Colonial VS Aflac

Discussion in 'Employee Benefits Forum' started by ABC, Apr 6, 2010.

  1. ABC
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    ABC Well-Known Member

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    I am currently breaking down the two carriers on Cancer, Medical bridge, Accident, Hospital & life plans.


    On the Cancer plan
    Aflac is 30% more a month than Colonial level 3.

    Alfac has a $3,000 benefit paid once you are diagnosed but Colonial pays $100 for Cancer screenings.
    The rest of the plan benefits are very similar with the same max benefits in place.

    The better product is Colonial because of price and the $100 benefit per year that everyone can use a year.

    Medical Bridge vs Afac's Accident and Hospital plan

    This is a tough one because I don't know if I am comparing apples to apples. The medical bridge is a lump sum payment of $3000. So there is no ret tape here its a flat out cover your HSA deductible.

    The Accident benefit has lump sum of $1,000 and the Hospital plan would pay $400/ $500 a day for confinement.
    These plan have more bells and whistle with the potential of paying more each day you are in the hospital or receiving treatment.

    The Aflac policy is 50% more than colonial.

    I am going to give the advantage to Colonial because of cost and simplicity of covering a HDHP.

    On life insurance Colonial is cheaper.


    There is a big cost difference here between the two carriers.

    The big difference is with the age banded rates.
    Colonial is 18-49 and Aflac is 18-39. This creates a very large price difference.

    What do you guys think?
     
  2. MrMack
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    MrMack Well-Known Member

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    If you are a non-smoker you can add riders to your AFLAC Cancer plan with Initial Benefit Rider up to $10,000 Hus/Wife and $20,000 for kids and they are free. You can also add a rider for Cancer Wellness for $120.

    AFLAC also now sells a lower priced Lump Sum Cancer and Heart Attack plan. It pays you $10,000 or $20,000 for the first diagnosis of cancer.
    - - - - - - - - - - - - - - - - - -
    AFLAC is not price competitve for life, but you just answer the health questions and no exam are required. A plus for people who don't want to give up blood.
     
    Last edited: Apr 6, 2010
  3. stuy119
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    stuy119 Well-Known Member

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    Colonial v. Aflac Cancer:

    - Building benefit is $600/year for Colonial, $500/year for Aflac
    - Colonial also has a Level 4 plan (Aflac doesn't)


    Colonial v. Aflac Med Bridge/Hospital:

    - Aflac is a max of 5 days per incident (ie, can't even reach $3,000)
    - Don't know if it's true or not, but the Level 1 Aflac plan was supposedly considered NOT HSA-compliant recently, while the Med Bridge is. BIG problem for Aflac.
     
  4. David C
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    David C Well-Known Member

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    What about history of rate increases on inforce business? Who gets the nod in that category?
     
  5. stuy119
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    stuy119 Well-Known Member

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    Neither. Both tend to change products PRIOR to changing to an increased rate to reflect new or different benefits.
     
  6. ABC
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    ABC Well-Known Member

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    Good feedback

    I think from a price standpoint Colonial is a better deal.

    Aflac really only has the edge on the Cancer policy.
    Initial Benefit Rider is attractive.


    Anyone doing any business with Allstate's supplemental policies? I heard they are competitive?

    I really think the cheaper these supplemental policies are the higher enrollment you will get and higher retention.
     
  7. stuy119
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    stuy119 Well-Known Member

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    Aflac is more because someone has to pay for all the advertising. ;)

    Initial benefit for Colonial is available as well (and at higher amounts), but only for payroll deduction accounts.

    Allstate is OK, but their service team SUCKS.
     
  8. Labman
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    Labman Well-Known Member

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    Colonials new accident plan is better in my mind as well. I wouldn't sell solely on price anyhow. Colonials service and billing are way ahead of AFLAC, at least that is what I hear from clients.
     
  9. stuy119
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    stuy119 Well-Known Member

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    Labman, you're dead on.

    When Aflac started the duck commercials, sales exploded. Money came rolling through the front doors. Awesome. But the customer service department didn't expand exponentially like the sales, and that is the dirty little secret that Aflac doesn't want you to know.
     
  10. mzubek
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    mzubek Member

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    Duck has been around for nearly 10 years. think they would have caught up by now!!
     
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