Answers, Direction. Momentum. Broker Opportunity Kit

Transcription

1 Answers, Direction Momentum Broker Opportunity Kit

2 Dear Business Partner, Thank you for placing your trust in DIS partner to the nation s leading DI producers. And, congratulations! By requesting our Broker Opportunity Kit, you ve taken the first step toward elevating your career to the next level. Did you know 1. DI is the most underserved market in the insurance arena? 2. Your clients need DI more than they need life insurance? 3. Your competition is minimal because most producers avoid this complicated product? 4. DI doesn t have to be complicated? All you need is the right partner. Competing in the DI arena has lucrative possibilities. We appreciate your confidence in DIS and pledge to help you realize your dreams with easy answers, affordable product options, and opportunities for your most challenging risks. Opportunity awaits! Wishing you phenomenal selling success, Daniel C. Steenerson, CLU, ChFC, RHU President

3 Table of Contents page 4 How to reach the next level of success With DIS as your partner page 5 Deciphering disability Answers to your most frequently asked questions page 6 DIS product options An expert solution for every client page 7 DIS complimentary services To make your job effortless page 8 Extraordinary sales opportunities Discover physicians and previously declined page 9 Extraordinary sales opportunities Sell more with multi-life page 10 DIS Commission Schedule Ignite your earnings page 11 One Great Quote Engine Three Amazing Tools! page 12 DIS Proposal Request Form Quotes within 24 hours, guaranteed!

4 How to reach the next level of success with DIS as your partner How does DIS help you succeed? Easier prospecting! We ll help you hit your mark every time with all the tools, assistance and information you need to understand, present and sell more DI policies. Better results! We convert one out of every four quotes into a policy, while the DI industry converts just one out of 10. That means that our brokers earn twice as many commissions on the same number of submissions! Your choice of products! Our carrier portfolio includes The Standard, Union Central, Principal, Met Life, Mass, of Omaha, Illinois, Fidelity Security, Assurity, American General and Lloyds of London. Plus, our patented DI Analyzer provides a sophisticatedly simple carrier comparison so you can easily present the options to your clients. Unbelievable service and support! You ll never feel alone again with our underwriting assistance, 24/7 case status reports, and local expertise to help you write Guarantee Issue, Association and Hospital Endorsement Plans. We also offer solutions for your IDI, BOE, DBO, Key Man, Loan Indemnification, Critical Illness and Group Insurance needs. Simplified underwriting is available for benefit amounts up to $5,000 monthly! More income in less time! Our brokers achieve their goals faster, earning a lot more commission in a whole lot less time. Don t you deserve to earn MORE and work LESS? What kind of risks will DIS accept? We have nationwide alliances with most major carriers, so we can usually find products to meet the needs of even your most unique and challenging clients. Not sure? Just ask us. With DIS, you ll experience one-stop shopping at its best. White collar Blue/gray collar Physicians and surgeons Own-Occupation definition High-risk occupations Previously declined Single case to large multi-life Simplified issue underwriting Return of premium riders Association discounted programs Professional athletes, entertainers Self-employed Why should I use DIS instead of other disability distributors? You ll earn MORE and work LESS! DIS answers, options and opportunities add up to a virtually effortless selling experience. You no longer have to worry about not having enough DI knowledge; sourcing products through multiple carriers; struggling with policy comparisons; or piecing together client presentations. We do all the work for you. YOU have more time to build and retain clients. What carriers do you represent? DIS shops the strongest carriers available to ensure you get the best product and the best price for each and every risk. Our affiliations include: American General Ameritas Assurity Fidelity Security Illinois Lloyd s of London Mass MetLife of Omaha Principal The Standard How do I request a 24-hour proposal? Getting a quote is fast and easy! We send all proposals within 24 hours of your request. Here s how to request one: Complete and fax the Proposal Request Form at the end of this kit, or go to www. diservices.com and complete the online quote request. Don t worry if you re not sure about the technical information. Just complete the Client Information section and we ll figure out the rest. Receive a DI Analyzer Product Comparison within 24 hours of your request. Call DI Experts On Demand at to receive a customized plan or personal assistance. Contact the DI Sales Machine at for free marketing materials or presentation development. Get the latest DI definitions, forms and explanations at DI Deciphered at 4

