1: CAST SERVICE HIGHLIGHT

Branch Optimization
Effectively manage productivity, customer service and staff resource levels

As service providers aggressively expand product and service offerings, the branch delivery channel takes on new importance. Companies, particularly banks, frequently overlook the interdependencies of appropriate skill sets, staff levels, processes and physical branch configuration. The situation is further complicated in situations where multiple companies are being merged. A holistic view is essential in optimizing branch staff levels. Organizations continue to struggle with excess cost and ineffective productivity management in their branch networks.

• Inability to effectively forecast workload and accurately schedule resources based on service delivery targets and sales opportunities
• Limited understanding of the implications of delivering new products and services
• Inefficiencies from merging disparate operations, technologies and staffing practices
• Failure to educate staff and customers on alternative processing options
• Limited understanding of the implications of newly installed technologies
• Inefficiencies resulting from recent arbitrary, across the board staff reductions
• Incomplete performance metrics

Why CAST for Branch Staffing Optimization

• Over 15 years experience reengineering branch office processes in banking, insurance and capital markets
• Superior data capture and analysis methodology
• Proven approach to developing staffing standards and performance metrics
• Comprehensive staffing models
• Demonstrated expertise in organization design
• Collaborative approach which actively involves branch personnel
• Established implementation tools and techniques
• Proven tools for monitoring and measuring benefit

2: ANNOUNCEMENTS - 2009 Annual Financial Data Through BestLink

OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best Co. has released 2009 insurance company data to subscribers of its Best’s Statement File – US – Property/Casualty, Best’s Statement File – US – Life/Health and Best’s Schedule P databases. Data from insurers that have completed their filings to date is now available via BestLink, A.M. Best’s comprehensive online service, enabling subscribers to access financials, ratings, reports and more directly from their Web browser. Data is also available via BestLink for Excel, which allows users to download financial data from A.M. Best’s online financial database directly into their Excel spreadsheets.

This marks the third consecutive year that A.M. Best has been first to market with its annual financial statement data and made it available before the submission deadline via the BestLink utility. Data will be updated and made available via BestLink and BestLink for Excel as A.M. Best continues to receive annual statements.

Learn more about BestLink at www.ambest.com/sales/bestlinkgateway. 

3: BANKINSURANCE.COM - BBVA Compass Advances in Sunbelt with Guaranty Conversion

NEWS IN BRIEF - FEBRUARY 22 - 28, 2010

Birmingham, AL-based, $64.6 billion-asset BBVA Compass Bank has completed its conversion and rebranding of former Guaranty Bank branches in California and Texas into BBVA Compass.  BBVA Compass Chairman Jose Maria Garcia Meyer said, “The seamless conversion of Guaranty further advances BBVA’s well-defined strategy of growth and development of its U.S. franchise in the attractive Sunbelt Region.”  BBVA Compass entered into a loss-sharing agreement with the Federal Deposit Insurance Corporation (FDIC) in August 2009 to acquire Austin, TX-based, $13.5 billion-asset Guaranty Bank’s $11.5 billion in deposits, $12 billion of its assets and assume 20% to 5% of its losses.  BBVA Compass is a subsidiary of Birmingham, AL-based Compass Bancshares, a unit of Bilbao, Spain-based, $785 billion-asset BBVA Group.

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

4: BANKINSURANCE.COM - Dow Jones & CME Form Global Financial Joint Venture

NEWS IN BRIEF - FEBRUARY 15 - 21, 2010

New York City-based Dow Jones & Company and Chicago-based CME Group have agreed to form a global financial index services joint venture.  Dow Jones will license its name to the business and contribute its Dow Jones Indexes valued at $675 million.  CME Group will contribute its market data services valued at $607.5 million.  The joint venture will then raise $613 million in order to pay Dow Jones $607.5 million, giving CME Group 90% ownership of the venture and Dow Jones 10%.  Dow Jones CEO Les Hinton said, “A venture with CME Group provides advantages the index business needs to grow and prosper.”

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

5: BANKINSURANCE.COM - Retirement Age Workers Good Bets for Annuities

NEWS IN BRIEF - FEBRUARY 22 - 28, 2010

A record 55% of Americans plan to work past age 67, and the number who plan to work fulltime at that age has climbed to a new high of over 28%, according to the Unretirement Index based on a survey conducted by Wellesley, MA-based Sun Life Financial, U.S.   Sun Life Financial Distributors President Terry Mullen said, ”Americans need help building their savings for a more secure environment, and annuities with their guaranteed life income can help.”

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

6: BANKINSURANCE.COM - U.S. Bank Executives Reject Government as Wage Czar

NEWS IN BRIEF - FEBRUARY 22 - 28, 2010

Close to all (96%) of U.S. bank executives do not believe the government should play a role in setting bank compensation parameters and guidelines, and 61% do not believe such compensation parameters and guidelines will reduce excessive risk-taking, according to Grant Thornton’s 17th Bank Executive Survey sponsored by Bank Director magazine.  Executive pay should be based upon bank performance, 84% of bankers believe, and 58% believe increased government involvement will negatively affect their ability to successfully retain and recruit good executive management.  The vast majority (71%) of bankers in the Southeast agree with that last statement, followed by bankers in the Central Region (63%), the West (62%), the Midwest (55%) and last of all the Northeast (46%), Chicago-based Grant Thornton.

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

7: BANKINSURANCE.COM - U.S. Fixed Annuity Sales Trend Down

NEWS IN BRIEF - FEBRUARY 22 - 28, 2010

U.S. fixed annuity sales in the fourth quarter continued their quarter-to-quarter downward trend.  While first quarter sales of $34.8 million rose 2.1% over fourth quarter 2008 sales of $34.1 million, second quarter 2009 dropped 20% from first quarter sales of $27.8 million; third quarter sales dropped another 20% from second quarter sales to $22.1 million, and fourth quarter sales declined 9% to $20.4 million from third quarter sales.  Overall, year 2009 fixed annuity sales totaled $105.1 billion, down 1.5% from record earnings of $106.7 billion in 2008, according to data compiled by Evanston, IL-based Beacon Research for Washington, DC-based Insured Retirement Institute (IRI).  Book value annuities made up 44.2% of the fixed annuity market in the fourth quarter followed by indexed annuities (37.3%), and trailed by immediate annuities (9.4%) and market value adjusted (MVA) annuities (9.1%).  For the year 2009, book annuities accounted for almost half (49.5%) of all fixed annuity sales, followed by indexed annuities (30.2%), MVAs (14.9%) and fixed income annuities (7.6%), Beacon Research shows.

