DI Advantages
It's important to consider selling disability insurance (DI), because it can have a great effect on your business. From recurring revenue that's fully vested, to new, streamlined underwriting and guarantee programs, you have the ability to diversify your revenue in this new world of health care reform.
Compensation Analysis Tool
Many advisors are not aware of the revenue implications a DI strategy can have. This compensation analysis tool allows you to pick a premium commitment, enter first year and renewal compensation percentages and estimate persistency. The resulting revenue outcome is usually a huge return on the premium commitment.
The key to this tool is in the understanding that individual DI policies are 100 percent vested with permanent and portable discounts. There is no broker of record vulnerability. The top compensation offered from the Core DI carrier/partners is a large first year commission, with as much as 15 – 20 percent renewals for years two through 10 and lower continuing payments thereafter.
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NFP DI Advantages
This is where the rubber meets the road. The advantage to placing your business through NFP is that you'll have dedicated underwriting resources to assist you with the process.
It all starts with the offer, or proposal. NFP DI uses an automated quote request system to give you access to all our Core disability carrier partners with one click.
General Underwriting
A single, individual disability application is typically reviewed for three general underwriting risks or exposures. The exposures are medical history, financial need for the coverage and occupational risk. Once the application has been signed, it's time to submit it.
NFP DI Advantage — To submit new business, you don't have to go any further than your desktop, because UConnect is available for DI. This imaging technology is safe, compliant and secure, and saves you mailing costs — and time.
Guarantee Issue/Simplified Issue
These are streamlined underwriting programs most commonly used in the multi-life or corporate sponsored market. These programs are key to the enrollment process when communicating to a group of employees at one time.
NFP DI Advantage — Because of its scale and quality of business, NFP has the attention of our Core carrier partners to make great offers in this space.
Impaired Risks
When an individual applicant's denied coverage based on existing medical history, you have the ability to offer a plan that accepts most medical conditions.
NFP DI Advantage — You don't have to tell your client you can't get them a disability insurance policy for medical reasons.
High Limit
In the world of High Limit DI, you might already be working with a Lloyd's of London underwriter, but not all underwriters are equal when it comes to high limit. NFP ProFinancial Services can assist you with excess disability coverage for the highly compensated client. This is usually appropriate when a traditional, domestic insurance carrier can't or won't offer a disability benefit for a high amount.
Advantages of ProFinancial Services
- Streamlined Underwriting — "Life to DI": NFP ProFinancial Services offers a special underwriting program in which they'll make an offer from a recently placed life insurance application that's no more than six months old.
- Special Risk: Disability coverage offered to a client with a "hard to place" occupation or other special circumstance that requires a disability insurance need.