CI Insurance Has A Place On The Worksite Benefit Menu
By Jeffrey J. Morgan Sr.
Those resistant to change might be wondering how critical illness insurance is going to shake out in our industry.
Many colleagues already have debated the pros and cons of the product within these pages. My own view is that this product is only going to grow, not fade away, and especially in the worksite market.
As medical technologies improve, more people are able to survive critical illnesses. Yet the rate of consumer debt has risen. When someone is hit with unexpected expenses due to such an illness, money received from CI insurance plans will help avoid scenarios like home foreclosures or bankruptcy.
But to get into this segment of the worksite market, producers need to know who will be their ideal prospects? In addition, how does the product benefit those in the worksite market? And how does it fit in with other insurance products that employees may have? Lets take a look.
Who are your prospects? More people are surviving critical illnesses like cancer, strokes and heart disease now than ever before. As a result, the bigger battle is often meeting the mounting debts experienced during and after the illness.
What if an experimental treatment is not covered by their health insurance plan? What if there is not enough money left to pay the mortgage? What if the patient has to modify the home and car to adjust to new physical impairments? And, how will the patient pay for the travel and lodging needed in order to receive medical treatments?
If the employees you meet with are like most Americans, they dont have enough in savings to cover these items.
Other prospects include individuals who are not covered adequately under their employers current health insurance plan. Consider: If individuals have a traditional insurance plan, chances are the plan will not cover most of the monetary concerns listed above (see chart for comparisons).