DI Vet Steenerson Launches ‘DIonDemand’

[Brian Anderson]

35-year DI industry veteran Daniel Steenerson, CLU, ChFC, RHU has launched a new company –DIonDemand – an online service that can quote, approve and issue a disability income insurance policy in less than 20 minutes. It is tailored toward middle-class Americans making between $50,000-$150,000.

Using innovative predictive underwriting, DIonDemand says it provides visitors with “fast, easy, and affordable coverage plans.” Visitors are asked 9 questions anonymously. Upon completion, a number of policy options are presented and, the visitor can choose the most suitable DI policy and apply for coverage. The system immediately approves or declines the application and issues the policy.

For more about this strategy check out the article at the link below. What do you think of this business model? Will it gain some traction with the 70% or so that have no paycheck protection?

Insurance Forums | DIonDEMAND aims to disrupt disability insurance industry with instant online policy issuance

 

[JBND06]

This is interesting. Do you know what is the definition of disability is on this product? What riders are included in the policy? I see they have an option to add COLA, but I didn't see anything about residual or whether or not it is noncancelable.

 

[dgoldenz]

Through DIonDemand, policy premiums cost approximately 1% of annual income, compared to traditional disability insurance policies, which cost approximately 3% of one’s annual salary. Meanwhile, the benefits provided by DIonDemand protect roughly 82% of the insured’s net take home pay, tax-free.

But wait....there's more! Buy now and get two disability insurances for the price of one, and free shipping!

My take - the definitions probably suck, the benefits probably suck, and it's probably overpriced for what you actually get.

 

[fjohnston]

But wait....there's more! Buy now and get two disability insurances for the price of one, and free shipping!

My take - the definitions probably suck, the benefits probably suck, and it's probably overpriced for what you actually get.

Agreed 100%, got some sample numbers from that and compared to Standard Protector Platinum and Standard was 1/2 the cost with benefits to age 67, own occ, residual and cola.

 

[Cash]

Agreed 100%, got some sample numbers from that and compared to Standard Protector Platinum and Standard was 1/2 the cost with benefits to age 67, own occ, residual and cola.

Compared to what in the Steenerson policy? Direct insurance sales are almost never the best products or even close to the best.
To make the margins work and to make it easy to respond there is high prices and limited underwriting.