Menu

CPS IMIS Underwriting

Shutterstock_114502927 (2)

Can You Get A Sweet Deal For Challenging Cases?

Diabetes, there’s no way to candy-coat it – this all too common yet serious disease can present some challenges in life underwriting.

An estimated 1.7 million Americans are diagnosed with diabetes each year. Complications can include heart attack, stroke, cardiovascular and kidney diseases.

The good news is diabetes can be well managed with proper diet, exercise and medication and in turn helps to reduce the chances of developing complications.
 
There are several factors that underwriters look at when reviewing diabetes cases.
 
These include the type of diabetes (Type 1 or Type 2), the current age of the client, age at time of diagnosis, A1c levels (average blood sugar), treatment and any diabetic complications. Type 2 diabetes is the more common form in which the body is resistant to insulin. Ratings are generally more favorable for Type 2 than they are for Type 1.
 
Some top carriers have programs that could be the icing on the cake to getting the best possible offers for your diabetic clients.
 
Take a look at these examples:
  • Type 2 Diabetes: 75 year old male non smoker, diagnosed with 10 years ago, A1c levels have averaged 7.0 or better, 5’10 207 lbs, blood pressure is 143/90 and cholesterol is 270 with a cholesterol ratio of 6.0 – PREFERRED rating!
  • Type 2 Diabetes: Age 50 and older with excellent diabetic control, treated with diet and oral medication only, no complications – STANDARD PLUS is possible!
  • Type 1 Diabetes: Over age 50 with excellent control and no complications – TABLE B is possible!
Our Underwriting Team is ready to help get you the sweet deals you need in order to get your impaired risk cases placed – contact us today.
Shutterstock_422429326 (1)

Credit Where Credit Is Due – Helping You Make The Sale!

Diabetes is a metabolic disease in which a person has high blood sugar either because the body does not produce enough insulin or because cells do not respond to the insulin that is produced.
 
The most well known types of diabetes are:
  • Type 1 (treated with insulin)
  • Type 2 (treated with a combination of diet, exercise and oral medications) and
  • Gestational diabetes (a type of diabetes which occurs during pregnancy.)
When diabetes is coupled with a client who is not an ideal weight, the underwriting class will increase.

Crediting programs can help give credit where credit is due – applying health and lifestyle credits to provide the best possible offer.

Let’s take a look at this case study:
  • 54-year-old female
  • Non-tobacco user
  • Applying for $1 million of Term Life
  • Has type 2 diabetes; treated with Metformin
  • Build is 5′ 3″, 220 lbs
Initial work-up – Table 4
 
The client received credits for:
  • Lifetime non-smoker
  • Income > $100,000
  • Preferred or better driving record
  • Negative cardiac testing
  • Controlled blood pressure
Once those positive credits were applied, this client went from Table 4 to an Underwriting Offer of Table 2.
 
Contact our Life Underwriting Team today – let’s work together to make your next sale!
Shutterstock_1466324075 (2)

Key To Success: Answer Your Underwriter’s Questions Before They Ask

If you were an underwriter and received the following application on your desk, what questions would you have?
 
  • Female, age 35
  • Noted to be retired with no annual income; Net worth left blank on the app
  • Seeking $8 million of term coverage; Purpose of coverage left blank on the app
I know you’d be scratching your head wondering why is this woman retired at such a young age and why is she looking for $8 million of coverage?
 
What the producer forgot was a good cover letter explaining the purpose of the coverage. This client just inherited a very large estate and recently quit her job. Estate taxes were a concern. Based on the inheritance, the $8 million applied for was justified.
 
How can we help in this situation?
We are here to provide our expertise when it comes to writing good cover letters. We can even write them for you. We will help explain the purpose of your applications to our carrier underwriters.
 
However, the most important source of information about a proposed insured is you, so we’ll need your help to prove your applications are financially justified.
 
Key information we’ll need includes:
  • What is the purpose of the insurance?
  • How was the face amount determined?
  • Who will be the policyowner and premium payor?
  • What is the current amount of in-force and applied for insurance?
  • Do you have any other pertinent documentation you can provide to explain how the amount of insurance was determined?
Give us the opportunity to help you move your applications smoothly through underwriting. If we answer our underwriters questions before they ask them, who knows?
 
