Phoenix Adds Term Insurance To Product Lineup
October 6, 2014 by The Phoenix Companies
Hartford, CT, Oct. 6, 2014 – The Phoenix Companies, Inc. (NYSE: PNX) today announced it has added term life insurance to its product offerings, Phoenix Safe Harbor Term LifeSM and Phoenix Safe Harbor Term Life ExpressSM. It also announced expansion into call center distribution through LifeQuotes.com for Term Life Express, complementing its traditional distribution through independent marketing organizations (IMOs).
“Adding term life to our middle market insurance portfolio is an important step for Phoenix as we also launch a call center distribution capability,” said Thomas M. Buckingham, executive vice president, Product and Operations. “We expect the term offerings to contribute substantially to growth in our life insurance product line, and the combination of strong IMOs and call center distribution will help us achieve that goal.”
Product Features Include Living Benefit Riders
Phoenix Safe Harbor Term Life includes riders that can provide accelerated death benefits in case of chronic illness, critical illness or terminal illness, and a waiver of premium in case of unemployment. An optional accidental death benefit rider is also available for an additional premium. It is available in 10-, 15-, 20- and 30-year term periods to insureds from age 18 to between 50 and 80 at the time of issue, depending on the term length and tobacco use.
Term Life Express offers the same benefits but uses simplified issue underwriting, with immediate underwriting decisions available via a teleunderwriting service. Face amounts for Phoenix Safe Harbor Term Life range from $50,000 to $1 million depending on issue age and underwriting band, while Term Life Express offers face amounts ranging from $25,000 to $400,000 depending on issue age. Features of Phoenix Safe Harbor Term Life and Term Life Express include:
Critical illness, chronic illness and terminal illness riders, available at no additional premium, that give insureds the option to advance up to 95% of their death benefit in the event of a serious illness. The death benefit is reduced by the benefit amount that is accelerated, and future premiums are reduced proportionally to the remaining death benefit. The actual amount received is discounted based on the insured’s condition and life expectancy.
- Unemployment rider, automatically included for issue ages 18 to 60 at no additional cost, waives six months worth of premium if the insured becomes unemployed for at least four weeks. This rider is subject to a 24-month waiting period from the date of issue and must be elected within 90 days of qualifying, which is defined as receiving state or federal employment benefits.
- Optional accidental death benefit rider, which requires additional premium, must be elected at issue and is available to insureds under age 65 at time of issue and terminates at the insured’s age 70.
“Our goal for Phoenix Safe Harbor Term Life and Term Life Express was to provide an affordable term product for middle market consumers with the added flexibility of living benefits that can help them plan for the unexpected and protect their loved ones,” said Mr. Buckingham. “The addition of term life further rounds out our middle market product portfolio, which includes whole life and indexed universal life.”
Distribution Includes Select IMOs and Call Centers
Phoenix Safe Harbor Term Life and Term Life Express are being distributed through select Independent Marketing Organizations including Brokers Alliance, Inc., Shoreline Financial Group and National Agents Alliance.
Term Life Express also is being distributed by LifeQuotes.com, which represents multiple insurance carriers and provides consumers with resources to explore their life insurance options online and a toll-free number to call for further assistance and to apply for coverage.
“Call center distributors cater to the type of consumers who want to shop for insurance online and also benefit from a personal consultation,” said Edward W. Cassidy, executive vice president, Distribution, and managing principal of Saybrus Partners, Inc., Phoenix’s distribution subsidiary. “They will provide a natural complement to our IMO relationships by extending our reach to people who might not seek financial advice from a local insurance agent.”
Going forward, Phoenix expects to add more call center distributors for the Term Life Express product.
Technology Tool Supports Agent Sales Process and Call Centers
For both Phoenix Safe Harbor Term Life and Term Life Express, the company provides web-based and mobile quote tools to make it easier for distributors to help their clients customize the most appropriate benefit and rider combination for their needs and their budgets. Agents and call center representatives can offer their clients three easy ways to apply, including “point of sale” and “drop ticket” models, which both include teleunderwriting, as well as “traditional” paper submissions. The teleunderwriting services provide an initial underwriting review for Phoenix Safe Harbor Term Life and often result in an immediate underwriting decision for Term Life Express.
To learn more about Phoenix Safe Harbor Term Life, Term Life Express and other Phoenix life insurance and annuity products, agents, financial advisors and other distributors can contact their Phoenix wholesaler, the Phoenix Life and Annuity Sales Desk at 800-417-4769, or visit www.phoenixwm.com.