Life Insurance Agents Professional Liability Application: Fill & Download for Free

That’s like asking if you can have a CPA do your taxes without talking to a CPA.To give professional legal, tax, or medical advice, one must have a license, right? To prove that they know what they are doing.Did you know that this insurance is state regulated? Not everyone can sell insurance. To sell & give insurance advice, they also must have a license—a certificate of authority. There are rules of conduct (compliance) that they have to follow. if they want to keep their license because they are state Licensed life & disability insurance agents/ insurance underwriters: they have a financial & health checklist that they have to do before they can give you specific recommendations & it is best done in person, face-to-face.And I’m sure that you want to verify their ID/license to make sure they are real agent before listening to what they have to say. I know I would.Brokers, like the one that I work with, have many products that can meet your needs so they will personally review your situation in more detail & make appropriate recommendations.Determining their need & eligibility is very important, because what if the person wanting info doesn’t even need coverage or even qualify for it.It can be the cheapest policy possible but people don’t really buy insurance based on price, based on their good health.Even the richest person in world can’t get insurance if they are too old and sick, no matter what they can pay.* Agents have to do a professional needs or financial review:(1) Before they can give you specific recommendations, they have to review what you have in place, gather info, data, & facts about you to support any recommendation.- Have to make sure any recommendation is appropriate & suitable (that we are doing the right thing, legally & ethically) for your unique situation—needs. - Not allowed to make specific recommendations unless YOU have a NEED for this insurance.(2) they have to document, record, & verify if a NEED for NEW insurance coverage even exists.- Even if you already know- We legally have to let you know if you don’t need any NEW insurance. Did you know that they can even lose their license if they sell you something that you really don’t NEED?- You may qualify (be eligible) TO APPLY but may not actually NEED NEW insurance.- they need to know your debts/ liabilities that need to be covered; verify & review your income, resources, & any existing private insurance; & will tell you if what you already have would cover what you need (or qualify for);(3) Their review also helps to determine exactly how much & how long new life insurance is actually needed: the more of the debts your family can cover/afford, the less you need to buy. It can help reduce the amount of new insurance needed.- There may be many products, plans, features, & benefits that can meet your needs; & finding the right/best one for you, the best coverage & best price possible, depends on them knowing & understanding your specific situation, goals, needs, & budget.- Did you know that plans, features, & benefits are designed for different financial & health situations?- any information & specific recommendation we gave them had to be balanced & complete, since doing that over the phone is difficult,agents have to avoid discussing specific products & complete explanations, it often results in confusion or misunderstandings.He told them that licensed agents are required to give full & fair disclosures so that they had complete understanding of the product including the advantages, disadvantages, & differences—pros & cons.To be compliant, they had to give them all of the info they needed to know to make an informed & educated decision. (CE: Ethics for Insurance Practitioners).* They will complete the insurance interview; go over the info that YOU requested/ordered & your coverage options, & walk you through the application process, if you decide that you NEED to purchase the program/coverage/insurance. They will make sure you understand the questions on the application, that it’s filled out completely & correctly, that all signatures are obtained, & collect the first premium.“Agents have to ensure that any info they provide is accurate, complete & unambiguous so that they can make a fully informed decision.Insurance products & recommendations are complex.Any info & recommendations must: be accurate, balanced & complete, & present important info so that you understand the situation as it exists.“Agents have to make you aware of features; guarantees; tax treatment; any costs, charges, risks; discuss how term insurance is limited in duration, has no cash value, usually has increasing premiums as one ages; how whole life insurance involves initially-higher fixed, regular premiums than a comparable amount of term life, usually has cash value rate of return that may be lower than found in other financial products, is less flexible (with coverage & premiums) than certain other types of life insurance; how declared-rate or indexed universal life insurance involves fewer guarantees than traditional whole life, allows withdrawals from the policy’s cash value but that such withdrawals reduce the cash value & the death benefit, enables increase or decrease policy premiums, but that no premium level guarantees the policy will remain in force until the insured’s death (unless such a secondary guarantee is provided). (CE: Ethical Practice Standards).”IF you don’t believe me, call the state office of insurance.so, agents can help you: (1) decide how much insurance coverage you need & for how long & what you can afford; (2) determine which type of policies/products meet your needs, & (3) choose the best one for you; help you choose policy/product premium, benefits, features, & options available to you. OR YOU can try doing it yourself.

