Thu, Nov 17, 2016
CUNA Mutual Group’s new TruStage simplified-issue term life insurance product is quickly catching the attention of credit union members due to its entirely online consumer purchase experience. After answering just two health questions, a completely automated underwriting platform delivers a decision in minutes.
Designed using direct consumer feedback, retail best practices and particularly appealing to the needs of younger consumers, coverage face amounts range from $5,000 to $100,000 to provide protection for home mortgages, children’s education, income replacement and final expenses.
TruStage, CUNA Mutual Group's consumer brand, is one of the first to market with a term life insurance product that consumers can purchase entirely online. With this capability, members can purchase and service the entire suite of TruStage products, including: accidental death and dismemberment, whole life, term life, auto, home and health insurance, entirely online.
“We are changing how life insurance is purchased by starting with the overall experience first,” said Susan Sachatello, senior vice president, TruStage. “Life insurance is an emotional purchase, and we understand it must be simple and easy for the consumer to secure a coverage amount they know they can afford and feel comfortable with.”
With protection of a loved one often being the buyer’s motivating factor, the online application asks for the name of the beneficiary at the beginning of the process. The application displays the beneficiary's name at every step of the process to remind the buyer who they are protecting.
The product targets a younger demographic, with a starting issue age of 25 and rates starting at $3.65 a month* through an online channel that’s been traditionally unavailable for life insurance purchases. The product provides coverage options based on the buyer’s budget rather than forcing them to select a specific coverage amount. Since the launch in late June, an estimated $20 million has been issued to policyholders online.
The product, currently available in 30 states, was developed using the iterative “Agile” process and took only six months from concept to market launch. This new term life product is an example of CUNA Mutual Group’s emphasis on investing in technology, mobile and new digital channels to support credit unions and consumers for the future.
“It is important that we continue to identify and invest in new ideas and solutions that address consumers’ evolving needs to protect their financial future. That protection starts with easily accessible and affordable life insurance coverage,” said Sachatello.
Source: CUNA Mutual Group