What strategy can be used to assess the premium adjustments in an Adjustable Whole Life policy?

In the context of assessing premium adjustments in an Adjustable Whole Life policy, acting as the insurance company's treasurer is the most pertinent strategy. This approach allows for a detailed examination of the company's financial health, reserve requirements, and the underlying investment performance. The treasurer's perspective involves an understanding of how premium adjustments align with the company's long-term financial strategy, risk management practices, and regulatory obligations. This insight informs policyholders about the potential impact of environmental changes, such as interest rates or market fluctuations, on their premiums.

Evaluating competitors' premiums may provide a sense of market positioning but does not directly inform about the specific adjustments to a policyholder's premiums or underlying company dynamics. Consulting with experienced policyholders can yield anecdotal insights, but those experiences do not offer a comprehensive view of the financial management or technical aspects of premium assessment. Reviewing historical premium rates provides context but lacks the strategic insight necessary to understand future adjustments in light of current financial conditions and company operations.