E*Trade clients will soon be able to go online to buy term life insurance, using an electronic signature to obtain “instant” coverage. Through a partnership with Inviva, the holding company for American Life Insurance Company of New York, E*Trade will be offering insurance coverage during the first quarter of 2002.
Term life is only the beginning. E*Trade plans to expand its offerings to include auto, homeowner, renter, mortgage, and credit insurance, as well as annuities, in order to provide a broader range of services to its client base. Premiums generated will enhance revenue even as they draw clients into a deeper relationship with E*Trade.
Customers will be able to buy “Instant Term Life Insurance” coverage in amounts ranging from $250,000 to $1 million online, through an electronic platform that will accept electronic signatures and issue a 90-day binding quote. Upon completion of underwriting and a medical exam, coverage will be extended for 10- or 20-year terms. Policies will also be accessible and maintainable online.
Both online and human support will be available for the process, which includes scheduling of medical exams, and setting up payment.