Another “best-priced” GUL has Rate Increase

To:  Marketing Managers/Staff                                                              5/30/2012

From:  Bud

 Just got this notice about rate increases on what is currently the best deal on GUL among our carriers – darn it.

 For both United of Omaha and Mutual of Omaha, effective June 1, 2012, Guaranteed no-lapse UL (GUL) premiums will be increased to reflect current market conditions.

 Sweet spots for new rates

·        Standard Nontobacco, Standard Tobacco and Preferred Nontobacco risk classes

·        For face amounts of $500,000 and $1,000,000 and up

 

Translation:  After June 1, United and Mutual of Omaha will not be “unbeatable” at GUL any longer in face amounts of $499,999 and under, and $500,001 to $999,999, pending repricing by other carriers. Over $1,000,000, they will be “competitive”, but not necessarily the lowest in all rates classes.  Rule of thumb: the higher the face amount, the less competitive they will likely be.  – Bud

 To get the current, low premium pricing

·        Applications must be signed before June 1, 2012 must be received in the home office by June 8, 2012 – In other words, producers will have to have the documents into DIL no later than June 7th. – Bud

·        All other applications with a signature dated June 1 or later will be priced at the new – and in many cases, higher – rates.

 So, if your producers have any fence-sitters, now is the time to sell the U of O GUL!

 

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