5 Deciphering disability Answers to your most frequently asked questions How great is the risk of disability? Can DI cover my clients mortgage payments? The risk of disability is significant. Every year, one person in 105 dies; one home in 88 catches fire; one car in 70 has an accident; and one person in eight suffers disability. Typical STD and LTD benefits only apply to base compensation and are fully taxed, leaving most people seriously underinsured. DI fills the gap and can protect mortgage payments. According to the United States Saving and Loan Association, less than 3 percent of all mortgage defaults occur because the bread winner dies with inadequate life insurance. Nearly half (48 percent) of defaults occur because the bread winner becomes disabled and has inadequate disability income insurance. What is the Own-Occupation definition? Own-Occupation (Own-Occ.) is the most important definition when insuring someone in a highly specialized occupation. For example, if a surgeon can no longer perform surgical procedures but can return to work full time as a general practitioner, he still qualifies for full disability benefits under the Own-Occ. provision. What determines disability? Many companies define disability under the Own-Occ. definition as:...because of injury or sickness, you are unable to perform the substantial and material duties of your regular occupation; and you are under the care of a physician appropriate for your injury or sickness. What are residual benefits? Residual benefits are partial benefits. Policies pay residual benefits whenever income is reduced by 20 percent or more with a loss of time or duties due to disability. For example, if a policyholder earned $50,000 annually, was disabled and then returned to work earning $25,000, she would have a 50 percent loss of earnings, and thus qualify for a 50 percent residual benefit. What percentage of income can be insured? Benefit levels are determined by each carrier s Issue and Participation Limit. Benefits normally protect 60 to 70 percent of a person s income. Limits prevent over-insurance because benefits are typically tax free. Most companies issue benefits to a maximum cap of $15,000 per month. In cases of highly compensated applicants, this represents a low percentage. However, creative solutions are available and we regularly place coverage for highly compensated individuals of up to 75 percent of compensation, with no monthly limit. Which waiting period is right for my clients? The waiting period (elimination period) is the number of days that must elapse between the time of total disability and the time benefit payments begin. Choices range from a 60, 90, 180 and 365 days. To determine the best waiting period, ask each client about the type and amount of funds he/she has readily available for income in the event of disability. Another consideration is cost. Polices with shorter elimination periods command higher premiums. 5

6 DIS product options an expert solution for every client PRODUCTS ameritas Assurity Fidelity Security Illinois Lloyd s of London Mass MetLife of Omaha Principal Individual DI Business overhead Disability buy-sell Keyperson DI Retirement plan DI Bank loan DI Impaired risk Features ameritas Assurity Fidelity Security Illinois Lloyd s of London Mass MetLife of Omaha Principal Noncancelable Own-Occ. to age 65 or 67 Age 66/67/70 benefit period Lifetime benefit period Full MNAD (except CA) Catastrophic rider Residual rehabilitation Return of premium markets ameritas Assurity Fidelity Security Illinois Lloyd s of London Mass MetLife of Omaha Principal Physicians Business owners White collar Blue/gray collar Business in home Athletes & entertainers Programs ameritas Assurity Fidelity Security Illinois Lloyd s of London Mass MetLife of Omaha Principal Multi-life discounts Large case discounts Guaranteed issue plans Association endorsements Hospital endorsements Medical resident plans Foreign travel/residence Business owner upgrade The Standard The Standard The Standard The Standard Some features may not be available in all states with all products. 6

7 DIS complimentary services to make your job effortless Discover the Power of Partnership! Whether you re an independent broker or a large marketing organization with hundreds or even thousands of producers, you know that developing DI expertise and selling proficiency is a challenge. Fortunately we re here to do the heavy lifting so you have more time to focus on serving your clients. We call our highly developed, end-to-end suite of services The Power of Partnership. Test drive our services and you ll see nothing in the industry compares. We look forward to helping you uncover your true potential. 24 Hour Response on Every Proposal GUARANTEED! Wednesday Webinars keep you on the cutting edge DI Analyzer At-A-Glance Comparison make sure you have the best product and the best price for every client DI Case Management hassle-free underwriting, attention to detail and weekly status reports DI Experts On Demand 350 years of combined experience ready to assist whenever you call DI Custom Plan Development for groups, associations and unusual cases DI Deciphered articles, information and forms DI Sales Machine free presentation and computer assisted marketing for brokers 7

