11Managing Life and Annuity Policies
Managing Life and Annuity Policies
This chapter is about working with life and annuity policies in Siebel Insurance. It includes the following topics:
About Managing Life and Annuity Policies
The Life & Annuities screen allows users to create and manage a variety of individual life insurance and annuity policies. Administrators can set up life and annuity plans in the Insurance Administration screen. The following table lists some common individual life insurance and annuity products.
Table Life and Annuities Products
| Product | Description |
|---|---|
Term Life |
Insures a life for a specified period of time. If the insured dies during the term, a benefit is paid. If the policy is not renewed and the insured dies after the term, no benefit is paid. |
Whole Life |
Often referred to as permanent insurance because it provides a death benefit and a savings feature. The insurance accumulates a cash value, and the policy owner can generally borrow up to 95% of the cash value of the policy. |
Variable Life |
A form of whole life insurance in which the face amount and the cash value fluctuate according to the investment performance of a separate account fund. The policy holder can choose how a portion of the premium is invested. |
Universal Life |
An insurance policy characterized by flexible premiums and cash values. Universal Life policies do not allow the policy holder to choose how premiums are invested. |
Fixed Annuity |
A form of annuity in which the rate of interest on the annuity account value is guaranteed (fixed) for a specific period. |
Variable Annuity |
A form of annuity in which the rate of return on the account value fluctuates according to the investment performance of a separate account fund. The annuity owner can choose how to invest a portion of the premium. |
Endowment and Annuity |
A policy that allows you to accumulate funds that will be payable in a lump sum at a future date. The money accumulates tax-free. If the insured dies before the pay-off date, the full face value of the policy is paid to the beneficiaries. |
For more information on views common to all policy screens, see Common Policy Views.
Scenario for Life and Annuity Policies
This scenario features sample tasks performed by a Siebel administrator and a licensed sales representative. Your company might follow a different workflow according to its business requirements.
In this scenario, a Siebel administrator defines life and annuity coverages and creates assessment templates.
A licensed sales representative for a life insurance company is on the phone with a prospective customer who has called to request a quote for Variable Life insurance. She searches for the contact in Siebel Insurance and finds that the customer is part of an existing household. She adds a new life quote as well as data about the type of policy and the proposed insured.
Next, she fills out a rating questionnaire for the prospect and creates an underwriting report. Then, she adds information about coverages and amounts. After that, she adds beneficiaries, and then sets up a payment plan with a bill-to address. After the data has been collected, she submits it to an external rating engine to determine the premium.
She gives the prospect a verbal quote for the policy and the customer agrees to purchase it. Then, she follows the procedures implemented by her company to submit the policy application for underwriting.
After the policy is issued, she can submit loan, transfer, withdrawal, and surrender requests.
End users are the sales representatives who manage customer requests. They enter information to:
Generate a life insurance or annuity quote
Add underwriting information or order an underwriting quote
Add a beneficiary
Set up a payment plan and add a bill-to-address
Submits the policy application for underwriting
Process of Managing Life and Annuity Policies
This section details sample tasks often performed by administrators and end-users when managing life and annuity policies. Your company might follow a different process according to its business requirements.
Administrator Procedures
The administration tables of Siebel Insurance store definitions of important insurance constructs such as coverages and coverage options information. These tables can be used to define a flexible set of insurance administrative data. Within the base product, the administrative tables are used to define life insurance coverages and limits. The administration tables for Life & Annuities are in the Administration - Insurance screen’s Life & Annuity Coverages view.
The following list shows tasks administrators typically perform to manage life and annuity policies:
End-User Procedures
The following list shows tasks end users typically perform when managing life and annuity policies:
Defining Life or Annuity Insurance Products
As an administrator, you can add products to the Siebel database and add the product to a product line, if applicable. This section describes the procedure for setting up products in general terms.
For more information about defining products, see Siebel Product Administration Guide.
To add an insurance product
Navigate to the Site Map, Administration - Product, and then the Products view.
In the Product form, add a record, and complete the necessary fields.
In the Category field, select Life & Annuity.
Defining Life or Annuity Insurance Coverages
After defining life and annuity products, you might need to add coverages.
To define a life or annuity coverage
Navigate to the Site Map, Administration - Insurance, and then Life & Annuity Coverages.
You have defined the coverage type and levels for a life or annuity insurance product.
In the Life & Annuity Coverages list, add a record and complete the necessary fields.
In the Coverage Options list, add a record and type a coverage option.
Repeat Step 3 for each coverage option you want to add.
Administering Assessment Templates
There are three types of assessment templates that are administered by sales administrators:
Rating
Reinstatement
Underwriting
Each template is a collection of questions designed to obtain information needed to rate, reinstate, or underwrite a policy. They are all administered in the Sales Assistant Administration screen’s Sales Assessment Templates view. For more information, see Siebel Applications Administration Guide.
To administer an assessment template
Navigate to the Site Map, Administration - Data, and then Sales Assessment Templates.
In the Assessment Templates list, add a record.
In the Type field, select Life & Annuity.
Complete the remaining fields.
In the Assessment Attributes list, add a record and complete the necessary fields.
In the Name field, specify a question, such as "Have you used any form of nicotine products in the last 12 months?".
For each assessment attribute entered, in the Attribute Values list, add a record and complete the necessary fields.
