Every now and then you come across a really good idea. Invariably it is an obvious course of action ...
Every now and then you come across a really good idea. Invariably it is an obvious course of action that is staring everyone in the face - and yet, nobody thinks of it until one lonely voice pipes up with a "Why don't we ... ".
Richard Walsh has done just that by outlining the IP Task Force's concept of kite marking income protection products - although this is a BSI registered trade mark, so it will be called something else. The only flaw I can see in his argument, outlined in his page 11 column, is that it would require insurers to come together in agreement on what, essentially, is a marketing issue. Given what I have seen of insurers, I won't hold my breath on this happening soon but if the idea truly holds up to scrutiny there is every chance that it would gain some currency and could happen.
As we move into the summer months, the general themes running through 2009 are becoming a little clearer. Technology is still at the forefront: last year it was the final bedding in of tele-underwriting, now ubiquitous; this year, it is the use of the internet to further sales. We have seen providers tailoring products for the web best buy tables and now a broker has attempted an advised sales process over the internet. Lifesearch, long a campaigner against non-advised sales is trying to put its money where its mouth is and offering those who would not go to a broker a fast, advised, internet sale (page 5). If the site is successful, then others will surely follow.
The other theme is a major rethink on underwriting. PruProtect can now routinely underwrite life cover for those with HIV and we are seeing Munich Re rewriting its manual so client insurers will be underwriting many of those thought to have coronary artery disease without penalty.
All this positivity in just half a year! Long may it continue.