Insurance Agent Forum

[Salary_Guard]

With the current economy many people are concerned about their employment status and what they would do if they suddenly lost their income due to involuntary unemployment or unemployment due to accidental disability.

There is a revolutionary new unemployment benefit plan that is now available, and I thought I would share it with you guys to look over and see if its something that you would like to be able to offer to your existing and new clients. This product was just released in Sept. of 2008. This costs nothing to get contracted. The partners can be found on my website as far as who is doing the underwritting and administration on the insured portion of the product.

[COLOR=#ff6633]Ground Floor Opportunity For Agents[/COLOR]

The PayCheck Guardian Plan is a revolutionary new 'debt protection' plan. It's been 'cloned' from two sources: US Banks and Britain. In Britain, a similarly designed product is the primary and most prevalent loan protection policy sold, with more than 3 million policies in-force. Quite a few large US Banks are offering a similar product , with the main difference being that the benefit is paid to the lenders in their plans.

[COLOR=#0066cc]It's Time for an Alternative[/COLOR]

There's an interesting story told about a large US Bank's early 'brainstorming session' when they were deciding to abandon their traditional credit life insurance program and change to one similar to PayCheck Guardian. One participant asked: "Why are we selling life insurance within the context of lending anyway; Death isn't the major cause of loan delinquencies and foreclosures."

Freddie Mac studied the causes of mortgage loan delinquencies and foreclosures. Loss of Income due to Unemployment and Disability leads the list.

[COLOR=#0066cc]Consumer Oriented[/COLOR]

The PayCheck Guardian Plan was designed to 'lend a helping hand'. It offers benefits for real events that impact lives. Bad things do happen to good people. There will be many claims paid by this plan.

We do not maintain that the Plan should replace a well-designed financial plan that includes an individually owned life insurance or disability insurance policy.

We do maintain that the US Public is woefully underinsured, and that the PayCheck Guardian Plan offers coverage which speaks to consumers' REAL FEARS: Loss of Income.

[COLOR=#0066cc]Selling & enrolling customers could not be easier:[/COLOR]

Sell in the normal face-to-face situation;
Sell/Enroll over the telephone;
Secure Internet Enrollment;
Direct Mail Possibilities;
Perfect product for Property & Casualty Agencies;

[COLOR=#0066cc]Licensing & Contracting[/COLOR]

Varies from state to state. Contact for more information.

[COLOR=#0066cc]Opportunity[/COLOR]

Mortgage Protection Organizations have a potentially rewarding opportunity to monetize their 'old' leads / their 'old' data by adding the plan to their product portfolio.

Agents with large in-force blocks of business should consider offering the Membership Plan as additional, supplemental coverage. This product makes for a perfect opportunity to re-visit your current clients.

For more information on becoming contracted with PayCheck Guardian contact
Nathan Evans at [COLOR=#003399]Nathan.Evans@TheSalaryGuard.com[/COLOR]

For more information about the benefits of the PayCheck Guardian Unemployment Protection Plan visit: www.thesalaryguard.com

[STIBROKER@AUSTIN.RR.COM]

I wouldn't sell it......

[moonlightandmargaritas]

Originally Posted by Salary_Guard

The partners can be found on my website

The one dude looks like somebody photoshopped some hair on his head....

[somarco]

As indicated in another thread, I was introduced to this product by an actuary who designed it probably 5 years ago. A review of the product indicates the underlying plan has not changed.

At the time the product was reinsured by Lloyds which made it a bit more of a challenge. The likelihood of the insured collecting is slim.

I could probably find my old material and contacts if I looked hard enough. The product never sold enough to become viable.

[Salary_Guard]

Oops, nevermind

[insurehound]

Isn't this an association? Doesn't that mean that the plan/coverage can be pulled with proper notice?

[somarco]

Why would you believe that the members likleyhood of getting a claim paid is "slim"?

What is meant by Involuntary Unemployment?
Under this plan, Involuntary Unemployment is defined as totally and continuously losing full-time
Employment as a result of:
(1) a permanent involuntary termination of employment; or
(2) an involuntary layoff or suspension of employment; or
(3) an authorized, unionized strike or labor dispute by a chartered or previously organized trade or
Labor union; or
(4) a lockout, discharge of employees or temporary closing of business in response to organized
Employee activity; or
(5) a state or federally declared disaster caused by a geological or weather-related natural event.

