François Levasseur, Senior Vice-president Canada at Equisoft, says that advisors are currently in an adaptation phase to shore up business continuity. They need to replace face-to-face activities with a virtual equivalent.
Adaptation is particularly challenging because advisors were cut off abruptly from their physical environment when lockdown orders were issued. “Many advisors don’t have access to their office or their physical files. This is why CRM like Equisoft Connect or SalesForce is crucial,” Levasseur says.
These systems, connected to the cloud, allow advisors to remain 100% operational, he adds. They can access their files and documents from anywhere. He thinks the current crisis will prompt advisors to acquire CRM or to turn to an MGA that offers a third-party CRM.
“Some distributors are more advanced than others. They offer advisors platforms that let them carry out online transactions and validate them with an electronic signature. But not all distributors have reached this stage. The advisors who deal with them have to fend for themselves,” he says.
Electronic signature
Advisors who acquire an online CRM system, together with software for web meetings, secure messaging and electronic signature management, can operate safely and worry-free during the COVID-19 pandemic, Levasseur says. “Once we can transmit documents via a secure channel, we need to replace the face-to-face handwritten signature with an online process. Advisors have different options available,” he adds.
Some advisors are asking the client to print, sign, and photograph documents, and return the scanned document by email, François Levasseur says. “We do not recommend this avenue because it is not secure.” He prefers an electronic signature system like HelloSign, DocuSign, Notarius, Equisoft EquiSign, or eSignLive. Advisors should ensure that the insurer recognizes their electronic signature method, he cautions.
Wendy Brookhouse, President of Black Star Wealth, told an anecdote about a client who signed several documents electronically, only to be told by his insurer that he needed to sign by hand. She rattled off different types of signatures: hand-written, copy of a handwritten, electronic (on-screen with the finger or stylus); digital (type DocuSign) or scanned (on-screen entry of an electronic application).
P&C insurance
RSA Canada issued a bulletin stating its policy for the use of electronic signatures and voice recordings by brokers during the pandemic. The bulletin states that RSA permits such alternatives “UPON REQUEST” (upper case letters theirs) by a policyholder or client, but the insurer reserves the right to request a written signature if it deems it necessary.
Electronic signatures will be accepted if four requirements are met, RSA stated. First, the signer’s identity authentication must be verified. There must also be informed consent. Specifically, clients must understand the implications of their signature.
The third requirement: guarantee the integrity of the documentation. RSA states that the content of the document may not be modified once the signature is affixed. The date and time of the signature must be clearly indicated and cannot be altered, the insurer adds.
The last requirement concerns the compliance of the solution used. The software must comply with all confidentiality and e-commerce legislation in effect.
