Nick Lu's questions to Sun Life Financial Inc (SLF) leadership • Q4 2024
Question
Nick Lu asked about the medical cost trend assumptions being built into stop-loss rate increases and the resulting impact on top-line premium. He also inquired about the unfavorable disability experience noted in the U.S.
Answer
Daniel Fishbein (executive) stated they are pegging the core medical trend at 8%, which leverages to about 16% for the stop-loss business, and this will positively impact revenue. Regarding disability, he characterized the Q4 negative morbidity as quarter-to-quarter volatility, noting that the full-year experience was very good and that overall disability trends have been improving.