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

8: BANKINSURANCE.COM - U.S. Indexed Annuity Sales Hit Record $30.2 Billion in 2007

Indexed Life Sales Choppy

NEWS IN BRIEF - FEBRUARY 22 - 28, 2010

U.S. indexed annuity sales in 2009 reached a record $30.2 billion, exceeding the past record of $27.2 billion set in 2007 by 10%, according to AnnuitySpecs.com Indexed Sales and Market Report.  Record sales in the second and third quarters drove the results, which were slowed by fourth quarter sales of $7 billion, down 6.7% from $7,5 billion in third quarter 2009 and off 2.7% from $7.2 billion in fourth quarter 2008.  Jackson National Life was the number one provider of indexed annuities in the bank and wirehouse market, but Allianz Life was the top provider overall, followed by American Equity, Jackson National and ING, respectively.
     Indexed life insurance sales of $151.3 million in the fourth quarter slipped 4% compared to fourth quarter 2008 sales of $157.6 million, but were up 16% compared to third quarter 2009 sales of $127.1 million.  Aviva, with a 22% market share, was the top indexed life insurance provider.  Pacific Life, with the number 1 indexed life product, ranked second, followed by National Life Group, Minnesota Life, and American General Companies.  Among all indexed life insurance products sold, the average premium paid totaled $7,596, Pleasant Hill, IA-based AnnuitySpecs.com research shows.

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

9: BANKINSURANCE.COM - U.S. Individual Life Applications Continue Up

NEWS IN BRIEF - FEBRUARY 15 - 21, 2010

U.S. applications for individually underwritten life insurance in January rose for the sixth consecutive month year-over-year, increasing 1.2% over January 2009, according to the MIB Life Index.  Applications among individuals aged 60 and older achieved their 10th consecutive month of double-digit year-over-year growth, climbing 15.2% over January 2009.  Applications among individuals aged 45-59 continued a seven month year-over-year trend up, rising 2.5% over January 2009, but applications among individuals aged 0-44 were down 2.5% year-over-year, according to Braintree, MA-based MIB Group.

BankInsurance.com News in Brief' is provided each Thursday courtesy of Michael White Associates @ www.BankInsurance.com.

10: K@W - Banking Reform Proposals: Why They Miss the Mark

Big banks have been widely blamed for creating the global financial crisis, and last month the Obama administration proposed several reforms aimed at restricting their activities. Among them is the so-called Volcker Rule -- named after former Fed chairman Paul Volcker -- which prohibits banks from trading for themselves. But will these proposals lead to a healthier banking system and help prevent future crises? Several Wharton professors say that while the proposals have some good aspects, overall they miss the big picture.

LINK TO FULL ARTICLE: http://knowledge.wharton.upenn.edu/article/2434.cfm 

Reproduced with permission from Knowledge@Wharton (http://knowledge.wharton.upenn.edu), the online research and business analysis journal of the Wharton School of the University of Pennsylvania. All materials copyright of the Wharton School of the University of Pennsylvania. http://knowledge.wharton.upenn.edu 

11: K@W - Executive Compensation: More Regulation, or Just More Transparency?

The question of whether CEOs of America's major companies are overpaid has been a subject of interest for many years. Are the compensation practices for these elite men and women fair and appropriate? Do they provide proper incentives, or do they reward excessive caution or risk taking? Wharton accounting professors John Core and Wayne Guay have just completed a study on this topic. Guay, along with colleague Chris Armstrong, sat down with Knowledge@Wharton to discuss executive compensation and the controversies that it continues to generate.

LINK TO FULL ARTICLE: http://knowledge.wharton.upenn.edu/article/2431.cfm

Reproduced with permission from Knowledge@Wharton (http://knowledge.wharton.upenn.edu), the online research and business analysis journal of the Wharton School of the University of Pennsylvania. All materials copyright of the Wharton School of the University of Pennsylvania. http://knowledge.wharton.upenn.edu 

12: MISCELLANEOUS - The Hartford’s New Business Development Program Helps ...

...Financial Advisors Better Serve the Needs of Retirement Plan Sponsors

Innovative search engine available through hartfordinvestor.com helps identify businesses that can benefit from improvements to their retirement savings plan

SIMSBURY, Conn., Feb. 16, 2010 – The Hartford Financial Services Group, Inc. (NYSE: HIG) is launching a new business development program to help financial advisors better serve the needs of businesses that sponsor retirement plans for employees.

The new program helps identify businesses that may need help improving the effectiveness of their overall retirement savings plan and then supports the efforts of financial advisors to craft strategies that best meet the needs of retirement plan sponsors and their participants.  An online search engine, featuring a directory with a unique, pre-set query approach, is central to the program.  The tool can save financial advisors time, help them build a pipeline of potential opportunities, improve their practice management, and enable them to focus on the most common retirement program challenges in a more targeted fashion.

“The Hartford is introducing this new business development program in response to an ongoing need we see to help financial advisors work more efficiently and effectively in serving the retirement plan market,” said E. Thomas Foster Jr., vice president and national spokesperson for The Hartford’s Retirement Plans Group.  “Many employers need help in making the most of their retirement plans, both for their business goals and the personal financial goals of their employees.”

The innovative new directory, a proprietary tool available through Larkspur and accessible through hartfordinvestor.com, enables financial advisors to target market specific types of businesses or businesses within specific industries.  By using the system, financial advisors can evaluate prospects within their own book of business, increase their access to professional practices, and connect with business owners.  There are no costs or requirements to have previously worked with The Hartford to take advantage of the system.

“The unique system that The Hartford developed in conjunction with Larkspur allows financial advisors to easily generate meaningful reports in just a few steps.  The reports are highly targeted and support each advisor’s business development goals,” said Chris Chaia, assistant vice president of marketing for RPG.  “This program builds upon The Hartford’s partnership value proposition.  We see ourselves as an extension of a financial advisor’s team.”

Financial advisors can employ a wide range of criteria in searching for information about retirement plan sponsors, including those with advanced retirement plan designs, professional firms, and employers with retirement plan issues such as corrective distributions, expensive or restrictive plan designs, low participation rates and others, according to Chaia.

The launch of the new business development plan builds on an earlier educational initiative by The Hartford to help financial advisors better consult retirement plan sponsors to by using Form 5500 to review plan needs, improve plan designs, and encourage greater participation by employees.  Larkspur’s query system incorporates data from Form 5500 filings.

In addition, the business development program includes an educational brochure that takes advisors through the query system step by step; sample letters that help advisors alert plan sponsors to potential retirement plan issues; a toll-free number to call The Hartford’s sales desk for guidance in creating a report or even running a report; and tips for approaching plan sponsors about their retirement plan needs.

The business development program is supported by The Hartford’s nationwide network of 158 external and internal wholesalers who specialize in educating financial advisors about retirement plans.  The wholesalers provide a wide range of support, from assisting advisors in determining the retirement plan needs of businesses to proposing effective plan designs.

“It’s never been more important for Americans to save and prepare for retirement, and The Hartford is doing whatever it can to educate financial advisors, retirement plan sponsors and their participants,” Foster said.  “Our new business development program gives financial advisors a powerful tool to proactively reach out to businesses and promote the advantages of sponsoring a retirement plan.”

13: MISCELLANEOUS - North American Insurers Urge Use of Earned Discount Rate...

... for Life Insurance Liabilities as Opposed to Risk-Free Rate

MUMBAI, India, Feb. 19 /PRNewswire/ -- Life insurance contract liabilities should be discounted using an earned discount rate as opposed to a risk-free rate, according to the Group of North American Insurance Enterprises (GNAIE).

The use of an earned rate for discounting life insurance contracts is consistent with how market participants value and price such contracts and is consistent with the principle of a market rate, GNAIE executive director Douglas Barnert told the 12th Global Conference of Actuaries here.

