This is the fifth article in an eight-part series which discusses the importance of income insurance protection.
Delivering a policy that has been issued as applied for is normally a piece of cake, unless the applicant was not really convinced of the need at the time of the application and when you call to set up an appointment, or arrive at their place of business to deliver the policy, you get a cold shoulder. In that case, what do you do?
Well, one of the remedies might be to resell the need by drawing upon both statistics and other news articles that demonstrate disabilities, and thoroughly review the policy and its benefits. But what happens if the policy was issued other as applied for?
I would hope that either at the time of the application, the pre-existing condition (if revealed) and the possible outcome (exclusion, etc.) was discussed, or at some point during the underwriting cycle it was brought to the attention of the agent for possible remedy.
When/if the condition was brought to the attention of the agent prior to policy issue, some negotiation might alter the final outcome so long as the condition/issue allowed some wiggle room.
Some examples might be the following;
1. Rating: This is usually imposed when there is something that can’t be excluded, such as being overweight, etc., and depending on the percentage, it may also imposes a shorter benefit period and or a deletion of certain options.