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2009
Life Insurance Conference Program
Monday, March 30, 2009
2:00–7:00 P.M.
Registration Desk Open
4:00–5:00 P.M.
Early Bird Concurrent Sessions (Select One)
1.1 Mortality and Underwriting Management –
The Survey Says…
Michael Choate, FSA, MAAA, Second Vice President, Life Product
Management, Lincoln Financial
Gordon
Gibbins, FSA, FCIA, Senior Vice President Development, Optimum Re
The
SOA Mortality and Underwriting Survey Committee has conducted surveys of
interest to the industry since 1998. Come hear speakers share the results
of two recently completed surveys covering the timely topics of:
- Alternative
tools for mortality risk management
- Foreign travel
Come
learn about industry strategies surrounding modeling mortality and hear
discussion on non-traditional means to cede mortality risk. You will also
see how companies deal with the politically sensitive foreign travel
issue. The presentation will provide both the direct company’s and
reinsurer’s perspectives.
1.2 Forces of Change: Issues Facing
Distribution Leaders
Lucian Lombardi, ASA, Vice President, Distribution Research, LIMRA
This
session will pull you away from current events to consider the more
complex issue of fundamental change over time. Whether your company is
trying to grow market share or is concentrating on defending its share,
your success will be predicated upon:
- Anticipating
the changing demands of the marketplace
- Continually
evolving your distribution models to remain relevant
- Making the
right decisions at the opportune times
1.3 New Business, Underwriting and Issue
Service Times – Promptness Counts
Ted Hatcher, Associate, Insurance Operations, LOMA
Additional Speaker TBA
The
time required to underwrite and issue a policy has significant
implications on the percent of policies issued. Attend this overview of
new business and underwriting service times from LOMA’s 2008 Service
Turnaround Times Survey. A carrier representative will provide insight
into how they are able to quickly and efficiently underwrite and issue
policies. You will learn about:
- Industry
averages for underwriting and issuing life insurance policies
- Practices
employed to quickly and efficiently issue life insurance policies
1.4 Product Design and Ways to Avoid Future
Litigation
Christian W. Hancock, Bradley Arant Rose &
White LLP
Jamie L. Moore, Attorney, Bradley Arant Rose
& White LLP
Join
us to learn about issues related to products developed and sold by
insurance companies and understand how those policies/contracts are
construed against the insurer. We will offer specific examples of
potentially bad policy language and discuss the types of litigation that
can result (and have resulted) from such language. Also, we’ll give you
suggestions on how to make policy language tighter from a legal
standpoint.
6:00–7:00 P.M.
Reception with Exhibitors
Tuesday, March 31, 2009
7:00 A.M.–5:00 P.M.
Registration
Desk Open
7:30–8:30 A.M.
Continental
Breakfast with Exhibitors
8:30–10:00 A.M.
General Session
Presiding:
Cecil
Bykerk, FSA, MAAA, FCA, RHU, President, CDBykerk Consulting LLC and
President, Society of Actuaries
The
Impact of the Financial Crisis — What Does It Mean for Life Insurance?
Panel:
Robert M. Baranoff, MBA, FLMI, LLIF, Senior Vice President, Member
Benefits, LIMRA
Michael A. Boot, FSA, MAAA,
FCA, Managing Director, AMS, Society of Actuaries
Jeffrey Hasty, FLMI, ACS,
Senior Vice President, Management Solutions, LOMA
Gary E. Hughes, Executive
Vice President and General Counsel, American Council of Life Insurers
These are unprecedented times.
How is our industry weathering this current storm? Will the role of life
insurance change? What’s the impact on consumer attitudes, product
development, and company strategy? Come hear answers to these questions
and more as four association executives share their views. The panelists
have a pulse on the industry and will provide insights from their
organizations' unique perspectives.
