Increased demand since the Insurance Contract Act (VVG) reform – Particularly popular for difficult cases involving pre-existing medical conditions – Life at the BCA exhibition and congress in Wiesbaden 25-26 March
At the start of 2007, the Wiesbaden-based financial services provider Delta Lloyd became the first insurer in Germany to introduce tele-underwriting. This involves a telephone interview during which a well-trained interviewer goes through the application questions with the customer and carries out the assessment.
After two years, feedback is very positive. “Since the Insurance Contract Act reform, health questions have become considerably more detailed and comprehensive. Our aim with tele-underwriting was to simplify the process of answering these questions for all parties involved, and to take the liability away from the broker”, explains Dr Sylvia Thiessen-Lüders, tele-underwriting manager at Delta Lloyd. “Brokers are using this service more and more and demand has particularly increased since the Insurance Contract Act (VVG) reform came into force. In 2008 alone we carried out almost 1000 interviews.”
Life at the BCA exhibition and congress in Wiesbaden
Delta Lloyd is offering brokers at the BCA exhibition and congress on 25 and 26 March, who are interested in the service but are as of yet unfamiliar with the process, the opportunity to test the tele-underwriting system themselves. They can do this at the Delta Lloyd stand which can be found in Hall 10, Stand B4. No appointment is necessary.
Liability taken away from brokers
The issue of liability is a convincing argument for tele-underwriting for brokers. When the health questions are answered via tele-underwriting, full liability transfers to the insurance company. The service is used primarily for customers who have had serious illnesses or for whom insurability is uncertain. In spite of this, 36% of applications through tele-underwriting can be processed as normal, 53% with an exclusion. Despite the high number of difficult cases, only 10% are delayed or refused. Delta Lloyd has an overall refusal level of around 1% which is well below the market average.
Number of GP reports halved
The new process not only holds advantages for brokers and customers, but is also worthwhile for the insurer. Since the introduction of tele-underwriting, Delta Lloyd has had to request a report from a GP in only 15% of cases, compared to the previous total of 35%. This both reduces costs and saves time.
The move towards tele-underwriting in Germany has been slow: around 10 German insurers are currently using this process, but not all of these companies are carrying out the tele-underwriting themselves with their own specially-trained staff. Many are still relying on external providers.
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For further information:
Martina Fassbender
Telephone: 0611 773 25 71
E-mail: martina.fassbender@deltalloyd.de
Notes to editors:
About Delta Lloyd
Delta Lloyd Germany is a 100% subsidiary of Delta Lloyd Group, Amsterdam, and therefore part of the British Aviva Group. The company offers a one-stop shop for a wide range of financial, investment and provident products and also provides expert advice on all financial matters. In addition to Delta Lloyd Leben and Hamburger Leben, a pension fund and a consultancy for occupational pension schemes, the Delta Lloyd Group in Germany also comprises the private bank Gries & Heissel and a mortgage brokerage.