The Fundamental Series™ Disability Income Protection
Agenda
 Disability Marketplace
 Introduction to the Fundamental Series
 Claims Overview
 Q&A
Disability Insurance Market Overview
Mark Hardy
RBC’s Leadership Position – Market Share
2011 vs. 2012 New Business Market Share (Annualized Premium)
Source: LIMRA Canadian Individual Income Insurance Survey Q4/2012, Q4/2011
RBC’s Leadership Position – Market Share
RBC New Business Annualized Premium and Industry Rank by Year
)
Source: LIMRA Canadian Individual Income Insurance Survey Q4/2006-2012
RBC’s Leadership Position – Market Share
Inforce Market Share, 2012 (Annualized Premium)
)
Source: LIMRA Canadian Individual Income Insurance Survey Q4/2012
RBC’s Leadership Position
Underwriting
› 31 Living Benefit Underwriters trained in Disability
Insurance and/or Critical Illness
› 24 of the 31 are Devoted to Underwriting Disability
Insurance
› Combined 100’s of Years of Underwriting Experience
› 2 Financial Underwriting Consultants
› A team of Part-time and Full-time physicians to consult
on complex medical issues
Wage Growth
1997-2011
Wage Index – Base 1997
Source: Statistics Canada Labour Force Survey, 1997-2012
Full Time Employment
1997-2011
Full Time Employment Index – Base 1997
Source: Statistics Canada Labour Force Survey, 1997-2012
Disability Opportunity
2010 - 2020
Estimated Market – 2010 - 2020
Source: Statistics Canada Labour Force Survey, 1997-2012; HRSDC COPS
Trades & Transport
2010 - 2020
$1,000,000,000
Source: Statistics Canada Labour Force Survey, 1997-2012; HRSDC COPS
Introduction to Fundamental Series
Michael Thompson
Introducing the Fundamental Series
› Knowing the Market and RBC Insurance’s Dominance
what do we have to offer?
› Simplicity
– At the Time of Application
– At the Time of Underwriting
– At the Time of Claim
› Loss of Income and Business Overhead Expense
RBC Insurance Living Benefit Portfolio
The Professional Series
Individual
Disability
Insurance
The Foundation Series
The Bridge Series
The Fundamental Series
Retirement Protector
Business Overhead Expense
Business
Disability
Protection
Key Person Protector
Business Loan Protector
Disability Buy Sell
Non Cancellable T65 and T75
Critical Illness
Protection
Guaranteed Renewable T65 and T75
Term 10
Simplified CI
The Fundamental Series –
Loss of Income Features
› Loss of Income
– Guaranteed Renewable Contract
– Injury Only or Injury and Illness Coverage
– 24 Hour or Non-Occupational Coverage
– Benefits based on either Gross or Net Earned Income
– Benefits issued in $100 Increments
– Partial Disability Benefits Included
– No Pre Existing Condition Exclusion
The Fundamental Series –
Loss of Income Features
› Loss of Income
– $10,000 Accident Medical Expense
Reimbursement Benefit Included
– Best Doctor’s Provided when Illness is Purchased
– Illness Underwritten in 30 Days
– Injury Policy Issued in 5 Days
The Fundamental Series –
Loss of Income Features
› Total Disability Definition
First 36 Months
Regular
Occupation
Definition
After 36 Months
Reasonable
Occupation
Definition
The Fundamental Series –
Loss of Income Features
Maximum Injury and Illness Coverage Issue Limits
Class 1 and 2
$6000
Class 3, 4, 5 and 6
$5000
The Fundamental Series –
Loss of Income Features
Accident Death & Dismemberment
Issue Ages
18 to 64
Coverage
To Age 70
Face Amount
$100,000 to $500,000
Accidental Medical
Expense Reimbursement
Benefit Rider
$100,000
The Fundamental Series –
Loss of Income Features
Feature
Business Overhead Expense
Benefit Period
12 Times the Monthly Benefit
Elimination Period
30 Day
Partial Disability Benefit
50% of Monthly Benefit for a
Maximum of 3 Months
The Fundamental Series – Injury Application
The Fundamental Series – Injury Application
Pre-Qualifying Questions
1. Are your bodily movements or daily activities
currently limited or restricted by any injury or other
condition?