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Global Demographics and the Impact on
Investment Opportunities
Richard
Hokenson, Founder, Hokenson & Company
Extraordinary
demographic changes are occurring at an unprecedented pace. The
often-expressed alarm in the past about population explosion has been
replaced by issues and concerns related to population implosion. For the
first time ever, most generations are not replacing themselves in the
population pool, having more brothers and sisters than children. Planet
earth is aging at an extraordinary rate, especially in the developing
world. Overlaying these unparalleled changes in the age composition of
populations are dramatic shifts in the social mosaic. In the west,
marriage rates are rising and divorce rates are falling. In the east,
marriage rates are falling and divorce rates are rising.
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These
unprecedented changes in the demographic profile of nations imply that the
future will be radically different compared to the past (this time, it
really is different).
Richard Hokenson began his impressive career
in 1973 as senior economist at Data Resources, Inc. after which he held
the same position at Merrill Lynch Economics from 1976 to 1977. In 1978,
he joined Donaldson, Lufkin & Jenrette (DLJ) where he pioneered the
application of demographics to economic and financial marketing
forecasting. In 1995, he was promoted to be the Chief Economist of DLJ.
After the merger with Credit Suisse First Boston (CSFB) in November 2000,
Hokenson became the Director of Demographic Research where he continued
his responsibility for analysis and forecasting of global demographic
trends and their associated economic and investment implications.
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10:00–10:30 A.M.
Refreshment Break with Exhibitors
10:30–11:30 A.M.
Concurrent Sessions (Select One)
2.1 Crisis Response: Riding the Waves of
Change
Scott Kallenbach, FLMI, Associate Project
Director, Strategic Research, LIMRA
John Keenan, CLU, ChFC, Senior Vice President,
Distribution and Marketing, Hartford Financial Services Group
Scott
Stolz, President, Planning Corporation of America, Raymond James
The
economic crisis in the fall of 2008 shook the financial services industry
to its core and dealt a blow to consumer confidence. The financial
stability of both consumers and some insurers was brought into question.
Join us as we address the impact of this volatile time from the
perspectives of the consumer, carrier and producer.
- Learn what
actions consumers took regarding their life insurance and other
financial products
- Hear how these
actions impacted the confidence in their carrier and their
relationship with their financial advisor or agent
In
addition, you will learn the steps a leading carrier took to address these
issues with its distribution partners and customers. Also, a producer will
describe his experiences with clients and how companies best supported his
efforts. Look forward to discussing how the environment has changed in the
past six months, and where the industry will go from here.
2.2 Trends in Life Insurance Products
(Session
will be repeated at 1:00–2:00 P.M. Session 3.5)
Ben DiSylvester, FLMI, Chairman, Robert E.
Nolan Co., Inc.
Timothy C. Pfeifer, FSA, MAAA, President,
Pfeifer Advisory, LLC
Don’t
miss this overview of current life insurance product issues. DiSylvester
and Pfeifer will provide insight on the emerging trends in life insurance
products. Attendees will leave with insight on:
- Hot topics in
the industry and implications on life insurance products
- Evolving
product environment
- Ongoing issues
that each company must consider when developing new products or
markets
2.3 Reinsurance: Collateral – Does It Make
Sense?
Kevin
Ahern, Senior Director, Financial Services Ratings, Standard & Poors
David
W. Alberts, Managing Partner, Lovells LLP
Jeffrey
Burt, Vice President, Marketing, Hannover Life Reassurance Company of
America
Point-counterpoint
– Hear both sides of this ongoing and intense debate.
2.4 Regulatory Update
Michael
Lovendusky, Vice President and Associate General Counsel, American Council
of Life Insurers
This
session will provide the latest update on the key regulatory and
legislative issues affecting the life insurance market.
2.5 Banking on Technology
Joan Cleveland, Senior Vice President,
Business Development, Individual Life Insurance, Prudential Financial
Scott Stathis, Corporate Vice President,
Kehrer-LIMRA
One
of the critical success factors in selling life insurance through banks is
the implementation of technology solutions that help create the proper
environment. Don’t miss this session where you will:
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Hear about strategic technology solutions that can help simplify and
increase bank life insurance sales
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Learn how one carrier has leveraged its application as a point of
differentiation in this market segment
11:30 A.M.–1:00 P.M.
Lunch
with Exhibitors
1:00–2:00 P.M.
