Friday, August 29, 2014

Millennials’ Money Misconceptions: Insurance Not Needed

BY: Shana Lebowitz

Well, at least that’s what young adults seem to think.

A new survey finds Millennials are less likely than any other age group to be protected by health insurance—even though federal law requires all Americans to get coverage.


The survey, commissioned by, found that as many as 24% of consumers between the ages of 18 and 29 lack health insurance, compared to just 12% of adults over 30. And Millennials who do purchase health insurance usually opt for the most basic policy possible.

What’s more, results showed that Millennials are actually less likely to purchase any kind of insurance—including automobile, renter’s or homeowner’s, life and disability.

That’s why it’s especially surprising that 60% of Millennials said they were either very or somewhat confident about their ability to handle the financial impact of an unexpected event, such as a car accident or becoming disabled. In fact, Millennials were more self-assured than any other age group except those 65 and older. read the rest>>

Peter Zinnen, CLTC

Call Peter @ 800.842.8289
or Email:

Wednesday, August 27, 2014

Advisors Ignoring Millennials

Ignoring millennials now could be a
huge mistake in the future.
Aug 12, 2014 | By Marlene Satter

Financial advisors are leaving millennials out in the cold when it comes to looking for more clients. 

So says a new study conducted by Harris Poll for the Principal Financial Group, which revealed that only 18 percent of survey respondents target Generation Y as a source of new clients. Instead, they look for baby boomers (64 percent), the affluent or high-net-worth individuals (64 percent), or business owners (62 percent).

Considering that more than half of advisors (57 percent) prefer their new clients to have assets of more than $250,000, it’s no wonder they’re not spending a lot of time with millennials. But that could be a mistake, because millennials (ages 18-37) make up a 7 percent larger portion of the population than boomers and have plenty of years ahead to save for retirement and work toward other financial goals.  

read more>>

Peter Zinnen, CLTC

Call Peter Today @ 800.842.8289

Tuesday, August 26, 2014

Millennials Avoid this type of Insurance

by |

It appears members of the millennial generation are purchasing less life insurance than they were prior to the financial crisis.

According to a survey conducted by Life Ang, only 21% of millennials own life insurance. Although there was a positive correlation between age and liklihood of owning life insurance, only 28% of the largest group (those 31 to 35) was covered.  Comparatively, just over 10%of the 23 to 25 age group owned life insurance coverage. Generally as a rule, nearly all people between the ages of 22 and 65 should have some sort of coverage on their lives. 

Adam Thompson

Call Adam Today @ 800.842.8289


Friday, August 22, 2014

Millennials Are Far More Conservative Than You Think



As they start to have children, the misunderstood generation shifts again

August 22, 2014 – KANSAS CITY, Mo.– (BUSINESS WIRE) – Of the 40 million U.S. millennials aged 25 to 34, 22.9 million already have children. With 10,000 millennial women giving birth each day, the generation that’s often viewed through the lens of youth is quickly growing up. A new study of millennials who have children reveals that parenthood is driving a more pragmatic, conservative outlook.

Yet, millennials report that ‘conservative’ is not a political term, but instead a shift in attitude that will dramatically change how and where they spend, their commitment to the internet, and the social beliefs that were widely believed to be quintessentially millennial. “Interest in millennials has reached a fever pitch—and rightfully so, this generation influences the purchases and beliefs of nearly every American,” said Jeff Fromm, president of FutureCast and co-author of Marketing to Millennials: Reach the Largest and Most Influential Generation of Consumers Ever. “Just when we think we have them figured out, the data shows that millennials are now shifting into two very disparate groups. Parenthood is radically changing millennial behavior and beliefs.”
- See more at:

Wednesday, August 20, 2014

Appealing to "Gen Y" Millennials

In an ongoing effort to drive business your way, our recent Facebook post reaches out to Millennials to call us for a referral to YOU! 

4 in 10 Adults have no Life Insurance 
whatsoever, and Gen Y  - The Huge 
Millennial Generation - is a big offender. 
Does someone depend on you? 
Be dependable!

(Feel free to copy this post into your own Facebook page. Just go to
and please "Like" us while you're there.)

Call or email Peter or Adam for a referral to a trusted
Life Insurance Advisor in your area.   


Friday, August 15, 2014

LTC Webinar - Tuesday, August 26 @ 2:00 P.M.

"A Simple Sales Approach to help Increase LTC Sales & Place More Business"
We will Identify how you can help clients protect their financial futures. This webinar will help you:
  • PC FLEX 3 Features & Benefits review & best riders to add
  • More accurate quote requests by using "eValuate" - LTC Underwriting
    Pre-Qualification tool
  • Understand our innovative Flex Fit packaging options
  • Sales ideas from leading producer feedback
  • Cross-selling ideas when pivoting from LTC to alternate products
  • Q& A 

Confirmation Number: 400

Friday, August 1, 2014

Navigating the Long Term Health Care Environment

Long Term care is a challenging market to enter.