Quicker approvals leading to faster receipt of commissions – then we move on to your next big app waiting to happen.
Shutterstock_1158953872 (1)

Great Underwriting News On A Weighty Issue!

Our Underwriting Department can help you make the sale for your clients whose weight is an issue.

One of our A+ carriers takes an aggressive approach to underwriting build cases.

Some case examples that may surprise you:
  • A man who is 6’ 0” and 300 pounds could possibly qualify for Standard rates with credits for favorable blood pressure and cholesterol levels.
  • A woman can be 5’ 4” and 235 pounds and possible Standard if there are no co-morbidities present.
Next time you have an applicant whose weight is an issue, think of us and you’ll find we don’t think it’s that big of an issue.
 
Contact our Underwriting Team to help uncover more ways to get better offers for your clients and increase your sales !
Shutterstock_1742123006

Underwriting Credits Help Make The Sale

Carriers use crediting criteria to improve your clients’ ratings. The following case study shows how the identification and application of underwriting credits can significantly reduce premiums.
 
Case Study:
  • Male, age 35, NS
  • Seeking $2 mil of term
Scenario:
  • No tobacco use
  • Build is 5’8”, 204 lbs
  • Blood pressure 130/85
  • Cholesterol 273 with cholesterol/HDL ratio of 5.5
  • Father diagnosed with prostate cancer at age 56, but still living at age 67
Underwriting Rating: Using traditional criteria, this proposed insured would qualify for Standard Plus with a $3300 annual premium.
 
Crediting Criteria: Crediting Criteria added 1 inch to the proposed insured’s height, making him 5’9”, 204 lbs. He was then considered Preferred for build.
 
Final Decision: Case was moved to one class higher and issued Preferred – Annual premium = $2271 and saving nearly 30%.
 
On each case we see, we work hard to identify any underwriting credits your client may qualify for. Contact our Underwriting Department today.

Parkinson’s Disease: Standard Is Possible!

Parkinson’s disease affects about one million people in the United States and ten million worldwide.

The cause remains largely unknown. Although there is no cure, treatment options vary and include medications and surgery.

One of our A+ carriers takes a responsibly aggressive approach to underwriting Parkinson’s disease and can offer favorably on those cases that are well controlled with other favorable risk factors.
 
Take a look at this recent case study:
  • 65-year-old female
  • Applying for $500k of Term coverage
  • Non tobacco user
  • Diagnosed with Parkinson’s disease two years ago
  • On low dose of Sinemet daily with no progression of symptoms
Initial underwriting assessment of Table 2.
 
With the application of the following credits:
  • Controlled blood pressure
  • Good cholesterol ratio
  • Routine physicals and preventative screenings
  • Good family history
  • No tobacco use in the past 10 years
Underwriting offer after credits: STANDARD!
 
Contact our Underwriting Team today to see how we can help you place your next impaired risk case.
Shutterstock_2345219915

The Underwriting Differentiator

We are ready for the challenge…

Bring us your difficult cases and let us help you turn them into policies for your clients and commissions for you.

Case Study:
  • Female, age 68, non-smoker
  • Seeking $1 mil of UL
  • Two vessel coronary artery disease with coronary bypass surgery performed 3.5 years ago
  • Our offer: Standard!
Our experience and expertise make a difference – we’ll be your advocate.
 
Contact our Underwriting Team today.
Shutterstock_1203309871 (1)

Brain Power For Underwriting Seizures And Epilepsy

Epilepsy is a disorder characterized by recurring seizures. Diagnosis is typically made when a person has had two or more seizures.

Seizures are a result of disturbances in the electrical activity of the brain.

There are many causes including genetics, traumatic brain injury, stroke and brain tumors. Epilepsy is termed as ‘idiopathic” when the specific cause cannot be identified.
 
There are two major groups: focal seizures and generalized seizures. The difference between the two is how and when they begin in the brain.
 