2. Are you currently working a minimum of 20 hours
per week, 35 weeks per year?
3. Are you a Canadian citizen or been granted
Permanent Resident (landed immigrant) status by
the Canadian government?
The Fundamental Series – Illness Application
The Fundamental Series – Feature Summary
The Fundamental Series – Rate Guide
› What’s Included
– All Premium Rates
– Occupational Classifications
– Issue Limits
– Benefit Determination Chart
– Underwriting Guidelines
– Height & Weight Chart
The Fundamental Series –
Who do we Sell?
› Name You’ve Written Down
› Self Employed Clients
– High Gross Income and Low Net Income
– Using BOE as “Foot in the Door”
› Medically Impaired Clients
› Blue Collar Workers
– WSIB Mentality
› “Non-Traditional” Groups
› Young Clients
– Injury policy and Graduate them to Fully Underwritten policies
The Fundamental Series –
Alternate Offers
The Fundamental Series gives You
the Opportunity to Insure Every
Canadian!
Break – 10 Minutes
RBC Insurance Leadership Position
Claims Practices and Philosophies
Jocelyn Tardif
Claims Philosophy
› Provide thorough, fair, objective claim evaluation
› Pay approved claims promptly, with high level of
service
› Assist clients, where appropriate, in their return to
work efforts
Claims Payment Information
12,000
› Annual cash
benefits:
› $331 million
› Annual new
claims: around
5,300
› Open LTD and
IDI claims:
around 10,300
$350,000,000
$331,000,000
$300,000,000
10,000
$250,000,000
8,000
$200,000,000
6,000
$193,000,000
$150,000,000
$138,000,000
4,000
$100,000,000
2,000
0
Opened Claims
Benefits Paid
$50,000,000
Individual
Group
Total
4,500
5,500
10,000
$193,000,000
$138,000,000
$331,000,000
Opened Claims
Benefits Paid
$0
Our Claims Resources
Disability
Managers
Doctors
Clinical
Specialists
Field-based
Employees
Disability
Specialists
Field-Based
Rehabilitation
Specialists
Rehabilitation
Specialists
Financial
Consultants
Our Medical Resources
Orthopaedic Surgeons
Dr. Joseph Schatzker C.M., MD., B.Sc. (med.), F.R.C.S.(C )
Dr. John J. Murnaghan MD. MA. MSc. FRCSC.
Psychiatrists
Dr. Joan Tucker M.D. F.R.C.P.(C), ABPN
Dr. Sarah VanderBurgh B.Sc. MD
Neuropsychologist
Dr. Ivan Kiss, B.Sc., M.A., Ph.D., C. Psych.
Internal Medicine
Dr. Estera Bekier, M.D., F.R.C.P. (C)
Dr. Alice Dong, MD, FCBOM, ABPM
New Claim
Dedicated Claims Contact
› Easy to start the process through a general toll-free
phone line
› Assistance with Filling out claim forms
› Hand-holding through the pre-claim process
› Very experienced with simplified Individual Disability
Claims
› Over 10 years of claims-handling experience.
Definition of Disability &
Other Provisions
Definitions of
Disability
Change of Definition
at 36 Months
Other Provisions…
Return to Work
Assistance
Recurrent Disability
(6 Months)
Return to Work Assistance
› Client, employer and attending physician interviews
› Clinical reviews
› Independent Medical Evaluations
Vocational Rehabilitation / Return to work plans may
also include:
› Work site modifications
› Job site analysis and work conditioning
› Transferable skills analysis
› Job search and resume-writing assistance
Senior Sales Consultant
The Fundamental Series – Compensation
+
Override
to MGA
The Fundamental Series – Compensation
› Example…
$1500 of Premium
FYC
30%
Compensation
$450
MGA Override
150%
Total Broker Compensation
$1125
Annually Payable
Highlights
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Market Opportunity
RBC Insurance’s Leadership Position
Simplicity
Strong Definition of Disability
Best Doctors
No Pre Existing Condition Exclusion
Increments of $100
Alternative Offers on all RBC Disability Insurance
Compensation
Call to Action
› We want to Partner with you
› What can our Sales Consultants offer
– Best in Class Insurance Products and Services
– In Field Support
– Advice for All your Clients
› Help you Build your Business
Thank You for Your Time