In the Value field, add a possible answer (such as Yes or No) to the question defined in the Assessment Attributes list.
In the Score field, add a numeric value that represents how important that answer is to the assessment.
Note: You need to add one record for each potential answer to the question created in the Assessment Attributes list. For example, if a question requires a yes or no answer, you will need two Attribute Values records, one with a value of Yes and one with a value of No.
Providing Life and Annuities Quotes
In Siebel Insurance, a quote is a policy that has not been issued. End users can provide a quote for a new policy or for a change to an existing policy. For a life insurance quote, users need to specify coverage information in the Coverages view tab.
After the data has been collected, users can submit it to an external rating engine or illustration system to determine an initial premium, future account value, future annuity payments, or other calculations.
Coverages might be defaulted to a standard set (through configuration) or manipulated through the Questionnaire and Coverages views to further refine the quote. Users can collect additional data to aid in the underwriting and administration of the quote.
To generate a life insurance or an annuity quote
Navigate to the Life & Annuities, then the Life Policy List view.
In the Policies/Quote list, add a record and complete the necessary fields.
To request a life insurance quote, in the Contract Type drop-down list, select Life Quote.
For an annuity quote, in the Contract Type drop-down list, select Annuity Quote.
Note: Additional fields are available in the More Info view tab.
Drill down on the Policy # hyperlink.
Click the Participants view tab and scroll down to the Contacts list.
In the Contacts list, add a new record for each new participant.
In the new record, complete the fields.
Caution: Make sure you select the Named check box for each Contact that will be covered under the policy. If you do not check this box, the Contact will not appear in the Questionnaire view.Repeat Step 4 for each participant to add to the policy.
For all quotes, click the Questionnaire view tab.
In the Insured/Annuitant list, select a record.
Scroll down to the Questionnaire Templates list and add a new record.
In the Template Name field, click the select button.
In the Select Assessment Template dialog box, in the Template Name field, select the desired template and click OK.
Step off the record to save the record and select the saved record.
The questions appear in the Questionnaire list.
In the Questionnaire list, complete the value field for each question.
For a life insurance quote, click the Coverages view tab.
In the Coverages list, add a record and complete the necessary fields.
Ordering Underwriting Reports
After end users add the necessary underwriting information, they can order underwriting reports for a policy.
To order an underwriting report
Navigate to the Life & Annuities screen.
In the Policies/Annuities list, select a policy.
Click the Underwriting Reports view tab.
In the Underwriting Reports list, add a record and complete the necessary fields
Follow the procedures defined by your company to submit orders for underwriting reports.
Adding a Beneficiary
End users can add or make changes to policy beneficiaries.
To add a beneficiary
Navigate to the Life & Annuities screen.
In the Policies/Quotes list, drill down on a policy.
Click the Beneficiaries view tab and review the three view links:
Beneficiary Class. To add or change classes of individuals, such as all my children.
Individual Beneficiary. To add or change beneficiaries.
Organizations. To add or change organizations.
Click the appropriate view link.
In the Coverage Component list, select the desired record.
Scroll down to the lower list, add a record and complete the necessary fields.
Submitting Transaction Requests
End users can submit transaction requests for:
Loans
Transfer of funds
Withdrawal or surrender of funds
To submit a loan request
Navigate to the Life & Annuities screen.
In the Policies/Quotes list, drill down on a policy.
Click the Transaction Request view tab.
From the Transaction Requests view link list, select Loans.
In the Loans list, add a record and complete the necessary fields.
Follow the procedures defined by your company to submit requests for loans.
Submitting a Transfer Request
Use the following procedure to submit a transfer request.
To submit a transfer request
Navigate to the Life & Annuities screen.
In the Policies/Quotes list, drill down on a policy.
Click the Transaction Request view tab.
From the Transaction Requests view link list, select Transfers.
In the Transfers list, add a record and complete the necessary fields
Follow the procedures defined by your company to submit requests for transfers.
Submitting a Withdrawal or Surrender Request
Use the following procedure to submit a withdrawal or surrender request.
To submit a withdrawal or surrender request
Navigate to the Life & Annuities screen.
In the Policies/Annuities list, select a policy.
Click the Transaction Request view tab.
From the Transaction Requests view link list, select Withdrawals & Surrenders.
In the Withdrawals & Surrender list, add a record and complete the necessary fields
Follow the procedures defined by your company to submit requests for withdrawals or surrenders.
Viewing Value History Information
End users can use the Value History view to display cash values. Usually, this requires integration of Siebel Insurance with a policy administration system. For more information, see Siebel Integration Messages.
To display value history
Navigate to the Life & Annuities screen.
In the Policies/Quotes list, drill down on a policy.
Click the Policy Values view tab.
Select the Value History view link.
Note: Choose the Value History Chart view link to see value history data in chart format.
Setting Up Payment Plans
End users can set up payment plans and payment method details for life insurance and annuity policies.
To set up a payment plan
Navigate to the Life & Annuities screen.
In the Policies/Quotes list, drill down on a policy.
Click the Payment Plans view tab.
In the Payment Plans list, add a record and complete the necessary fields.
Note: The payment method you choose determines the type of list that appears. For example, if you select Electronic Funds Transfer as a payment method, the Payroll Deduction Plan/Electronic Funds Transfer Details form appears after you save the record.