4 Nelson’s Video
What This Covers
This session introduces the coaching series and shares key updates on dividend scale changes from Equitable Life. It sets context for how rising interest rates are impacting whole life insurance policies positively, and previews the learning agenda with client-focused resources.
Why Clients Use It
To understand how dividend rates affect their policies
To see the big-picture implications of policy loan interest rate changes
To learn how to interpret illustrations and real-world outcomes over time
To build a foundational grasp of participating whole life insurance before deeper learning
Key Insights by Timestamp
00:00 – 01:39 | Welcome and Agenda
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Introduction to client coaching session format
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Newcomers welcomed
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Overview of today’s agenda: dividend scale update, Assurance.ca walkthrough, Tim Yurech video, Nelson clips, and family banking discussion
01:39 – 04:15 | Dividend Scale Update
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Equitable Life dividend scale drops from 6.5% to 6.25%
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Policy loan interest rate rises from 6.2% to 6.5%
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Presenter views both as positive signals for long-term sustainability and profitability
04:15 – 06:16 | Perspective on Dividend and Loan Rate Changes
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Interest rate increases help support the life company’s profitability
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Higher policy loan rates ensure the company can remain competitive
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When dividends rise, owners benefit. This marks a shift after years of declining scales
06:16 – 09:40 | Understanding the Dividend Scale History
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Document from Equitable (Document 1038) shows historical dividend rates since 1993
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Dividend scale peaked at 10.7% in 1993, fell steadily to 6.05%, and now ticks up to 6.25%
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Projections in policy illustrations often use -1% assumptions to stay conservative
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Dividend is “icing on the cake,” not the goal. Focus is on cash value reaching death benefit by age 100
09:40 – 10:38 | Personal Reflection
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The presenter shares that this is their first time seeing dividend scales rise in practice
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Emphasizes it’s an interesting and historic moment for policyholders
10:38 → | Transition to Roman’s Assurance.ca Presentation
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Roman takes over to share updates on Assurance.ca and how clients can use it
Summary Notes
Dividend changes signal important shifts in the economic environment
Rising interest rates aren’t only negative, they improve long-term policy performance
Clients are encouraged to focus on participating as owners, not just policyholders
Historical data helps clients understand trends and set realistic expectations