Life is full of changes and never constant. Life changes can have a major impact on life insurance needs. A new baby, a new home, business investment, an empty nest, and financial windfall are just some of the reasons to initiate a life insurance policy review.
First American Insurance Underwriters helps our advisors provide professional recommendations that will put their clients in the best possible position to meet their Life Insurance goals. We have developed a Policy Review process to help you show your clients the best life insurance options to protect and provide for their family now and into the future. When analyzing insurance, we evaluate whether:
- Their current benefits are appropriate
- Their current policies are performing as intended
- Their current and projected premiums are cost competitive
- Whether any life events have changed their objectives
- Policy ownership is properly titled
- Beneficiaries are properly designated
What Does a Policy Review Entail?
We begin with a current as-is in-force illustration. The in-force illustration shows how the policy is performing based on dividends, interest, fees, and other policy costs that may have fluctuated since first purchased.
During a policy review, we also request information on:
- The current state of your client’s health
- Any goals or new objectives your client might have, such as higher death benefit, longer coverage guarantees, accumulating more cash value, or supplementing their retirement income.
- Policy ownership and beneficiaries
Finally, if a new or additional policy makes sense, we will provide you with a Policy Marketing Review (PMR) that provides a side-by-side summary of your client’s current policy and the recommended policy, so you and your client can quickly and easily compare the two. If your client’s current policy is performing as desired and cannot be improved upon, we will recommend that they do not make any changes. First American does this all at no cost to you or your clients.
What Are the Risks of Not Getting a Policy Review?
It is especially important to know what your client’s life insurance policy provides today versus what may have been intended when they first purchased it.
Some consequences of not performing periodic life insurance policy reviews may be:
- A policy lapsing prematurely
- An unintended death benefit shortfall
- Uncovered new or different client goals
- Insufficient Cash Values
- Loss of supplemental retirement income
- Door opening for another advisor
- E & O claim
At FAIU, we take pride in designing insurance policies to meet your clients’ goals, whatever they might be. We will help you grow your loyal client base and potentially uncover additional business opportunities.
Let us review your clients polices at no cost to you. Call Internal Sales at 781.4496800 or email firstname.lastname@example.org
— By Dave Moore, Senior Case Design Specialist