Presenter: Bill Atlee, Chief Strategy Officer & Co-Founder, iPipeline
Interest rates have been historically low for 10 years, which has placed tremendous performance pressure on illustrated products. Most policyholders are unaware of how this impacts their policy, and if their current values still meet their original expectations. The challenge is, less than 1% of policyholders actually receive an inforce illustration to gain this valuable insight. Why? The majority of carriers don’t have the ability to run the hundreds of thousands of inforce illustration necessary to educate ALL of their policyholders each year. The last several years, our industry has paid out over 6.6 billion in class action law suits on this topic alone.
Join our Co-Founder and Chief Strategy Officer, Bill Atlee as he discusses:
How your existing legacy inforce software can still scale to generate millions of illustrations
Why it’s critical to know the financial “health of your block”
How to identify your most vulnerable policyholders that are in danger of future involuntary lapse
How you can help policyholders course correct, before it’s too late
How most carriers overlook $200 million of untapped premium
Presenters: Larry Berran, CEO, iPipeline and Dan LaBert, CEO, NAILBA
The current global situation is unprecedented. Larry speaks candidly about continuing to run iPipeline and support our employees and customers emotional, financial, and business needs. He discusses iPipeline’s business continuity plan and what we’re doing to maintain a sense of normalcy, and how our technology can mitigate risk for you, your agents and advisors, and customers. Dan brings a perspective on current industry pressures, and how NAILBA is working with its membership to achieve balance and maintain stability.
Presented by: Rob McIsaac, Executive Vice President, Research & Consulting, Novarica
With insurance carriers facing a range of challenges and opportunities, planning for what amounts to a “New Normal” takes on an increased urgency across all lines of business. Rapidly shifting demographics, a persistently low interest rate environment, changes in customer preferences, and an evolving competitive landscape all factor in as considerations carriers need to be preparing for now. Emerging technologies, and the potential for Innovation to foster meaningful change, represent very real “levers of opportunity” for carriers, are explored during this session.
Carriers Are Feeling the Impact
of Negative Interest Rates
Without a doubt, carriers are under enormous pressure to maintain profitability in a low interest rate environment. Historically low interest rates over the last 10 years have pushed many carriers into a negative interest rate environment, meaning the money carriers invested in the open market cannot earn what they promised policyholders in contracts sold many years ago when yields were at 10%. Millions of universal life contracts, as well as interest-sensitive whole life policies, offered guaranteed interest rates of 4-5% and guaranteed cash value. Most of these older contracts are now paying the minimum interest rate guarantee (maybe 3%) and in some cases, carriers have raised their mortality rates to offset these losses. The impact on policyholders: their contracts are under-performing, which results in involuntary lapse or policyholders that outlive their contracts.
Policyholders Deserve to Know
fact is, the only way to give a policyholder a present snapshot of the “health
of their policy” is to run an inforce illustration. These new projections can
give a client a good indication on how the policy values will perform at
current assumptions. Doesn’t every policyowner deserve to know from their
carrier today how future projections impact their financial expectation?
There’s a problem though- most of the old illustration software that calculates
these projections is sitting on old architecture and can’t scale. Why wasn’t
this illustration software modernized on new infrastructure? The answer: because
the majority of these products have been discontinued and are no longer sold
through agents. Consequently, agents don’t need to access it. This software is usually
used by the home office staff to satisfy an inforce illustration request from
an agent or policyholder… and less than 1% of policyholders receive an inforce
illustration each year.
Can the Course Be Corrected?
most carriers’ inforce illustration software resides on Windows 95/98 machines,
mainframes, or is hand calculated by actuaries, it’s virtually impossible to
provide every policyholder with current projections each year. The solution
simply doesn’t scale to educate existing policyholders on their policy
Here’s what I mean by not scaling- Let’s say you have 500,000 policyholders on your inforce block and you want to give each policyholder an inforce illustration. That would be 500,000 inforce illustrations that the home office would have to manually run each year. Sound like it’s not humanly possible? Let’s look beyond this assumption.
Imagine the complete irresponsibility of simply telling policyholders that their policies are under-performing, and not providing them with ways to course correct. That alone would generate tens of thousands of calls from panicked policyholders into a carrier’s call center. So providing policyholders with options is a must. For example, can they reduce their face amount or add premium to extend the policy years farther into the future? We factored that it would take an additional 8 inforce illustrations for each policyholder to provide these critical options. You did that math correctly: this would mean running 4,000,000 inforce illustrations (500,000 policyholders x 8 illustration options each) to accomplish this task- daunting at best!
Why It Needs to Be Done…Now
industry has had over 6.6 billion dollars in class action suits over the last
several years for improperly informing their policyholders of this ticking time
bomb. It’s time we solve this problem. It’s our fiduciary responsibility as an
industry to meet policyholder expectations.
at iPipeline have a solution for this industry-wide dilemma- it’s innovative,
avoids the financial burden of rewriting all of a carriers’ legacy inforce
illustration software, and makes the task far more approachable.
I’m very passionate about this topic, and I’m looking for your thoughts as well.
“I need a new case manager, this just isn’t working out”— how many times as a BGA has this topic, or some iteration of it, come up in your organization? Probably too many times to even think about. The typical course of action is to prepare for a somewhat tenuous dialogue with the case manager in question- dig through case notes, collect statements, make assumptions to piece the puzzle together. It’s possible you’ve thought about adding “P.I.” to your title.
What if there was a way to replace this sleuthing with concrete information to help make an informed decision on your course of action? The key lies within the data of your agency. Certainly, at the end of the day, some tact is still required on your part. But your data can help provide you with a solid foundation to smoothly initiate what otherwise might be viewed as a challenging conversation. That’s where InsureSight comes in.