Concurrent
Sessions (Select One)
3.1 Marketing to Small Business Owners
Amy
C. Floyd J.D., Senior Director, Allstate Financial
Marc Belletsky, JD, CLU, ChFC, Director, Small
Business Owners Customer Segment, Hartford Life Insurance Company
James O. Mitchel, Ph.D., Vice President,
Strategic and Developmental Research, LIMRA
Small
business owners can be a lucrative market niche for life insurance and
other financial services products. While their businesses may be small,
the potential for sales is big.
- What’s the
best way to reach this market?
- Who are their
trusted advisors?
Come
to this session to see the latest LIMRA research on small business owners
and understand one carrier’s ideas on how to effectively reach this
market.
3.2 Critical Issues in STOLI Litigation
Thomas
F. A. Hetherington,
Partner,
Edison,
McDowell & Hetherington, LLP
Michael
Lovendusky, Vice President & Associate General Counsel, American
Council of Life Insurers
David T. McDowell,
Partner,
Edison,
McDowell & Hetherington, LLP
Attorneys
Thomas Hetherington and David McDowell of Bracewell & Giuliani LLP
will present findings of their research into the many interrelated aspects
of stranger originated life insurance.
3.3 Identifying and Preparing for Emerging
Risks
Thomas W. Fineis, FSA, MAAA, FLMI, Director,
Deloitte Consulting LLP
Terri Dalenta, FCAS, MAAA, CERA, Executive
Vice President, Aviva North America
Recent
market experience shows that potentially devastating risks may arise from
unexpected events. Companies that are able to identify these risks early
can seize an advantage by preparing for them before the competition takes
action. Our speakers will cover several techniques for identifying
emerging risks, including FMEA (expert elicitation), The Delphi Technique,
and Environmental Scanning. They will also discuss tools that can allow
companies to quickly assess the relative magnitude of a particular risk to
determine whether additional detailed analysis is warranted.
3.4 Principles-Based Approach: Time to Measure
the Real Impact
Karen Rudolph, FSA, MAAA, Principal and
Consulting Actuary, Milliman, Inc.
A. William Sayre, FSA, MAAA, Principal and
Consulting Actuary, Milliman, Inc.
The
world of statutory financial reporting is changing. Requirements in the
future will call for reserves and capital to be set according to modeling
results using the judgment of the company and the company’s actuary.
Don’t miss this session to:
- Gain an
understanding of the fundamentals behind PBA
- Learn about
SOA research and how PBA is expected to impact company financials
- Appreciate the
challenges faced by insurers in this new environment
3.5 Trends in Life Insurance Products
(Repeat.
See Tuesday, 10:30–11:30 A.M., Session 2.2)
2:00–2:30 P.M.
Refreshment
Break with Exhibitors
2:30–3:30 P.M.
Concurrent
Sessions (Select One)
4.1 A Proven Approach to Product Development
Joan H. Cleveland, Senior Vice President,
Business Development, Prudential
Javier Flaim, Partner, Maddock Douglas
Quite
often, product development in the life insurance industry has come to mean
copying someone else’s “hot” product with a few tweaks. To be truly
creative though, sometimes we must step outside the familiar. Hear how an
insurance company worked with Maddock Douglas, The Agency of Innovation,
to bring a completely new approach to life insurance product development.
4.2
What the Tax Issues Mean for Insurance Products
Mandana Parsazad, Senior Counsel, Taxes & Retirement Security,
American Council of Life Insurers
Learn
what the impact of the latest legislative and regulatory tax issues will
have on insurance industry products.
4.3 Advisors for Life?
Patrick Leary, Associate Managing Director,
Distribution Research, LIMRA
Todd
A. Silverhart, Ph.D., Corporate Vice President and Director, Technology in
Marketing and Distribution Research & Markets Research, LIMRA
Join
us for an intriguing look at consumers’ relationships with their
financial advisors and how they use their advisors in key stages of their
lives. What can companies do to help their producers remain relevant to
their customers and fulfill their changing needs? Is there a tendency
among consumers to switch professionals at key stages of their lives, or
do they remain with one trusted advisor? Come and find out.
