PURCHASING TERM INSURANCE ONLINE – A WAVE OF THE FUTURE
One of our strategic partners provides a platform for consumers to purchase term life insurance online. Shoppers can get prequalified, receive a quote, apply, get approved, and have a policy emailed to them within minutes! Not only that – they have access to live consultants as needed. An overview of this service platform is provided below.
This to me is one major direction in which our industry is headed. As a matter of fact, an article making this very point was recently published by Rick Huckstep. Rick is chairman of the Digital Insurer, a keynote speaker, and an adviser on digital insurance innovation. He publishes insight on the world of insurtech and is recognized as a Top 10 Influencer.
Here are some excerpts from his article:
“The insurance supply chain is typically seen as a linear model. Insurance distribution starts with brokers, ARs and MGAs at the front end. Carriers underwrite risk and decide whether to pay a claim. And the buck stops with the reinsurers. Front to back, risk and premium move from one intermediary to another, each one taking its share. It’s a model that hasn’t really changed over the last century.’
“In the new model for insurance distribution, the supply chain will co-exist with brands and within ecosystems unconnected to insurance.”
“In the new insurance supply chain, there will be fewer handoffs, less friction, less premium erosion. Just like with Amazon, the customer will be absolutely and unequivocally at the center of the ecosystem.”
“Trusted brands will own the customer relationship. These brands know the meaning of loyalty and will value these relationships highly. They also understand how expensive it is to build them in the first place, and how easily that can be lost.”
‘Amazon-like levels of service will become the norm for both insurance distribution and paying out claims. Automation is the key to making it very, very easy to do business.”
“China’s ZhongAn epitomizes everything that is insurtech.”
“It is a 100% digital tech business with around 1,500 employees. More than half of them are developers, and none are in sales. The company also happen to provide insurance, and a lot of it!”
“In the first three years of trading, ZhongAn wrote more than 5 billion policies. It sold 200 million policies in one day alone last November during China’s annual online shopping fest!”
“The thing that makes ZhongAn the darling of insurtech is that 99% of all operations are automated. Quote, policy, premium collection and claims are all automated, which is why the company can process 18,000 policies a second.”
Here’s an overview of the service platform of our strategic partner. If you are a large insurance agency, association, membership organization, retail store, or other financial or non-financial organization that does a high volume of business online, you could be eligible for partnership, and use this platform to enrich constituent benefits and increase revenue.
Direct-to-consumer term life insurance purchasing platform for organizations with online services and products for clients, customers, and members:
Your company or organization can offer members or customers the opportunity to purchase term life insurance when going online to purchase your own products or services.
- Ideally suited for non-financial as well as financial organizations.
- These include large retail chains; large associations or blocks of associations; and fraternal organizations or coalition of organizations.
- Each organization must have an online, direct-to-consumer marketing platform in place.
Policies are available from a major life insurance carrier.
- Premiums are extremely competitive.
- Simplified application and approval process: non-medical, instant issue, self-service.
- Once the application is approved, a policy will be emailed in approximately 20 minutes.
- Live financial consultants are available if needed. Applicants simply have to request assistance at any time during the application process.
- Up to $1 million of coverage is available for 10, 15, 20, and 30 year term.
- Final expense policies are also available.