Software If used correctly, ILIT support software is great for minimizing potential administrative miscues.  Many of [...]

Take the TOLI Challenge: In a Permanent Life Insurance Policy, the Cost of the Policy is Equal to the Premium – Yes or No?

The answer is an emphatic NO. Some permanent life insurance policies, specifically guaranteed universal life (GUL) and Whole Life (WL), have required premiums, though WL out of pocket premiums can be reduced by dividends, paid-up addition cash values or policy loans. But the premium paid is not the actual cost of the policy and finding the underlying costs on the policies is a challenge. For [...]

Take the TOLI Challenge: Can You Answer This?

What steps should you take if a grantor says they want to surrender their policy? In the decade-plus that we have been managing life insurance for TOLI trustees, we have noticed that the weak link in their services usually is remediation. The inability to analyze policy options in changing situations is an area of future liability. Some trustees we have spoken with have surrendered policies [...]

COVID-19 Update: Life Settlements Excess Mortality Declines

This post updates our previous analysis which estimated a COVID-19 net mortality risk factor for the life settlements population between 6x and 12x.  Since then, we have seen a decrease in life settlements excess mortality resulting in a net risk estimate at the floor of our original range, around 6x.  This is consistent with a delayed protective wealth effect where the delay is explained [...]

2020-08-07T14:05:35-05:00August 7th, 2020|Covid-19, General Interest|0 Comments

Professional Designations: Training Your Staff Helps Your Team and Your Firm

Over the years, we at ITM TwentyFirst have been leaders in peer education. The TOLI Handbook, a free download available here as a PDF, provides industry peers with a single source guide for managing trust-owned life insurance (TOLI) trusts and policies. We have, over the years, provided hundreds of hours of professional CE for several professional designations. Our staff is encouraged and incentivized to seek [...]

Upcoming Webinar June 24th – Comparing the Discretionary, Delegated, and Directed Trustee’s Role and the Trust Protector

Directed Trusts are a growing reality as more states adopt the Uniform Directed Trust Act. Delegated trusts are as old as the UPIA, but are you really prepared to confidentially articulate the difference between the two models?  Most trust organizations are being asked to consider one or both of these options by someone in their market or the bank. This webinar will compare and [...]

Upcoming Webinar June 10th – A Trustee’s Guide to Life Settlements

Life settlements are confusing, at best.  That confusion can make you uncomfortable.  So much so that you allow a client to surrender or lapse a policy without exploring the option.  That would be a mistake – one that could cost the client money and put you in hot water.  It’s hard to move ahead if you do not know how.  We understand that, just [...]

Upcoming Webinar May 27th: Minimizing Trustee Liability in a Changing Market

Minimizing Trustee Liability in a Changing Market Judith Pearson, Nomadx Solutions Risk management is always more challenging in a volatile environment, especially in a society that has grown more litigious.  Learn how to minimize your liability by taking a few simple steps. The trust world has become rich with opportunity. Learn how to navigate this complex market while dodging landmines of personal liability. Understand [...]

Upcoming Webinar May 13th: An Insider’s Guide to Life Insurance in a Challenging Environment

A decade-plus of historic low interest rates and a financial crisis unlike any we have seen before has negatively impacted life insurance.  Do you know why and what you can do to deal with it?  You will if you take part in this fast-paced webinar.  By attending, you will: Learn which policies will be most affected and how to manage them effectively going forward. [...]

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