HSBC Life UK is launching a digital underwriting solution that will extend cover to more people with pre-existing conditions and consider applications where terms previously were not possible.
The solution enables medical screening requests to be sent to and received back automatically from provider Square Health. The solution is available on UnderwriteMe’s protection platform.
Initially, referrals will be triggered by sum assured limits above the standard thresholds and a body mass index (BMI) range of 39 to 42 dependent on age.
Once screening is complete, results are returned to HSBC Life’s digital underwriting rules engine – provided by UnderwriteMe – to provide an instant eligibility decision.
It will also be available via the HSBC Life extranet journey for IFA who use Iress, IPipeline and Synaptic Webline.
The innovation aims to increase the speed of underwriting decisions, reduce customer waiting times and the amount of time advisers spend chasing results. There is also a real-time online dashboard for advisers to view the status of their applications.
Where HSBC Life is unable to provide cover, its underwriting team will provide clear explanations and ensure there is a duty of care so the customer can seek medical advice from their doctor, the insurer said.
Customers will be covered during the underwriting referral process with free cover available up to 90 days, for the sum assured amount requested up to a maximum of £1m for life and £750,000 for critical illness.
Customers are covered for both ill health and accidents. This is subject to policy terms and conditions. Free cover will not pay out if death is a result of suicide or self-inflicted injury
Mitch Barker, head of product and chief distribution officer at HSBC Life (UK), said: “Our new enhanced digital underwriting capability will improve both the adviser journey and customer experience, by enabling us to consider applications where terms previously weren’t possible.
“For example, higher BMI disclosures and sum assureds which were above our current non-medical limits. This exciting development will reduce the chance of advisers needing to vary their original recommendation.
“Our investment in the new process will enable us to continue innovating and supports our growth strategy to keep widening our distribution opportunities and provide a larger customer base access to our protection products.”
Nilesh Patel, head of sales and marketing at UnderwriteMe, said: “Our underwriting technology is always looking to improve the adviser and customer experience of buying life insurance.
“The development with HSBC Life will speed up the process where further evidence might be required and should significantly shorten average turnaround times for HSBC Life applications. We’re determined to continue to improve access to insurance and help insurers provide cover for the very people that need it.”
Steve Casey, marketing director at Square Health, added: “We are delighted in helping bring a first with HSBC Life to the protection market. This collaboration in providing structured data direct into the underwriting engine will mean faster decisions being made, enabling customers to go on risk quicker.”