The LIMRA LOMA Secure Retirement Institute board unanimously elected David Levenson to be the first board chairman and Kent Callahan as vice chair.
Levenson is a principal at the financial-services firm Edward Jones, overseeing retirement, banking, insurance and trust services. Before joining Edward Jones in 2012, Levenson was president of the wealth management division for The Hartford with responsibility for the firm's individual annuity, individual life, mutual fund and retirement plan businesses.
Callahan is a member of the Transamerica U.S. Management Board and serves as president and CEO of the Employer Solutions & Pension division. Callahan has 30 years of experience in the financial services industry, including 25 years with Aegon/Transamerica.
The board adopted governance rules during its second board meeting establishing a one-year term for each officer and offering direction to the retirement research and educational programs for LIMRA LOMA SRI.
In other industry news:
MetLife's new Voluntary Retiree Life insurance is now available.
Retirees and their spouses will have access to three plan options. The initial amounts for plan coverage options include up to $25,000 offered as guaranteed issue and up to $75,000 or $150,000 in coverage, both of which require medical evidence.
The product also includes three features from MetLife Advantages: face-to-face Will Preparation and face-to-face Estate Resolution Servicesprovided by Hyatt Legal Plans and the Total Control Account. These features offer customers valued resources as they enter the retirement stage.
The retiree plan is separate from that of plan participants who are still actively employed so rates for current employees are not impacted.
To help employers provide appropriate voluntary life coverage options to retirees, MetLife will also provide full plan administration by: creating communication materials for enrollment; maintaining and managing all retiree and spouse records; maintaining all beneficiary information and preparing and delivering beneficiary claim packages; managing billing, and providing MetLife's toll-free customer service support.
Penn Mutual Life Insurance Company reached $100 billion of life insurance in force.
"To us, $100 billion of life insurance is much more than just a number – – it represents the trust that our clients put in us to help them maintain a lifestyle after the loss of a loved one; the means to afford the home of their dreams; or even the ability to achieve a long-desired business goal," said Eileen McDonnell, chairman, president and CEO of Penn Mutual. "From all the promises we've kept to all we've still yet to make, we look forward to continuing our record of success and remaining a trusted company for our policyholders of today and tomorrow."
Moody's Investors Service said in its report "New US Insurance Capital Method Better Reflects Commercial Mortgage Risks" that the National Association of Insurance Commissioners' (NAIC) statutory accounting changes for commercial mortgage loan (CML) capital charges are credit positives for U.S. life insurers.
According to Moody's, the changes reduce statutory capital volatility and better align required capital with credit risk, both credit positives for U.S. life insurers.
Under the old methodology, the mortgage experience adjustment factor (MEAF) measured a company's CML default experience against that of the industry. Under the MEAF, a single risk-based capital (RBC) factor was calculated and assigned to the entire portfolio without regard to the risk characteristics and economics of the individual performing loans, and could lead to inaccurate assessments of the insurer's default rate, says the rating agency.
