EasyCover goes online
Tower Life has launched what it considers the first life insurance product to be available online.
The new product, EasyCover, is an accidental death insurance cover available on-line direct to the public.
Tower Life strategy manager, risk business, Ron Williamson says the step into e-commerce follows speculation that Australia's life insurance industry is falling behind in e-commerce capabilities.
"Tower has recognised for awhile that the life insurance industry is behind the eight ball a little bit," he says.
Williamson says the oft-quoted saying that life insurance products are too complex to provide online is a myth. He says the product is easy to access and understand.
It offers customers a number of standard survey questions for them to register such as name, address and the amount of cover the customer wants. After a customer has registered, a premium is automatically calculated for them.
There is no underwriting for the product, and customers can choose any level of cover between $100,000 and $400,000 for $12 a month, depending on the level they choose. They can pay by credit card online or pay by cheque.
Williamson says EasyCover takes life insurance advisers and brokers out of the equation for many customers, giving them the choice of immediate insurance cover.
"The public generally expect that life insurance is sold through an adviser, and that its probably all about forms and underwriting," he says.
"By providing a product that takes away all the concerns we believe the client finds that appealing."
Williamson says the success of EasyCover will determine any future online products for Tower.
Recommended for you
Advisers at DOD Bookkeeping, which received an $11 million penalty last week, received as much as 40 per cent of their remuneration via a bonus when clients purchased a property via a SMSF, according to court documents.
Private wealth manager Escala Partners has launched an end-to-end investment platform to strengthen its alternatives capability as clients seek sophisticated vehicles.
Perpetual Wealth Management has hired two advisers from Ord Minnett as part of five hires, just weeks after the rival firm announced it had picked up six from Perpetual Private.
ASIC has cancelled the AFSL of a Perth financial services firm following payments to its clients by the Compensation Scheme of Last Resort after a failed managed investment scheme.
