FMI’s Business Person Elect (BPE) - A truly market leading income protection product for the small business owner
Since 1995 and as the leader in their field, FMI have been constantly re-defining the income protection market, continuously evolving and advancing product development to suit the specific needs of the self-employed. Through understanding of these needs, FMI have taken to resolving key issues within the insurance industry to consistently deliver on their promise of paying claims.
During a stressful and often traumatic time, frustration and claiming complications need to be kept to a minimum. To achieve this FMI have redefined their claiming process and as a result FMI do not as a rule request proof of loss of income, FMI pay process and as a result FMI do not as a rule request proof of loss of income, FMI pay the cost of obtaining the initial medical claim form from our clients’ doctors, and FMI pay claims twice weekly.
FMI have tackled other common industry issues including complicated policywording, complex products, low take up rates of younger lives and income definitions. FMI offer plain language policy wording that ensures an easy understanding of the policy terms that ensures an easy understanding of the policy terms and conditions for both the Financial Adviser and the client, which is particularly handy at point of sale and at claims stage. FMI have also acknowledged the varied definitions of income, and have divided them into specific and clear categories, namely salaried employee and self-employed. FMI recognise the issue of low take up rates by younger employee and self-employed. FMI recognise the issue of low take up rates by younger lives into the market for various reasons, such as cost and low recognition of the risks associated with a disability. To encourage younger lives to take up cover with FMI, we offer an accident only benefit at 50% of premiums, with no medical underwriting, to those aged 32 and younger.
FMI recognise that severe fluctuation and interruptions in income are unavoidable for any self employed individual. FMI therefore offer an Annual Review Benefit, Reinstatement Benefit and a new Freeze Benefit to cater for those unpredictable Benefit and a new Freeze Benefit to cater for those unpredictable financial times. The Annual Review Benefit offers the option to increase cover by up to 20% without medical underwriting, or to reduce cover by any percentage. The Reinstatement benefit offers the option to re-instate cover after utilising the Annual Review benefit, without medical underwriting. A Freeze Benefit has been added to the Business Person Elect product. This unique benefit gives the policyholder the option to stop paying premiums for 3 or 6 months during trying financial times. No claims are allowed during a Freeze Period. This benefit allows one to retain an existing policy without having to cancel and undergo new medical and financial underwriting at a later stage, at which time one’s health may have deteriorated.
FMI have recently added some fantastic product enhancements to an already competitive Business Person Elect Policy. The TIP (Temporary Income Protector) benefit has changed its Primary waiting period from 7 days for accident and 14 days for illness to 7 days for both accident and illness, with benefits payable retrospectively to day 1. This reduced waiting period is now available to professionals and nonprofessionals alike. Furthermore, FMI do not aggregate on TIP claims and offer an own occupation definition of disability on both temporary and permanent benefits. FMI occupation definition of disability on both temporary and permanent benefits. FMI also offer 100% cover on our TIP benefit, plus a retirement age of up to 70 years.
Optional Family Benefits can now be added to a policy, for example a R15,000 per can now be added to a policy, for example a R15,000 per month Spouse Benefit and a R20,000 Child Dread Disease Benefit. A Dread Disease enhancer benefit has also been added to TIP, enhancing the TIP payout by 20% upon enhancer benefit has also been added to TIP, enhancing the TIP payout by 20% upon diagnosis of a dread disease.
FMI constantly strive to understand our clients’ needs better and continually look to improve our products. This focus prompted a rates review, which lead to a subsequent reduction in premiums by an average of 25% on PIP (Permanent Income Protector) by an average of 25% on PIP (Permanent Income Protector) premiums. In addition a number of value added benefits are also included in the BPE product offering, including a Waiver of Premium whilst in claim, a Rates Guarantee, Drivers Extension and Key Man Insurance. Further, premiums paid in the protection of income are tax deductible. FMI also pride themselves on the accuracy of their risk profiles and assessments, and have reviewed all occupational classes in a fair manner.
FMI have tackled industry issues head on to ensure that they constantly refine the income protection market, and through doing so have earned the title of market leader.
