Life Insurance & The New Distribution
February 13, 2019 by Brian Greenberg
The year 2018 laid the groundwork for big shifts in the life insurance landscape that will decidedly benefit consumers in the New Year. And it seems shifts are sorely needed with more than 40 percent of Americans not having any type of life insurance, according to Foresters Financial. While the industry is shifting at a rapid pace, consumers can take advantage of some notable game changers poised to impact the insurance industry in 2019:
Variable Rates and Fitness Trackers
With the pervasiveness of fitness trackers and health apps, it was only a matter of time before the data they produce made its way into the underwriting process.
Policies with variable rates based on fitness data were brought to the forefront of the industry back in 2016 by a forward-thinking provider, using the data from insureds’ fitness trackers to adjust rates and premiums accordingly to benefit consumers. While the program started out voluntary, it is now standard with all life insurance policies written by this particular provider.
The program even offers perks such as a “free” Apple Watch (subsidized by premiums and participation in the program), discounts on other fitness trackers, and deals for healthy lifestyle publications. On the downside, the program requires a lot of upkeep to submit data through the company’s proprietary app, and premiums can increase for those people who don’t realize improved health based on submitted data.
Click HERE to read the full story via Advisor Magazine.