4.4 Underwriters and Actuaries Meet, Again,
and Again and Again….
Cal D. Schattschneider, FLMI, Director, New
Business, Northwestern Mutual
David
N. Wylde, FSA, MAAA, CLU, ChFC, Research
Actuary,
Life Solutions, Transamerica Reinsurance
Underwriters
and actuaries work together to help life insurance companies manage their
mortality risks. But the way in which they work and their risk management
techniques have evolved over time. Join us to hear both underwriters and
actuaries discuss how today’s risk management techniques compare to
those used by both professions in the past. Learn how these two sets of
professionals work together to accomplish a common goal: gaining more
profitable life insurance business.
4.5 P – R – O – T – E – C – T:
What You Need, Baby We Got It!
Keith Dall, FSA, Consulting Actuary, Milliman,
Inc.
Michelle
McDonald, FSA, MAAA, Vice President and Marketing Actuary,
Swiss Re Life & Health of America, Inc
(Ooo!)
What you want, baby we got it! (Ooo!) What you need, do you know we got
it! All we are asking is for a little protection on our life (just a
little bit). Consumers are looking for death benefit protection products,
and the industry has responded by offering a variety of guarantees and
riders. Join us as we review the latest market trends and regulations in
death benefit protection products.
The products to be covered are:
- Current
Assumption Universal Life
- Universal Life
with Secondary Guarantees
- Term Insurance
- Return of
Premium Term
3:30–4:00 P.M.
Refreshment Break with Exhibitors
4:00–5:00 P.M.
Concurrent
Sessions (Select One)
5.1 Going Green – Electronic and Alternative
Policy Delivery Methods
Shirley
Mitchell, ACS, Regional Vice President, Protective Life Insurance Company
Barbara B. Repscher, FLMI, FFSI, PCS, AALU,
Director, Customer Operations, Beneficial Financial Group
Beneficial
and Protective have implemented solutions to eliminate mailing a life
insurance policy for delivery. Repscher will provide insight into
Beneficial’s unique printing solutions for policies, and Tierney will
provide a look at Protective’s electronic policy delivery practice.
Attendees in this session will learn about:
- A unique
practice to print policies in the field
- An electronic
policy delivery practice
- How going
green is a win-win for everyone
5.2 Capital Markets Chaos… Where Do We Go
From Here?
Scott Boug, FCIA, FSA, MAAA,
Senior
Vice President, Munich American Reassurance Co.
Dave Dorans, CLU,
Vice
President, Product Consulting & Development, Transamerica Reinsurance
David Rains, FSA, MAAA,
Managing
Director, Guy Carpenter & Company LLC of PA
Life
insurers have had several options to effectively manage risk and finance
redundant reserves of their life insurance business. They could look to
reinsurance structures, capital markets solutions, or retention of the
business. How has today’s chaos in the financial markets impacted these
options and the underlying product assumptions?
Join us to learn:
- How to manage
the mortality experience of your portfolio to meet the demands of
regulators, reinsurers and the capital markets
- The options
available to address product assumptions for financing solutions that
no longer work
- About a broad
range of perspectives from our diverse panel
5.3 The Secondary Market for Life Insurance
– Carrier Challenges
James O. Mitchel, Ph.D.,
CEBS, LLIF,
Vice
President Development Research, LIMRA
Maggie Mitchell, JD, CLU, ChFC,
Vice President, Advanced Sales, ING
Companies
face many challenges in dealing with life settlements and
stranger-originated life insurance (STOLI), including identifying STOLI
polices at time of application and also identifying in force polices that
have been targeted for settlement. The policies, procedures and databases
of many companies are not set up to deal with these challenges. This
workshop will explore current scenarios and discover what companies can do
in the future.
5.4 Enterprise Financial Modeling – A New
Paradigm for Risk Management
Van
Beach, FSA, MAAA, MG-ALFA, Director of Business Development, Milliman,
Inc.
Jason
Kehrberg, FSA, MAAA,
Senior Actuary & Director, Allstate Life
Insurance Co.
