Assurant Supplemental Coverage Matt Krueger. 2 Assurant Supplemental Coverage 2 Supplemental...

Assurant Supplemental CoverageMatt Krueger

2 Assurant Supplemental Coverage2

Assurant Supplemental Coverage

• Supplemental individual plans

• Generally not subject to health care reform

• Fits well with major medical high deductible plans, Assurant Health AccessSM or Short Term Medical plans

• May also be sold as standalone

• Great paired with group medical

• Option for those who can’t afford major medical

• Every customer is a potential supplemental customer!


Market Opportunity

• More than 49.9 million uninsured (Source: U.S. Census, Sept. 2011)

– Segment of this group has resources and desire to purchase supplemental products

• Paradigm shift in benefits– More high deductible plans with the opportunity to help

cover gaps and out-of-pocket expenses– Fewer employer-sponsored benefits– Consumer has more control over spending health dollars

and wants the most value per dollar

4

Consumer Insights

• Direct questioning was utilized to determine the likelihood to purchase supplemental products (% of 6 and 7 scores on a 1-7 scale).

5 Q4. Thinking about the insurance plans you have evaluated in this survey, how likely would you be to purchase supplemental insurance in order to provide additional coverage for the following?

Consumer Insights

• Focus Group results– Consumers don’t really understand this space– Agents really help in explaining solutions

• Email Marketing– Successful test utilizing dental– Halo effect

6

One simple application!

Assurant Supplemental CoverageDental


Dental Insurance

• Scheduled indemnity plan which pays a set amount, up to the policy max, per procedure

• Customers can choose their own dentist — no network restrictions!

• Simplified rates - no ZIP code or industry based rates

• Benefits available the next day for cleanings• Coverage is portable• Great breadth of ages 0 - 70• No underwriting, only dental professionals are

prohibited• 40% discount when sold with IM or Health Access!


Dental Insurance• 3 affordable options to fit every customers budget• Preventive does not count toward calendar year max

Basic Plan(Level I)

Intermediate Plan

(Level II)

Plus Plan(Level III)

PreventiveSeparated by 150 days

$75 per visit $100 per visit $100 per visit

Basic services $25 - $200based on procedure

$50 - $400based on procedure

$50 - $400based on procedure

Major services None None$20 - $1,000

based on procedure

Calendar year max

$500 $1,000 $1,500

Standalone Premium

$15.50 $26.50 $35 - $75

10

Assurant Supplemental Coverage - DentalMay 2012 Product Availability

Issue Ages 0-64

Issue Ages 0-70

No Dental Available


Critical IllnessTerm-life CI and Cancer & Heart/Stroke


Setting the Stage• Critical Illness plans are for customers worried about

not having enough money to pay for a life-threatening disease

• Will he or she have the money to cover medical and non-medical costs?

Everyday costs• Mortgage/rent• Car payments• Utilities• Food

Medical costs•Deductibles and coinsurance•Out-of-network costs•Experimental treatments

Unforeseen costs• Lost income• Travel to hospitals• Home adaptations• Home health care

Critical Illness benefits can help cover:

13

Cancer and Heart/Stroke Overview• Why Cancer & Heart/Stroke?

– More than 1.6 million U.S. residents will be diagnosed with cancer this year (American Cancer Society, Facts and Figures 2012)

– Somebody in the U.S. has a heart attack every 34 seconds (Centers for Disease Control and Prevention, Heart Disease Fact Sheet, 2010)

• 3 Pillars of the Product– Simple

• Easy to understand plan design and underwriting process• Save time and integrate plans with just one click — only from Assurant!

– Flexible• Clients choose coverage for cancer only, heart/stroke only, or both• Available age 18 – 64 and greater face amounts for bundling with IM or

AHA

– Affordable• Clients pay for only the conditions they worry about most• Clients choose a benefit level ($10k to $75k) to suit their needs and

budget


Term Life - Critical Illness Overview

• Life policy with Critical Illness benefits• Provides a one-time lump sum payment of up to

$100,000 upon diagnosis of any of 15 life threatening conditions

• Policy term: 10 or 20 years• Apply ages 18 - 59• Features:

– Waiver of premium option– Accidental Death Benefit option (not available in OH)


Term Life - Critical Illness Plan Summary• Rates

– Issue age (not attained) based, 18 through 59 – Preferred/standard based on tobacco use

• Waiting periods (vary by state)– 90 days for cancer – 30 days for all other sickness-related conditions

• Underwriting– Critical Illness has its own self-standing application – Each applicant will undergo an MIB and Rx check– There are ineligible occupations and ineligible vocations which

will appear in the quoting tool– Height/weight chart matches individual medical for ineligibles

Please read the coverage documents carefully for a complete listing of benefits, limitations and exclusions. Benefits vary by state.


