Life Insurance Acquisitions

Buying a life insurance policy is easy.  Buying the best-suited life insurance policy…at the best possible cost …based on optimum underwriting offers …from a well-managed, financially secure carrier …that will deal with the policyholder honorably over the life of the policy …is downright daunting …without the help of an independent competent insurance advisor….an insurance advisor well-versed in industry offerings who approaches each acquisition with fairness, integrity and diligence.

The advice of a well-qualified insurance advisor can be of enormous significance to an insurance buyer.  Most agents undeniably offer sound advice, but not all are positioned to create a competitive environment among multiple insurance carriers to obtain the most favorable underwriting offer that may result in the most favorable pricing.  Also not all are capable of understanding complex arrangements.  Even if an insurance policy offers good value and the insurer is financially sound, poorly conceived beneficiary designations, policyowner arrangements, policy funding, policy options and a host of other elements can wreck the buyer’s financial plans.  Conversely, the most logically conceived policy arrangements can fall apart if the policy proves to be unnecessarily costly or the insurer suffers financial problems.

Therefore, the first step in the insurance acquisition process to is find, interview and select a trusted, independent and competent insurance advisor who will work and advocate on behalf of the insurance buyer to find, acquire, monitor and service the policy in the future.

The next steps in the process become relatively easy for the insurance buyer if the right insurance advisor is selected.  A well-qualified insurance advisor will explain the important factors to consider and guide the buyer through the remaining steps of the insurance acquisition process, which include:

  • Identify the objective, approximate amount and duration of the insurance needed.
  • Determine how insurance companies evaluate the insured’s underwriting requirements and obtain and negotiate underwriting offers.
  • Identify the appropriate insurance product type as indicated by the policyholder’s objectives and risk tolerance.
  • Select the insurance carrier and product based on the carrier’s financial strength and post-underwriting quotes.
  • Complete and submit the insurance application and forms appropriately and confirm that the policy was issued properly.
  • Monitor and service the policy going forward.