Involuntary Unemployment does NOT include quitting, resigning, retiring, expiration of an employment
Contract, being fired for cause, or being on leave due to accident, sickness, disability, family
Obligations, childbirth, pregnancy, or due to scheduled seasonal or temporary breaks.


What are the Waiting Periods?
4 Month Vesting Period and Actively at Work Requirements. Before involuntary unemployment
Insurance can be utilized, there is an initial Vesting Period of 4 months and a 4 month "actively at
Work" requirement. These periods can run concurrently, so you must be an association member for
At least 4 months and also be working for at least 4 consecutive months before you can have an
Unemployment event qualify for a claim. If you become unemployed anytime before the initial vesting
Period is over, you will not be eligible to file a claim, and you will have to return to work for at least 4
Consecutive months before eligibility begins. The Unemployment claims procedure requires
Documentation from your employer and your state's unemployment office which will verify the date of
Your unemployment.

30 day Elimination Period. Once the vesting period and "actively at work" requirement has been met,
There is also a 30-day "Elimination Period" before cash benefits are paid. The first 30 days of
Unemployment are not covered. The elimination period makes the insurance more affordable and
Eliminates the high expense involved in processing insignificant short term employment interruption

[Salary_Guard]

Originally Posted by insurehound

Isn't this an association? Doesn't that mean that the plan/coverage can be pulled with proper notice?

This is group coverage, and yes, they could pull the product with proper notice, or increase rates with proper notice. They cannot stop paying any claims in the works.

[Salary_Guard]

Originally Posted by somarco

What is meant by Involuntary Unemployment?
Under this plan, Involuntary Unemployment is defined as totally and continuously losing full-time
Employment as a result of:
(1) a permanent involuntary termination of employment; or
(2) an involuntary layoff or suspension of employment; or
(3) an authorized, unionized strike or labor dispute by a chartered or previously organized trade or
Labor union; or
(4) a lockout, discharge of employees or temporary closing of business in response to organized
Employee activity; or
(5) a state or federally declared disaster caused by a geological or weather-related natural event.

Involuntary Unemployment does NOT include quitting, resigning, retiring, expiration of an employment
Contract, being fired for cause, or being on leave due to accident, sickness, disability, family
Obligations, childbirth, pregnancy, or due to scheduled seasonal or temporary breaks.


What are the Waiting Periods?
4 Month Vesting Period and Actively at Work Requirements. Before involuntary unemployment
Insurance can be utilized, there is an initial Vesting Period of 4 months and a 4 month "actively at
Work" requirement. These periods can run concurrently, so you must be an association member for
At least 4 months and also be working for at least 4 consecutive months before you can have an
Unemployment event qualify for a claim. If you become unemployed anytime before the initial vesting
Period is over, you will not be eligible to file a claim, and you will have to return to work for at least 4
Consecutive months before eligibility begins. The Unemployment claims procedure requires
Documentation from your employer and your state's unemployment office which will verify the date of
Your unemployment.

30 day Elimination Period. Once the vesting period and "actively at work" requirement has been met,
There is also a 30-day "Elimination Period" before cash benefits are paid. The first 30 days of
Unemployment are not covered. The elimination period makes the insurance more affordable and
Eliminates the high expense involved in processing insignificant short term employment interruption

The state unemployment unemployment has just about the same requirements. These are nothing "difficult". What they say are that you can't get fired for something or quit your job and then try and claim this benefit. This is set up to help people who are laid off or let go because of no fault of their own.

[Akkula]

Kind of interesting. I didn't know that something like this existed.

[stormtracker]

Not sure what market this would appeal to. My lower income customers will just defer to state UI in times of need, and those above that means will prefer to draw from savings. My greatest concern would be a disgruntled claimant who's policy DENIED their unemployment policy's payout. Not sure this is a good time to sell what the government already takes in taxes...

[Vanbret]

Originally Posted by Akkula

Kind of interesting. I didn't know that something like this existed.

Yeah, I came across this product about a month or two ago online and thought it was kind of interesting. But I decided that there were just to many stipulations, and that the product didn't offer enough value, so I decided not to contract. Not saying it's a bad product....just not something that I wanted to offer to my clients.

[VaDwayne]

What type of license would one need to sell this product? Would it be considered P&C?