Partners Life has delivered a national roadshow and workshop tour that has showcased the key elements included its latest product upgrade release. The insurer has also announced two key partnership remuneration incentives.
Product Update
Spanning the full range of lump sum and IP protection products in its flagship insurance range, this upgrade will take effect from 18 April 2018.
While further details are still to be provided to advisers, it appears that significant attention has been focused on trauma product features and definition changes as well as on the insurer’s income protection product offer.
Key changes include:
Life Cover
- Non-survivable accident event added under the Terminal Illness Benefit
- Enhancements to Repatriation, Bereavement Support Benefits
Trauma Cover
- Relaxed definition of Heart Attack under Severe Trauma Cover
- Two new partial payment conditions added
- Improved definitions applied to events including:
- Alzheimer’s Disease
- Dementia
- Loss of Independent Existence
- Loss of Speech
- Paralysis
Private Medial Cover
- Reconstruction Benefit enhancements
- Enhancements to conditions surrounding on-PHARMAC Subsidised Drugs Benefit
- Introduction of two new Cancer support benefits
Loss of Revenue Cover
- Easing of underwriting requirements
Income Cover
- More flexibility built into Agreed Value financial justification processes
The roadshow presentations have also highlighted the various calculators available from Partners Life to assist advisers in determining the best or optimal outcome for clients when considering the various life insurance, health insurance and Government benefit options that may be available.
Critically, Partners Life has confirmed that all changes will be passed back to existing policyholders under its ‘Guaranteed Upgrade of Future Benefits’ clause. It also advises that any claims arising under the new policy wordings will apply only for conditions or incidents arising after 18 April 2018.
RiskinfoNZ will report further details as they are released.
Remuneration Incentives
Level Premium Commissions
In a message to advisers following the Easter break, Partners Life confirmed it has extended its bonus commission offer on level premium business.
The insurer …will now continue to pay full upfront bonus commission on all Level Premium options until further notice
The insurer noted it launched its Level Premium option in October 2017, which allowed full bonus commission on all Level Premium options until 31 March 2018 as a ‘launch special’, but that it will now continue to pay full upfront bonus commission on all Level Premium options until further notice.
Shadow Share Incentive
The same release to advisers confirmed the launch of ‘Shadow Share Scheme 2 Year 2’. This incentive was introduced in the formative stages following the creation of Partners Life and rewards advisers for policy retention.
The ‘Scheme 2 Year 2’ version of this initiative accommodates the following metrics:
Qualification criteria:
- Qualification period: 1 April 2018 to 31 March 2019
- Minimum Issued API: $50,000 (non-medical API net of lapses)
- Shadow Share Allocation: Every $20 API = 1 Shadow Share
- Minimum persistency criteria: 85%