Traditional LTC products can be expensive, the premium is not guaranteed, and the products are changing on a regular basis.
Below are the top reasons for NOT purchasing long term care insurance based on Genworth’s Let’s Talk brochure:

  1. Confusion – People say it is difficult to understand the costs and what is paid by Medicare, Medicaid and long term care insurance.
  2. Denial – People do not believe that they will need Long Term Care insurance
  3. Mistrust – Clients are concerned that they will not be able to rely on a long term care insurance company when they need it.
  4. Discomfort – It is too unpleasant to think about becoming ill and needing long term care.
With regards to LTC planning, the first step is educating your client about the need for protection. Explain that Long Term Care planning is not about buying a specific policy, rather it is about protecting their hard earned retirement savings from the life changing event of a long term health care need.

The Traditional Long Term Care policy, as expensive as it can be, is still the best way to provide the most protection for a long term health care event. However, since clients have voiced many reasons for not buying a traditional LTC plan, there are now other options that can help your clients fulfill at least part of their need for long term care protection. These alternatives may also alleviate some of the reasons for not buying a traditional plan.
Alternatives to Traditional LTC products can be grouped into 3 sections.

  1. Hybrid products: Hybrid products are often a single-pay life insurance purchase that is leveraged into LTC care.
  2. Chronic illness/LTC riders: Add-on Chronic Illness/LTC riders are typically Universal Life contracts with an additional rider, which may add up to 20% additional premium to the cost of the life insurance. This rider allows for the face amount to be accelerated on a dollar for dollar basis for chronic/LTC care.
  3. No cost chronic illness riders: No cost riders have built in chronic illness benefits that calculate the available amount (a discounted rate) of benefit at the time of claim.
Hybrid Life/LTC plans are the oldest alternative to traditional LTC. Lincoln MoneyGuard and Genworth’s Total Living Coverage are the most used versions of these products. This type of plan is often sold as a re-allocation of assets by using the built in ROP features, and death benefit to address the “what happens if I don’t use it” objection voiced with Traditional LTC.

Add-on Chronic/LTC riders on Life insurance contracts provide an acceleration of the planned death benefit while the insured is still alive. This benefit is triggered by the need for assistance with 2 of 6 ADL’s or a cognitive impairment. Like all insurance policies, there are many variations, and nuances to learn, and you need to be careful not to over simplify the differences. These are paid riders that add to a base premium cost.

  • Chronic Illness riders, such as American General’s Accelerated Access Solution Rider, or Prudential’s Benefit Access Rider, are filed for tax purposes as a 101g acceleration of the death benefit. This means that these are chronic illness riders and require the need for assistance with 2 of 6 ADL’s or a cognitive impairment, to be permanent. However, chronic illness riders do not require any special LTC training. Many of these products offer a monthly payout of 2% of the initial death benefit. (American General has other available options for payouts as well, please see our chronic illness rider spreadsheet for more details)
  • LTC riders are filed for tax purposes as a 101g and 7702B. This additional filing changes the qualifications required to go on claim. While both chronic illness and LTC rider require the insured to need assistance with 2 0f 6 ADL’s or have a cognitive impairment, chronic illness riders require that need to be permanent. LTC riders require that the need of care is for at least 90 days. Plans filed with 7702B (LTC) may require specific LTC training depending on the state regulations. Genworth’s Accelerated Benefit Rider for Long Term Care Services, is an example of a 101g & 7702B filing. Since Genworth has such a large traditional LTC market, they used their experience when they developed their LTC rider. With Genworth’s plan, the insured will designate a maximum number of months of care, 24, 36 or 48 months. The maximum monthly benefit for LTC care is calculated using the Initial death benefit, divided by the selected number of months of care. Other carriers that offer an LTC rider are Minnesota Life and Transamerica. Those carriers offer indemnity benefits using the 2% of death benefit per month, similar to the chronic illness riders.
No Cost Chronic Illness riders, are the third alternative and offer a reduced benefit for chronic illness care with no additional premium. The following is an explanation of North American’s Chronic Illness Accelerated Benefit Rider. The claim triggers are the same as with the Add-on Chronic Illness riders however, the difference is that the benefit must be elected each year by the insured and the benefit can only be paid out as a lump sum once or twice per year. The death benefit would be reduced by the amount the client chooses to accelerate, however, the actual amount paid to the client will be less than the amount accelerated. The reason for the difference is a discount that is applied to the acceleration based on the insured’s age, premium class, interest rates, etc. There is also a $200 fee applied to each election. This type of chronic illness care is more difficult to use for planning purposes since you do not know exactly how much benefit you will receive. However, since there is no additional premium is required, it is an excellent benefit for the cost.

Long Term care planning is an essential piece to protecting your client’s family and their hard earned assets. The continuum below is a very basic way to help determine the level of protection they are interested in. Traditional LTC provides the most protection for a long term health care event and is on the far left side, while the No Cost Riders provide the least amount of protection on the right.

Traditional LTC  >  Hybrid Products  >  Chronic/LTC Rider  >  No-Cost Chronic Illness Rider

All of the above options offer much needed protection for your clients. The amount they choose to protect is of course up to them, but by showing them the many options that are now available, you are helping them alleviate at least some of the potential risk associated with a life changing long term health care event.

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Peter J. Zinnen, CLTC | Vice President
The Thompson Agency, Inc. 
85 River Road | Collinsville, CT 06019 
800.842.8289 ext. 300 | Cell: 860.214.1639
Fax: 860.693.4547