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Genworth
Financial EVP at Wachovia Securities CEO Summit,
circa. June 26, 2007 |
I assume you're
referring to IOLI/STOLI on universal life. Number
one, just to give you some context -- if you look at
our business mix today, our in force business mix,
less than 5% is in the target range for an age group
for a life settlement. So from that perspective we
feel very good. In terms of new business we do a
number of things. First of all we do frequent
audits to see what's coming in. The second thing
is that we're adding a question to our
application and we're reviewing our trust agreements
because this is usually where you pick it up.
And we have also told our distribution partners
that we do not want the IOLI/STOLI business." |
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ING
CEO During Q4 2006 Earnings Call; February 15, 2007. |
We have the top 30 life
company CEOs that are on the American Council of
Life Insurance Board have all agreed that we will
not write STOLI which is stranger owned life
insurance or investor owned life insurance.... So
I think you've seen for the large life companies a
fall-off in STOLI or IOLI. |
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Lincoln
National CEO, Q2 2007 Lincoln National Earnings
Conference Call Published August 1, 2007 |
"With respect to market conditions and IOLI and SOLI,
we did see, in the first quarter, a little more
aggressiveness on the part of distribution in trying
to move that type of product through. We
continued to put up filters, both on the
distribution side and the manufacturing side. I
think it has backed off quite substantially in the
last quarter. I think our success is a combination
of factors -- great products, great distribution,
great underwriting." |
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MetLife Chief
Admin. Officer, Q4 2006 Earnings Call; February 14,
2007 |
[M]any of our competitors are
following in our footsteps as evidenced by -- if you
look at total life sales for the industry, what you
would see is that it really started off with a bang
and ended with kind of a whimper.... And so what
you can see is that many of our competitors are
getting out of this business and we can actually
see a time possibly a year from now when there is no
more IOLI business. So we see the market is
coming back to us over time, and we are going to
continue to stick to strong fundamentals of the
business and doing the business in the right way." |
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John
Hancock CEO, Q4 2006 Earnings call; February 13,
2007 |
[W]e greatly strengthened our measures to
eliminate the IOLI cases coming through that we all
want to prevent from issuing. |
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American
General CEO on Q4 2006 AIG Earnings Call; March 2,
2007 |
As we discussed at our investor day, in the latter
half of 2006 you began to see the industry tighten
down on the investor-owned life insurance sale.
We believe we took a leading position in trying to
tighten that down and stem the tide of that. We,
like several other companies, did it through a
combination of changes in our underwriting process,
certifications by both agents and by customers,
reviewing trusts, and generally reviewing the entire
process, specifically in the older age marketplace
at the higher face amounts where that type of
business tended to come in. We stemmed the tide
fairly successfully, so much so that we saw a
fairly significant drop in our universal life sales
at the older ages. In the second half of 2006, we
indicated to you, as I believe has come true, that
we were going to establish a fairly new baseline
from which to grow. We believe that that has
occurred and we have indicated that we believe most
of the investor-owned life insurance sales have
stopped coming through our reported numbers. |
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Phoenix
Life, Fitch Report Quoted in BestWire, Feb. 27, 2007 |
In an effort to screen out IOLI sales, the
company stopped accepting premiums financed on a
non-recourse basis in February 2006, and it has
taken proactive steps to improve its
surveillance/detection capabilities and its product
designs. |
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Aegon
President and CEO on Final Year Earnings Call; March
8, 2007 |
And then U.S. retail
life sale, the rebound in the last quarter, a lot of
it came actually from the Transamerica Group where
there was a period of time there where the IOLI,
the industrial life sales and our stance on that
slowed things down a bit. But we think that, as a
whole, we're back to work there and doing better. |
