The Co-operators has launched Term Life 1, a new term life insurance option that can be purchased directly online.
The insurer says that unlike traditional term life products that renew every 10, 15 or 25 years, Term Life 1 has annual renewal terms, similar to a home or auto policy. “This ensures premiums are affordable and the annual premium increases are guaranteed and disclosed at the time of purchase,” says the company.
No time to meet with an advisor
"Industry data shows that Gen X and Y Canadians have the greatest need for life insurance but are underinsured. They are time and cost-conscious, busy with young families and are straddled with personal and work commitments. They don't have time to meet with an advisor," says Alec Blundell, vice president of Individual Life Insurance, The Co-operators. "These clients are looking for an easy online solution and they want choice in how and when they interact with us. Creating Term Life 1 provides an online self-serve solution, which is tailored to those who need it most and in the way that's most convenient for them."
To buy the product, individuals can receive a life insurance quote via the insurer’s website by entering their birthdate, gender, smoking status and their desired coverage amount. If the individual is 18 to 45 years old and seeking coverage of $50,000 to $450,000, a quote will appear for Term Life 1 and they can immediately apply online, or choose to contact an advisor. The product does not require additional medical tests or telephone interviews.
If they select the online self-serve option, an automated step-by-step process walks the client through their application – entering personal information, identifying beneficiaries, and answering 12 mandatory health and lifestyle questions. “Most clients, if they're eligible for Term Life 1, will complete the process in a few minutes with coverage in place,” says the company. Once issued, the client is emailed the life policy.
If the client has a question during the process, they can call or email a client support team or use the in-app help features, adds The Co-operators.