LINK TO FULL ARTICLE: http://www.prnewswire.com/news-releases/north-american-insurers-urge-use-of-earned-discount-rate-for-life-insurance-liabilities-as-opposed-to-risk-free-rate-84763482.html

14: MISCELLANEOUS - Proposal for Modification in the Governance Structure

In the context of AXA’s proposed change in governance structure, the Supervisory Board approved today the proposed amendments to AXA’s Charter (statuts) that will be submitted to a vote of shareholders at AXA’s General Shareholders’ Meeting on April 29, 2010.

As announced by the Group on October 7, 2009, AXA intends to propose to its shareholders the replacement of its current dual board structure (Supervisory Board and Management Board) with a unitary Board structure (Board of Directors). Henri de Castries, currently Chairman of AXA’s Management Board, would hold the positions of Chairman of the Board of Directors in addition to his post as CEO (Directeur Général).

AXA’s dual board structure, adopted in 1997, has served the Group well for more than 10 years.

The financial crisis in 2008 and 2009, however, underlined the importance of reactivity in the Group’s decision-making processes. The adoption of a unitary Board structure will reinforce the role, responsibilities and implication of the Board and its members while preserving a well-balanced governance system thanks, in particular, to the increased role of the independent directors.

In this context, the Supervisory Board has recommended the appointment of fifteen members to the Board of Directors including eleven independent members:

• Mrs. Wendy Cooper (representative of the employee-shareholders),
• Mrs. Isabelle Kocher (new independent),
• Mrs. Suet-Fern Lee (new independent),
• Mrs. Dominique Reiniche (independent),
• Mr. Henri de Castries1,
• Mr. Jacques de Chateauvieux (independent),
• Mr. Norbert Dentressangle (independent),
• Mr. Denis Duverne1,
• Mr. Jean-Martin Folz (independent),
• Mr. Anthony Hamilton (independent),
• Mr. François Martineau (independent),
• Mr. Giuseppe Mussari (independent),
• Mr. Michel Pébereau,
• Mr. Ramon de Oliveira (independent),
• Mr. Ezra Suleiman (independent).

Each of the four standing Board committees (Audit, Finance, Compensation & Human Resources and Ethics & Governance) will be chaired by an independent director. In addition, the Audit and Remuneration Committees will be composed entirely of independent directors.

15: PERSONNEL CHANGES - The Hartford Names Christopher J. Swift CFO

Most Recently Was Vice Chairman and CFO of American Life Insurance Company, a leading global life and retirement services company

Strong knowledge in both Life & P&C insurance sectors

Former leader for KPMG's Global Insurance Industry Practice

The Hartford Financial Services Group, Inc. (NYSE: HIG) announced today that Christopher J. Swift, 49, will join the company as executive vice president and chief financial officer, effective March 1. Swift joins The Hartford from American Life Insurance Company (ALICO), an operating company of American International Group (AIG), where he was Vice Chairman and CFO of one of the world's leading global life companies. Swift, a 27-year insurance industry veteran, will report to The Hartford's Chairman, President and Chief Executive Officer Liam E. McGee. As previously announced, The Hartford's current CFO, Lizabeth Zlatkus, will assume the Chief Risk Officer role reporting to McGee on March 1.

"Chris's appointment is an important step on our path forward," said McGee. "He has held significant leadership roles in large, complex financial organizations and has a background that covers both the life and P&C industries. In addition to his strategic financial role at ALICO, Chris had a broad range of functional responsibilities, including capital management, and was instrumental in the company's repositioning. He will be an excellent addition to our leadership team. I also want to thank Liz for leading the finance and risk functions during this challenging period. Their work helped to effectively position the company for the future. I look forward to working with Liz to further strengthen the company's risk management practices."

Swift began his career as an auditor in the Chicago office of KPMG focused on financial services. He rose through the ranks at the firm to achieve partner by age 32. He then became Executive Vice President of Conning Asset Management, a subsidiary of General American, where he was responsible for finance, sales/marketing and information technology. After MetLife acquired Conning in 1999, Swift returned to KPMG and was eventually appointed head of Global Insurance Industry Practice for the firm. As leader of this segment, he worked with clients in both the life and P&C segments, globally and domestically. He was responsible for matters ranging from strategic and regulatory to audit, risk, advisory and tax services.

As Vice Chairman and CFO of ALICO, an operating company of AIG with $89 billion in assets and operations in 54 countries, Swift oversaw the unit's global financial operations. His responsibilities there included financial strategy and reporting, capital management, investments, risk management, treasury, product development and rating agency relationships, among others. He also served as CFO of Global Life Insurance and Retirement Services of AIG, CFO of AIG American General Life Companies and Head of Annuity Operations.

"I am honored and thrilled to join this iconic American company with a long and proud history, a powerful brand, strong franchise and great people," said Swift. "I look forward to joining The Hartford and helping the company capitalize on the significant opportunities we have going forward, while delivering and communicating our value proposition to shareholders."

16: PERSONNEL CHANGES - Ned A. Burmeister Named SVP and COO, Principal International

DES MOINES, Iowa--(BUSINESS WIRE)--The Principal Financial Group® announced the promotion of Ned A. Burmeister to senior vice president. He will assume the position of chief operating officer of Principal International, Inc. and will be responsible for finance, planning, operations and risk management outside the United States for the company’s international asset management and accumulation segment.

“This promotion reflects the strategic importance and business growth potential that the global market represents to the future of The Principal.”

.According to Larry D. Zimpleman, chairman, president and chief executive officer of The Principal®, “This promotion reflects the strategic importance and business growth potential that the global market represents to the future of The Principal.”

Based in Des Moines, Iowa, Burmeister joined The Principal in 1979 as an actuarial student. He has served in a number of executive positions throughout the company including the pension, international and trust/retirement divisions. He is a member of the Society of Actuaries and the American Academy of Actuaries. He earned his bachelor’s degree from Drake University, Des Moines, Iowa.

17: PERSONNEL CHANGES - Ned Kelly to Retire From the Hartford's Board of Directors

The Hartford Financial Services Group, Inc. (NYSE: HIG) today announced that Edward J. "Ned" Kelly, III, Vice Chairman of Citigroup Inc., will retire from The Hartford's Board of Directors. Kelly, who has served on The Hartford's Board since 2001, will serve out the balance of his current term but will not stand for reelection at the Company's annual shareholders' meeting in May. According to the Company, Kelly made the decision in light of other obligations and demands on his time.

18: PERSONNEL CHANGES - Norman R. Sorensen Named President - Int'l Asset Management

DES MOINES, Iowa--(BUSINESS WIRE)--The Principal Financial Group® announced the promotion of Norman R. Sorensen to president – International Asset Management and Accumulation, the Principal Financial Group, and he continues as president and chief executive officer of Principal International, Inc. The promotion is effective immediately. Sorensen is responsible for managing businesses of The Principal® outside the United States in the company’s international asset management and accumulation segment.

“This promotion reflects the strategic importance and business growth potential that the global market represents to the future of The Principal.”

According to Larry D. Zimpleman, chairman, president and chief executive officer of The Principal, “This promotion reflects the strategic importance and business growth potential that the global market represents to the future of The Principal.”

