Annunities....and Seniors ?

[TonyC]

Since the Neasham case...i'm wondering what do agents do to CYA in these cases?

If you get a third party to approve...in many cases...that will kill the deal.

How do you CYA in cases WHERE the annuitant would benefit from your product?

ANBC - Glenn Neasham Appellate Trust Fund

 

[liquidglass]

Have form for them to sign that clearly states they are of sound mind, they are choosing the product because of suitability and have their printed name and date. Then keep them all

 

[sman]

Have form for them to sign that clearly states they are of sound mind, they are choosing the product because of suitability and have their printed name and date. Then keep them all

If they aren't of sound mind do you think they will know it?

 

[Guest]

Since the Neasham case...i'm wondering what do agents do to CYA in these cases?

If you get a third party to approve...in many cases...that will kill the deal.

How do you CYA in cases WHERE the annuitant would benefit from your product?

ANBC - Glenn Neasham Appellate Trust Fund

Its not that difficult. There were many opportunities for him to avoid the mess that he is in.

If they are married just make sure both spouses agree.

If they are single then have a close family member sit in the meeting with you.

If they don't like their family then meet with them and a member of their church, bridge club, sewing circle, etc.. Someone who has known them for a long time and can comment on their competence.

 

[hammerken]

Having a detailed process that includes proper documentation and involving family members if at all possible should prevent issues from happening. Armchair quarterbacking that case takes place on an endless thread. That being said, Annuities do have their place for Seniors but it requires an approach that is above board and in some cases, significant extra effort from the agent and the prospect so that ending up in front of a regulator or judge does not happen.

 

[liquidglass]

If they aren't of sound mind do you think they will know it?

If it was severe enough to affect their decision making skills I'm sure you would be able to tell. If you ignore it, it's on you.

 

[sman]

If it was severe enough to affect their decision making skills I'm sure you would be able to tell. If you ignore it, it's on you.

I don't necessarily disagree, but there are times where you won't know. I have a client who was the mayor of a small city. Over the course of a couple of years she has lost some mental capacity (thus the reason she is no longer the mayor). It's to the point where you could meet with her one or two times and not catch it. She would be a prime example of the type of person who would sign a form stating she is of sound mind and if you haven't been around her enough you wouldn't know any better.

 

[CALTCAgent]

If it was severe enough to affect their decision making skills I'm sure you would be able to tell. If you ignore it, it's on you.

Often times decision making skills are ok. I have poeple all the time not pass the cognitive screen for LTC that I had no idea. Tests have been developed by medical professionals, companies spend thousands administering them. Even doctors must administer them before they can diagnose an issue.

So if you are that good, I'm impressed. You have possibly caught something before their doctor, family and friends. It does sound like a person needs to be good, the alternative is possible prison time.

 

[liquidglass]

Apparently some people want to attack a straw man rather than address the actual main point. The 'sound mind' comment is typical legal boilerplate when dealing with large amount of assets and should be address to cover your Ass(ets).

I don't necessarily disagree, but there are times where you won't know. I have a client who was the mayor of a small city. Over the course of a couple of years she has lost some mental capacity (thus the reason she is no longer the mayor). It's to the point where you could meet with her one or two times and not catch it. She would be a prime example of the type of person who would sign a form stating she is of sound mind and if you haven't been around her enough you wouldn't know any better.

You make a very good point here, obviously it's a possibility I overlooked in my original blanket statement, so I appreciate you bringing it up. To be honest, on my end there have been more than a few times I haven't caught something because the person was on a dementia or Alzheimer medicine and apparently it was doing a great job!

But also in my experience if the person has a family they normally can no longer unilaterally make decisions with large amounts of money (especially if it's diagnosed).

I'm overly sarcastic without contributing to the conversation

There I fixed that for you.

I'm not saying one has to be to the point of being a doctor about the situation. Because if it's not officially diagnosed and you had them sign a piece of paper then obviously you can't be held accountable for that. (that's why there's a date).


But if you have a better suggestion for agents to CTA. Please, inform us.

 

[VolAgent]

I'm not saying one has to be to the point of being a doctor about the situation. Because if it's not officially diagnosed and you had them sign a piece of paper then obviously you can't be held accountable for that. (that's why there's a date).


But if you have a better suggestion for agents to CTA. Please, inform us.

Ask Glenn about CYA letters. If you are using a form that isn't carrier or state required, the immediate assumption is you knew better but were just trying to CYA.