This analysis was produced specifically for Shaw American via LifeMark Partners to provide a different perspective on the competitiveness and performance of NLG products.
Goal of Analysis: to focus on potential “real life” situations where a client may be at an advantage or disadvantage as it relates to how a product would perform should premiums be omitted in specified years.
Missed Premium Analysis: Guaranteed universal life (GUL) products are only guaranteed as long as you pay the premium, on time, every time. Producers can strongly encourage their clients to pay premiums on time; however, life events may prevent their clients from being able to pay premiums on time or they may unintentionally (or intentionally) miss a premium.
The Missed Premium Analysis looks at periods of time when the client may miss a premium and what the affect would be on the guaranteed period. We focused on what the guarantee period would look like if a client missed a premium, independent of one another, in year 4, 9 and 13.
For this analysis, we looked at the following:
- Males & Females, Preferred Best, Preferred & Standard Non-Tobacco Risk Classes
- Ages 45-70, every 5 years
- $1,000,000 Level Death Benefit
- Solve for Lifetime Level Premium