Focal seizures involve activity limited to only one area of the brain:
  • Simple or Partial Focal – affects a small part of the brain without affecting consciousness or awareness. They may alter emotions, smell, feel, taste, sound. Involuntary jerking or sensory symptoms may also occur.
  • Complex or Partial Focal – similar to simple focal, but also involves impaired consciousness.
Generalized seizures involve widespread activity in both sides of the brain:
  • Tonic-clonic or grand mal – involves body convulsions. Muscles will stiffen (tonic phase) and the body will jerk and twitch rhythmically (clonic phase).
  • Absence seizures or petit mal – a milder, brief type of activity that causes unconsciousness without convulsions.
Here are two case studies:
  • A 52-year-old male
  • Has a history of childhood idiopathic epilepsy with mild absence type seizures that started at age eight.
  • Controlled with medication which was stopped at age 20.
  • There have been no seizures since.
Offer: Preferred
 
  • 42-year-old male
  • He began having complex seizures at age 26.
  • His MRI was negative.
  • For the past five years he has been maintained on two drugs with an average of five seizures per year.
  • Does not drink alcohol.
Offer: Low substandard
 
Call our Life Underwriting Team to discuss the specific details of your client’s seizure or epilepsy history. Let’s work together to get the offer you need!
Shutterstock_399274846 (1)

Vaping – Underwriting Non-Combustible Tobacco Use

Non-combustible tobacco products are those that do not require burning the tobacco for consumption. Vaping, or electronic cigarettes, is a type of non-combustible tobacco that is heated at a lower temperature to create an aerosol for inhaling.

Generally, vaping is rated the same as combustible tobacco; at smoker rates.

There is a special program offered by one of our carriers that can allow non-tobacco rates for vaping if an additional biomarker lab test checked by the carrier is negative.
 
If eligible, the rate class can be improved from tobacco rates to non-tobacco rates with a one-class downgrade. For example, a Preferred Tobacco rating to Standard Non-Tobacco.
 
To qualify:
  • Tobacco use must be non-combustible only; nicotine delivery devices (vaping), chewing tobacco and snuff
  • No use of cigarettes or cigars in the past 10 years
  • A tobacco combustion biomarker ordered by the carrier is negative
Contact our expert Underwriting Team to find out more about this special program.
Shutterstock_391880887-1

How To Multiply Your Sales Using Just The Basics

How much does an insurance company think that your client is worth? Many times, it is much more than how much your client actually does, and we have their underwriting guidelines to prove it! Let’s factor in the details that could multiply your sales.
 
The most common insurance need among clients is to replace the income survivors would have anticipated had premature death not occurred. The starting point for calculating the amount of coverage a carrier will issue for purposes of income replacement is determined by a multiple of current annual compensation based on the proposed insured’s age.

The multiple decreases with age, understandably, because death denies a person fewer potential income-producing years as they get older. Multiples vary from company to company.

Consider one of the more aggressive examples:
AGE / MULTIPLE

To Age 40 / Multiple 35
Ages 41 – 50 / Multiple 25
Ages 51 – 60 / Multiple 20
Ages 61 – 70 / Multiple 10
Ages 71 – 80 / Multiple 5

Carriers will usually only take earned income into consideration unless it can be shown that the insured’s death might have a direct effect on unearned income. Many of our carriers can insure non-working spouses, too, for an equal amount as the working spouse. This could yield two sales instead of one.
 
Please note that each carrier has their own specific guidelines, so contacting the Life Underwriting Team first to get those details will be key. We’ll do the math for you. Multiplying those sales never looked so good!

Load More

Back To Top

Excellence, Passion, Integrity, Collaboration and Creativity – our core values since 1974

The EPICC Center is the online source for financial professionals, designed to provide them with the essential elements they need to run their practice and increase their bottom line including breaking news, carrier / product information, market trends, sales ideas, marketing tools & resources and more.

Subscribe to our newsletter

* indicates required

Copyright © CPS Insurance Services, Inc. All Rights Reserved EPICC | Designed by Apis Productions