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Whole Life Sales Lone Bright Spot In Third-Quarter Sales: Wink – Insurance News Net














Whole life insurance sales had a mild comeback during the third quarter, with overall sales data underscoring how far the industry has yet to go to recoup business

Third-quarter sales of whole life registered $1.05 billion, up 12.9% when compared with the previous quarter, according to Wink’s Sales & Market Report. But sales were down more than 10.2% as compared to the same period last year.

Items of interest in the whole life market included the top pricing objective of final expense capturing 57.7% of sales. The average premium per whole life policy for the quarter was $3,700, a decline of more than 3% from the prior quarter, Wink reported.

“I anticipate that whole life sales will remain strong through 2020,” said Sheryl Moore, president and CEO of Wink, Inc. and Moore Market Intelligence.

Non-variable universal life sales for the third quarter were $624.9 million, down 5.2% when compared to the previous quarter and down 25.7% as compared to the same period last year.

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Non-variable universal life sales include both indexed UL and fixed UL product sales.
Noteworthy highlights for total non-variable universal life sales in the third quarter included National Life Group gaining the No. 1 ranking overall, for non-variable universal life sales, with a market share of 10.9%. Transamerica’s Transamerica Premier Financial Foundation IUL was the No. 1 selling product for non-variable universal life sales, for all channels combined.

Indexed life sales for the third quarter were $503.5 million, down nearly 1% when compared with the previous quarter, and down 9.1% as compared to the same period last year. Indexed life sales include both indexed UL and indexed whole life.

“Thanks to the challenges of recent product repricing, low rates, market volatility, and COVID-19 challenges, indexed life was lucky to achieve sales that were relatively level from last quarter,” Moore said.

Items of interest in the indexed life market included National Life Group gaining the No. 1 ranking in indexed life sales, with a 13.4% market share. Pacific Life Companies, Transamerica, John Hancock, and Nationwide rounded-out the top five, respectively.

Transamerica’s Transamerica Premier Financial Foundation IUL was the No. 1 selling indexed life insurance product, for all channels combined. The top pricing objective for sales this quarter was Cash Accumulation, capturing 66.7% of sales. The average indexed life target premium for the quarter was $10,920, an increase of nearly 2% from the prior quarter.

Fixed UL third quarter sales were $121.7 million, down 19.4% when compared with the previous quarter and down 57.6% as compared to the same period last year.

Noteworthy highlights for fixed universal life in the third quarter included the top pricing objective of No Lapse Guarantee capturing 54.3% of sales. The average UL target premium for the quarter was $5,066, a decline of more than 13% from the prior quarter.

“It will be a miracle if total 2020 UL sales equal whole life insurance sales for a single quarter,” Moore said.

Wink currently reports on indexed universal life, indexed whole life, universal life, whole life, and all deferred annuity lines’ product sales. Sales reporting on additional product lines will follow in the future, Moore said.


Source: Google | Insurance News

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