Issued Higher Than Quoted
- Thread starter axeman462
- Start date
Just happened to me this week.
I called him up and said, "I have great news! Your policy was APPROVED! Now, it'll cost more than we thought due to a health rating, but it couldn't mean you're too unhealthy because they still are insuring your for a half million dollars! Anyway, when will you be a round for me to deliver the policy?"
I would add that you should find out as much of the reason for the rating as possible. It may be a known issue to the applicant, or it might be a total surprise.
An underwriter can tell you the reason assuming it's from a condition that was disclosed on the app or medical. If it wasn't disclosed, they may not be able to give details.
If the applicant is surprised, they can ask the company to give their reason for the decision to a doctor of the applicant's choice who in turn will share the information with the applicant.
The first line of defense is to not quote best-class numbers.
An underwriter can tell you the reason assuming it's from a condition that was disclosed on the app or medical. If it wasn't disclosed, they may not be able to give details.
If the applicant is surprised, they can ask the company to give their reason for the decision to a doctor of the applicant's choice who in turn will share the information with the applicant.
The first line of defense is to not quote best-class numbers.
- 24,978
$30. is easy.
Pretty much what the other guys said, just tell him in a matter of fact way. Like it happens everyday. They may not know why it happened, but many times they have a clue. Although I did have to let one guy know that he had Cancer, Now that is a bit tougher.
You may want to have a backup plan ready. Such as lower face at the original premium and Original face at a shorter term period. but lead in with just placing it.
I got one today. It happens.
Pretty much what the other guys said, just tell him in a matter of fact way. Like it happens everyday. They may not know why it happened, but many times they have a clue. Although I did have to let one guy know that he had Cancer, Now that is a bit tougher.
You may want to have a backup plan ready. Such as lower face at the original premium and Original face at a shorter term period. but lead in with just placing it.
I got one today. It happens.
- 742
My analogy to agents is "Who steps on a car lot and spends EXACTLY what they anticipated?" Answer is nobody. Consumers expect a change in rate in my opinion. I have written thousands of life policies, and people are not all the surprised as long as it is quoted and medical closed appropriately on the front end.
example;
"Mr. Client, assuming your labs come back OK and everything is accurate, your rate is $x. Once the final approval comes back, if anything changes I will help you decide on next steps."
example;
"Mr. Client, assuming your labs come back OK and everything is accurate, your rate is $x. Once the final approval comes back, if anything changes I will help you decide on next steps."
- 4,132
First I do is try to find out as much detail as possible. Then I look at the options. One company's standard class is another company's preferred. If it is possible to move em, I do. Not for a couple bucks but a $10 jump has me looking.
It also depends on how much trouble they've been. If they've lied to me during this process, I am less inclined to take em elsewhere. We've all had clients like that. The urge to help lessens as they get caught in lies.
It also depends on how much trouble they've been. If they've lied to me during this process, I am less inclined to take em elsewhere. We've all had clients like that. The urge to help lessens as they get caught in lies.
- 1,931
When you sell it I think it's best not say this would be your rate. Say this is the rate I think we have a good shot at getting for you, lets see if we can get you qualified for it. But explain the process and how it can get approved different. Then when it happens it's already somewhat expected.
- Staff
- #8
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$30 is nothing....Try going from $7k to $22k per year due to a Table 8 Rating.
Trick is to always present to the client at the application that this is an estimate. Prepare them up front that you are quoting based on an assumption without going through the clients medical records or completing the exam and blood work.
In my case I gave him a range of what I thought. $7k was Standard. I believed he would be table 4-8 based on the App. So when I presented the increase i did not use Dollar amounts. But % of the Face amount. Smaller number and less of an impact.
You could also use a % of Face amount and it would be nothing compared to a $30/mo increase. Never know.
Trick is to always present to the client at the application that this is an estimate. Prepare them up front that you are quoting based on an assumption without going through the clients medical records or completing the exam and blood work.
In my case I gave him a range of what I thought. $7k was Standard. I believed he would be table 4-8 based on the App. So when I presented the increase i did not use Dollar amounts. But % of the Face amount. Smaller number and less of an impact.
You could also use a % of Face amount and it would be nothing compared to a $30/mo increase. Never know.
- 1,931
ha. That's racist. I'd report you but you can never find a mod when you need one. lol
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