Illustrations – Uses

Illustrations – Uses

2015/8/16 –  LIAC CC, NAIC Proceedings

Birny Birnbaum (Center for Economic Justice—CEJ) also expressed support for the suggestion. He <Birny Birnbaum (Center for Economic Justice—CEJ)> said it is important that state insurance regulators determine if illustrations are accomplishing what they are intended to accomplish, how they are being used and whether consumers understand them. Mr. Birnbaum also suggested that illustrations should be consumer-tested

1991-1992 – FINAL REPORT* OF THE TASK FORCE FOR RESEARCH ON LIFE INSURANCE SALES ILLUSTRATIONS  – 142p, Society of Actuaries

“

MR. JOHN R. SKAR: As we began researching this problem, two questions became central.

What criteria should we use to evaluate suggested changes and alternatives?

What is the root cause of current problems, and why have previous corrective efforts been so unsuccessful?

As research continued, at some point we started to focus on the uses of life policy illustrations. This proved to be a key concept in addressing those two major questions.

First, let’s list the major user groups: (1) consumers, (2) agents and brokers, (3) life companies, and (4) third-party analysts. We are all familiar with the first three groups.

The third-party analyst is a more recent phenomenon and could be a CPA, consulting….”

1991, SOA , Illustrations

Type A vs Type B

For Sales / Replacements vs Managing Performance