Insurable Interest Canadian Insurance Blog

Staff | November 5, 2019 Canadian defined benefit pension plans posted a median 1.7 per cent return in the third quarter of 2019, down from 2.7 per cent in the previous quarter, according to the latest RBC Investor and Treasury Services’ universe. In comparison to the same quarter last year, the returns represent an improvement, with DB plans posted a meagre 0.1 per cent return during the third quarter of 2018. Read: Pooled pension fund managers see modest gains for Q3 2019 “While markets remain volatile, the ongoing trade tensions between the U.S. and China, in addition to the geopolitical turbulence surrounding Brexit, continue to propel very modest pension plan returns,” said Ryan Silva, director of client coverage for RBC Investor and Treasury Services, in a press release. “Plan sponsors are encouraged to consider taking a defensive approach to lower investment risks, such as moving into private assets, blue chips and other relatively safe investments with stable track records,” he added. Read the full article at BenefitsCanada.com

By Mike Brown Lend EDU Although naturally grim in its circumstance, life insurance can be an important safety net for a policyholder’s loved ones. But having life insurance comes at a cost, so consumers must weigh the pros of paying for a policy against the potential consequences of not having one. That cost depends on the policy and the person. Things like age, medical history, current health, and smoking habits can alter a person’s annual life insurance premium. For example, because smoking is detrimental to a person’s health, policies for smokers are more expensive to account for the increased likelihood of mortality within the policy term. Just how much can smoking increase a life insurance policyholder’s premium? To answer this, LendEDU teamed with BestLifeRates, an independent life insurance marketplace. Using exclusive data from about 35,000 life insurance policy quotes provided by BestLifeRates, LendEDU analyzed the dollar difference in life insurance policy quotes between smokers and non-smokers. How Smoking Affects Life Insurance Costs The data featured in this report was anonymized and provided exclusively to LendEDU from BestLifeRates. Users can go to BestLifeRates.org, enter their personal information, and receive life insurance quotes based on their circumstances, including whether they are a...

Company demonstrates significant broker demand for premium finance integration with Applied Epic Mississauga, ON (Nov. 4, 2019) – FIRST Insurance Funding of Canada (FIRST Canada), the industry leader in payment solutions, is pleased to announce a revolutionary way for brokers to offer customized online payment options to their clients. Now brokers can have one streamlined and consistent process for all their payment methods. Brokerages can have the new online payment options page configured to present all their payment methods with one convenient and consistent process. Whichever payment methods the brokerage offers are presented to the client on the newly designed, user-friendly online payment options form, with optional brokerage branding. The new online payment options form is not limited to but can include payment methods such as easy monthly payments, credit cards, cheque, single bank withdrawal, bank wire, online banking, etransfer, ETF, and PayPal®. “Our goal is to put the broker in control of the payment process for their clients and maintain their client relationship,” stated Stuart Bruce, chief executive officer of FIRST Canada. “Our new customizable online payment options form easily allows the broker to provide a flexible, compliant, bespoke payment experience for their clients.” Brokers looking to learn more...

InsuranceNewsNet Life insurance sales are stagnant, but profits are still being made. By Trey Reynolds With nearly half of all marriages ending in divorce, it’s not uncommon to have clients who are either going through divorce proceedings, living as a single parent after a divorce, or have been married more than once – with or without stepchildren. Divorce is emotionally draining, and on top of that, the challenges divorce brings to estate planning can be an added stress. In many cases, one often overlooked tactic can provide tangible solutions for divorcees and blended families: life insurance. By using life insurance to address some of these issues head-on, you can help your clients develop an estate plan that truly fits their needs, goals and unique family circumstances. Here are five ways life insurance can help your clients in the event of a divorce: Provide funds for divorce-related expenses. If the divorce is contested or includes child custody issues, the proceedings can stretch from months to years, with attorney’s fees reaching into the tens of thousands of dollars. Clients with an established permanent life insurance policy can take withdrawals or loans from the policy’s cash value to help pay needed expenses. If...

Martha Porado | November 5, 2019 When it came to asking his employers to add continuous glucose monitoring to its benefits package, John Whitehead, a level-two food server at Niagara Casinos, went all in. He’s had type 1 diabetes for years, and lived through many technological developments to help manage his condition. While he says blood glucose monitoring represented a major improvement, it still left some things to be desired. “It’s a great tool, but it still is so limiting because it gives me a number, but where’s that number going? Is it going up? Is it going down? And is it going up or down slowly or rapidly? [That] makes a big difference, especially if I’m about to get into a car and drive.” Blood glucose monitoring gives patients with diabetes a snapshot of their current glucose levels a few times a day, while continuous glucose monitoring is more akin to a movie, says Whitehead. That’s why he decided to approach his employer about adding continuous glucose monitoring to its benefits package. Read: A look at the newest innovative medications for diabetes management Right away, he encountered a challenge. Niagara Casinos had just updated its benefits plan for the year and the changes had been communicated to staff,...

