A Father’s Life Story

June 17, 2011

A manila folder in my office holds a vinyl case that contains three life insurance policies, carefully stowed away many years ago. I happened upon them this week and read, amid the legalese, the story of a father’s life. My father-in-law met his future wife in the displaced persons’ camps in Germany after World War II. They married in 1946 and soon sailed for Brooklyn. His wife’s sister came with …

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Insurers Cling To Beneficiaries’ Money

August 3, 2010

Imagine that a man walks up to you with a proposal. He’d like you to lend him a large sum of money, possibly most of your worldly wealth, at an interest rate of less than 1 percent. And then he says yes on your behalf. In an excellent piece of reporting by David Evans, Bloomberg Markets magazine last week drew attention to the fact that many insurance companies are effectively …

They Bet Your Life On It

July 2, 2010

I often receive phone calls that begin like this: “Hello, Mr. Elkin? I’m Bill Friendly. How are you today?” I assume Mr. Friendly is just being polite, and that he is not interested in the details of my recent medical history. I make this assumption because, outside my immediate circle of family, friends, colleagues, clients and acquaintances, nobody has much reason to care about my health. But suppose I let …

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Life Insurers Pump It Up

October 26, 2009

After the financial scandals of the past decade and the institutional meltdowns of the past year, you might think regulators would have gotten awfully fussy about companies that try to make themselves look stronger than they really are. Think again. In the world of life insurance, regulators across the country are allowing companies to issue debt — sometimes significant amounts of debt — without reporting this debt on their balance …

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