It is no secret that individual disability insurance carriers are experiencing strong sales growth in the multi-life arena.
Are multi-life sales the wave of the future?
The answer rests with the employers and employees at small and medium-sized businesses who value quality insurance programs.
A 2005 survey sponsored by Principal Financial Group Inc. found 65% of participating workers agreed that having a good employee benefits plan encourages them to work harder and perform better, and 86% of the employers who participated in a 2003 survey sponsored by the Health Insurance Association of America, Washington, and JHA Inc., Portland, Maine, said they felt they need to offer employees more than just health insurance.
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But, of course, employers’ benefits dollars only can stretch so far.
Producers will benefit once they have a better understanding of the multi-life disability market, how to structure disability income programs creatively and how to work effectively with carriers.
To take advantage of this sales opportunity, avoid falling prey to these misperceptions:
Perception: The multi-life disability sale is too complicated and time consuming.
Reality: Larger multi-life cases can be time consuming, but it is important to remember that you are selling multiple policies–sometimes hundreds at a time for each case. Imagine how long it would take to write hundreds of single life individual disability insurance policies.
Many disability carriers offer multi-life sales support to help make the processes easier. Look for a company that offers:
–Pre-sale and point-of-sale marketing support.
–Regional assistance with the sale and enrollment process.
–A variety of underwriting programs (fully underwritten, streamlined/simplified and guaranteed standard issue) as well as direct access to underwriters. These programs and services help you tailor a program to employers’ specific needs.