8 Extraordinary sales opportunities physicians and previously declined Physicians and previously declined cases are two underserved areas that present huge sales and commission opportunities. Here s how DIS will help you succeed: Physicians: Get to know physicians THE LARGEST consumers of disability insurance. For physicians and many other specialists, the Own-Occ. definition is one of the most critical policy elements. If a surgeon can no longer perform surgical procedures but can return to work full time as a general practitioner, he still qualifies for full disability benefits under the Own-Occ. provision. DIS offers the true Own-Occ. definition for all physician specialties. Let our DI experts help you become a leader in this underserved niche! Previously declined: Tell previously declined clients YES with our simplified issue DI. Ninety-eight percent of applications are approved and issued with no exam, blood work, HOS or inspection report. Anti-depressant users OK Own-Occ. definition 30, 60, 90 or 180 day waiting periods Two-, five- and 10-year benefit periods 30-day policy issuance Don t take NO for an answer. Get more commission with DIS! Please call us at if you have any questions on the coverage possibilities of a client with health issues. Acceptable risks include: Alcoholism Angioplasty Anxiety Arthritis Bipolar disorders Cancer Cerebral palsy Chronic fatigue syndrome Heart bypass Diabetes Drug abuse Epilepsy Fibromyalgia Hepatitis Lupus Kidney transplant Obesity Rheumatoid arthritis Sleep apnea Ulcerative colitis 8

9 Extraordinary sales opportunities Multi-life Looking for an easier way to write multi-life cases? Look no further than DIS. We make multi-life cases easy and affordable with the following features: Discounts and gender-neutral pricing For cases with a minimum of three lives with one employer, enjoy discounts from 5 to 30 percent. (Savings vary according to case details and carrier.) Discounts are typically portable and guaranteed to age 65. Gender-neutral, discounted pricing is a powerful solution for your female clients used to paying higher rates. Guaranteed Issue or Guaranteed to Issue DI underwriting for as few as five lives Several of our carriers are aggressive in this market and offers are now available for almost all occupation classes. Less paperwork and easier administration Put our DI Sales Machine to work for you with personalized presentations, pre-filled short-form applications and specialized billing arrangements. And, that s just the beginning of how we ll make your life easier! Discounted association plans Discounts are now available for almost all types of local and state associations. When the association endorses or makes available our disability products, members receive permanent discounts. It s a win-win-win! The members win with a discount; the association wins by providing more membership value; and you win with additional sales and commission. Sell DI Buy-Up plans as a supplement for traditional group LTD Most LTD plan benefits are taxable at claim and cover only base pay. Do you have clients with incentives, bonuses or performance-based compensation? A supplemental DI Buy-Up plan is the perfect solution for restoring your client s income to a sufficient benefit level during periods of disability. Client s Bonus & Incentive Pay 100% Gross total income level 72% income gap Clients who only have LTD have income gaps as high as 72 percent. Supplemental DI Buy-Up plans fill this gap. Client s Base Pay 70% Gross base pay level 42% Typical gross LTD disability coverage level 28% Typical after-tax LTD disability coverage level 9

10 DIS commission schedule Ignite your earnings 1st Year 2-10 Year Company Type of Coverage Commission* Commission* American General Critical illness 50% 5% Ameritas Individual DI / BOE 50% 5% 5% Assurity Individual DI* (Balance IV Product) 50% 8% CA / FL, 10% other states Individual DI* (Century Plus Product) 60% 7.5% (Year 2) 6.25% (Years 3-10) Simplified DI 60% 5% Graded benefit 35% 4% Graded benefit (CA & FL) 30% 3% CA / FL Critical illness 60% 3% Fidelity Security Individual DI only 30% 4% (Graded benefits for impaired heath risks) CY s 2-5 CY s 6-10 Illinois Individual DI / BOE 50% 10% 7%*** Graded benefit 25% 5% 5% VSTD 2+ Lives 15% 15% 15% Lloyd s of London Individual DI / BOE / DBO Key person 5-15%** 10% for remaining years of policy term** Loan indemnification CY s 2-5 CY s 6-10 Mass Individual DI / BOE / DBO 55% 5% 2.5% CY s 2-5 CY s 6-10 MetLife Individual DI / BOE / DBO 55% 5-15%**** 3-7%**** Return of premium 4% 4% 4% LTC 55% 2% 2% of Omaha Individual DI / BOE / DBO 50% 4% (Years 2-4) 2% (Years 5+) Critical illness 78% 1% (Years 2+) 1% (Years 5+) LTC 65% 4% (Years 2-10) CLASS 1st Year 2-3 Years 4-10 Years Principal Individual DI - California 5A, 4A 50% 13% 8% 3A 50% 10% 8% 2A 40% 10% 8% A 35% 10% 8% CLASS 1st Year 2-5 Years 6-10 Years Individual DI - non-california 5A - 3A 50% 5-15%**** 5-13%**** 2A - A 45% 5-15%**** 5-13%**** The Standard Individual DI / BOE / DBO 50% 5% 5% * Compensation rates may vary on cases issued with premium discounts. ** Certain risks or affiliate relationships may reduce commissions. *** Requires active production. ****Based on DI FYC in year written. 10

