Leading Chief Underwriting Officer Authors Seminal Paper on Managing Rate Increases for Insurance Policies

STAMFORD, Conn., May 10 /PRNewswire/ -- Edward Hui, Chief Underwriting Officer for Caldwell Life Strategies ("Caldwell"), an asset manager providing life settlement and related investing solutions, recently authored a paper on managing rate increases on life insurance policies, which appears in the May 2010 issue of the Life Settlement Review, a leading industry newsletter.

Prompting Hui's motivation for the article, titled Managing Rate Increases and Unlocking the Value of Life Insurance Policies, was recent disclosure by The Phoenix Companies in their annual report that they will be increasing cost of insurance (COI) rates for certain in-force policies.

Hui offers two solutions for managing the risk of an increase: assessing the viability of the carrier, and making full use of policy features. Considered by many as a leading expert in old age mortality, Hui goes on to describe the key drivers of a rate increase, the reputational risks to the carrier, and its effect on potential returns for life settlement investments.

"Having an actuary of Ed's caliber on our team has allowed us to proactively manage this risk in our portfolio and develop new purchase strategies that both reduce risk and increase yields," says Adam Balinsky, President of Caldwell. "Ed's ongoing analysis is critical for industry participants and further cements our leadership position."

The article can be viewed at http://www.caldwell-ls.com/docs/Reprint-3011.pdf.

About Caldwell Life Strategies

Caldwell is an asset manager providing life settlement and related investing solutions to investors. Caldwell places strict emphasis on the alignment of interests with investors and offers an integrated platform with all core functions executed in-house. Based in Stamford, CT, Caldwell's affiliated companies commenced operations in 2006. The firm manages pools of individual life policies with more than $2.6 billion of face value. For more information, please visit www.Caldwell-LS.com.

Note to editors

The life settlements market is the secondary market for life insurance policies on seniors. This market offers an alternative to policy holders interested in surrendering their policy for the cash value of the policy or lapsing a policy. Buyers of Life Settlements determine a purchase price based on the 'life expectancy' (LE) of the insured individual and pay sellers an amount less than the policy face amount, but in excess of the surrender value payable by the issuing insurance carrier. After acquisition, the buyer continues to make premium payments to keep the policy in force and collects the policy death benefit at maturity.

SOURCE Caldwell Life Strategies