When Assumption Life announced its 2013 financial results, CEO André Vincent promised to revitalize the entire client experience, for both distributors and policyholders. Launched in early 2014, the term product InstaTerm could be the first step in this direction.
This term life insurance with no medical exam is called a simplified issue because the insurer can approve the client based on a few simple questions. The product is traded on Assumption Life’s online platform.
Assumption Life wants to position itself among the hard-to-insure with the second version of its product, called InstaTerm Deferred. Customers who are refused insurance can qualify for InstaTerm under a deferred option, if the insurer gets satisfactory answers in the insurance application.
InstaTerm offers 10- and 20-year terms. The product is renewable until age 90 and convertible until age 75. The product is only convertible into Golden Protection, a permanent life insurance product with no medical exam, for coverage of $50,000 or less. The deferred version of InstaTerm is neither renewable nor convertible.
Customers can obtain insurance coverage of $50,000 to $150,000 (maximum $100,000 with the deferred option). Riders on the product include accidental fracture, accidental death and child insurance. Another person can also be put on the rider of an InstaTerm or InstaTerm Deferred product.
The insurer also offers a combination it describes as ideal for estate expenses and estate planning: the addition of the product as a rider to the Golden Protection or Golden Protection Plus products.
In an interview with The Insurance and Investment Journal, André Vincent highlighted that the product is available through the company’s electronic application. The insurer allows this specific product to be issued online immediately. “The advisor can gather all the client medical and other information via his or her laptop, cell phone or iPad. This information is then sent to Assumption Life’s system where – if the information is suitable – the contract can be issued immediately. That’s why the name is InstaTerm,” he explains.