Buying a product as valuable as a “DI” policy online without the benefit of “Strategic” (Big Picture) Thinking (Bill Birnbaum’s “Strategic Thinking”) from someone without “K-A-S-H” (Knowledge, Attitude, Skills, Habits) who also understands “the real world”—doing that has risks which can destroy the mission, what-ever it may be. Be patient as I explain—Suppose the prospective buyer has one or more dependents — maybe a little girl and boy and a spouse who’s able to work, she has employment, but it’s not full-time so she can be with the kids as much time as possible.Let's also suppose the prospective DI policy applicant (let’s say he’s a construction work-er) goes online, applies for and is approved for a DI policy (stupid assumption because that’s NOT how companiss sell “DI”). He sends in his premium, gets a policy in the mail, and thinks nothing further of it.Time goes by and one day he’s very badly injured on the job. It's serious, but at least he has a policy so it's not the end of his life from a financial point of view as he’s knows it so far. But his injury condition deteriorates so badly that HE DIES!His widow, Sally, applies to his union for a DI benefit from when he was injured because at least it’ll be something. But it's actually nothing because Sam, her husband, signed up for a policy with a 30-day waiting period (30 days from the date of injury) because a 7-day waiting period policy premium was too much. So he decided on a 30-day waiting period policy . . . and its been only two weeks since his date of injury . . . so he gets nothing which is zero . . . zip . . . nada . . . nothing . . . not a dime. And to make matters far Far FAR worse for his wife and kids, he died!Sally frantically calls her deceased husband’s union and learns there’s a death benefit equal to his pay for ninety (90) days. He was earn-ing $90,000 annually so she gets a check in the mail for a quarter of that . . . not much but at least it's $22,500 so she can bury him. After doing that, she gets a bill from the undertaker for $12,500 and has $10,000 left over from the death benefit check.Being the bill-payer in the family, she looks at her list of expenses. Annually it's $75,000 . . . $63,000 was covered by Sam’s full-time take-home pay plus $12,000 from her part-time pay which is all she’s got now . . . that and $10′000 from Sam’s death benefit after the undertaker got paid.So, still stunned, she sits down with paper and pencil because now it's time to think long and hard. Having taken courses in accounting, she lists Assets, Liabilities, Income, Expenses and many questions Questions QUESTIONS!What do I own? House, Car and Ten Thousand Dollars — $10,000.What do I owe? Mortgage — $80,000.What’s my part-time net take-home pay income? — $12,000.What if I work full-time? $48,000.What would child care cost? $15,000.What's full-time work's net? $33,000.What do I need to pay bills? $75,000.What would I be short? $42,000.What if I sell the house for $180,000?But what’s the mortgage — $80,000.What would that get me? $100,000.How many years of shortage would that cover? 100,000 ÷ 42,000 = 2.4.What should I do? I don’t know! This situation I’m in is terrible!Why didn’t Sam buy life insurance? He bought a stupid DI Policy online!Why didn’t he listen to that CLU Life Insurance Agent? What did he advise? He said, “DON’T DO ANY-THING until you know your cash flow. Let me help develop the math on that!” But Sam was so pig-headed he refused. I mean how stupid can someone get?If the agent DID meet with us to develop our cash flow, would he have advised us to buy life insurance? Hey, that’s his freakin’ job! OF COURSE he’d advise us to buy life insurance — Sam and me, too! And there’s NO WAY that I’d let Sam say “No!” to applying!Hey! Wait a minute! THINK! What could I earn annually if I became a Life Insurance Agent? Probably a whale of a lot more than Sam earned doing construction! Awe RIGHT! I’M GONNA BECOME an AGENT — a productive LIFE Insurance AGENT working FROM HOME so I can be with the kids . . . and prospective clients can come to ME instead of ME driving to THEM!This is a great big WOW! in my life!So back to the question — What’s THE BEST WAY to buy “A Disability Insurance?” In per-son or Online? The answer is easy — the best way to buy is IN PERSON from a very well-trained professional who really Really REALLY cares enough to ASK VERY GOOD QUESTIONS like ■ Can we talk about DEBT? Almost every worker and almost every couple HAS it but few know how to GET RID of it? ■ Is it OK with you if we at least TALK about it? ■ Like what would happen if you were SICK or HURT and OUT of WORK? ■ Or what would happen if you do like the frogs do and CROAK? ■ Can we talk about DISABILITY INCOME INSURANCE? ■ Can we talk about LIFE INSURANCE? ■ Can we talk about both? ■ Can we talk about THOSE YOU LOVE and what you can do to PROTECT them? ■ Do you have anything against DI and/or Life Insur-ance? ■ If I make a recommendation you think is affordable, would you have any objection to buying from me? ■ Can we now develop your cash flow so we can “find the premium” to pay for your LIFE and DI?Now THAT’S how it should work when meeting with a professional in person and NOT by going blind online!How do I know? As a CLU (Chartered Life Underwriter) and MDRT (Million Dollar Round Table) member, I’ve been selling LIFE and DI since 11/01/69. That’s almost half a century helping clients with some of the most important decisions they’ll ever make in their lives!RC / That’s Me! / In the words of “The Pokin’ Poet,” Muhammad Ali / “Me? Whee!”

