UV Insurance, based in Drummondville, Quebec, has just introduced a multiplatform digital individual life insurance solution including new illustration software, a new electronic application form, an advisor portal, and a client portal.
This new technological offering simplifies distance selling, but can also be used for in-person selling. Its My Universe portal provides access to both advisors and clients.
In this digital world, advisors can instantly complete applications by inputting clients’ data, immediately receiving rates and specific conditions of sale without going through LifeGuide. Documents can then be emailed to clients.
“We knew we were lagging behind the industry technologically, and this project, which we’d been working on for two and a half years, pushes us to the forefront.” - Christian Mercier, CEO of UV Insurance.
Clients can then sign the application forms with a click of their mouse, either in person or remotely. If the client signs remotely, their signature is authenticated with a six-figure code that has been sent to them. Once completed and signed, the application is sent to the insurer’s administration system. In the case of simplified issue products, the policy can instantly be issued and delivered to the client electronically.
Each field of the application is validated. When additional client information is required, the missing information is highlighted in red, and the application is put on hold in My Universe until it is provided. The advisor can monitor the status of the application and receive reminders about what needs to be done to complete it; the software thus serves as a form of CRM software for new business. The client can also access My Universe, viewing his illustrations, monitoring the status of his application, receiving the contract, and reviewing it.
A long process
Almost three years were spent developing this solution, explained Christian Mercier, CEO of UV Insurance, on May 6, 2020, in an exclusive interview with the Insurance Portal along with Julie Michaud, senior vice-president, individual insurance and investment & retirement, and Guillaume Fauteux, vice-president, business development and marketing, individual insurance and investment-retirement. Mercier refers to them as the architects of the multiplatform.
During another interview published in the November-December 2019 issue of the Journal de l’assurance, Mercier had stressed the importance of replacing the firm’s outdated administration system to facilitate the launch of other digital projects. At the end of 2019, the company hired Equisoft to completely transform its technology ecosystem.
An enthusiastic response
The plan to build a digital platform for individual life insurance had been in the works for some time, noted Mercier. “We wanted to enable our sales teams to operate virtually,” he explained. UV Insurance had originally planned to unveil its new platform at its AGM on March 19, but the pandemic changed everything. “Given the current situation, we didn’t want to delay the project, so we had to act fast. We knew we were lagging behind the industry technologically, and this project, which we’d been working on for two and a half years, pushes us to the forefront,” declared Mercier.
Advisors’ reaction to the launch of UV Insurance’s individual life insurance platform was extremely positive. “The agents were thrilled to be able to operate from a distance,” he said.
Michaud added: “Our new technological solution meets market needs by greatly facilitating distance sales, which are now indispensable. There’s a huge demand for it. Within two or three days of its launch, almost 1,000 advisors had registered for the introductory webinar to our new platform.”
Integrating services
This is an ambitious launch since it encompasses many innovations, explained Michaud. In addition to the multiplatform solution and its front-office tools, UV Insurance has upgraded its back-office system to optimize all steps related to administering new policies once they have been issued.
Fauteux added that My Universe and its tools enable straight-through processing of new business in a single integrated environment. The processing of in-force business will be added in the next phase by migrating data from the back-office system to the new portal. Neither Fauteux nor Michaud mentioned a date, preferring to focus on phase 1.
How it works
“Given the current situation, we’re focusing on distance selling,” explained Fauteux. “The platform is designed for this distribution method.”
Fauteux explained that an advisor with a distribution agreement with UV Insurance through their general agent can quickly access the solution and enter their client’s insurance needs in the illustration tool. They can then produce an illustration for permanent or term insurance products along with the company’s additional coverage (riders) and email a PDF to the client with a key; the client can then safely open the PDF on their own computer. The rest can be done by teleconference, videoconference, telephone, or chat.
Simplified issue products
Michaud explained that, in addition to the My Universe tools, UV Insurance is also introducing whole life and term simplified issue products at three levels. For example, the Adaptable whole life policy with paid-up additions is now available in Guaranteed ($5,000 to $25,000), Instant ($25,001 to $50,000) and Express ($50,001 to $150,000) versions, in addition to the regular underwriting option for $150,001 and up. “Below $150,001, we use an electronic simplified system,” she added.
A negative answer to two eligibility questions (smoking and criminal record) provides access to the first level. Six additional questions are asked for the second level, and another eight for the third. “In all cases, there is no medical exam or fluids and no underwriting. If all answers are satisfactory, a contract will be issued electronically in less than twenty-four hours,” said Michaud.
The limitations of paper
For regular underwriting, UV Insurance offers clients the option of paper or electronic contracts. “For advisors who prefer it, we offer paper applications in dynamic PDF format,” explained Fauteux. “We encourage the use of digital applications, however. That’s the primary channel.”
The new electronic application form automatically enters the UV Insurance system, and manual entry is unnecessary, according to the two vice-presidents. Both the general agent and the advisor receive the application in PDF form, and it remains available on the new portal. The general agent and the advisor must both enter it manually in their own system or copy it.
UV Insurance will still accept applications in paper or editable PDF form, but will have to enter the data manually in its system, as will the general agent, explained Michaud. Fauteux added that UV Insurance is currently exploring the possibility of creating a gateway allowing the general agent to receive the application directly in their system in a digital format.
Converting and attracting new advisors
UV Insurance is counting on this platform to boost its new business revenue. Michaud expects to reach new markets with the firm’s simplified issue of products between $5,000 and $ $150,000.
“We’re hearing from general agents that the percentage of advisors using electronic applications is growing fast.” - Julie Michaud, senior vice-president, individual insurance and investment & retirement.
Michaud also expects to convert more advisors to the use of electronic applications. “We were expecting to have to do some work in the field before launching the platform to encourage the adoption of electronic means. But the pandemic kind of sped up the process. We’re hearing from general agents that the percentage of advisors using electronic applications is growing fast,” she explained.
The platform could also convert advisors who have already gone digital but are not yet distributing UV Insurance products, along with “digital advisors,” observed Michaud. By “digital advisor,” she means digital platforms such as InfoPrimes and ClickInsurance – potential bases for expanding their pool of general agents.
Michaud also hopes to convert other advisors using the “guest” space, which allows advisors who don’t yet have distribution agreements with UV Insurance to test drive the process by completing an electronic illustration that can be e-mailed to their client. If the client is interested, an advisor who is approved by a general agent can quickly register with UV Insurance, explained Fauteux.
UV Insurance is so excited about the potential of its new multi-platform solution that it has created a separate telephone line for My Universe with extended hours. This dedicated line is open from 8:30 a.m. to 8 p.m., Monday to Thursday, and from 8:30 a.m. to 7 p.m. on Friday.
BY ALAIN THERIAULT AND SERGE THERRIEN