The Good News

• The good news is that people are living longer and more successfully combating critical illnesses– The challenge is that the costs of fighting these diseases

can be costly — 60% of costs for fighting cancer may be non-medical*

– 33% of families deplete all or most of their savings in the event of a critical illness**

• A lump sum payment helps cover the costs of treatment because:– The payment is made directly to the insured, who can

spend the money at his or her discretion– Benefit is paid upon first diagnosis of condition

Source: * American Cancer Society, 2008. Statistics do not imply endorsement.** Market Facts, LIMRA, 2002.

17

Assurant Supplemental Coverage – Critical IllnessMay 2012 Product Availability

Term Life – CI and Cancer Heart Stroke

Term Life CI

No CI or Life Product Available


AccidentAccident Fixed Benefit & Accident Medical Expense


The Need for Accident Insurance

In 2007, 62 percent of bankruptcies were caused by medical debt. The American Journal of Medicine

In 2008, there were 42.4 million injury-related emergency room visits in the U.S.U.S. Department of Health and Human Services, February

2011

In 2009, 21.4% of adults in the U.S. had an emergency room visit.

U.S. Department of Health and Human Services, February 2011


Accident Medical Expense Reimburses up to the chosen

benefit level ($2,500, $5,000, $7,500, $10,000) for out-of-pocket medical expenses

Low $250 deductible per accident

Individual or family coverage rates

24-hour coverage included

Guaranteed issue – no medical underwriting

Available 0 - 64

Great fit with Individual Medical!

Accident Fixed Benefit Pays a set cash benefit for each

covered injury service that can be used for any expenses

No deductible

Rates vary based on occupation

customer chooses 24 hour coverage or off-the-job coverage

Simplified underwriting process

Available 18 - 64

Great fit with Health Access!

Both accident plans also have these great features:• No waiting period • Use the accident benefits over and over without an annual maximum• Rates will not be raised for using the plan multiple times• Visit any doctor or hospital

Accident Coverage Options in Summary


Accident Fixed Benefit – Key BenefitsBenefit Summary Level 1 Level 2

Accident Emergency Treatment (ER or doctor’s office)

$100 Adult/$50 Child $100 Adult/$50 Child

Initial Accident Hospitalization $1,000 $1,000

ICU Confinement $500/day $500/day

Accident Hospital Confinement $250/day $300/day

Accident Specific–Sum Injury

- BurnsUp to $2000 (2nd degree)/

$20,000 (3rd degree)Up to $2500 (2nd degree)/

$25,000 (3rd degree)

- Coma $15,000 $20,000

- Dislocation Up to $1000/$4000 Up to $1250/$5000

- Fractures Up to $3000/$4000 Up to $3750/$5000

- Lacerations $50-$800 $70-1000

- Surgical Repair Scheduled amounts up to $2000 Scheduled amounts up to $2500

Accidental Death $30,000 Adult/$15,000 Child $50,000 Adult/$20,000 Child

Ambulance (ground/air) $150/$1000 $200/$1500

Lodging $100/night $125/night

Major Diagnostic Exams $200 $200

Rehabilitation Unit $100/day $150/day

Accident Follow-up Treatment $25 $35 Please read the coverage documents carefully for a complete listing of benefits, limitations and exclusions. Benefits vary by state.


Plan Features & Coverage Details

Accident Reimbursement Levels(per person, per accident) $2,500 / $5,000 / $7,500 / $10,000

Deductible $250 per accident/per person

Waiting Period None

Calendar Year Maximum None—benefits paid per accident

24-hour Coverage (on-the-job & off-the-job) Yes

Accidental Death & Dismemberment

100% of AME benefit upon death; 25% to 100% of AME benefit for dismemberment (dependent on affected body part)

Plan Limitations

Ambulance Service Limitation $300 per accident/person

Physical Medicine Limitation$25 per visit up to $250 per accident/per

person

Durable Medical Equipment Limitation $100 per accident/per person

Accident Medical Expense at a Glance*Benefits may vary by state, see state specific benefit schedule for details

Please read the coverage documents carefully for a complete listing of benefits, limitations and exclusions. Benefits vary by state.


Customer Experience

• Renewable to age 75• Cannot be canceled based on the number of claims

filed• Unique customer claims experience on integrated

sales– No EOB required (for IM or AHA customers)– One of the few, if not only, companies that can deliver on

coordination of many claims

24

Assurant Supplemental Coverage - AccidentFebruary 2012 Product Availability

Accident Fixed Benefit Only

AME & Accident Fixed Benefit

No Accident Product Available

Assurant Supplemental Coverage Matt Krueger. 2 Assurant Supplemental Coverage 2 Supplemental...

Documents

Transcript of Assurant Supplemental Coverage Matt Krueger. 2 Assurant Supplemental Coverage 2 Supplemental...