Insurance! Several others have answered this question well for other requirements, so I’ll just focus on insurance -Insurance Requirements for SBA Loans - The Bunker VaultThe CARES Act for Small BusinessesThe CARES (Coronavirus Aid, Relief and Economic Security) Act is a stimulus bill providing $2 Trillion of desperately needed economic relief, some of which is going to small businesses as they navigate the Coronavirus (COVID-19) pandemic. There are two programs in the CARES act, specifically focused on providing economic stimulus for small businesses. The programs provide loans through the Small Business Administration (SBA), some of which may be forgivable.The two programs are:Paycheck Protection Program (aka PPP) // $359 Billion availableEconomic Injury Disaster Loan (aka EIDL) // $10 Billion AvailableSince 1953, Entrepreneurs across the US have utilized the SBA to help fuel the building of their business dreams. From restaurants and coffee shops, to general contractors and family-run corner stores, small businesses in virtually every sector of our economy utilize SBA supported loan programs, accounting for billions in capital each year.In the next ~90 days, the SBA will likely lend more money than they have in the past decade.This is a once in a generation Black Swan Situation, and all small businesses impacted by the Coronavirus / COVID-19 are strongly encouraged to apply. As mentioned above, some of the loans may be forgivable to the borrower if the proceeds are used for payroll, rent, and other necessities. Keeping individuals employed is critical to maintaining a support system for the people who make our businesses and our economy flourish. We’ve put together a list of resources to provide more information on the loans and insurance coverage available to your business on our Coronavirus Resource Page.Getting a CARES Act LoanA critical step in the application process to obtain an SBA backed loan is providing ‘Proof of Insurance,” or a “Certificate of Insurance” that meets the SBA Insurance Requirements. Like most insurance requirements, they’re lengthy, technical, and confusing. We’ve heard countless stories already from small businesses who’ve gotten hung up on this stage of the application process, and discouraged from continuing. We don’t want insurance to become a barrier to businesses getting the stimulus that they need in these challenging times. Below, you’ll find a quick breakdown of the requirements, and instructions for making sure that your Certificate of Insurance checks all of the boxes.SBA Loan Insurance RequirementsWhile requirements vary by business type and loan size, these are the coverages the SBA typically requires. In the next section, you’ll find a guide to help you determine which policies you’ll be required to carry.Property InsuranceYou’ll likely need to have some level of property insurance, depending on what type of property your business has. If your business owns ‘real property’ (a.k.a. real estate), it may be used as collateral for the loan. In this case, you’ll need to have replacement coverage for various perils like wind, hail, earthquakes, floods, etc. Even if you don’t own real property, every business will need coverage for business personal property, or BPP – at full replacement cost. The majority of the time your property insurance can be obtained through a Business Owners’ Policy (BOP), or a Standard Package.General Liability InsuranceEvery SBA loan will require General Liability Insurance (GL). The good news is that General Liability can be found in every BOP or Standard Package policy. Depending on the GL limit required, it might be more affordable to purchase a BOP or Standard package policy with lower limits, and add an Umbrella Liability Insurance policy to raise the limits on your General Liability Insurance. If you’d like to consult an insurance advisor to see which option is best for you, Reach out anytime! Email [email protected] or give us a call at (877) 968-9108.Product Liability InsuranceIf your business sells a product, the SBA may require product liability insurance. You’ll likely already have Product Liability Insurance if you’ve gotten a contract with any retailer or distributor in the past. (And requirements aside, it’s an important coverage for any business selling a product!) Product Liability is sometimes sold as its own policy, but typically