Life Quote

[Superchief]

What's a competitive annual rate for a 20 Year Term policy at $5M on a 47 year old healthy, non smoking male?

Any thoughts?

Thanks!

 

[somarco]

That's probably a moot question.

Only a handful of carriers are able to handle a policy of that size. Quotes really don't matter that much on a $5M policy. It's more about underwriting and finding a carrier willing to take the policy in one gulp.

 

[bluemarlin08]

Most all the major companies routinely accept this size policy and MUCH larger. If he is truly preferred plus expect to pay around 7000 per year. He must qualify not only medically, but also financially. Agent cover letters describing the reason for the coverage can greatly speed up the underwriting.
Medical UW requires an agent to be aware of who to apply with, ie if he takes BP meds or Chol meds who will consider him at pref plus, only 1 company I know, as well as does he have a family history of cancer prior to age 60, there is only one company that will consider him at pref plus. You might want to bring in an agent that works this market and has experience with UW.

 

[CHUMPS FROM OXFORD]

Using Preferred rates (not Preff Best) on a 10-year policy...Pru charges $4485. JH and Banner are two of about six companies in the $4900-$5050 range.

Whoops. That's a 10-year.

Pru is $8135 for a 20. JH is $8600 and Banner around $9000. This assumes that he had an early birthday this year. If not...JH comes in at $8000.

 

[somarco]

Axa and Mutual (United) of Omaha have had strong numbers and they certainly can handle a case this size.

Smaller carriers (such as Banner) typically have so many reinsurance layers that their rates are not as competitive and underwriting takes much longer since they have to send the case off to the reinsurers for review before making an offer.

 

[bluemarlin08]

All companies sen most of their business to reinsurance, as a matter of fact Banner is one of the few companies that will retain the first million of coverage. It doesn't take any longer to send to reinsurance from one company to another. I recently had a 10 million dollar policy underwritten in 10 business days.

 

[WBunch]

All companies sen most of their business to reinsurance, as a matter of fact Banner is one of the few companies that will retain the first million of coverage. It doesn't take any longer to send to reinsurance from one company to another. I recently had a 10 million dollar policy underwritten in 10 business days.

I agree...Just because reinsurance is involved doesn't mean the case takes forever. I like Bluemarlin had a 15million case underwritten in 12 business days. It is all in your agent cover letter and covering all of the details and having all of the information.

 

[kcguru]

Hello everyone! I am new to the board . Any suggestions on how to grow your business? Where are good leads available? What is easier to sell life or health?

Gary