Sorensen joined The Principal in 1998. Previously he was a senior executive at American International Group (AIG). Prior to joining AIG, he held a number of senior international marketing and general management positions at American Express Company and Citigroup. Sorensen is a member of the Boards of Directors of Principal Asset Management Company and Principal Insurance Company (Hong Kong), BrasilPrev Seguros & Previdência (Brazil), Principal Vida (Chile), Principal-PNB Asset Management Company (India), Principal International, Inc., (U.S.), and Principal AFORE and Principal Life (Mexico)

Outside of The Principal, Sorensen is vice chairman of the International Insurance Society (IIS), New York,; chairman of the Global & Trade Committee of the Financial Services Roundtable (FSR), Washington, D.C., and a member of the Board of Directors of Sara Lee Corporation (NYSE:SLE), Downers Grove, Illinois.

Sorensen is a graduate of the United States Air Force Academy (USAFA) and Columbia University’s Executive Program for International Managers. He is based at the Principal Financial Group home office in Des Moines, Iowa, U.S.A. Principal International, the global arm of the Principal Financial Group, has operations in nine countries and serves over eight million international customers.

19: PERSONNEL CHANGES - Pacific Life Announces Promotion...

...of Mary Ann Brown to Executive Vice President, Corporate Development; Six Other Officers Promoted to Senior Level Management Positions

Pacific Life Insurance Company's Chairman, President and Chief Executive Officer James T. Morris announced the promotions of Mary Ann Brown to executive vice president, Corporate Development; Tom Gibbons to senior vice president, Corporate Tax; Denis Kalscheur to senior vice president and treasurer; Philip Teeter to senior vice president, Technology and Operations, Annuities & Mutual Funds Division; Dawn Trautman to senior vice president, Information Technology and Strategic Planning, Life Insurance Division; Gregory Keeling to vice president, Finance, Annuities & Mutual Funds Division; and Katharine Brandt Young to vice president, Valuation and Risk Management, Life Insurance Division.  The promotions will be effective April 1, 2010.

Ms. Brown joined Pacific Life in 2005 as senior vice president, Finance and Product Development in the Life Insurance Division before moving to oversee Corporate Development in 2006.  As executive vice president, Ms. Brown will be responsible for overseeing the Pacific Select Funds and Pacific Life Funds as CEO of those entities.  She will also assume management of the Corporate Technology area and will support risk management initiatives in the Annuities and Mutual Funds Division.  She will maintain her responsibilities for the Business Development Unit, Information Technology Services, and for Pacific Life Re, based in London.  She received her B.A. and M.A. from Emory University, her M.A.S. from Georgia State University, and is a Fellow of the Society of Actuaries.  Ms. Brown is a resident of Laguna Beach.

A resident of Newport Beach, Mr. Gibbons joined Pacific Life in 2004 as vice president, Tax.  He has been responsible for overseeing and directing tax strategy, reporting, and compliance for Pacific Life and its subsidiaries.  As senior vice president, Mr. Gibbons will continue to develop tax strategies for Pacific Life and will also oversee Vendor Management, Information Security, and Business Continuity.  He received a B.S. from Widener University and is a licensed C.P.A. in the state of California.

Mr. Kalscheur joined Pacific Life in 2007 as vice president, Corporate Treasury.  In his expanded role as senior vice president and treasurer of Pacific Life and its parent company, Pacific Life Corp, he will be responsible for the company's corporate finance and treasury operations, its institutional investment products business, financial planning and budgeting, as well as other strategic initiatives.  Mr. Kalscheur will also provide overall management direction for College Savings Bank, a Pacific LifeCorp subsidiary, as the bank's chairman.  A resident of Newport Beach, Mr. Kalscheur received his B.B.A. and M.B.A. from the University of Wisconsin-Madison.

Mr. Teeter, a resident of Laguna Beach, joined Pacific Life in 1998 as assistant vice president, Technology for the Annuities and Mutual Funds Division.  Promoted to vice president in 2000, his responsibilities include providing strategic and tactical guidance and direction for the division's technology resources as well as helping set short and long-term objectives for the division.  In his new role, Mr. Teeter will be responsible for both the Technology and Operations Departments in the Annuities and Mutual Funds Division, a reflection of the increasing collaboration and partnership between these key areas.  He received a B.S. from San Jose State University.

A resident of Aliso Viejo, Ms. Trautman originally joined Pacific Life in 2001 as a program manager in the Life Insurance Division, progressing to the role of assistant vice president, Marketing Operations.  After leaving Pacific Life for a brief period, she returned to Pacific Life in 2006 as vice president, Information Technology and Program Management within the Life Insurance Division. Since that time, she has been responsible for setting the strategic direction and leading initiatives, goals, and objectives for the division's Information Technology, Sales and Marketing Operations, and Project Management Office Departments.  In her new role as senior vice president, she will continue to lead the division's information technology, program and project management, case design, and strategic planning functions as well as have an increased leadership role in all major initiatives and decisions for the Life Insurance Division.  Ms. Trautman received a B.S. from Penn State University and an M.B.A. from Lehigh University.

Mr. Keeling joined Pacific Life in 1999 as a financial analyst in the Annuities and Mutual Funds Division, eventually progressing to the role of assistant vice president, Finance in 2007.  In his new role as vice president, Mr. Keeling will manage and direct accounting and finance functions for the Annuities and Mutual Funds Division, as well as directing the Valuation reporting functions.  In addition, he will assist with setting business objectives for the division.  Mr. Keeling was also recently named chief financial officer of Pacific Select Distributors, a subsidiary of Pacific Life Insurance Company.  A resident of Corona del Mar, Mr. Keeling received a B.S. from California Polytechnic State University, San Luis Obispo.

Ms. Young joined Pacific Life in 2001 as assistant vice president, Life Statements and Valuation within the Life Insurance Division.  Her current responsibilities include all aspects of GAAP, SAP, and TAX Valuation and related actuarial support, as well as developing and coordinating all of the division's risk management activities.  In her new role as vice president, Ms. Young will continue to manage the life valuation process, as well as develop risk management procedures to provide a comprehensive understanding of actuarial strategies and issues to support decision-making within the Life Insurance Division.  Ms. Young received her B.S. from the University of Texas at Austin, her M.A. from the University of California, Santa Barbara, and is a Fellow of the Society of Actuaries.  She is a resident of Fountain Valley.

20: PERSONNEL CHANGES - Securian board of directors names 2 EVPs

St. Paul, MN, February 16, 2010 –The Securian Financial Group board of directors approved the promotions of two senior vice presidents, Christopher Hilger and Bruce Shay, to executive vice president at its February meeting.

Hilger will assume responsibility for Securian’s group life insurance division in addition to retaining leadership of the company’s financial institution group and Allied Solutions, LLC, a wholly-owned, independently operated Securian subsidiary in Carmel, IN.

Shay will assume accountability for individual life insurance product manufacturing and the Independent Distribution Group (IDG), which markets Securian’s individual life insurance products. Shay will retain leadership of the company’s retirement business which includes employer plans and individual annuity product lines.

