Wink Inc. released the second quarter, 2020 life sales results in its 92nd edition of Wink’s Sales & Market Report. Wink’s Sales & Market Report is the insurance industry’s #1 resource for life insurance sales data, since 1997.
Non-variable universal life sales for the second quarter were $642.0 million; down 16.6% when compared to the previous quarter and down 27.5% as compared to the same period last year. Non-variable universal life (UL) sales include both indexed UL and fixed UL product sales.
Noteworthy highlights for total non-variable universal life sales in the second quarter included Pacific Life Companies retaining the #1 ranking overall, for non-variable universal life sales, with a market share of 11.2%. Pacific Life Pacific Discovery Xelerator IUL 2 was the #1 selling product for non-variable universal life sales, for all channels combined, for the 4th consecutive quarter.
Indexed life sales for the second quarter were $494.9 million, down 6.0% when compared with the previous quarter, and down 14.3% as compared to the same period last year. Indexed life sales include both indexed UL and indexed whole life. “Product repricing for 2017/PBR is definitely catching up with everyone,” exclaimed Sheryl J. Moore, President and CEO of both Moore Market Intelligence and Wink, Inc. She continued, “This cyclical reduction in sales is something we see every time the mortality tables update, but this time it was more severe!”
Items of interest in the indexed life market included Pacific Life Companies retaining the #1 ranking in indexed life sales, with a 13.9% market share. National Life Group, Transamerica, John Hancock, and Nationwide rounded-out the top five, respectively.
Pacific Life Pacific Discovery Xelerator IUL 2 was the #1 selling indexed life insurance product, for all channels combined, for the 4th consecutive quarter. The top pricing objective for sales this quarter was Cash Accumulation, capturing 69.0% of sales. The average indexed life target premium for the quarter was $10,716, an increase of more than 15.0% from the prior quarter
Fixed UL second quarter sales were $147.5 million, down 39.6% when compared with the previous quarter and down 52.4% as compared to the same period last year. Noteworthy highlights for fixed universal life in the second quarter included the top pricing objective of No Lapse Guarantee capturing 65.9% of sales. The average UL target premium for the quarter was $5,830, a decline of more than 9% from the prior quarter. Moore commented, “The decline in fixed interest rates, which has plagued the life insurance industry for more than a decade, continues to drive traditional UL sales downward.”
Whole life second quarter sales were $930.0 million, down 10.4% when compared with the previous quarter, and down more than 21.0% as compared to the same period last year. Items of interest in the whole life market included the top pricing objective of Final Expense capturing 61.7% of sales. The average premium per whole life policy for the quarter was $3,823, a decline of nearly 9% from the prior quarter. “With indexed life facing additional regulatory changes due to AG49-A, and fixed UL credited rates not improving, whole life insurance sales have the brightest future for next quarter’s sales.,” commented Moore.
Wink currently reports on indexed universal life, indexed whole life, universal life, whole life, and all deferred annuity lines’ product sales. Sales reporting on additional product lines will follow in the future.
For more information, go to www.WinkIntel.com