Previously Declined

[PaperHanger]

I don't think that makes sense. Say Oxford is your go to plan A company. If you go on an appointment and they've been declined in the past 2 years, that's not your fault. Oxford was your plan A, but you had to go to plan B

My point being that you did try to give them 1st dibs, they aren't your sloppy seconds...they're somebody else's.

It's as much a message to the agent....meaning it's also as much a message to the applicant, "take yo declined arse elsewhere"

I used to work Corp at aig auto, part of the rate engine included credit score...i also felt that was unfair since credit score has nothing to do with driving record... until it was explained that folks with bad credit are more likely to file a claim for just over the deductible, vs good credit folks would rather pay the $1500 damage on that $1000 deductible since they were also folks concerned with their 'claim score'...

Yes there are good people in each scenario who would get declined...but it's a numbers game, and if they accepted these folks, then somewhere they'd have to raise rates.

Also on the agent side, these corp policies repel certain number of agents, so they must keep commissions healthy to attract agents willing to put up with it.

Personally I'd prefer carriers didn't do that question, but I do understand why they do it...

The one i don't understand. ..at RNA a decline on their FU automatically black balls them for their SIWL...

So i stopped leading anyone with their FU...i sell their SIWL and then go back in a year for the FU...hope that works for them, i know it has for me on a few cases...lol...

 

[UW Guy]

During the phone interview it came out that the prospect had several other inquiries from life insurers. I asked her what that was about she said she had tried 3 times previously to get a policy. She was turned down except for once where the agent showed up with what she described as a graded policy with a 2 year wait for benefits which she rejected. I had to mark "Yes" on the app that she had been declined by a life ins. co. I can get her issued with day 1 coverage. Will the previous declines affect her ability to be approved for a policy and how much?

Also, what kind of a report are they looking at that shows which insurance co.'s inquired on them? Can we get that type of report to market from it?

She got coded by the other carriers to MIB- it's a smoke signal all us carriers use to tell each other when something is rotten in Denmark. She can order the report mib.com - Home here.

 

[PaperHanger]

UW Guy, can you explain this:
http://www.mib.com/mib_faq.html

" MIB does not have a record of whether an individual has been rated or declined for insurance.

MIB's database consists of highly confidential and proprietary codes that signify different medical conditions and other conditions affecting the insurability of the applicant, as verified by members during the underwriting process. These codes do not indicate what action a member company took with respect to an application for insurance (i.e., approval, denial, approved with a substandard rating).

"

 

[peteybear]

That is correct they don't know if declined are rated but based on the mib codes generated the carrier has a good idea what underwriting action was taken depending on the nature of the code. I believe mib codes show the nature of the illness,tobacco use and the names of doctors on adverse conditions .If one has not applied for insurance for at least 7 yrs it's blank even if you were rated more than 7 yrs ago.understand if a carrier could code its decision it could bias the decision of the second carrier.

 

[UW Guy]

UW Guy, can you explain this:
MIB.com - MIB FAQ

" MIB does not have a record of whether an individual has been rated or declined for insurance.

MIB's database consists of highly confidential and proprietary codes that signify different medical conditions and other conditions affecting the insurability of the applicant, as verified by members during the underwriting process. These codes do not indicate what action a member company took with respect to an application for insurance (i.e., approval, denial, approved with a substandard rating).

"

It's something I've been discussing... MIB is our way of telling each other things like say someone comes in on my company and is an undiagnosed Type II diabetic. Does labs and has a HgA1c of 13% of a glucose of 200. That person should get those labs to their doctor and start treatment, right? Well, some of these people stock up on life insurance that doesn't require blood specimens before they make that appointment.

MIB helps us let each other know (without telling each other what we specifically did-because that might give away our mortality and rating data) so fewer of us end up with toxic or improperly priced risks on the books.

I've been thinking about doing a piece on MIB (I know it can be the bane of your existence when it trips up an app), some have supported a section on it here but I hesitate to open it up too wide because decoding codes out in the open is a no-no for us.