LINK TO FULL ARTICLE: http://securian.mediaroom.com/index.php?s=43&item=219

21: PESONNEL CHANGES - Timothy Schiltz Named Senior Vice President...

...of SunAmerica Financial Group and Chairman of AIG Star and AIG Edison

American International Group, Inc. (AIG) announced today that Timothy Schiltz has been appointed Senior Vice President of SunAmerica Financial Group and, effective April 1, 2010, will be named Chairman of AIG Star Life Insurance Co., Ltd. (AIG Star) and AIG Edison Life Insurance Company (AIG Edison).

SunAmerica Financial Group, a leader in life insurance, annuities and guaranteed income solutions, is currently comprised of AIG's domestic life and retirement services businesses. AIG Star and AIG Edison are leading life insurance, annuity, and accident and health providers in Japan. Mr. Schiltz will be responsible for the shareholder representation and oversight of AIG Star and AIG Edison by AIG. Mr. Schiltz will report to Jay S. Wintrob, President and Chief Executive Officer of SunAmerica Financial Group.

Commenting on the announcement, Robert H. Benmosche, President and CEO of AIG, said, "I am very enthusiastic about bringing AIG Star and AIG Edison together with SunAmerica Financial Group under the leadership of Jay Wintrob. Both AIG Star and AIG Edison have roots that include over 100 years of experience in the Japanese market, and we greatly value the distinct strengths of their career and independent agencies. Combined with unique bank and sponsor relationships, these two organizations are known in Japan for their broad array of quality life insurance, annuity, and accident and health products."

"Including AIG Star and AIG Edison among the group of companies at SunAmerica Financial Group will provide numerous opportunities to exchange and benefit from best practices in product development, sales and marketing, customer service and operations, and risk management," Mr. Wintrob said. "I am both honored and delighted to work with the experienced and well-respected senior management teams at AIG Star and AIG Edison, led by Norio Tomono and Kazunori Kataoka. I am confident that these accomplished businesses will benefit from Tim Schiltz's strong leadership, experience and demonstrated success in the Japanese marketplace."

22: PRODUCTS - American General Life Companies Launches Flexible UL Product

ContinUL® Offers Affordable Death Benefit

HOUSTON--(BUSINESS WIRE)--American General Life Companies (American General) announces a new universal life insurance product, ContinUL, issued by American General Life Insurance Company and The United States Life Insurance Company in the City of New York. ContinUL universal life insurance offers affordable death benefit coverage with secondary guarantees and flexible features that allow for customization.

“ContinUL marks our return to this market providing enhanced flexibility at an extremely competitive price; particularly for insured ages 60 and under.”

ContinUL offers competitive new pricing and enables policy holders to select the amount of coverage needed, the duration of the policy’s death benefit coverage guarantee, and the length of time to pay premiums based on individual needs.

“This product represents American General’s return to the low cost guaranteed universal life market,” said David O’Leary, executive vice president and chief operating officer. “Customers will have the comfort of knowing the specific premium needed to guarantee the death benefit, eliminating concerns about changes in interest rates or other factors impacting the policy’s cash value.”

ContinUL offers a flexible premium payment window, as well as riders allowing coverage enhancements for the policy holder and family members.

“The low-cost guaranteed universal life market is extremely important to both our customers and distribution partners, as recent economic events have placed more value on guarantees,” said Tim Heslin, vice president, UL product manager. “ContinUL marks our return to this market providing enhanced flexibility at an extremely competitive price; particularly for insured ages 60 and under.”

23: PRODUCTS - NFP Launches NFP IndeSuite™

Offering Provides Independent RIAs a Robust Wealth Management Platform Plus Integration of B/D and RIA Businesses

NEW YORK--(BUSINESS WIRE)--National Financial Partners Corp. (NYSE: NFP), a leading independent distributor of benefits, insurance and investment advisory services, along with its subsidiary, NFP Securities, Inc., today announced that it has recently launched NFP IndeSuite™, a robust wealth management platform, uniquely designed to bring technology, scale and services to the independent registered investment advisor (RIA) market. NFP IndeSuite™ provides independent RIAs access to a unique platform that includes the ability to fully integrate commission and fee-based businesses.

“NFP offers independent financial advisors a wealth of resources to diversify their businesses and share knowledge with like-minded entrepreneurs to better serve their clients. NFP IndeSuite™ empowers us to take what we do so well and make it available to both dually registered and fully independent RIAs. This unique custody-neutral offering underscores our commitment to serve the independent RIA marketplace,” said Jessica Bibliowicz, chief executive officer of NFP.

“Our scale, technology, service and open architecture allow us to provide a unique offering in this market that will save advisors time and money, while enhancing the service they provide to their clients. Our goal with NFP IndeSuite™ was to significantly simplify the daily life of investment advisors and their staff, so they can focus their time and resources on growing their business,” said James Poer, president, NFP Securities, Inc.

NFP IndeSuite™ centralizes every aspect of an advisor’s fee and commission-based businesses with a single sign-on through its integrated dashboard called AdvisorComplete™. This program is designed to process new business, service accounts, manage client data and track compensation across multiple platforms and custodians. NFP IndeSuite™ also offers an integrated service team across the broker-dealer and RIA platforms creating an integrated experience for the advisor.

NFP is expanding its relationship with Charles Schwab, which will be the first custodian on the NFP IndeSuite™ platform. Schwab is a leading provider of custodial, operational and trading support for approximately 6,000 independent registered investment advisory firms. NFP expects to expand the offering across additional third-party custodians.

24: PRODUCTS - Prudential Introduces Robust Nonqualified Plan Offering

to Enhance Total Retirement Solutions Experience for Plan Sponsors and Participants

Recent Integration with MullinTBG Provides Access to Market-Leading Retirement Savings Strategies

NEWARK, N.J.--(BUSINESS WIRE)--Prudential Retirement announced today that its Total Retirement Solutions (TRS) offering has been enhanced to include a new nonqualified product that provides a wide variety of benefits for retirement-plan sponsors and their participants.

“With defined contribution plans—both qualified and nonqualified—continuing to emerge as the primary source of retirement income for many individuals, it’s increasingly important for sponsors to partner with a provider that can seamlessly coordinate benefits programs to create real value and help ensure retirement security”

Designed and administered by MullinTBG, a Prudential Financial company, the new TRS nonqualified program was developed to more effectively address the retirement-savings needs of today’s executives and to provide companies with a cost-effective way to attract and retain top talent.

The product is supported by experienced executive benefits specialists, and backed by state-of-the art recordkeeping and open-architecture funding vehicles. The new nonqualified capabilities are fully integrated with Prudential’s systems and service model to deliver a comprehensive full-service solution with an attractive executive-benefits option.

“MullinTBG’s expertise in all facets of nonqualified plan design, administration, funding and communication ensures that we’re bringing the most compelling benefit solutions to our clients, to plan participants, and to our advisor partners,” said Jamie Kalamarides, senior vice president, Retirement Solutions, at Prudential Retirement. “With our systems already integrated to provide single sign-on access for account management and reporting, we now have the products, services and organizational alignment to deliver a superior TRS experience.”

