CrummeyService.com, Boca Raton, Fla., a Web-based service that enables life insurance trusts to comply with annual notification requirements to trust beneficiaries, has accepted an equity investment from the principals of Winged Keel Group.
"At the moment, the percentage of life insurance trusts that comply with the Crummey notification requirements is very low, perhaps in the single digits,” said Michael Liebeskind, co-founder of Winged Keel Group. “We expect that percentage to increase significantly as law firms, trust companies, life insurance brokers and other professional advisors license the CrummeyService.com technology to help their clients meet the clearly articulated safe harbors."
In order for a gift to a trust to qualify for the annual gift tax exclusion, currently $13,000 per beneficiary, the IRS requires trust beneficiaries to be given formal written notice of their right to withdraw the gifted amount if they choose to do so (Crummey v Commissioner, 397 F.2d 82 (9th cir 1968)). CrummeyService.com technology reminds the grantor to make the gift to the trust, notifies the beneficiaries of their right to withdraw the gifted amounts, and provides an independent third-party record of the entire process.
In other industry new:
New Jersey employers will have the ability to provide coverage to their Medicare-eligible retirees who live out of state with the Horizon Blue Cross Blue Shield of New Jersey Horizon Medicare Blue Group PPO.
The Horizon Medicare Blue Group PPO product takes advantage of an arrangement among Blue plans that will enable members to obtain in-network benefits when receiving care from Blue Plan network physicians and hospitals in 31 participating states. New Jersey employers now have a quality option for covering their out-of-state retirees.
The Horizon Medicare Blue Group PPO product provides in-network and out-of-network benefits that cover all Medicare Part A (hospital) and Part B (medical) benefits as well as additional supplemental benefits. The new PPO product can be purchased with or without Part D prescription drug coverage.
The Horizon Medicare Blue Group PPO will be a fully-insured product and will have an effective date of Jan. 1, 2013. The Centers for Medicare and Medicaid Services (CMS) issued its conditional approval for the new product in May and is expected to give final approval by September.
Peter Ganley, managing partner of Life Planning Group, the Penn Mutual Life Insurance Company’s career agency in Long Island, N.Y., has received the General Agents’ and Managers’ Association International Management Award at the Diamond level. Peter L. Lovley, managing partner of National Financial Legacy Group in Maryland, received the GAMA International Management Award at the Gold level. Douglas Barone, sales manager of the Life Solutions Group in Boston, received the GAMA Frontline Leader Award at the Gold level.
As managing partner, Peter Ganley is responsible for life insurance advocacy, producer development and agency building. He has earned Penn Mutual’s 2010 Career Agency System Award of Excellence and the Life and Annuity Premium Growth Award.
Prior to joining Penn Mutual in 2009, Ganley held positions as a producer, sales manager, general agent and managing partner at two financial services companies where he earned awards and distinctions for recruiting and for leading several agencies in sales and production.
Ganley is a member of The American College’s President’s Circle and a sponsor of the GAMA Foundation. He is a registered representative of Hornor, Townsend, & Kent, Inc.
With more than 27 years of experience in the financial services industry, Peter Lovley specializes in retirement, estate planning and working with the business market. In addition, he has focused on expanding the agency’s client services and established the National Financial Legacy Group as a leader in the advanced markets.
Prior to joining Penn Mutual in 2011, he held positions as an agency supervisor and a general agent during which he received several leadership awards for agency operation, marketing techniques and his efforts in life insurance conservation.
GAMA has previously recognized Lovley’s success with the International Management Awards at the Gold, Silver and Bronze levels for six consecutive years since 2003. In addition, he was awarded the Agency Builder Gold Award in 2007 and 2008 for his outstanding achievements.
Active in the industry, Lovley is a member of the NAIFA, GAMA, and the Financial Planning Association.
With 24 years of experience in the financial services industry, Doug Barone has specialized in recruiting experienced producers and experienced agents, and has been responsible for new agent recruitment and development. Having brought this expertise to Penn Mutual in 2008, he is now a sales manager for experienced agents.
Barone received his bachelor’s degree in Political Science from Mount Saint Mary's and a master’s degree in Education Administration from Boston University, and is a registered representative of Hornor, Townsend, & Kent, Inc.
Hastings Mutual Insurance Company, Hastings Mich., welcomed Joseph J. Babiak Jr. as its new president, CEO, and chairman. Babiak joined Hastings Mutual in 2001 as the CFO. During the past three years, Babiak has served as the senior vice president of Insurance Operations in preparation for this planned succession. He has more than 30 years of industry experience.
Babiak worked as a senior manager at Arthur Andersen LLC prior to joining Hastings Mutual. He received his accounting degree from the University of Wisconsin Stevens Point and has earned the CPA designation.
Pacific Life, Newport Beach, Calif., received a silver Stevie Award in the Small Budget Marketing Campaign of the Year category for its “Helping Clients Put the ‘I’ Back in Income” campaign at the 2012 American Business Awards.
Introducing Pacific Income Provider, a single-premium immediate fixed annuity, the campaign focuses on how to engage clients in a retirement income planning conversation by taking a personalized approach—one that zeros in on each client’s unique vision of what they want retirement to be. The campaign also highlighted the importance of guaranteed income in building lifetime retirement security and the role of Pacific Life’s consultative wholesalers in helping financial professionals create a personalized client experience.
Securian Financial Group, St. Paul, Minn., has added 21 new investment options for retirement advisors to meet a wider range of employee group needs.
For a majority of the new options, the net operating expenses of the new Securian options are 0.2% or less. Additionally, all revenue sharing funds from investment companies are passed on to plan participants on a daily basis using a 20-year-old process called Securian’s Actual Allocation Method.