it will be part of your General Liability policy. Pricing will vary based on 1) What you sell, and 2) how much of it you sell.Professional Liability InsuranceIf your business provides a service (e.g. consulting, engineering, design, etc.), the SBA will likely require that you have a professional liability or ‘errors & omissions (E&O)’ policy. Professional Liability policies are easy to find, and can often be tailored to your specific industry. Pricing will vary based on the services you provide.Liquor LiabilityThe hospitality industry has been one of the hardest-hit by the Coronavirus pandemic. Many of the bars, restaurants, concert halls and other businesses that were forced to close will need to take advantage of SBA loans under the CARES Act in order to reopen at all. If you’re one of these businesses – and serve alcohol – you’ll need liquor liability insurance. This is typically an extension of the General Liability coverage, but can also be purchased separately.Workers’ CompensationBarring a few specific exceptions, if you have employees you’ll need to carry Workers’ Compensation Insurance. The SBA will need to make sure that you have current coverage that at least meets your state’s requirements. Workers’ Compensation can be easily obtained, and is sometimes even provided by your payroll provider. In a few states (OH, WA, SD, and WY, for example), you’re required to purchase Workers’ Compensation through your state’s insurance exchange.Life InsuranceThis is often known as “Key-Person Life Insurance,” and the SBA nearly always requires it. If something happens to the founder and/or managers of your business, this policy will pay out with the SBA as a beneficiary.Breaking down the SBA Insurance RequirementsBelow is a guide to figuring out what your specific business will be required to carry. You’ll received more detailed information from your lender when you begin the application process. For guidance from licensed insurance advisors, email your specific insurance requirements to [email protected], and we’ll make sure you have everything you need.EVERYONEGeneral Liability Insurance – Limits vary by businessProperty Insurance – Full Replacement Cost. Must contain a ‘Lender’s Loss Payable Clause’ in favor of lender (SBA)Life Insurance – Limits depend on the amount and type of other collateral availableIf you have EMPLOYEESWorkers’ Compensation – At least meeting statutory LimitsIf you own REAL ESTATEProperty Insurance – Must contain a ‘Mortgagee Clause’ in favor of lender (SBA)If you sell PHYSICAL PRODUCTSProduct Liability Insurance – Limits vary by productIf you provide a SERVICEProfessional Liability Insurance – Sometimes referred to as ‘Errors & Omissions (E&O) or Malpractice InsuranceIf you sell ALCOHOLLiquor Liability Insurance – Often sold as part of your General Liability Insurance Policy.Other Potential RequirementsFlood Insurance – If your business is located in a special flood hazard area, you may have additional requirements based on the Standard Flood Hazard DeterminationHazard Insurance – If loan proceeds will finance existing or new improvements on a leasehold interest in land, the lease must include Lender’s (SBA) or Assignee’s right to hazard insurance proceeds resulting from damage to improvementsMarine Insurance – If a vessel is collateral on the loan, you’ll need coverage in the amount of the full insurable value of the vessel(s) with the lender (SBA) designated as ‘Mortgagee.’Where do I Get it?The best way to know that you have the exact coverage that the SBA Requires is to work with a licensed advisor to build a policy tailored to your business needs. That way, you’ll know you have the right coverages, limits, endorsements, and additional specifications on the first try. For example, it’s likely that the SBA or lender will need to be listed as an Additional Insured and/or Certificate Holder, requiring a brand new Certificate of Insurance even if you have the correct policies in place. Bunker’s team of advisors actively work with you and your lender to ensure your certificate of insurance meets all of SBA’s requirements for your specific business.If you already have an agent or broker you’re working with, make sure you’re specific about your business and the SBA requirements. Make sure to get a copy of the exact requirement from your lender or the SBA, as they may vary by loan type.