Benefits of the new program include:

•Complete nonqualified plan support by MullinTBG’s consultants and dedicated client service personnel, as coordinated through a single Prudential client relationship manager;

•Objective analysis, recommendation, and ongoing administration of a wide range of open-architecture informal funding vehicles—including taxable securities, corporate-owned life insurance, and other offerings;

•Plan year or account-based plan design customized to the company’s objectives;

•MullinTBG’s proprietary recordkeeping system, MetriXTM, custom-built to administer a broad array of complex plan designs and provide for a fully integrated online experience that automatically enforces 409A and plan-level rules; and

•Communication and educational materials tailored to meet the expectations and needs of an executive audience.

“With defined contribution plans—both qualified and nonqualified—continuing to emerge as the primary source of retirement income for many individuals, it’s increasingly important for sponsors to partner with a provider that can seamlessly coordinate benefits programs to create real value and help ensure retirement security,” said MullinTBG Chief Executive Officer Mike Shute.

“While executive compensation may be under close scrutiny in today’s economy, most highly compensated executives will still face a retirement savings gap, and that’s why it’s critical for companies to have access to a program like Prudential’s TRS. Nonqualified plans, as part of a complete TRS solution, are a great way to attract and motivate key talent, and to hold them accountable for contributing to their company’s bottom line success,” he added.

Prudential’s TRS offering with the new nonqualified product is now fully operational and has been specifically designed to deliver a comprehensive retirement-benefits solution to Prudential’s core market—firms with retirement plan assets in excess of $30 million.

25: PRODUCTS - Sun Life Financial Enhances Masters® Variable Annuities

to Help Protect and Grow Retirement Income

Sun Life Financial addresses the need for lifetime income security while prudently managing market risk and volatility in investments

WELLESLEY, Mass.--(BUSINESS WIRE)--The U.S. division of Sun Life Financial Inc. (TSX/NYSE:SLF) recently announced enhancements to Sun Income Riser, SM an optional living benefit available with the Masters variable annuities. Sun Income Riser helps protect and grow retirement income and addresses the need for lifetime income.

“In today’s market, it’s more important than ever to seek forward-thinking investments that monitor and dynamically adjust to ongoing shifts in market conditions”

.According to a recent Sun Life survey, the UnretirementSM Index, the economy has had an impact on retirement planning. A record 55% of Americans now plan to work past age 67, and the number who plan to work full-time at that age is also at a new high (about 28%). With economic and market-driven events forcing more people to defer retirement, coupled with fewer traditional income sources such as defined benefit pension plans, people in or close to retirement are seeking alternative solutions.

“Americans need help rebuilding their savings for a more secure retirement, and annuities, with their guaranteed lifetime income, can help,” said Terry Mullen, president, Sun Life Financial Distributors, Inc. “The White House’s task force on the middle class, chaired by Vice President Joe Biden, recently recognized that ‘promoting the availability of annuities’ can help reduce the risk that retirees will outlive their savings. This is a great opportunity for individuals concerned about protecting retirement savings and the advisors who are helping them create a plan for retirement income.”

Clients purchasing Sun Income Riser with a Masters variable annuity can diversify assets with a new investment category called Core Retirement Strategies.SM This strategy is made up of four asset allocation funds—a portfolio from MFS Investment Management® and PIMCO, and two portfolios from Ibbotson. These funds use dynamic market-risk optimization strategies that regularly reallocate in response to changing market conditions to help protect assets during volatile markets.

In addition, clients can increase the benefit base available with Sun Income Riser by 7% annually for each year they do not take a withdrawal. The benefit base is used to calculate annual lifetime income. This feature is available for the first 10 contract years, and recently increased from 6%. The growth of the benefit base can help maximize the amount of income the client can receive in the future.

“In today’s market, it’s more important than ever to seek forward-thinking investments that monitor and dynamically adjust to ongoing shifts in market conditions,” explained Steve Deschenes, senior vice president and general manager of the Annuities Division. “Our priority is meeting the needs and goals of our financial advisors and customers. We think our enhancements are very timely given the renewed focus on the benefits of annuities.”  

26: REGULATORY - FINRA Fines H&R Block Financial Advisors $200,000

For Inadequate Supervision of Reverse Convertible Notes Sales, Suspends and Fines Broker for Unsuitable Sales to Retired Couple

Regulator Issues Guidance for Firms and for Retail Investors Regarding Risks, Potential Rewards and Complexity of This Popular Structured Product

The Financial Industry Regulatory Authority (FINRA) today announced its first enforcement action involving the sales of reverse convertible notes (RCNs) — fining H&R Block Financial Advisors, Inc., (n/k/a Ameriprise Advisor Services, Inc.) $200,000 for failing to establish adequate supervisory systems and procedures for supervising sales of RCNs to retail customers. FINRA also fined and suspended H&R Block broker Andrew MacGill for making unsuitable sales of RCNs to a retired couple. The firm was ordered to pay $75,000 in restitution to the couple for losses they incurred

At the same time, FINRA released an Investor Alert, Reverse Convertibles - Complex Investment Vehicles, to educate retail investors about how these products work, what risks they involve and what factors to consider before investing in an RCN. FINRA also issued Regulatory Notice 10-09, reminding firms of their sales practice obligations when recommending or selling RCNs to retail investors.

"Reverse convertible notes are complex investments which, like many structured products, often entail significant risk of loss," said FINRA Chairman and CEO Richard Ketchum. "They are among the most popular structured products with retail investors, primarily because of the high yields they offer. But they also involve terms, features and risks that can be difficult for the retail investors who are buying them and the brokers who are selling them to evaluate.

"Firms selling reverse convertibles or similar structured products must ensure that their brokers understand the risks and costs associated with these products and perform adequate suitability analyses before recommending them to any customer. Firms must also have procedures in place to monitor customer accounts for potentially unsuitable concentration levels of these products," Ketchum said. "For their part, investors should be prepared to ask their brokers the right kinds of questions about the risks, features and fees to determine whether reverse convertibles are right for them — and if they are, how much of their portfolio should be invested in RCNs. For the typical retail investor, for instance, it would be unwise to put anything more than a small portion of life savings into riskier structured products such as RCNs."

An RCN is a structured product that typically consists of a high-yield, short-term note of an issuer and effectively a put option that is linked to the performance of an unrelated, or "linked," asset - usually a single common stock, but sometimes a basket of stocks, an index or some other asset. As a general rule, upon maturity of an RCN, the investor will receive either his full principal investment or a predetermined number of shares of the linked equity (which may be worth less than the principal investment), depending on the performance of the linked equity. Generally speaking, the higher the coupon rate, the higher the expected volatility of the linked equity and the greater the likelihood of the investment resulting in payment of shares. Reverse convertibles not only come with the risks that fixed income products ordinarily carry, such as issuer default and inflation risk, but with additional risks of the underlying asset, which can depreciate or even become worthless. The initial investment for most RCNs is $1,000 per unit and most RCNs have maturity dates ranging from three months to one year.

In the enforcement matter announced today, FINRA found that during the period from January 2004 through December 2007, H&R Block engaged in sales of RCNs without having a system or procedures in place to effectively monitor customer accounts for potential over-concentrations in RCNs. As a result, the firm failed to detect and respond to indications of potential over-concentration in RCNs in numerous customer accounts.

