{"id":11548,"date":"2021-11-05T19:25:52","date_gmt":"2021-11-05T19:25:52","guid":{"rendered":"https:\/\/lifequote.com\/?p=11548"},"modified":"2022-06-23T21:22:18","modified_gmt":"2022-06-23T21:22:18","slug":"metlife-has-paid-2-1b-in-u-s-covid-19-death-claims","status":"publish","type":"post","link":"https:\/\/lifequote.com\/v2\/metlife-has-paid-2-1b-in-u-s-covid-19-death-claims\/","title":{"rendered":"MetLife Has Paid $2.1B in U.S. COVID-19 Death Claims"},"content":{"rendered":"\n<p id=\"first-para\">The COVID-19 summer surge pushed MetLife\u2019s ratio of U.S. group life benefits payments to group life revenue to 106.2% in the third quarter. The normal level is less than 90%.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong><a class=\"link\" href=\"https:\/\/www.thinkadvisor.com\/2021\/11\/05\/metlife-has-paid-2-1b-in-u-s-covid-19-death-claims\/\" target=\"_blank\" rel=\"noreferrer noopener\">Article reprinted from ThinkAdvisor.com: MetLife Has Paid $2.1B in U.S. COVID-19 Death Claims<\/a><\/strong><\/h4>\n\n\n\n<p>MetLife has paid a total of about $2.1 billion in life insurance benefits in connection with COVID-19-related deaths since the pandemic started in January 2020. The 2021 COVID-19 death benefits payments have been higher than the 2020 payments, according to Michel Khalaf, the New York-based company\u2019s CEO.<\/p>\n\n\n\n<p>Khalaf talked about the devastating impact of the pandemic on MetLife insureds Thursday, during a call\u00a0with securities analysts to go over third-quarter results. The quarter ended on Sept. 30.<\/p>\n\n\n\n<p>In spite of the pandemic, MetLife\u2019s overall earnings were up, and even the U.S. group benefits division recorded a large profit.<\/p>\n\n\n\n<p>Khalaf said events over the past two years show why a company like MetLife matters.<\/p>\n\n\n\n<p>\u201cLife insurance is not like other businesses where losses are just losses,\u201d Khalaf said. \u201cEvery underwriting claim represents a beneficiary who is receiving the financial help they were promised.\u201d<\/p>\n\n\n\n<p>Paying COVID-19 claims is a way for life insurers to make a positive difference in the world, Khalaf said.<\/p>\n\n\n\n<p>\u201cThe human toll of the pandemic on families is catastrophic, but, where life insurance is present, the financial burden is eased,\u201d he said. \u201cThis is our purpose: to help prepare the financial damage after life\u2019s most destabilizing moments.\u201d<\/p>\n\n\n\n<p>MetLife has done well, in spite of the worst pandemic in more than 100 years, because of the strong performance of private equity and venture capital investments.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The Implications<\/h2>\n\n\n\n<p>MetLife accounts for about 6% of U.S. life insurance premium revenue, according to data from the National Association of Insurance Commissioners.<\/p>\n\n\n\n<p>The MetLife life claim payout total implies that U.S. life insurers as a whole may have paid about $32 billion in death benefits.<\/p>\n\n\n\n<p>If the pandemic were a hurricane, and it caused $32 billion in insured losses, it might rank as the hurricane with the third-highest level of insured U.S. losses, according to the\u00a0<a href=\"https:\/\/www.iii.org\/fact-statistic\/facts-statistics-hurricanes#Top%2010%20Costliest%20Hurricanes%20In%20The%20United%20States%20(1)\" target=\"_blank\" rel=\"noreferrer noopener\">Insurance Information Institution hurricane insured loss rankings<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">The Earnings<\/h2>\n\n\n\n<p>MetLife is reporting $1.5 billion in net income for the third quarter on $17 billion in revenue, up from $633 million in net income on $16 billion in revenue for the third quarter of 2020.<\/p>\n\n\n\n<p>Even the U.S. group benefits division is reporting $111 million in adjusted earnings<\/p>\n\n\n\n<p>The U.S. business, which includes a retirement division as well as the group benefits division, is reporting $895 million in adjusted earnings for the latest quarter on $8.5 billion in revenue, compared with $900 million in adjusted earnings on $8.7 billion in revenue for the year-earlier quarter.<\/p>\n\n\n\n<p>At the group benefits division, which suffered the biggest impact from the COVID-19 pandemic, adjusted earnings fell to $111 million, from $392 million, but revenue increased to $5.8 billion, from $5.2 billion.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">2022 Prices<\/h2>\n\n\n\n<p>An analyst asked MetLife executives about any changes at the U.S. group life division.&nbsp;Ramy Tadros, president of the&nbsp; U.S. business, implied that group life prices are going up.<\/p>\n\n\n\n<p>\u201cWhat is changing on the life side is pricing,\u201d Tadros said. \u201cWe have made, and we continue to make, rate adjustments in the group life business, in line with our perspective view of the pandemic.\u201d<\/p>\n\n\n\n<p>He\u00a0noted that coverage renewals for 2022 are already underway.<\/p>\n\n\n\n<p>\u201cWe have been able to achieve rate adjustments and rate increases in line with our perspective view of mortality while maintaining pretty strong persistency,\u201d Tadros said.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>MetLife has paid a total of about $2.1 billion in life insurance benefits in connection with COVID-19-related deaths since the pandemic started in January 2020. The 2021 COVID-19 death benefits payments have been higher than the 2020 payments, according to Michel Khalaf, the New York-based company\u2019s CEO.<\/p>\n","protected":false},"author":8,"featured_media":11551,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_links_to":"","_links_to_target":""},"categories":[6],"tags":[],"class_list":["post-11548","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-life-insurance-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>MetLife Has Paid $2.1B in U.S. COVID-19 Death Claims<\/title>\n<meta name=\"description\" content=\"MetLife has paid a total of about $2.1 billion in life insurance benefits in connection with COVID-19-related deaths since the pandemic started in January 2020. The 2021 COVID-19 death benefits payments have been higher than the 2020 payments, according to Michel Khalaf, the New York-based company\u2019s CEO.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/lifequote.com\/v2\/metlife-has-paid-2-1b-in-u-s-covid-19-death-claims\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"MetLife Has Paid $2.1B in U.S. COVID-19 Death Claims\" \/>\n<meta property=\"og:description\" content=\"MetLife has paid a total of about $2.1 billion in life insurance benefits in connection with COVID-19-related deaths since the pandemic started in January 2020. 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