11 One Great Quote Engine Three Amazing Tools What is the DIS quote engine? The DIS quote engine is a free tool available for DI producers. When a prospective client clicks the link (from your signature, website, or computer assisted marketing), an automated quote process is launched as follows: The client is sent to an online quote generation form. The form does not contain any DIS branding, so it appears to be part of your website. You receive an instant message informing you of the quote request. The quote request is simultaneously sent directly to DIS under your name and broker ID. We immediately prepare the quote and route it to you within 24 hours, so you can present it to your client. How do prospects access the quote engine? Your prospects are introduced to the quote engine through three amazing tools: #1 #2 #3 By clicking a link in your signature By clicking a link from your website By clicking a link in your computer assisted marketing What is Computer Assisted Marketing? Computer Assisted Marketing allows you to communicate with prospective clients through an ed marketing letter. You can choose the letters you d like to use from a library of options. We custom-brand the with your name, logo and contact information and send it to your list using a proprietary system. The will not reference DIS only your brand is represented. The will contain a Request a Quote link. When clients click on the link, they are directed to the quote engine as discussed above. Why do producers love this tool? Most producers find that the quote engine is a huge time-saver. It s like putting your prospecting on auto-pilot because a process that used to require an hour or two of your time, now takes no time at all. We do the work for you, so you re free to focus on other aspects of your business. What s involved with the set-up? Simply let us know that you d like to use the tool and we ll take care of the rest. We ll make sure that you have a producer number assigned in our system. Then, we ll send you the information you need to embed the link in your signature or website. Installation is simple and can usually be accomplished within one day of your request. What companies will be quoted? DIS is appointed with all major carriers. Our exclusive quote analyzer tool provides you with an easy at-a-glance comparison of the top choices available for each client. It includes a summary of policy features and pricing. You can rest assured, that with DIS working for you, your clients will always receive the most favorable products and pricing. Does it work for hard-to-place clients? Yes. We are known for finding solutions when none seem to exist. Whether your client is medically impaired, high income or high risk, there s a good chance we can find coverage. Is it really free? What s the catch? Yes, the quote engine is free. It s a win-win situation. You win by efficiently generating and processing quotes. We win when you write business through our system. If you re ready to get started, simply info@diservices.com. 11

12 DIS Proposal Request Form Quotes within 24 hours guaranteed! fax completed form to Broker Information Today s Date: Phone: Fax: Broker s Name (as name should appear on proposal): Affiliation: Address: City: State: Zip: or FAX to: copy to: Client Information Client Name: DOB: Sex: M F Tobacco User: Yes No State: Gross Annual Income (W-2): $ - OR - Net Annual Income (Self-Employed): $ Pension Income: $ Occupation: Work at Home: Yes No % of time: Occupational Duties: Company: Business Owner / Self-Employed C-corp Number of Employees: Years in Business: Government Employee: Yes No Years of Government Employment: Federal State County City Group LTD in Force: Yes No Monthly Amount: $ 60% 67% Employer Paid: Yes No Individual Coverage in Force: Yes No Monthly Amount: $ To Remain in Force: Yes No Carrier: Medical Issues or Other Comments: Individual Disability Policy Who Will Pay the Premium? Employer Employee Monthly Benefits: $ Client s Monthly Budget: $ Elimination Period: Benefit Period: 2 Yrs. 5 Yrs. To age 65 66/67 Benefit Riders: SSIB Residual Benefits COLA Non-cancelable Return of Premium CAT Own-Occ. Future Purchase Option Automatic Increase Benefit (AIB) No Riders DIS Recommendation Critical illness: Amount: $ Overhead Expense Policy Monthly Benefit: $ Elimination Period: Benefit Period: 12 mos. 18 mos. 24 mos. Benefit Riders: Residual Benefits Future Purchase Option DI Done Right 4444 Zion Avenue, Suite B San Diego, CA Disability Insurance Services, Inc.