FINRA found that H&R Block utilized an automated surveillance system to facilitate its suitability review of securities transactions and to monitor customer accounts for potentially unsuitable positions and activity. The system would flag for review any transaction or account meeting certain parameters established by the firm relating to, for example, account turnover and concentration levels in a particular security or class of security. The firm's system, however, was not configured or designed to monitor RCN transactions or RCN positions in customer accounts and the firm did not establish an effective alternative means to do so. As a result, H&R Block failed to detect and respond to indications of potentially unsuitable RCN concentration levels in numerous customer accounts. Additionally, the firm failed to provide sufficient guidance to its supervising managers on how to assess suitability in connection with their brokers' recommendation of RCNs.

FINRA found that the retired couple receiving restitution had, on MacGill's recommendation, invested nearly 40 percent of their total liquid net worth in nine RCNs. This exposed the customers to a risk of loss that was inconsistent with their investment objectives and risk tolerance and which ultimately resulted in substantial loss. FINRA suspended MacGill from associating with any FINRA regulated firm in any capacity for a period of 15 days, fined him $10,000, and ordered him to disgorge $2,023 in commissions that he earned from his sales of RCNs to the couple.

In concluding this settlement, H&R Block and MacGill neither admitted nor denied the charges, but consented to the entry of FINRA's findings.

FINRA first addressed sales practices for structured products in a 2005 Regulatory Notice that cautioned brokerage firms about potential sales practice violations when selling structured products to retail customers and provided guidance to firms on their suitability and supervision obligations when selling such instruments to the public.

27: REGULATORY - Life Insurers Urge Policymakers...

...to Ban Securitization of Life Settlements

Securitization of life insurance settlements exposes senior citizens and investors to increased risk of fraud and the practice should be prohibited by legislation or regulation, the American Council of Life Insurers (ACLI) says in a new policy statement.

Securitization will lead some settlement promoters to target senior citizens and induce them to commit fraud in connection with illegal stranger-originated life insurance (STOLI) transactions, the statement says.

In STOLI transactions, investors or middlemen approach seniors and encourage them to purchase life insurance policies they otherwise would not buy solely to sell the policies to investors. STOLI transactions have been outlawed in 28 states and most other states are considering anti-STOLI legislation. Seniors caught up in STOLI schemes face potential legal and tax liability.

Because only a limited number of insured individuals are candidates for life settlements, securitization promoters will have to build their inventories through STOLI, the statement says.

Moreover, securitization exposes investors to significant risks. First, securitization packages will inevitably become contaminated with STOLI. Second, securitization promoters have no incentive to properly underwrite the package. Rating agency experts say there is no standard method and no standard set of assumptions used by life settlement providers to predict life expectancies. Without proper underwriting, life settlement securitizations are likely to fail economically, the statement says.

28: REGULATORY - New Rights for Credit Cardholders

Consumer Action and American Express announce the update of their free, popular multilingual consumer education series, “Credit Cards: What You Need to Know”

Consumer Action in partnership with American Express announce a revised version of the multilingual consumer education series “Credit Cards: What You Need to Know” to help consumers understand their new credit card rights and what they mean for credit cardholders.

Through the new federal rules, cardholders have gained the right to restrict interest rates on balances. Consumers can now say no to future rate hikes and over-the-limit fees. These and other new federal consumer protections for cardholders take full effect today.

Starting today, consumers can find the “Credit Cards: What You Need to Know” brochure updated to reflect new federal rules at www.consumer-action.org or www.americanexpress.com/consumerresources. The complete module, including brochures available in Chinese, Spanish, Korean and Vietnamese, will be available over the next few months on Consumer Action's website.

“Credit Cards: What You Need to Know” has become a perennial favorite since we created the joint education campaign in 2005, alerting consumers to the ‘real deal' on credit card terms and conditions,” said Ken McEldowney of Consumer Action. “We have distributed more than 286,600 of our education and training modules to 1,538 community-based organizations in 50 states. In addition, close to 200,000 visitors have viewed the brochure in one of five languages on our website to learn how to compare credit card offers, read and understand credit card terms and conditions, and avoid penalties and fees.”

“As consumers are making choices about credit cards, they need to know their rights and have them presented in a clear and concise way,” said Ralph Andretta, executive vice president and general manager, Consumer Services group, American Express. “In addition to our redesigned credit card agreements and enhanced online consumer resource tools, we are pleased to continue our work with Consumer Action to educate consumers on making smart, informed choices about credit cards.”

Five important new rights for credit card holders

1. No changes in terms or rates in the first year of a new card, except;

• When a promotional rate ends
• If your variable rate adjusts
• If you pay more than 60 days late

2. No rate hikes on existing balances;

• Interest rate increases generally apply only to new transactions
• 45 days advance notice of any significant changes
• Right to decline the change, close card and pay off balance over time

3. More time to plan for and make payments;

• Same due date every month
• Bills sent 21 days in advance
• Payments received by 5 p.m. must be credited that day.

4. Control and choice on over-limit fees;

• Cardholder can control and avoid fees
• Over-limit fees cannot be charged unless customer “opts in”

5. New information on your bill;

• Length of time to pay off your current balance if you make only minimum payments.
• How to pay off your current balance in three years.
• What will happen if your payment is late

For the last five years, Consumer Action and American Express have held regional train–the-trainer meetings in seven cities and trained 337 representatives of more than 250 community-based organizations, using these comprehensive materials

29: REPORT - Individual Life Insurance Sales Slowly Recover

After Difficult First Half of 2009, LIMRA Reports

WINDSOR, Conn., Feb. 26, 2010 – Total new annualized premium for individual life insurance declined five percent in the fourth quarter of 2009, resulting in a 15 percent reduction for the year as compared to 2008, according to LIMRA’s quarterly individual life insurance sales survey.

“After an extremely rocky first half of 2009 where we were down 26 percent in the first quarter and 21 percent in the second, individual life insurance sales began to show improvement in the third and fourth quarters,” said Ashley Durham, LIMRA senior analyst for product research. “We are encouraged that all product sales are showing signs of recovery.”

After falling by about 30 percent in the first and second quarters, the drop in universal life (UL) sales was reduced to 15 percent in the third quarter.  By fourth quarter, UL sales were only three percent lower than they were in fourth quarter 2008.  Overall, 2009 UL premium declined 20 percent as compared to 2008. 

Guarantees continue to be important to consumers.  Guaranteed death benefit universal life (GDBUL) sales only fell by about 11 percent in 2009, while non-death benefit guarantee UL products dropped 26 percent.  As a result, GDBUL market share of UL sales increased to 53 percent, up from 48 percent in 2008.

“It’s interesting that as UL premium has declined over the past year, UL policy count has grown,” noted Durham. “UL policies in 2009 were up five percent over 2008.  We are selling more smaller-face policies to more people.  This trend reverses what we have observed for the last decade.”

UL still represents the largest share of the annualized premium at 38 percent, with whole life and term at 28 percent and 27 percent respectively.

Fourth quarter variable products sales remain depressed, down 36 percent compared to prior year but this marks a more than 50 percent increase over prior quarter.  For the year, variable products declined by half.