When speaking to clients about cyber insurance, it’s important to focus on areas that are relevant to the industry in which they operate Chicago, IL (Oct. 29, 2019) – Cyber insurance has a long reputation as a privacy liability product for businesses that hold sensitive data – but privacy exposure isn’t the only risk facing businesses today. In fact, cybercriminals are increasingly targeting traditional industries that hold almost no sensitive data at all, whether through ransomware attacks that halt operations or business email compromise scams that result in wiring payments to fraudulent accounts. Our cyber risk heat map was built from data relating to 2,500 cyber claims we’ve dealt with in the last two years as well as trends that our incident response team is witnessing externally. This color-coded graph ranks the severity of different industries’ exposure to business interruption, privacy, and cybercrime and includes a few examples of how these exposures can play out for different types of organizations. Infographic Cyber risk heat map (Click here to download in PDF format) About CFC CFC is a specialist insurance provider and a pioneer in emerging risk. With a track record of disrupting inefficient insurance markets, we use proprietary technology to...

In progression of NTT DATA’s automation services, new platform accelerates innovation for clients in multiple industries Plano, TX (Oct. 29, 2019) – NTT DATA is pleased to announce the launch of its cloud-based intelligent enterprise platform, Nucleus, which brings together NTT DATA’s analytics, processes and operations into a single foundation to accelerate innovation for clients. “The world has evolved, and enterprises are dealing with increasingly complicated systems, processes and data in different silos, while trying to optimize and transform their operations. We designed a modern and flexible platform with our clients’ needs in mind,” said Eric Clark, Chief Digital Officer, NTT DATA Services. “By utilizing Microsoft Azure, NTT DATA brings the right mix of IP, third-party tools, and open source solutions together to help our clients rapidly deploy and make smarter decisions with their data.” The platform was built using cloud-native applications and deep industry, business and technology expertise. Nucleus enables NTT DATA to improve client outcomes and reduce waste by: Bridging capability gaps in third-party and open-source software through automated process management, data management, and artificial intelligence solutions Providing real-time visibility to data and operations to break down silos hindering the enterprise Enabling rapid deployment through pre-integrated solutions and...

The National Association of Insurance Commissioners creates model laws for states to pass. Insurance commissioners tabled a proposal today to create a working group with a charge aimed at completing a comprehensive and coordinated review of annuity and life insurance illustrations. Birny Birnbaum, executive director of the Center for Economic Justice, is proposing a Life Insurance and Annuity Illustration Working Group. The new group would take the place of the Annuity Disclosure Working Group, but also pick up parts of illustration-related work assigned to at least three other working groups, Birnbaum said. “NAIC model regulations regarding life insurance and annuity illustrations and advertising permit – and in some cases, require – misleading, confusing and/or deceptive information be provided to consumers in the form of illustrations,” Birnbaum said in a letter to insurance commissioners. The Life Insurance and Annuities Committee held a conference call today and approved a list of 2020 charges for its working groups. Chairman Doug Ommen, Iowa insurance commissioner, noted that the committee can take up charges at any time, but did not have enough time to consider Birnbaum’s proposal. “Alabama is very supportive of the CEJ proposal, but we don’t believe today is the day,” said Steve...

New policy wording provides clarity and flexibility for clients Arlington, VA (Oct. 30, 2019) – Willis Towers Watson, a leading global advisory, broking and solutions company, has launched three new cyber insurance policies for clients across the U.S., Canada, the U.K. and Western Europe. The policies provide innovative, tailored solutions for large enterprise and mid-market clients, enabling them to fully assess, protect and recover losses related to cyber risk. The policies contain broad cyber triggers for data breach coverage, regulatory claims and business interruptions, as well as important protection for cyberattacks against the supply chain. Importantly, they also provide coverage clarity and affirmative cyber coverages to limit silent cyber exposures. “As cyber risks continue to evolve for businesses across varied sizes and industry sectors, a risk transfer solution that provides clarity on coverage is paramount,” said Peter Foster, chairman, Global FINEX Cyber and Cyber Risk Solutions, Willis Towers Watson. “Many existing products on the market can be confusing and difficult to navigate. Our global cyber expertise and deep cyber analytics have enabled us to launch three new insurance products in three different regions, which provide a risk transfer solution that ensures clients have a greater understanding of the coverage purchased...

Findings from newly released book, The Real Business of Blockchain: How Leaders Can Create Value in a New Digital Age, launched at Gartner IT Symposium/Xpo Stamford, CT (Oct. 8, 2019) – Blockchain is forecast to generate $3.1 trillion in new business value worldwide by 2030, half of it by 2025 with applications designed for operational improvement, according to Gartner, Inc. However, enterprises can make missteps that will leave them out of position to capitalize fully on blockchain, under competitive threat by using the wrong strategy and being lulled into a false sense of progress and capability. “Beyond operational improvements and increased efficiency, fully mature blockchain complete solutions will allow organizations to re-engineer business relationships, monetize illiquid assets and redistribute data and value flows to more successfully engage with the digital world. That is the real business of blockchain,” said David Furlonger, distinguished research vice-president and Gartner Fellow. “To unlock this potential, CIOs should use a framework to help their organizations better understand the timing of investments and the value proposition for blockchain usage based on different solution archetypes.” Gartner created the Blockchain Spectrum to examine the phased evolution of blockchain solutions and how this path aligns to the anticipated value...