Final Expense Contracting

[FinalExpenseDojo.com]

Question for everyone: when talking about the percentage of contestible claims paid... is this referring to policies within the contestibility period OR policies that are within the contestibility period that the insurance company decided to contest?

 

[Baseball7]

100% are contested within the first 24mo. I had a 2k FA contested, if they are going to ignore one you think it would be that one.

 

[WinoBlues]

100% are contested within the first 24mo. I had a 2k FA contested, if they are going to ignore one you think it would be that one.

Yup, had a $5,000 ROP modified 18 month old policy that went through the whole process. Including APSs.

 

[FinalExpenseDojo.com]

Really? How long does it usually take to go through the contesting process?

 

[WinoBlues]

Could be several weeks or several months. Had one take around six months.

 

[HoosierLife]

Around m 3-9 months for FE carriers has been what I've seen.

 

[Baseball7]

Best I saw was death pre-thanksgiving last year, paid mid-January 2017. Best case 6-12 weeks....

 

[FinalExpenseDojo.com]

Cool, thanks guys. One of my agents had a client die after 2 months & when I found out about it shortly after, Americo had already paid. Didn't think they could go through all that so quick but I suppose it depends on the carrier?

 

[Newby]

Cool, thanks guys. One of my agents had a client die after 2 months & when I found out about it shortly after, Americo had already paid. Didn't think they could go through all that so quick but I suppose it depends on the carrier?

It depends on how quickly the doctors give up the medical files more than anything.

 

[VolAgent]

The worst are doctors and clinics that require their own special authorization. That is a guaranteed two weeks or more right there.

Clinic finally answers and tells the vendor they need their own release (your typical exam companies handle this for insurance companies, just like the exams and APSes for underwriting).
Vendor gets form and send it to carrier.
Carrier processes and sends to beneficiary.
Beneficiary finally signs and returns.
Carrier to Vendor.
Finally Vendor to clinic.