Simple and affordable, term continued to be appealing to consumers and as a result, sales remained steady throughout the year. In the fourth quarter, sales were up one percent, ending 2009 down only one percent.

After single digit drops in the first two quarters of the year, whole life sales increased 12 percent in the third quarter and another 12 in the fourth quarter.  Marking a four percent gain in 2009, whole life is the only product line to perform better in 2009 than in 2008. Along with whole life’s increase in premium sales, policy count also increased, up six percent in the fourth quarter. 

Overall, total individual life insurance policy count increased three percent for the quarter and dropped two percent for the year.

View the latest data table on U.S. life insurance sales trends. For more statistics, visit the newly updated Data Bank.

30: REPORT - Insight on Labor Union Health Coverage

KENNEBUNK, Maine--(BUSINESS WIRE)--Mark Farrah Associates, a leading provider of market data and intelligence solutions, looked at labor unions and Taft-Hartley health plans and learned they could benefit from many cost containment strategies currently available. Labor organizations in America have fought for and typically won better health benefits for more than 30 million people on behalf of the 15.3 million unionized workers. However, costs for health insurance benefits were significantly higher for union workers, averaging $4.15 per hour than for nonunion workers, averaging $1.75., according to U.S. Bureau of Labor Statistics reports. On the surface, it appears that this may be due to “richer” benefit packages. On closer examination, union membership make-up may be a key driver of these costs, a belief the unions have been espousing during health reform discussions.

Organized labor, representing one in ten Americans, is one of the most influential purchasing groups in the health care industry. In 2009, the number of workers belonging to unions declined by 771,000 to 15.3 million, largely reflecting the overall drop in employment due to the recession. Heavily unionized occupations and industries include fire fighters and police officers, and transportation and construction. Union membership is higher among workers 55 to 64 years old and lower among those age 16 to 24. Given the demographics of union workers and in many cases high risk occupations, they would be more costly to insurer.

In the latest Healthcare Business Strategy report, MFA analyzed labor unions, Taft Hartley plans and the insurers that have successfully partnered with them.

To read the full text of “Health Coverage for Labor Union Markets,” visit the Healthcare Business Strategy library on Mark Farrah Associates’ website www.markfarrah.com.

31: REPORT - Sebelius to Unveil New Report on Health Insurance Premium Increases

Report Highlights Requested Rate Hikes in Connecticut, Maine, Michigan, Oregon, Rhode Island, Washington

WASHINGTON--(BUSINESS WIRE)--HHS Secretary Kathleen Sebelius will unveil a new report on health insurance premium increases including requested increases in Connecticut, Maine, Michigan, Oregon, Rhode Island and Washington. The report comes shortly after Anthem Blue Cross announced plans to raise rates on its California customers by as much as 39 percent.

WHEN: Thursday, February 18, 2010 

Preset: 11:00 AM EST 

Event begins: 11:30 AM EST 

WHERE:
Humphrey Building Auditorium 
200 Independence Ave., SW
Washington, D.C. 

Note: Access to the auditorium is limited to credentialed media only

REPORTERS NOT IN

For those unable to attend the press conference, a “listen-only” line is available: 

WASHINGTON: CALL-IN NUMBER: 888-316-9407

PASSCODE: HHS

For those unable to attend the press conference with questions, a “question-only” line is available: 

CALL-IN NUMBER: 202-205-7400

WEBCAST: The public may view the announcement live by visiting www.HealthReform.gov

32: REPORT - Surprising Trends in 401(k) Participant Attitudes...

...About Retirement Planning and Investing; Gender Plays a Role

SPRINGFIELD, Mass., Feb. 23 /PRNewswire/ -- A recent survey of defined contribution plan participants conducted by MassMutual's Retirement Services Division reveals some surprising findings about participant attitudes and approaches toward investing – and some striking differences based on gender.

MassMutual conducted the online survey of more than 1,000 of its retirement plan participants between November 15, 2009 and January 15, 2010. Surprisingly, overall, 75.8% of participants surveyed were optimistic about the stock market, believing that performance will improve in the next 12 months compared to only 7.6% who think it will decline.

LINK TO FULL ARTICLE: http://finance.yahoo.com/news/MassMutual-Survey-Reveals-prnews-4073607555.html?x=0&.v=1

33: STATS - Bank Annuity Sales Dismal in Last Two Months of 2009

Windsor, CT, February 16th, 2010… Annuity sales through banks ended 2009 at their lowest levels of the year according to the Kehrer-LIMRA Monthly Bank Annuity Sales Survey.  In November, total annuity sales dropped below the $3 billion mark for the first time since February 2007 and remained there through December.

“There has been only two times in the last five years where we have seen bank channel total annuity sales this low” said Janet Cappelletti, Associate Research Director at Kehrer-LIMRA.

LINK TO FULL ARTICLE: http://www.investmentnews.com/apps/pbcs.dll/article?AID=/20100221/REG/302219974/1009/TOC

34: STATS - MetLife: Demographic Profiles - Contrasts Between Groups Striking

WESTPORT, Conn.--(BUSINESS WIRE)--A series of publications from the MetLife Mature Market Institute provide a history of the generations born since the early 1900s. There are almost as many members of Gen Y (born 1977-1994) in the U.S. in comparison to the largest group, the Baby Boomers. Younger Baby Boomers, those 45-50, have the highest average income. All groups spend most of their money on housing and transportation. The youngest, Gen Y, say they are the healthiest; they are also projected to live the longest. The fastest growing sub-group is the over 85 group who number six million, including 99,000 centenarians. They have also seen the most change as some were born before cars, central heat and refrigerators were ubiquitous.

 LINK TO FULL ARTICLE: http://www.metlife.com/assets/cao/mmi/publications/mmi-pressroom/2010/mmi-demographic-profiles-pr.pdf

35: STATS - Variable Annuities Slowly Recover, LIMRA Finds

WINDSOR, Conn., Feb. 18, 2010–After a decline of 26 percent in the first six months of 2009, variable annuities (VA) were only down 18 percent for the year, as quarterly VA sales slowly improve from the first quarter, according to LIMRA's U.S. Individual Annuities quarterly sales survey.

VA sales improved slightly in the fourth quarter as compared to the third quarter, up three percent to $32.6 billion but were down three percent when compared to the fourth quarter of 2008.  VA sales totaled $127 billion.

LINK TO FULL ARTICLE: http://www.lifeinsuranceselling.com/Exclusives/2010/2/Pages/Variable-Annuities-Slowly-Recover-LIMRA-Finds.aspx

36: STATS - Variable Annuity Assets Soar in 4Q

 20% Increase in Year-to-Year Comparison Signals Road to Recovery

WASHINGTON, D.C. – The Insured Retirement Institute (IRI) today announced fourth quarter results for the variable annuity industry. The net assets of United States variable annuities posted a double-digit increase in year-to-year quarter comparisons for the first time in eight quarters, advancing at a rate of 20.2 percent. The last time this comparison posted a double-digit increase was in September of 2007, at a rate of 15.3 percent.

LINK TO FULL ARTICLE: http://www.lifeinsuranceselling.com/Exclusives/2010/2/Pages/Variable-Annuity-Assets-Soar-in-4Q.aspx

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