Iowa, Nebraska OK Special Use Disability Sales

Two Midwestern states are opening their markets to disability insurance products aimed at clients with high incomes.

The governors in those states, Iowa and Nebraska, have signed bills that permit underwriters to sell special use disability insurance plans on a surplus lines basis.

Petersen International Underwriters, Valencia, Calif., an underwriter active in the market, says the moves will expand the market for specialized disability insurance products aimed mainly at professional athletes and other insureds with high incomes and, in many cases, unusual or complicated insurance needs.