Variable Universal Life - OR
Insurance Continuing Education in Oregon
4 credit hours
If purchased today, this course must be completed by:
July 31, 2022 (285 Days)
CFP Certification Continuing Education
Variable Universal Life Insurance begins with an examination of the financial and political environment in the decade of the 1970s that gave rise to the conditions resulting in the development of the universal life insurance product. The student will understand the roles played by extraordinarily high interest rates that gave rise to disintermediation and a Federal Trade Commission report that was critical of whole life insurance in the decline of whole life insurance sales. Fixed premium variable life insurance is considered, principally in its role as a precursor and foundation for the VUL product.
The key features of all universal life insurance products, including VUL, are examined, including their:
- Flexible premiums
- Adjustable coverage
- Expense and mortality charges
- Death benefit options and their relationship to the policy’s amount at risk
Cash value access and taxation are considered, and the appropriateness of withdrawals and policy loans are discussed in reference to the policyowner’s intent to repay. Variable universal life suitability is examined, and students are provided with decisional factors to consider in making any suitability analysis.
Upon completion of the course, the student should be able to:
- Understand the flexibility of variable universal life insurance premiums and the adjustability of its death benefit;
- Compare and contrast variable universal life death benefit Option A, B and C;
- Explain the applicable variable universal life expense and mortality charges;
- Calculate variable universal life coverage, net amount at risk, cash value and mortality charges;
- Understand variable universal life transactions, premiums, surrenders, loans and withdrawals;
- Discuss the special VUL policyowner rights;
- Explain the tools available to a VUL policyowner to manage cash value volatility;
- Identify the basic VUL variable subaccounts and the risks normally found in various classes of investments;
- Apply the NASD guidelines with respect to VUL suitability; and
- Identify variable universal life suitability factors.
Rules for Oregon Insurance Continuing Education
- Course material may not be downloaded.
- Exam is closed book.
- Each agent must enroll for the course before having access to course material.
- A student may not access the final exam prior to reviewing all course materials.
- A review quiz is provided at the end of each chapter. The final exam may not be accessed until each review session has been successfully completed.
- Oregon Administrative Rule 836-071-0225(1)(d) limits the number of hours a producer can complete per day to 8. You may NOT start and finish more than 8 hours of continuing education on the same day.
- A course approved in part or in whole as correspondence requires a proctor to be present for the final exam. A correspondence course is any self-study course which includes printed materials as part of the program.
- The state of Oregon charges an additional fee of $1.00 per credit hour.