Archive for March 27th, 2009
Amazing to me that when I ask someone with diabetes what their most recent A1c was, the response is very often, “What’s that?” or “I don’t know, but my blood sugar this morning was 128.” or “My doctor says I’m doing fine”.
So, let’s start out with why your A1c is important. From the standpoint of your personal health it is a measure of how well your glucose levels are controlled. The hbA1c test, rather than taking a one second snapshot like a glucose test, can actually provide you with an overview of a 2 to 3 month period and what your average glucose was around the clock during that time.
Most with type 2 diabetes, unlike type 1 diabetes, that monitor their glucose get into a habit of doing it the same time everyday and usually, because they know the numbers are better, that is done before meals. But let’s be honest. You know that just because your glucose is 128 before a meal almost every day doesn’t mean that it is 128 after you eat or when you mess up and do something you know you shouldn’t. The hbA1c uncovers all of those readings and averages them with all of the good readings and gives a true picture of control. From the article above this chart gives you an idea of what your A1c equates to in average glucose readings.
HbA1c and Blood Glucose Levels
6.0% 120 mg/dl
7.0% 150 mg/dl
8.0% 180 mg/dl
9.0% 210 mg/dl
10.0% 240 mg/dl
11.0% 270 mg/dl
The other reason, other than your health, that the A1c is important is to a life insurance underwriter. That underwriter knows this chart and he knows that even if you have a glucose level of 108 on your insurance exam, if you A1c is 7.5 then your average glucose is really 165. Putting that further into context, if when you are good your glucose is 108, and the average is 165, then there must be plenty of times that it is 200 or over. Dangerous territory.
If your A1c is over 7.5 and your doctor tells you that you are doing great, ask him or her why you are doing great if your glucose is really all over the map and occasionally at dangerous levels.
Bottom line. For many of us we think the best we can do when faced with something like diabetes is to find a good doctor and get treated. Too many of us don’t take the opportunity to educate ourselves about our health issue and know what’s really doing Ok and what’s not. Always get copies of the labs you have done. Always ask about anything that isn’t in the normal range and honestly now, don’t accept the answer that it’s OK when it clearly isn’t where it should be. Take charge of your future.
March 27th, 2009
There are times when it’s obvious that life insurance agents just really don’t believe that service is important and then there are times when the avoid service or drag their feet on a task as a way avoid talking about what’s really going on with your policy.
The latter is the case with a client I am currently working with. Early on in the process I suggested to the client that they get a current in force illustration of their variable universal life policy. I told them just a quick call to their current Hartford agent should produce that document for them in just a few days, a week at the most.
Now, understand that this is a policy that was grossly underfunded and being variable has no guarantee. This is a policy in huge trouble. It started with a single premium that generated $1.6 million of life insurance coverage. Today, as near as we can tell, it would provide a death benefit of less than $500,000. So after two weeks of not receiving anything I suggested to the client that they call the agent and tell them that they were considering moving their insurance to a new company and that if this agent wanted to be considered for keeping the business he needed to produce the in force illustration.
Two weeks later they received a two page letter from the agent explaining the history of the policy and how it appeared to be going down the tubes and suggesting some possible alternatives. All of this in the narrative, none in actual illustration form and certainly not a Hartford generated in force illustration. There was absolutely nothing that the client could hang his hat on. There was nothing substantive enough to be helpful in making a decision.
Understand that if you have a life insurance policy, whether term insurance, whole life or universal life, companies need to provide in force illustrations to you in a timely manner if you request it. The only conclusion that can be drawn by this agent’s actions is that he knows the business is in trouble and he is hoping to drag this out to the annual renewal date and then suggest that they ride it out one more year. He either never requested the illustration, or he requested it, received it and the news is so bad that he doesn’t want to show it to his clients.
At this juncture I suggested to the clients that they pose some questions to the agent concerning the tax viability of making a change in the policy or moving the policy and using a 1035 exchange to move the cash value. 10 days later the agent answered the questions.
Bottom line. Service isn’t about the agent. Service is all about the customer and if, by providing the service, the information, that a client needs, the client finds a better deal somewhere else, well, you did that client a service. It might not feel good to lose a customer, but it’s all about their family and their money and not about the agent.
March 27th, 2009
I have written several posts on the subject of beneficiary rights if a claim happens during the incontestability period. This is a little talked about subject that can truly cause problems for those who are engaged, are life partners, have used life insurance as collateral on a personal loan or for some who own business life insurance such to fund a buy/sell agreement.
Just to review, during the two year incontestability period the company will routinely investigate the claim including acquiring relevant medical records. The problem occurs when the beneficiary doesn’t have legal standing to sign an authorization to release those records to the insurance company. Unless a family member steps forward to help the beneficiary is likely to have to go to court in order to obtain a limited medical power of attorney. This takes time and money.
In the case that started the dialogue on this subject, the death occurred last August. The family wouldn’t cooperate with the insured’s fiancee because of some greed issues. She got the court ordered medical power of attorney in February and the claim was settled and paid today. It’s a good day when claims are paid, but agents and insureds need to both be aware of this pitfall so those good days aren’t unnecessarily delayed.
Bottom line. There are those who aren’t married yet as in engaged. There are those who probably won’t get married, life partners. There are those who can’t get married, gay couples. There are those in business who can be at the mercy of a family. All are reasonably chosen beneficiaries and the life insurance companies don’t have a problem cutting the check, but during that first two years there has to be a plan in place for acquisition of records.
March 27th, 2009
