1. Direct Life Manager's Briefing

2. Protection Advice models – What can advisers expect?
Background
Distributors Selling Protection
Challenges faced by them to increase amount of Protection sold
What solutions are going to be available in the future?

3. …….life made simple

4. DLPS thought process when building solutions
Some beliefs
Life insurance should be easy to understand, familiar and straightforward
The typical customer should be able to compare and choose the product that suits their needs
Most people should not need advice, but some will want it
Different people will want different amounts of help, in different ways
What is easy to buy is easy to sell
‘Simple’ products should not be more expensive than ‘standard’ products
We should be simplifying the process of buying ‘standard’ or adviser equivalent products
Portal developments should simplify the advisers research, selection and application processes

5. ….what we do at Direct Life
Systems
Application services
Administration Services
Tele-Sales Services
Own quotes engine
D2C quote & apply
Intermediary quote & apply
Internal workflow
Bespoke CRM
MI support
Tele-underwriting
Online apply
Paper (into online)
FCA Regulated
Client liaison
Adviser liaison
Chase o/s info
Manage expectations
Point of contact
Post completion issues
Lapse management
Outbound sales
Inbound sales
LifeQuote support
LifeQuote promotion
Advised proposition
Some of the changes we have introduced
Tele-Interviewing – Collect medical information, great at getting full information, recording all calls simplifying process
Developed consumer online apply - many don’t want a phone call
Developed Quote+ and Buy Now - enabling simpler lives to buy from the comparative screen, with immediate cover
Our Online next steps
Cover not products to allow people to identify their needs
Data science to provide insight and guided information
Automated advice to offer full engagement online
Replace traditional applications with data driven underwriting
Innovate with products designed for Millennials
Our Adviser next steps
Data science based calculators of needs
Advanced Policy comparison
Documenting needs, demands and recommendations
Automated recommendation

6. Typical categorisation of UK Protection Distributors
Whole of Market D A (generalists)
Wealth Specialists
Networks – Whole of Market, Restricted (multi-tie), Single Tie
Bancassurance – Building Societies
Mortgage / Estate Agents
Protection Specialists – Advised
Protection Specialists – Non-advised
Retail / Affinities
Aggregators
Direct

7. Potential Protection buyers

8. Major Protection distributors

9. How to compare CI products?
Comparison of high level illnesses covered and definitions that are ABI or ABI+
Ancillary benefits and support services
Evidence of claims payment history
Financial strength of insurer
Product price
GIOs
Appropriateness for client based on;
Age, sex, term, existing medical history, family history, children’s benefits

10. How to compare CI products?
Comparison of high level illnesses covered and definitions that are ABI or ABI+
Ancillary benefits and support services
Evidence of claims payment history
Financial strength of insurer
Product price
GIOs
Appropriateness for client based on;
Age, sex, term, existing medical history, family history, children’s benefits
…….its complex……………………

11. How to compare CI products?
Comparison of high level illnesses covered and definitions that are ABI or ABI+
Ancillary benefits and support services
Evidence of claims payment history
Financial strength of insurer
Product price
GIOs
Appropriateness for client based on;
Age, sex, term, existing medical history, family history, children’s benefits
…….its complex……………………
Tools available to help advisers

12. …what’s a better definition?
Insurer 1
Stroke – resulting in permanent symptoms
Death of brain tissue due to inadequate blood supply or haemorrhage within the skull resulting in permanent neurological deficit with persisting clinical symptoms.
For the above definition, the following are not covered:
-transient ischaemic attack
Insurer 2
Stroke
Death of brain tissue due to inadequate blood supply or haemorrhage within the skull resulting in either:
-permanent neurological deficit with persisting clinical symptoms: or
-definite evidence of death of tissue or haemorrhage on a brain scan and neurological deficit with persistent clinical symptoms lasting at least 24 hours. .
The following are not covered:
-transient ischaemic attacks (TIA)
-death of tissue of the optic nerve or retina/eye stroke

13. Automate the process – facilitator or “robo-advice”?
Factfind
Collect relevant data
Enhance with other tools eg Open Banking , ONS data, relevant data sources for risk assessment
Model the needs
Based on FactFind Data and other data sources
Prioritise needs and identify in an engaging way
Automated recommendation
Documentation and Output
Documenting needs, demands and recommendations in an engaging customer friendly way
Automated output and compliance audit
Automate product selection
Agreed advice model or parameterised for adviser
Ability to flex away from “ideal advice” to match current budgets
Simplify the application process
What data do we need? What other information could be used to assess risk? Can we get data straight from GPs if necessary? What data do we have on the customer that they would allow us to access?

14. Protection Advice ( or Non-Advice ) models – What can advisers expect?
Background
Distributors Selling Protection
Challenges faced by them to increase amount of Protection sold
What solutions are going to be available in the future?
Much better tools to support research and analysis
Acceptance criteria different
Need to be paid more in a different way to distribute products – lifetime product value
Need to distribute products through different business models in addition to advisers

15. Direct Life Manager's Briefing