QUOTABLE

mortality and longevity risk of the individual, and financial information such as income and assets that determine insurable interest, suitability and eligibility for coverage.

Colorado Rule Bars Ai Discrimination

Colorado is leading the way on regulation around insurers’ use of data with its first rules requiring life carriers to ensure the use of third-party data in life insurance underwriting does not discriminate against protected groups.

The proposed data discrimination rule would impose limits on life carriers’ use of external consumer data and information sources, algorithms and predictive models to ensure it does not result in discriminatory insurance practices.

Any carrier or insurance practice using consumer data besides traditional underwriting factors would have to ensure that the use does not detrimentally affect any group defined by race, color, national or ethnic origin, religion, sex, sexual orientation, disability or gender expression.

Traditional factors are medical information that has a direct relationship to the

AM BEST KEEPING AN EYE ON LIFE INSURERS WITH HIGH-RISK ASSETS

Life insurers are increasingly compiling high-risk assets, and AM Best is watching closely, two directors assured a federal Department of the Treasury committee. The exposure to high-risk assets “is something that could be problematic for these companies, and the first signs that we see, we’re going to be all over these companies. Absolutely,” said Mike Porcelli, director for AM Best.

AM Best issues financial-strength ratings measuring insurance companies’ ability to pay claims. It also rates financial instruments issued by insurance companies, such as bonds, notes and securitization products. Its ratings are a crucial measure of insurers’ financial stability and reputation.

Two trends have regulators and some legislators concerned about life insurers taking on higher risk. For starters, a long low-interest-rate environment forced insurers to seek out riskier investments in order to make a return. Some life insurers are making deals with private equity to manage those investments. Some private equity firms are buying life insurers outright, attracted to the large capital in the form of policyholder premium. CNBC reported on insurers’ risky investments in failed banks such as Silicon Valley Bank as reasons why underwriting losses are soaring.

SOURCE: John Hancock

Top reasons to get an Independent Vested Direct Agency Contract with Kansas City Life Insurance Company

Grow your agency

• Customized targeted recruiting plan, agent recruiting leads, onsite and virtual open house recruiting events.

High-touch personal attention

• Producers enjoy direct access to underwriters and sales support teams.

Elevate your agency with customized training

• Advanced and business markets, sales concepts, case design, and support staff assistance team.

Exceptional regional team to support your agency

• Annual business planning and monitoring, onsite training, team-building events.

Full suite of products to help you stand out from the crowd

• Innovative term insurance to age 85.

• Outstanding return-of-premium products.

• Streamlined indexed universal life insurance design.

• Unique ability to add a commissionable policy enhancement that allows the policyowner to customize the way the death benefit is paid out

Stability

• Founded in 1895, a producer-focused Company with fourth generation family leadership that has great financials and no debt.

For information about a vested independent contract with Kansas City Life Insurance Company, call Tom Morgan, Vice President, Agencies, 855-277-2090, or visit join.kclife.com.