 

[WinoBlues]

It's something I've been discussing... MIB is our way of telling each other things like say someone comes in on my company and is an undiagnosed Type II diabetic. Does labs and has a HgA1c of 13% of a glucose of 200. That person should get those labs to their doctor and start treatment, right? Well, some of these people stock up on life insurance that doesn't require blood specimens before they make that appointment.

MIB helps us let each other know (without telling each other what we specifically did-because that might give away our mortality and rating data) so fewer of us end up with toxic or improperly priced risks on the books.

I've been thinking about doing a piece on MIB (I know it can be the bane of your existence when it trips up an app), some have supported a section on it here but I hesitate to open it up too wide because decoding codes out in the open is a no-no for us.

A Life underwriting forum would be great. And you explaining MIB, Rx and APSs would be a great resource. IMHO

 

[John Galt]

It's something I've been discussing... MIB is our way of telling each other things like say someone comes in on my company and is an undiagnosed Type II diabetic. Does labs and has a HgA1c of 13% of a glucose of 200. That person should get those labs to their doctor and start treatment, right? Well, some of these people stock up on life insurance that doesn't require blood specimens before they make that appointment.

MIB helps us let each other know (without telling each other what we specifically did-because that might give away our mortality and rating data) so fewer of us end up with toxic or improperly priced risks on the books.

I've been thinking about doing a piece on MIB (I know it can be the bane of your existence when it trips up an app), some have supported a section on it here but I hesitate to open it up too wide because decoding codes out in the open is a no-no for us.

Why is decoding codes a no no? Most here are licensed agents by their states or in my and many others cases multiple states...we deal with phi, access to financials, ss numbers, and a fiduciary, yet we are treated as though we should not have access to codes and reasons for denial. Its the same thing as a finance manager being blocked access to credit reports... How well would they do their job or how well could they serve their clients without all the information? Mib in my opinion is just a big ole scam and a good ole boy club for the insurers, it should be banned and abolished if agents are not allowed access.

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Ill add one more comment. At least tell the agent the reason for a decline or a rate up. This would help, we already know everything about the pi, more than even the underwriter, not revealing uw decisions is completely asinine...especially on simple issue.

 

[indiana260]

Why is decoding codes a no no? Most here are licensed agents by their states or in my and many others cases multiple states...we deal with phi, access to financials, ss numbers, and a fiduciary, yet we are treated as though we should not have access to codes and reasons for denial. Its the same thing as a finance manager being blocked access to credit reports... How well would they do their job or how well could they serve their clients without all the information? Mib in my opinion is just a big ole scam and a good ole boy club for the insurers, it should be banned and abolished if agents are not allowed access.

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Ill add one more comment. At least tell the agent the reason for a decline or a rate up. This would help, we already know everything about the pi, more than even the underwriter, not revealing uw decisions is completely asinine...especially on simple issue.

And the applicant has signed a hippa form. I believe the applicant should be given the option to disclose to the agent. Everyone, who isn't lying, would.

 

[WinoBlues]

Why is decoding codes a no no? Most here are licensed agents by their states or in my and many others cases multiple states...we deal with phi, access to financials, ss numbers, and a fiduciary, yet we are treated as though we should not have access to codes and reasons for denial. Its the same thing as a finance manager being blocked access to credit reports... How well would they do their job or how well could they serve their clients without all the information? Mib in my opinion is just a big ole scam and a good ole boy club for the insurers, it should be banned and abolished if agents are not allowed access.

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Ill add one more comment. At least tell the agent the reason for a decline or a rate up. This would help, we already know everything about the pi, more than even the underwriter, not revealing uw decisions is completely asinine...especially on simple issue.

I agree. It would save so much time and allow us to quote and place our clients into the appropriate plans.

 

[John Galt]

And the applicant has signed a hippa form. I believe the applicant should be given the option to disclose to the agent. Everyone, who isn't lying, would.

Yep thats right, not to mention we have all their meds on the table already, disclosure with the MIB is a freaking smoke screen to keep it all close to their chest, it screws more agents and insureds thsn it helps. How in the world did agents agree to this nonsense still amazes me, kinda like congress, "you have to read the bill to know whats in the bill"... After they pass it!!

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I agree. It would save so much time and allow us to quote and place our clients into the appropriate plans.

The first time lol