Starters - Policy Overview
- Policy Overview
- Cover Page
- Policy Narrative
- If appropriate, the paragraph might add something like "The amount of premium you have elected to pay, $300 per year, is however insufficient to keep the policy in force to age 95 at the guaranteed minimum interest rate of 4%; the policy would terminate at age 66.
- To be sure that the policy continues to age 95, even at the minimum interest rate of 4%, you would have to pay $644.30 per year for the entire life of the policy. (p466)
1990-1A, NAIC Proceedings - NAIC / LIMRA - Universal Life Disclosure Form Focus Group Summary, Consumer Issues Disclosure Working Group - NAIC - --- [BonkNote] --- 10p
The American Council of Life Insurance (ACLI) presented a paper on cost disclosure for universal life products...
- Further, the policy summary should include a statement on the point at which the policy will expire based on the policy guarantees and the anticipated premiums shown in summary.
- Basically, it summarized that universal life should be treated as a life insurance plan with a nonguaranteed cost element for cost disclosure purposes.
1982-1, NAIC Proceedings
13. The Cover Page for any illustration should contain the annual premium necessary to maintain the policy to maturity based solely upon the guarantees in the policy. <Bonk: Guaranteed Maturity Premium?>
- This will assist the policyowner in understanding the differences between guaranteed and non-guaranteed policy features.
1994-1, NALU (NAIFA) - NAIC Proceedings