Does your life insurance application process hinder your best opportunities?
Many consumers expect modern applications to be easy and to get results quickly. If all goes well, the life insurance application process can be that type of experience. But it can just as easily become a frustrating series of generic status messages because of a single small mistake, like a typo in a driver’s license number or an overlooked data entry error. In a typical carrier process, these types of errors push an application into manual review that adds days or weeks to an approval. Carriers do need to protect against bad actors’ intent on perpetrating fraud, which costs the life insurance industry $74.7 billion annually. But these small human errors are not high-risk applicants trying to game the system. They are consumers who completed the process in good faith and expected a straightforward, seamless experience.The best practice is to identify simple errors before they are flagged as a risk and become underwriting bottlenecks. Or worse, before your qualified applicant abandons the process and moves to the competition.
LexishNexis® Life Smart Path Can Help
Life Smart Path helps carriers bring critical data insights forward into the application stage rather than waiting until underwriting. With earlier validation of identity and basic information, insurers can reduce preventable delays, streamline workflows and deliver a faster, more transparent experience. The result is a process that works better for honest consumers and supports carrier goals to focus on the best opportunities.
Insights and Resources
Blog Post
Life Insurance Application Misrepresentation
Early-stage blind spots can leave life insurers to address misrepresentation risk after it has already moved deeper into the application workflow.
Blog Post
High Cost of Waiting Until Underwriting in Life Insurance Applications
Waiting to verify data at underwriting can allow incomplete, inconsistent or misleading information to flow deeper into the process before action is taken.