Policy Delivery

C4-L1-P11

Policy Delivery

Most policies are issued as applied for. In such cases, the producer owes his or her new policy owner prompt delivery of the policy and a review of its features and benefits. Not only does this help solidify the sale, it represents a step toward making the policy owner a lasting client.

Unfortunately, some policies will be rated or rejected. When this happens, the producer has two responsibilities:

  1. He or she should personally review the rating or rejection.

    Was it medical? Was there an unfavorable medical report? Was something overlooked or not made known to the underwriter? Should additional information be submitted? Is the rating or rejection proper? Should the application be reconsidered? In any event, the producer should have as much information as possible and be able to explain the rating or rejection to the applicant.

  2. Assuming the rating or rejection was valid, the producer has the responsibility to notify the applicant promptly.

    To withhold this information in an effort to prevent the applicant from seeking insurance elsewhere is a breach of ethics and could actually harm the applicant and his or her family.