Sentinel & Atlantic Coast Life

[somarco]

It seems this might be the best section for this announcement . . .

Changes to Sentinel & Atlantic Coast Life Product Availability​

We are reaching out to inform you of recent developments involving Sentinel Security Life Insurance Company ("Sentinel") and its sister company, Atlantic Coast Life ("ACL"), that may impact your business operations. Sentinel Update Following a recent Emergency Order issued by the Utah Insurance Commissioner, Sentinel has been directed to cease writing new business by December 31, 2024. You can review the full text of the Order here. Sentinel has requested a stay of the Order and is actively challenging its findings, but no public statement has been released at this time. Given these circumstances, we are currently not accepting new applications for Sentinel products until there is further clarity and resolution regarding this situation. ACL Update You may also be aware of an Order issued by the South Carolina Department of Insurance affecting ACL. ACL has acknowledged the Order, which is connected to the Utah Emergency Order affecting its parent company, A-CAP. ACL has assured policyholders and agents that its day-to-day operations remain unchanged, and it continues to meet its obligations without interruption. ACL has also confirmed that it is working to resolve this matter in coordination with A-CAP and other stakeholders. Despite the ongoing efforts to resolve these matters, we are not accepting new applications for ACL products until further notice. We're Committed to Keeping You Informed We understand it is vital to have access to compliance-focused, reliable information to guide your business decisions. As we learn more, we will provide timely updates to keep you informed. If you have any immediate questions or concerns, please don't hesitate to reach out to your annuity marketer. We are here to support you with actionable strategies and alternative solutions to ensure that you can continue delivering trusted retirement and life insurance resources to your clients.​

Thank you for your understanding and partnership.​ ​ Jonathan R. Bussert President and CEO Legend Financial Marketing Services​

 

[Tahoe Ray]

It seems this might be the best section for this announcement . . .

Changes to Sentinel & Atlantic Coast Life Product Availability​

We are reaching out to inform you of recent developments involving Sentinel Security Life Insurance Company ("Sentinel") and its sister company, Atlantic Coast Life ("ACL"), that may impact your business operations. Sentinel Update Following a recent Emergency Order issued by the Utah Insurance Commissioner, Sentinel has been directed to cease writing new business by December 31, 2024. You can review the full text of the Order here. Sentinel has requested a stay of the Order and is actively challenging its findings, but no public statement has been released at this time. Given these circumstances, we are currently not accepting new applications for Sentinel products until there is further clarity and resolution regarding this situation. ACL Update You may also be aware of an Order issued by the South Carolina Department of Insurance affecting ACL. ACL has acknowledged the Order, which is connected to the Utah Emergency Order affecting its parent company, A-CAP. ACL has assured policyholders and agents that its day-to-day operations remain unchanged, and it continues to meet its obligations without interruption. ACL has also confirmed that it is working to resolve this matter in coordination with A-CAP and other stakeholders. Despite the ongoing efforts to resolve these matters, we are not accepting new applications for ACL products until further notice. We're Committed to Keeping You Informed We understand it is vital to have access to compliance-focused, reliable information to guide your business decisions. As we learn more, we will provide timely updates to keep you informed. If you have any immediate questions or concerns, please don't hesitate to reach out to your annuity marketer. We are here to support you with actionable strategies and alternative solutions to ensure that you can continue delivering trusted retirement and life insurance resources to your clients.​

Thank you for your understanding and partnership.​ View attachment 15957​ Jonathan R. Bussert President and CEO Legend Financial Marketing Services​

ACL sent out a marketing email that the Utah examiner was "inexperienced" and didn't know what they were doing.

They claim that they had their financials already audited by a 3rd party from a "major firm" that believes that all of their financials are sufficient and that they should be allowed to continue to do business.

Interesting back and forth.

 

[somarco]

He said, she said . . .

 

[Tahoe Ray]

He said, she said . . .

SC judge rules Atlantic Coast can stay in business; rips regulators

A South Carolina judge reversed a state Department of Insurance order today banning Atlantic Coast Life Insurance from writing new premiums.

insurancenewsnet.com

 

[Allen Trent]

SC judge rules Atlantic Coast can stay in business; rips regulators

A South Carolina judge reversed a state Department of Insurance order today banning Atlantic Coast Life Insurance from writing new premiums.

insurancenewsnet.com

Seems like a no win situation.

SC or NC regulators blamed for Colorado Bankers collapse for not being able to detect the fraud.

Now same regulators or those in neighboring state being criticized for being too strict on a carrier that appears to have been involved in some off shore shell games that led to questionable investments & liquidity

 

[scagnt83]

Seems like a no win situation.

SC or NC regulators blamed for Colorado Bankers collapse for not being able to detect the fraud.

Now same regulators or those in neighboring state being criticized for being too strict on a carrier that appears to have been involved in some off shore shell games that led to questionable investments & liquidity

There is a lot to unwind with all of this.

Does an administrative judge truly understand the intricacies of insurance carrier reserve accounting and requirements? It seems he is basing this all on the carriers efforts to rehab and reduce sales. Not on the actual data that caused the injunction.

Does the judge have some other agenda perhaps? Well, it is SC we are dealing with here. Goodoleboy system is alive and well. Judge Tripp is also very "pro business" so to speak, so how dare a government agency tell a private company to stop committing fraudulent sales...

However. If the reinsurance shell game is allowed by law. It is not something he is likely to be able to consider in his ruling. So that might be part of the issue in the situation. Regulations seem to allow the reinsurance structure. Hopefully Im wrong, but I have not seen that mentioned anywhere yet that the reinsurance structure is being legally challenged. Its all about the reserves. To me, they go hand in hand.

 

[Allen Trent]

There is a lot to unwind with all of this.

Does an administrative judge truly understand the intricacies of insurance carrier reserve accounting and requirements? It seems he is basing this all on the carriers efforts to rehab and reduce sales. Not on the actual data that caused the injunction.

Does the judge have some other agenda perhaps? Well, it is SC we are dealing with here. Goodoleboy system is alive and well. Judge Tripp is also very "pro business" so to speak, so how dare a government agency tell a private company to stop committing fraudulent sales...

However. If the reinsurance shell game is allowed by law. It is not something he is likely to be able to consider in his ruling. So that might be part of the issue in the situation. Regulations seem to allow the reinsurance structure. Hopefully Im wrong, but I have not seen that mentioned anywhere yet that the reinsurance structure is being legally challenged. Its all about the reserves. To me, they go hand in hand.

My understanding is they really don't have 3rd party reinsurance. The company that owns Sentinel & Atlantic also owns the Reinsurer. Seems like a creative way to not be limited to investment that on shore carriers are limited to. If you offload a portion of all the "reinsurance " assets to the offshore company, they are not as restricted etc.

I honestly can't follow it all, but definitely a reason for the mass explosion in annuity carriers transferring to off shore reinsurers when I don't believe annuities generally utilized reinsurance to the extent that life & PC carriers do to transfer risk. This annuity stuff seems less about transferring risk & more about access to offshore investing & more creative accounting