Written by: Mark Cracknell, Commercial Director – Underwriteme.
Multi benefit propositions have become an important part of the individual protection market.
They provide advisers with the ability to apply for multiple benefits with a single insurer, through one application and underwriting journey, together with access to a discount for purchasing multiple products and other added value benefits.
The multi benefit package provides the customer with easy access to different types of cover to suit their specific requirements. With the added benefit of one underwriting process across all products and, in the event of a claim, the different policies being with a single insurer.
However, using a multi benefit plan may lead to compromises in other areas. The chosen insurer may not be the most comprehensive in all benefit types, particularly when you overlay the customers occupation and any pre-existing medical conditions.
So, how can the Protection Platform help in providing a flexible and unique solution for multi benefits?
- Underwriting comparison: the platform is unique in providing real time single research and an application process which allows advisers to simply compare the underwriting terms across 9 insurers for Life, Critical Illness (CI) and Income Protection (IP) products.
- Single application process – advisers can offer clients immediate choice of terms, allowing them to have an informed discussion on their options, with the ability to then complete the application process and potentially immediately purchase cover.
- Multi benefits – the platform offers advisers and their customers a unique level of flexibility. The platform offers access to single insurer multi benefits solutions together with the ability to build a bespoke multi benefit proposition, sourcing individual elements from different insurers and creating a split plan solution.
It doesn’t matter whether the customer progresses with a standard multi benefit package or a split plan solution, you only have to complete the single application. The platform will then provide you with the pricing and confirmed underwriting outcomes across all 9 insurers for life, CI and IP products, allowing you to agree with your customer the best solution for their specific needs.
Through the single application process, the platform automatically produces a confirmation of customer disclosures, comparison of underwriting outcomes across all insurers and insurer specific documents – this is the for chosen (basket insurer). All these documents can be pulled back into your CRM platform through the integration.
To bring to life the multi benefit flexibility of the platform, we have produced the case study below, which shows how easy it is to source the right protection for clients, particularly if the best option is to have cover with more than one provider:
- Name: Laura
- Occupation: Children’s Nursery Proprietor
- Age: 35
- Ex Smoker – stopped 2022
- BMI – 31.9
- Disclosed depression following a bereavement in 2022, no longer taking medication, 10 days off work, last symptoms 2023.
Products recommended by the Adviser based on the clients needs
- Decreasing life cover
- Level Life or earlier critical illness
- Income protection benefit paid for 2 years
- Waiver on all covers
Considerations
- Ex smoker status
- BMI rating from some providers
- Potential mental health exclusion for total permanent disability, income protection & waiver of premium
A single application completed, with the option to send life cover to a provider who does not increase the premium due to the ex-smoker status or BMI and will also include waiver without a mental health exclusion.
For the life or earlier critical illness, there is a rating for BMI, but choosing an insurer who will include both waiver and TPD without a mental health exclusion and does not treat the client as an ex-smoker.
Then for the income protection, go a different route if it’s the right thing for the client. Whilst a mental health exclusion is standard for this disclosure, some insurers will reduce their premium because of this.
If you would like to know more about The Protection Platform, please visit us at underwriteme.com
