Field Underwriting

  • Key Differences Between Life Insurance and Disability Insurance

    While both life insurance and disability income insurance are designed to provide financial support, they focus on different aspects of an individual’s health and well-being.

    Life Insurance

    • Focus on Mortality: Life insurance primarily addresses mortality, which is concerned with how medical conditions may affect life expectancy. The underwriting process evaluates factors that impact a person’s likelihood of dying prematurely.

    • Risk Considerations: Life insurance underwriters will assess conditions that could shorten life expectancy, such as heart disease, cancer, or terminal illnesses.

    Disability Income Insurance

    • Focus on Morbidity: Disability income insurance is concerned with morbidity, which refers to the frequency and duration of disabilities that prevent an individual from working due to medical conditions.

    • Risk Considerations: Conditions that may not impact life expectancy significantly but can impair a person’s ability to work, such as musculoskeletal issues, mental health conditions, or repetitive stress injuries, are highly relevant in disability insurance underwriting.

    Key Underwriting Considerations

    • Medical Advancements: Thanks to advancements in medical technology, people are living longer even with serious illnesses, which impacts both life and disability underwriting but in different ways.

    • Life vs. Disability: While life insurance focuses on how medical conditions will shorten life expectancy, disability income focuses on how these same or different conditions may affect the ability to work, often for extended periods.

    These distinctions are important for both advisors and clients to understand, ensuring the right coverage is in place for the client’s needs.

POTENTIAL OFFERS FOR LIFE  
 

  • No ratable medical conditions and meets specific criteria for a Preferred class (Ultra, Select or Select Tobacco) 

  • No rating, but not eligible for Preferred classes 

  • Coverage may be available with a rating. Ratings may be permanent or temporary. Permanent ratings vary as follows:  

    Low substandard: In the range of Tables B – D  

    Moderate substandard: In the range of Tables E – H  

    High substandard: In the range of Tables J - P  

  • No Coverage available 

POTENTIAL OFFERS FOR DISABILITY INCOME 

  • As applied for Non-Tobacco or Tobacco 

  •   Rating (Premium increase) 

  • Rider added excluding coverage for specific condition 

  • No Coverage available 

  • May reduce benefit amount, reduce benefit period, increase elimination period, remove optional benefits, add rating, exclusion, or a combination of all the above, etc.