By taking a look at scorecards—InsureSight’s means of quickly evaluating an individual against the average—you can discover some direction towards your end path, and view these both from a case manager and an agent perspective:
You can check up on how many cases the manager has in comparison to average, what their cycle time looks like, and what their placement ratio is. Similar information is also present for the agent. This insight can shed light on a possible training issue, an opportunity to improve performance, or perhaps the chance to make a better pairing of agent and case manager.
CARRIER CONVERSATIONS Let’s take a look at another potentially heavy conversation: the carrier meeting. Similar to how you can utilize scorecards in the agent/case manager scenario, InsureSight also provides carrier scorecards.
The data provided here represents not only a fast way to start strategizing together, but also a time savings of epic proportions. Definitely beats hours upon hours of prep work!
Perhaps even more impactful is the Carrier Performance view. This is particularly useful to see how your agency is performing relative to all the other agencies dealing with a specific carrier.
You may discover that despite achieving well above average placement ratios for a significant caseload, your cycle time is lacking. InsureSight has shouldered the burden of starting a chat where you want to convey you’re underappreciated or under-resourced.
Difficult conversations are inevitable, but numbers can provide the power to have the discussion.
Check out how Highland Capital utilizes InsureSight to not only conquer their tough conversations, but also make intelligent operational decisions, in this webcast.
Part One- Making Intelligent Operational Decisions
Join David Libesman, iPipeline’s VP of Data Services, and Matt Kroeger, Highland Capital Brokerage’s VP of Sales Support & Carrier Management, as they show you how to make intelligent operational decisions and get more from carrier relationships with insights from InsureSight. iPipeline’s data analytics solution, InsureSight, can show you how your agents, case managers, sales people and carriers are performing, provide granular insights into cycle time and placement ratio, allow you to benchmark against your peers in the industry, and so much more. This is Part 1 of an exclusive mini series, which intends to showcase a customized demonstration of our powerful InsureSight product. You will hear from customers that are experiencing measurable impacts from the product, and realize how you can change your business now!
Part Two- Analyzing Data to Drive Sales
Join David Libesman, iPipeline’s VP of Data Services, and Jason Kidd, Innovative Solutions Insurance Services VP of Sales, as they show you how InsureSight® delivers agent, case manager, sales and carrier performance. In addition they’ll demonstrate how the tool can provide granular insights into cycle time and placement ratio, allowing you to benchmark against your peers in the industry, and so much more. This is Part 2 of an exclusive mini series, which intends to showcase a customized demonstration of our powerful InsureSight product. You will hear from customers that are experiencing measurable impacts from the product, and realize how you can change your business now!
Access Millions of Illustrations with Remarkable Speed and Ease
Bill Atlee, Founder & Chief Strategy Officer of iPipeline, discusses how you can accelerate sales and enhance your consumer experience with iSolve. Clients are demanding when exploring insurance options. This leads to major time investments for agents and researchers to create multiple illustrations at insurer sites to cover all policy options.
Designed for exceptional ease of use and speed, iSolve enables agents to conduct one simple and secure search to return multiple life insurance quotes/illustrations–in near real time–to accelerate sales and enhance the buying experience.
Key topics covered in this webcast recording include:
Executing one simple and secure search for multiple options using millions of data combinations
Automating to enhance the consumer buying experience
Satisfying numerous client buying scenarios and pricing needs
Streamlining the entire quoting/illustrations process
Join Bill Brice, VP e-Signature, iPipeline, and Suzette Godwin Romer, Sr. Director of Sales Operations, ADP Worldwide Sales Operations/Automation, to explore iPipeline’s e-Sign integration strategy for iGO and DocFast and to gain a customer perspective on how AlphaTrust e-Sign is enabling ADP to more efficiently execute business across multiple distribution channels.
After a decade of use, ADP shares how they leveraged AlphaTrust e-Signature to digitally transform their business. More than 700,000 customers in 113 countries working in companies of all types and sizes rely on ADP cloud software and expert insights to help unlock the potential of their people.
ADP was an early adopter of iPipeline’s AlphaTrust e-Sign product. Join Bill and Suzette as they explore how they have implemented e-Signature to automate their critical business processes, cut costs, and achieve new efficiencies.
With 16 insurance carrier partners, 6 national institutional distribution relationships, 45 BGA member firms, and thousands of advisors that have processed business since 2015, AimcoR Group was determined to bring a consistent platform and tools to all of their members and advisors.
Watch this on-demand webcast with iPipeline’s CMO, Mike Persiano and VP Business Development at AimcoR Group & Managing Director AimcoR EIG, Marc Verbos to hear an IMO’s perspective on the biggest and most costly pain points in the BGA community, recommendations for driving more business in our industry via technology & process, and implementing iPipeline solutions that are affordable and making a difference at AimcoR.
In this national webcast, Lincoln Financial Group’s Heather Milligan, Senior Vice President, Underwriting & New Business, and iPipeline’s Bill Atlee, Founder and Chief Strategy Officer, reveal how Lincoln Financial Group’s product, process, underwriting, delivery, and technology strategy are tackling the challenge.
From a process perspective, too much time is spent correcting mistakes, manually re-issuing policies, and waiting on paper deliveries to close out business. Technology can provide dramatic reductions in processing time, improve the experience for agents and consumers, and enable carriers and BGAs to sell more insurance.
In this national webcast, SVP and CMO of Columbus Life Insurance Company, Steve Sanders, reveals their strategy and vision to utilize iPipeline’s iGO e-App and DocFast to cut Columbus Life’s submission to commission time in half.