The number of over age 65 life insurance applicants is increasing at a staggering rate.
This is primarily because successful people in this demographic group recognize the effectiveness of life insurance as a financing vehicle for estate tax liquidity and business succession.
Policies sold in this market have large face amounts and correspondingly large premiums. But a high percentage also has medical histories that will affect pricing. This means financial advisors serving these clients need skill in placing substandard cases as well as standard and preferred.
A key element of that skill is the ability to field underwrite.
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Admittedly, “field underwriting” is a term that has little panache in this era of e-commerce and teleunderwriting. However, for older clients with problematic medical histories, the personal touch of field underwriting can make the difference between a preferred offer and a declination.
Furthermore, producers having a strategy for obtaining the best possible offer in the most efficient manner will enhance client relationships and also receive referrals from the CPAs and attorneys typically involved in these sales.
To provide the best outcome on the first try, treat the case the way an attorney would approach a trial: Use all of the tools that are available to understand and assess the evidence. (As in trial law, appeals may be possible, but they are time consuming and often costly.)
Here are some suggestions: