I remember reading/hearing that the term life insurance companies started buying short term reinsurance for their existing policies early last(?) year. I believe it was from Ed Dowd. I also think that's what got him on path of researching excess deaths.
It's highly unusual because the only way the reinsurance pays is if the covered person dies prior to the term. Historically, the vast majority do live past the term, which is why it's normally a highly profitable, heavily promoted product.
Sooo...am I to understand that insurance companies (term) are buying "short" term policies to cover their extreme losses due to SADS? WOW!!! What an indicator of what's 'REALLY' happening.
I would imagine that actuaries are REALLY busy adjusting all of the "tables" used for insurance companies and lending institutions.
I remember reading/hearing that the term life insurance companies started buying short term reinsurance for their existing policies early last(?) year. I believe it was from Ed Dowd. I also think that's what got him on path of researching excess deaths.
It's highly unusual because the only way the reinsurance pays is if the covered person dies prior to the term. Historically, the vast majority do live past the term, which is why it's normally a highly profitable, heavily promoted product.
Sooo...am I to understand that insurance companies (term) are buying "short" term policies to cover their extreme losses due to SADS? WOW!!! What an indicator of what's 'REALLY' happening.