Effective
risk management requires that an organization consistently monitor and
measure risks across a wide array of business units and products. But when
modelers are spread across multiple departments and models reside on
individual desktops, consistency, confidence, and efficiency become real
challenges.
At
this session you will:
- Learn the six
fundamental areas where the enterprise paradigm differs from desktop
modeling
- Hear firsthand
experiences from companies who are pursuing enterprise initiatives
5.5 Longer Life Expectancies:
Older Age Mortality
Adam
Golden, MD, Florida Geriatric Society, President
Sam
Gutterman, FSA, MAAA, CERA, Director & Consulting Actuary,
PricewaterhouseCoopers LLP
As
the life expectancy continues to increase, so does the need to understand
the implications to the life insurance industry. A gerontologist and an
actuary will provide insight on how society is aging and how we need to
evaluate the risks of an aging population. Will we need to understand how
to evaluate the risk of someone who will live to 120? Attendees in this
session will gain insight into what is “old,” trends in aging, risks
and implications of older insureds.
Free evening to enjoy Orlando
Wednesday, April 1, 2009
7:00–8:00 A.M.
Continental
Breakfast with Exhibitors
8:00–9:00 A.M.
General Session
Presiding:
Cecil
Bykerk, FSA, MAAA, FCA, RHU, President, CDBykerk Consulting LLC
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State of the Life Insurance Industry: A Rating Agency’s Insight
Kevin Ahern, Senior Director, Financial
Services Ratings, Standard & Poor’s
The
months leading up to the 2009 Life Insurance Conference are perhaps the
most tumultuous time in the life insurance industry. Are the implications
of the economic turmoil short-term or is this a long-term shift in the
financial stability of the life insurance industry? Rating agencies have a
responsibility to maintain a clear understanding and knowledge of the
industry in order to communicate the strength of companies. Ahern will
offer unique insight from a rating agency’s standpoint on the short-term
and long-term implications of the current financial challenge in the life
insurance industry.
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Kevin Ahern is a senior director in Financial
Services Ratings. He has primary responsibility for the analysis of many
of the largest life insurance groups in the U.S. He leads the life
insurance team as a sector specialist in analyzing and publishing Standard
& Poor’s views on the life insurance sector in North America and the
team’s analysis on the emerging trends in product risk and distribution.
Ahern joined Standard & Poor’s in 1997, and prior to that position
he was an analyst with A.M.Best Company, where he analyzed and managed a
portfolio of life insurance companies in the U.S. and Canada.
9:00–9:30 A.M.
Refreshment
Break and Raffle with Exhibitors
9:30–10:30 A.M.
Concurrent
Sessions (Select One)
6.1 Is Variable Life Insurance Volatile or
Just Variable?
Sheila
L. Companie, Vice President and Actuary, Phoenix Life Insurance Company
Rob Stone, FSA, MAAA,
Principal and Consulting Actuary, Milliman,
Inc.
While
expectations for the equity markets have a significant impact on the sales
of variable life insurance, it is important to enhance consumer
understanding of the balance between the death benefit and growth
potential in these contracts.
This session will assist you in:
- Understanding
the equity market impact on variable life products
- Gaining
insight into the growth potential of variable life sales through
demographic shifts
- Enhancing
consumer confidence through marketing and product design
- Understanding
product features that can help reduce account value volatility
- Reviewing
recent and future regulation of variable life insurance
6.2 Capturing the Magic: Tools That Deliver
Automation, an Improved Customer Experience and Intelligent Underwriting
Mike Fitzgerald, CPCU, PMP, Senior Analyst, Celent
The
idea of automating pieces of the underwriting process is not new. But to
this point, capturing the “magic” behind underwriting has proven to be
an elusive goal. Join Weber as he explores the latest tools and techniques
that carriers are using to:
- Automate and
streamline underwriting
- Improve the
experience for agents and customers
- Preserve risk
management strategies
6.3 Current Outlook for Federal Estate Tax
Jonathan
M. Forster, Co-Managing Shareholder, GreenbergTraurig
Mandana Parsazad, Senior Counsel, Taxes &
Retirement Security, American Council of Life Insurers
Don’t
miss this discussion of the likelihood of estate tax legislation in 2009,
focusing on the current legislative environment, revenue implications, and
practical realities.
