MQP 1999-Pricing Guaranteed Variable Life Insurance

By simulating hypothetical Medallion Variable Life Insurance policies, appropriate premiums are determined to guarantee a death benefit for various lengths of time under various investment scenarios. With these premiums there is an estimated high probability of having an adequate account balance by the end of the guarantee periods. As with any guarantee, John Hancock will lose money on policies that fail. Additional fees are calculated to offset the expected losses of failed policies.