(Related: 5 Peeks Inside Unum, for Agents)
Unum Group is continuing to build a health plan stop-loss insurance program.
Company executives talked about the program recently a 2019 outlook meeting with investors.
A stop-loss program is an insurance policy for an employer-sponsored benefit plan. An employer with a self-insured health plan can use a stop-loss policy to limit its exposure to catastrophic claims, or the kind of barrage of midsize claims that might roll in after a serious flu epidemic.
Unum — a company best known for its disability insurance products, its Colonial Life worksite marketing unit, and its new dental and vision benefits arm — announced in mid-2017 that it would be setting up a stop-loss program, with the first coverage sold taking effect this year.
Since then, Unum has not talked much about the performance of the stop-loss unit.
Executives revealed a few details about the program in an outlook meeting slidedeck.
Unum said it now has three wholesalers dedicated to stop-loss and hopes to increase the number of dedicated wholesalers to at least seven over the next two years.
Sales should amount to at least $8 million for 2018, and Unum is hoping to generate at least $16 million in stop-loss sales in 2019, executives said.
Executives said they hope to see the stop-loss unit become a “meaningful contributor” to Unum’s overall sales growth by 2020.
Elsewhere in the slidedeck, executives said Unum’s Unum US unit is getting about 45% of its sales from sales of true group benefits other than dental and vision coverage, 40% from sales of voluntary benefits, 6% from sales dental and vision products, and 9% from sales of individual disability insurance.
— Read How Unum’s Stop-Loss Chief Sees the Gameboard, on ThinkAdvisor.