6.4 The Next Wave of Life Insurance
Securitizations: Is it the Calm before the Storm?
Michael Kaster, FSA, MAAA, MBA, Senior
Consultant, Insurance and Financial Services, Watson Wyatt
David Addison, FSA, MAAA,
Vice President & Marketing Actuary, RGA
Reinsurance Company
The
need for insurance securitization has not gone away, but the financial
crisis of 2008 put a virtual halt to the practice. Will it return soon?
In
this session, a panel of product and finance experts will discuss
- The future of
these types of products
- What companies
are doing in today’s market
- The future as
it relates to capital market, product financing and securitization
6.5 Product Development: Shortening the Cycle
Christopher L. Conklin, FSA, MAAA, Actuary,
Insurance Insight Group
Robert J. Reynolds, FSA MAAA RFC, Director,
Life Product Management, Minnesota Life Insurance Company, a Securian
Financial Group Affiliate
Shortening
the product development process and increasing speed to market are
critical. Attend this session to hear an overview of strategies insurance
companies can use to control the product development timeline while
maintaining a cost effective process. Certain product configurations lend
themselves to more efficient and effective development while other
products by their nature consume more time to develop. You will leave this
session with ideas on how you can shorten your product development
process.
10:30–10:45 A.M.
Break
10:45–11:45 A.M.
Concurrent
Sessions (Select One)
7.1 Life/Living Benefit Combination Plans in
2010: Time to Launch
Doug Burkle, ASA, MAAA, Linked Benefit Product
Development Leader, Genworth Financial
John M. Connelly, National MoneyGuard
Spokesperson, Lincoln Financial Distributors
Barry Eagle, Vice President, Gen Re Life
Health
The
Pension Protection Act of 2006 included some key tax law enhancements,
effective 1/1/2010, for combination life or annuity plans featuring long-term care
insurance. Many products have been developed, and more are on the way as
this date approaches.
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Learn
about the product designs in the market
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Understand
how to convert taxable accumulations within life or annuities into tax
free LTC payouts
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Learn
about another new cutting edge development, Life/critical illness combos
emerging in the marketplace
7.2 Educating the Next Generations About Life
Insurance
Todd A. Silverhart, Ph. D., Corporate Vice
President and Director, Technology in Marketing and Distribution Research
& Markets Research, LIMRA
Faye
Belschner, Assistant Director, Sales Strategy, Northwestern Mutual.
What
IS Life Insurance? Why do I even need it? How can companies effectively
reach Generations X and Y and educate them on the need and importance of
life insurance? Come see highlights of recent LIMRA research
and approaches companies take to educate this younger market.
7.3 Ask the Experts
Ben DiSylvester, FLMI, Chairman, Robert E.
Nolan Co., Inc.
Lucian Lombardi, ASA, Vice President,
Distribution Research, LIMRA
Van
Beach, FSA, MAAA, MG-ALFA, Director of Business Development, Milliman,
Inc.
Our
panel consists of speakers from Life Insurance Conference sessions. Do you
have topics or questions that were not answered or covered elsewhere in
the Life Insurance conference? Come have your questions answered by
industry experts in this interactive, open forum. The knowledgeable
panelists may also raise questions to the audience!
Questions
may be submitted in advance by emailing Insops@loma.org.
There
will also be an opportunity to deposit questions on-site. Questions
submitted in advance allow panelists time for more detailed responses.
7.4 Simplified Issue
Assistant
Vice President, New Business, Foresters
Michael
G. Reeves, Assistant Vice President, Hannover Life Reassurance Company of
America
Elaine F. Tumicki, CLU, ChFC, LLIF, Corporate
Vice President, Product Research, LIMRA
Come
examine the prevalence of simplified issue life insurance. Is the best
means to issue your company’s policies?
You’ll gain insight on the
simplified issue landscape with a focus on:
- The types of
simplified issue policies
- Why you might
consider simplified issue
- Factors to
consider when implementing a simplified issue strategy
11:45 A.M.
Conference Adjourned
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